Martes, Mayo 3, 2011

Gaza demonstrators condemn death of bin Laden

GAZA CITY, Gaza Strip – Some two dozen Palestinians gathered in the Gaza Strip on Tuesday to pay tribute to slain al-Qaida leader Osama bin Laden.
About 25 people holding pictures and posters of bin Laden rallied outside a Gaza City university. The crowd included al-Qaida sympathizers as well as students who said they opposed bin Laden's ideology, but were angry at the U.S. for killing him and consider him a martyr.
Hamas police did not interfere in the demonstration.
In the weeks ahead of bin Laden's death, a survey in the Arab world by the Pew Research Center found support for the al-Qaida leader had dropped dramatically in recent years — though it remained the highest among Palestinians.
The survey said about a third of Palestinians believed bin Laden would do the right thing in world affairs, which still represented a dramatic drop from a few years ago when overwhelming numbers approved of him.
On Monday, Ismail Haniyeh, prime minister of Gaza's Hamas government, condemned the U.S. operation against bin Laden, whom he hailed as a "Muslim and Arab warrior." Still, the Islamic Hamas has always distanced itself from al-Qaida's militant Islamic ideology, saying its battle is against Israel, not the West.
Al-Qaida's supporters have often accused Hamas of being too moderate and clashed with them.
Israel's Channel 2 TV broadcast video Tuesday from Jerusalem's Al-Aqsa Mosque compound, Islam's third-holiest site, showing a Palestinian preacher mourning bin Laden, calling him "a hero" and "a lion of Islam," cursing President Barack Obama, and hurling insults at Pope John Paul II.
The video showed him preaching to a few dozen listeners.
In Israel, police said they beefed up security around sensitive sites, including the airport, the U.S. Embassy, the U.S. consulate and areas where U.S. officials live, in case of revenge attacks.
Police spokesman Micky Rosenfeld characterized the reinforcements as precautionary.

Frenemies: U.S. ally in hot seat after bin Laden found in Pakistani army town

U.S. officials have left little doubt that they did not sufficiently trust their counterparts in Pakistan to keep quiet on the plan to send a team of U.S. special forces and CIA operatives into the country on Sunday to kill Osama bin Laden. And now that the whole world knows U.S. forces found and killed bin Laden in a large, conspicuously fortified compound in an affluent Pakistani military town less than forty miles from the Pakistani capital of Islamabad, American officials are likewise making it clear that they don't fully buy the Pakistani government's see-no-evil line on bin Laden's whereabouts. It's hard for Pakistani military leaders in particular to make a credible case that they were shocked--shocked!--to learn bin Laden was right there under their noses; the Pakistani army, after all, has a college in Abbottabad about 800 yards away from the compound where bin Laden was found and killed.
"It's inconceivable that Bin Laden did not have a support system inside the country," White House counter-terrorism adviser John Brennan told journalists at the White House press conference Monday.
Bin Laden's "presence outside the capital raises questions we are discussing with Pakistani officials," he said. But Pakistani officials profess themselves to be "as surprised as we were that bin Laden was holding out in that area," he added.
In other words--gimme a break.
Of course, the official line in Pakistan is that the country has been a loyal and energetic ally for the United States in the struggle against Islamist terrorism. In an op-ed in Tuesday's Washington Post, Pakistani President Asif Ali Zardari contended that while Pakistani officials did not take part in the raid on the bin Laden compound, the action nonetheless arose out of "a decade of co-operation and partnership between Pakistan and the United States." He also noted that "we in Pakistan take some satisfaction that our early assistance in identifying an al-Qaeda courier ultimately led to this day."
The U.S. version of events doesn't reflect nearly as well on the Pakistani military. In revisiting the highly classified commando operation for reporters, Brennan pointedly reiterated the degree to which American officials kept their Pakistani counterparts out of the loop about the details of its execution. To carry out the 40 minute raid, Brennan explained, U.S. military planners had to take pains to move in and out of the country without having to shoot at Pakistani military forces:
"We were watching to make sure we could get out of Pakistani air space and to minimize the prospect of engagement with Pakistani forces," Brennan described. "No Pakistani forces were engaged. There were no forces killed aside from those on the compound."
Welcome, in other words, to the twilight zone alliance between the United States and Pakistan: alleged allies who sometimes seem to be double-crossing enemies--or what American high school students would call frenemies.
But Brennan's further comments also explain why the U.S.-Pakistani alliance, for all its "ambiguity," mutual secrets, and occasionally covert but sometimes outright armed hostility, is one that neither country can live without.
"I will point out, that while we have had differences of view on counterterrorism cooperation on what we think they should and should not be doing, Pakistan has been responsible for capturing and killing more terrorists than any other country and by a wide margin," Brennan said. "And many Pakistanis have given their lives ... Although there are some differences of views, we believe our partnership is critically important to breaking the back of al Qaeda."
So why do elements of the Pakistani security services persist in supporting the jihadi terrorists trying to kill U.S.-led forces in Afghanistan and Afghans? And why can't the United States just declare Pakistan a hostile enemy, if that's how significant reaches of Pakistani officialdom are behaving?
There is no simple answer--but the basic truth here is that the United States would be in far worse shape without even the highly imperfect Pakistani government cooperation American officials are now getting. For all the shortcomings of the current U.S.-Pakistani alliance, it would be far worse for the United States to be confronting an openly hostile South Asian terrorist-backing state that has the fastest growing nuclear arsenal in the world and a bitter ongoing fixation on the ambitions of neighboring rival India.
Still, the U.S. discovery of bin Laden in a million dollar, highly fortified compound in the Pakistani military town of Abbottabad, population 90,000, on property only a few hundred feet from major Pakistani military installations, is certainly bringing out into the open what has more often been discussed behind closed doors between U.S. and Pakistani spy chiefs and generals.
"There's no question that once dust settles a little bit that Pakistan is going to be brought under a very harsh light," said former Deputy Secretary of State Richard Armitage, who has worked closely with Pakistani civilian and military leaders. "It's not credible that this guy could live as close to the Pakistani equivalent of Sandhurst"--the elite British military training school--"and someone in Pakistani intelligence did not see outside his villa. That raises questions of its own."
While "it puts a harsher spotlight on Pakistan, it does not however relieve the U.S. of the need to try to work with Pakistan in particular for the betterment of Afghanistan," Armitage added.
"In the short run, this has the potential to make U.S.-Pakistan relations even worse," said Daniel Markey, a South Asian expert with the Council on Foreign Relations. "It is an embarrassment for Pakistan's military and intelligence, given the location, and it follows on the heels of these other 'violations of Pakistani territorial sovereignty'--drones, [CIA contractor] Raymond Davis. From our perspective, it is just more evidence that the Pakistanis are either too incompetent or too complicit to be good partners."
Markey mused there could be a potential silver lining in Osama's killing--but only "if it helps to convince Pakistan's leaders that the United States has the will, capacity, and commitment to go after its enemies and that Pakistan ought not to continue to be an active (or even passive) supporter for these groups."
Gretchen Peters, the former ABC News bureau chief in Pakistan and author of Seeds of Terror: How Heroin Is Bankrolling the Taliban and al Qaeda, said that the current Pakistan dilemma stems from the 1980s. Back then, she explains, Pakistani security and intelligence services forged training and strategic ties with jihadi groups sent over to fight proxy wars against the Soviet forces in Afghanistan (with covert U.S. support), as well as in India in Kashmir. Those formative alliances only strengthened over time--and now, Peters notes, they're very hard for Pakistan to break.
Abbottabad, the town where bin Laden was found, "is one of these places in Pakistan where militancy and the [Pakistani] military are in close proximity," Peters said. Indeed, she notes, it's close to other Pakistani towns that formerly housed mujahadeen and other jihadi group training camps since the '80s.
Peters added she always expected that bin Laden would be "found in a well-guarded compound in a [Pakistani] city, not in a cave." Why? "Because  it is easier to hide in places like that," she said.
The compound where bin Laden was discovered is in a relatively new, private military development in Abbottabad, that was built in 2005.
While U.S. officials have not publicly identified the al Qaeda courier they tracked in order to find bin Laden, the Weekly Standard's Thomas Joscelyn reported that a recently leaked U.S. military cable from the detention facility at Guantanamo Bay names an al Qaeda courier close to bin Laden--Maulawi Abd al-Khaliq Jan--who seems to fits the description provided by U.S. officials. The Associated Press reported that the courier is Kuwaiti.
U.S. security officials said they were "shocked" at the conspicuously over-the-top security features of the sprawling compound in the affluent development when they saw it--including 12-18 foot fortification walls topped by barbed wire, a property size roughly eight times larger than others in the area, trash from the compound burnt inside rather than put on the street for collection. Particularly striking for a property they valued at a million dollars, they noted, the facility had no phone lines or Internet connections.
But Peters said that while the specifications are perhaps more extreme, "there are lots of [thick-walled, fortified] houses like that in Pakistan. It's much easier to hide in a [newer development] community like that where the neighbors don't actually know each other than in a small village where the entire village knows each other."
Several major al Qaeda figures have been arrested by Pakistani authorities since 9/11--including Ramzi bin al-Shibh in a Karachi apartment building, Abu Zubaydah in Faisalabad, 9/11 mastermind Khalid Shaikh Mohammed, in Rawalpindi or Quetta (depending on who you ask).
It's that sort of cooperation that Brennan praised in his remarks Monday, while making clear the United States is not going to endlessly accept Pakistani excuses for turning a blind eye to forces within its own security structure providing support to the terrorists killing Americans. After all, Brennan notes, such forces are also killing Pakistani citizens.
"The president feels very strongly that the people of Pakistan need to realize their potential for lives of prosperity and security," Brennan said. "And because of the militant organizations in that country, too many Pakistanis have died."

Government sues Deutsche Bank over bad home loans

To date, the U.S. government has brought few cases against big Wall Street banks in response to the mortgage crisis that nearly toppled the world's financial system almost three years ago. But the Justice Department today filed suit against Deutsche Bank for hundreds of millions of dollars, alleging that the banking giant unfairly stuck taxpayers with the tab for bad home loans it issued.
The complaint, filed in Federal District Court in New York, accused Deutsche Bank of failing to adequately scrutinize potential borrowers, then lying to government officials about its lapses of due diligence.
The bank "ignored every type of red flag and breached every duty of due diligence before underwriting thousands of federally insured mortgages," U.S. Attorney Preet Bharara charged in a statement to reporters.  "While the homes the defendants issued loans for may have been built on solid ground, the defendants' lending practices were built on quicksand. Ultimately, prudence was trumped by profit, and good faith took a back seat to good fees."
In its own statement issued this morning, Deutsche Bank called the charges "unreasonable and unfair," and said it planned to defend against the lawsuit "vigorously."
At issue, as the New York Times explains, is Deutsche Bank's relationship with the Federal Housing Authority, an agency of the Department of Housing and Urban Development (HUD) that guarantees mortgages made to borrowers who don't qualify for loans from the major government-sponsored clearinghouses for home loans, Fannie Mae and Freddie Mac.
According to the complaint, MortgageIT, a unit of Deutsche Bank, issued more than 39,000 such loans between 1999 and 2009, worth more than $5 billion. Because the loans had won government backing, the bank was then able to turn around and sell them to investors--in the same fashion that other Wall Street forms were repackaging home loans as investment securities.
But in order to win the crucial cachet of an FHA-guaranteed mortgage, MortgageIT and Deutsche Bank had to file yearly certifications, affirming that the loans met HUD's standards. And federal prosecutors now allege that when the bank filed those documents, it "repeatedly lied to H.U.D. to obtain and maintain MortgageIT's Direct Endorsement Lender status." In part, the federal indictment alleges, the bank did not actually monitor the default rate of the securitized loans, even though it claimed to be doing so.
By this year, around a third of MortgageIT's FHA-backed loans had defaulted, the government claims--and says that the resulting cost to taxpayers will be a cool $1 billion.
It's worth noting that Deutsche Bank didn't buy MortgageIT until the start of 2007. The lawsuit involves activities at MortgageIT that occurred both before and after the DeutshceBank purchase.
As far back as 2003, a HUD audit found that MortgageIT hadn't met basic standards of quality control. In response, the company assured the government that it had changed its practices. But, according to the complaint, that wasn't true.
Apart from the technical details of the complaint, the federal prosecution may produce a revealing view inside the hothouse of the securitized mortgage business at the late stages of last decade's housing boom. Deutsche Bank was plainly keen to keep pace with its other major financial competitors and book the high returns those investments were then yielding. Unfortunately for Deutsche Bank--and for the world financial system--those loans were on the verge of turning toxic--at which point, prosecutors allege, the bank made the miscalculation of acquiring MortgageIT, a home loan company that appears already to have had a history of issuing risky loans without due diligence, then to look the other way rather than reforming its new unit's practices.
The extent to which the suit establishes whether such neglect was criminal could have far-reaching ramifications for the other players in the overheated mortgage market. One case already wending its way through the Justice Department docket concerns alleged misrepresentations of business activities by Goldman Sachs; Carl Levin, the Michigan Democratic senator chairing the Permanent Subcommittee on Investigation, has recommended that federal prosecutors pursue perjury and other charges against Goldman CEO Lloyd Blankfein and other company executives.