Ed Balls labels chancellor ‘breathtakingly complacent’ in attack on government tax and spending plans Ministers insisted there would be no backsliding on the government’s hardline austerity programmes after data showed that Britain’s economy grew by just 0.2% in the spring. Amid Treasury relief that output did not fall in the three months to June, George Osborne, the chancellor, said a U-turn on deficit reduction would put economic stability at risk. The rest of the world would consider Britain to be “completely mad” if the government abandoned its deficit reduction plans, he said. But Osborne was accused of being “breathtakingly complacent” by the shadow chancellor, Ed Balls, who said the economy had flatlined as a result of the government’s tax and spending plans. “The positive news is that the British economy is continuing to grow and is creating jobs,” said Osborne. “And it is positive news too that at a time of real international instability we are a safe haven in the storm.” Although the City believes that Osborne will now have no choice but to trim his growth forecast for 2011 to little more than 1%, allies of Balls recognise that it may take another third quarter of poor growth, due to be published in October, for the chancellor to be seriously challenged and for the public to recognise that they are the victims of a reckless political experiment. In the first sign of Conservative pressure for a change of course, the London mayor Boris Johnson said: “You have to look at ways of stimulating growth now. “Certainly you should look at national insurance, you should look at ways of stimulating consumption, confidence in the market, and certainly I think [look at cutting] the 50p tax rate as a signal that London is open for business, that London is a great international competitive capital.” Balls responded to figures from the Office for National Statistics showing that the economy had grown by just 0.7% over the 12 months to June by accusing the chancellor of being “in total denial” over the state of the economy and called on Osborne to reverse his decision to raise VAT to 20% at the start of the year. “People up and down the country will hear that, look at their own lives, their bills, local shops and think he doesn’t understand what’s going on” Balls said. “These figures show that last year’s recovery has been recklessly choked off by George Osborne’s VAT rise and spending review. “The economy has effectively flatlined for nine months and this is very bad news for jobs, living standards, business investment and for getting the deficit down. “Just 0.2% growth over the nine months since this government’s spending review and VAT rise compares to 2.1% in the previous nine months when the economic recovery was taking hold. “Every other major economy in the world has faced challenges like high world oil prices but their economies have continued to recover while Britain has barely grown at all over the last nine months.” The Treasury and Downing Street denied reports there were tensions over economic strategy after the ONS said that the UK had so far recouped only 2.5 percentage points of the 6.4% drop in gross domestic product suffered during the UK’s worst post-war slump. David Cameron said: “Unlike previous governments, there is one team at the heart of this government: that is the chancellor and the prime minister working together.” Urged on by the business secretary Vince Cable, Osborne will return to fresh growth measures in the autumn statement, and will look at possible tax cuts in the spring budget next year, with the chief target likely to be the abolition of the 50p income tax rate. It also appears that Jeremy Heywood, the Downing Street permanent secretary, urged civil servants at a cross-government meeting last week to do more to support the deregulation agenda. Cameron has been frustrated at what he regards as the enemies of enterprise in Whitehall, including the way in which some civil servants either add extra regulation or resist deregulation. The chancellor dismissed suggestions that he was at odds with the prime minister over economic policy as “nonsense”. “The absolutely fundamental requirement is economic stability. Without that you have nothing,” he said on Radio 4′s The World at One. “Would we really take the risk of yet more debt? Would we risk the sky high interest rates, the economic instability? “Our economy is stable at this time because this government has taken the difficult decisions to get to grips with Britain’s debts. Abandoning that now, as some argue we should, would only risk British jobs and growth.” Brendan Barber, general secretary of the TUC, said: “It’s hurting, but it isn’t working. Ministers told us that deep rapid cuts would get the economy back on course and leave the private sector room to grow. But the treatment has turned out to be worse than the disease, and with the government borrowing more last month than they did a year ago they are not even tackling the deficit effectively. The detail in the figures is even more worrying. There is no sign of an export-led recovery with productive industries falling by 1.4%. And the cuts are now beginning to bite as the government made no contribution to growth last quarter.” Economic policy Economic growth (GDP) Unemployment and employment statistics Economics Tax and spending George Osborne Ed Balls Conservatives Trade unions Larry Elliott Patrick Wintour guardian.co.uk
Continue reading …Norway gunman told lawyer he expected to be killed before he reached Utøya island The man behind Norway’s terror attacks has told his lawyer he was surprised he was not stopped straight after he bombed Oslo city centre, and that he expected to be killed before he reached the island where he shot dead 68 people. Anders Behring Breivik was a “very cold” man who had taken drugs to keep himself awake during the shootings, the lawyer, Geir Lippestad, told a press conference yesterday. Breivik, who has confessed to killing 76 people in the atrocities in Oslo and on Utøya island, told Lippestad he was at war with the world, and that killing was justified in a war. “He was a little surprised he succeeded – in his mind succeeded,” Lippestad said. “He was expecting to be stopped earlier by the police or someone else during the actual day. He was surprised that he reached the island. “He thought he would be killed after the bombing, after the action in the island, and he also thought he would be killed at the trial. He believes someone will kill him.” Breivik also claimed that he was part of an anti-Islam network that has two cells in Norway and “several” more abroad. Asked to explain Brievik’s mindset, Lippestad said: “He says he is sorry he had to do this but it is necessary. He looks upon himself as a warrior. And he started this war, and takes some kind of pride in that. “He believes this is the start of a war that will go on for 60 years,” Lippestad said. “He believes the other cells will continue the war.” Lippestad said that after several meetings with his client, he believed Breivik was mentally ill. “This whole case indicated that he is insane,” Lippestad said of the 32-year-old, who denies he is a criminal. The lawyer, a member of Norway’s Labour party whose youth wing was targeted by Breivik, said he did not know why the killer had chosen him to represent him. He added that if his client were to refuse to take psychological tests he would quit from his defence. Two psychiatric experts will now evaluate Breivik’s mental state. According to Lippestad, Breivik remains unaware of the revulsion his attacks have sparked and does not know the number of people he killed last Friday. Detained in isolation, a request by the suspect for a copy of the WikiLeaks files was reportedly rejected by the authorities last night. It also emerged the Utøya Island massacre was, partly, drug-fuelled. Lippestad said the gunman had taken unspecified drugs in order “to be strong, to be efficient, to keep him awake” during the shootings. Focus continues to intensify on links between UK far-right groups and Breivik with London, the city where the suspect claimed to have launched his so-called organisation to “save Europe from Muslim takeover”. Johan Fredrikson, the chief of Oslo police, said that despite an international investigation, including involvement by British police, they still had no evidence that there was an accomplice or network behind the attacks. Breivik’s claims that he was surprised not to have been stopped earlier will add to pressure on police, who have been criticised for taking more than an hour to reach Utøya island. It emerged on Tuesday that the nearest police helicopter available was not able to intervene during the massacre because its pilots were on holiday. Teenagers trapped on the island during the shootings last Friday claimed that they were told to stay off the line because authorities were dealing with the earlier Oslo bombing, according to relatives and local reports. Ambulances heading to the island to help the wounded were said to have been held up as police attempted to secure the area. But Fredrikson said on Tuesday evening it had taken police 47 minutes once they were notified to get counter-terrorism officers to the island and another two minutes on the island until Breivik surrendered. “I can’t see how this could have gone any faster. We would do it the same way if we had the same situation again,” he said. Broader questions have since emerged concerning the failure of Norwegian intelligence over the attacks. Breivik was allegedly placed on a watch list after buying fertiliser in Poland that may have been used to build the Oslo bomb. It is thought that no further action was taken. On Tuesday officials confirmed they have opened an investigation into a Polish chemist after he admitted supplying chemicals to Breivik. The internal security agency in Warsaw said that a Polish man faces up to eight years in prison for selling to Breivik via the internet “substances that could be potentially dangerous to the life and health of many people”. The device that exploded on Friday had a devastating ferocity. Since the blast, the justice minister, Knut Storberget, has revealed that employees from his department still remain missing in the ruins of the capital’s government building. Anders Behring Breivik Norway Europe The far right Mark Townsend Helen Pidd guardian.co.uk
Continue reading …Click here to view this media We posted a piece last week that alerted everybody what the televangelists and GOP were doing to our aviation safety and jobs because they want to ultimately go union-busting against the workers. Tea Party Crazy Dominated GOP Threaten Aviation Safety While Engaging In Union Busting Now that their plan is taking effect, we’re already seeing the odious results of the endeavor. Daily Kos: As anticipated , the Federal Aviation Administration’s operating authority expired at midnight Friday and the agency partially shut down. While air traffic controllers are still on the job and air travel continues more or less normally, nearly 4,000 other FAA employees are currently furloughed without pay . Additionally, nearly 87,000 construction jobs are affected as FAA-funded airport construction projects are forced to shut down. This includes projects from $10,000 to tens of millions of dollars, scattered across the country. All of which is probably fine with House Republicans, since the whole purpose of this exercise was to make things more difficult for workers, anyway. By trying to make union representation elections operate by undemocratic rules, they put people out of work instead—maybe that’s a job well done in their eyes. The FAA is also unable to collect taxes on airline tickets bought, depriving the government of $200 million a week in revenue. But the great little coda to this story is that consumers aren’t seeing savings : [I]nstead of passing along the savings, the airlines are pocketing the money while customers pay the same amount as before. American, United, Continental, Delta, US Airways, Southwest, AirTran and JetBlue all raised fares, although details sometimes differed. Most of the increases were around 7.5 percent. It’s like the Republican dream: Not only is the government not collecting revenue, that same revenue is going straight to corporations, for no reason. Why would they ever agree to end this shutdown? The AFL-CIO sent out an email urging people to take action: Last weekend, House Republican leaders proved just how far they are willing to go to achieve their ideological goals. At 12:01 a.m. Saturday morning, they shut down the Federal Aviation Administration (FAA). As if bringing America to the brink of default hasn’t done enough damage already. Are they out of their minds? Because of the extreme ideological agenda of House Republicans and their political game-playing, 4,000 workers were furloughed over the weekend and more than 90,000 jobs across the country are on the line—including 1,026 in DC.(1) Meanwhile, the government is out $200 million a week in airline ticket fees that normally fund our aviation infrastructure. That loss now will be added to the national debt. Tell your members of Congress the FAA needs to get up and running immediately. Republican House leaders’ hostage-taking needs to stop. And if you’ve been following the media, whenever a TV pundit asks a GOP politician about the FAA shutdown, they just lie in their responses. I really don’t expect many hosts or anchors to have much of a grasp on the story, but some basic knowledge wouldn’t be a bad idea to counter the spin. Laura catches the WaPo of doing Karl Rove’s handiwork for the GOP.
Continue reading …Broadcast and cable networks have failed to cover a liberal interest group's exploitative TV spot claiming any cuts to the EPA would be equivalent to spoon-feeding toxic particles to infants, even though the proposed cuts would only pare back funding to pre-recession levels. The video, released in March amid debates in Congress to curtail the EPA's regulatory authority, has since re-emerged as a commercial on MSNBC. While depicting an adult feeding a small child helpings of baby food from jars labeled dioxin, mercury, and arsenic, a narrator frets: ” If the EPA wasn't cleaning millions of toxic particles out of the air, they'd be going, well, somewhere else…Protect the EPA. Protect our kids .” Despite the impression left by American Family Voices, the group responsible for the advertisement, that cuts to the EPA would kill children, the numbers tell a different story. In February, President Barack Obama proposed an FY 2012 budget of $8.9 billion for the EPA. In April, House Republicans passed a budget (the Ryan Plan) that would trim EPA funding to 2008 levels, or approximately $7.5 billion . If baby food wasn't contaminated with dangerous amounts of arsenic in 2008, scaling back EPA funding to those levels in 2012 could hardly be construed as fatal to infants. Yet the media are allowing American Family Voices (AFV) to get away with such hyperbole and MSNBC is pocketing the ad revenue without scrutinizing the spot on any of its news programs. AFV has a history of advancing liberal causes on a wide range of consumer issues. Shortly after Mike Lux, president of Progressive Strategies, a liberal political consulting firm, founded AFV in 2000, the group started assaulting President George W Bush with allegations of corporate corruption. “I was outraged at the idea that Bush was going to do a big speech and pound his chest and say he is in favor of corporate responsibility when he is closer to the corporate world than any president since Ronald Reagan,” accused Lux, a former aide to President Clinton. AFV ran TV ads in 2002 claiming, “Bush played a key role at Harken Energy – they used Enron-style accounting to hide losses.” Since then, according to AFV's website , the group has focused on railroading the nomination of Supreme Court Justice Samuel Alito, accusing then-Rep. Roy Blunt (R-Mo.) of collaborating with Tom DeLay in a money-laundering scheme, and supporting the Dodd-Frank financial reform bill. Just like AFV has a history of attacking conservative politicians and promoting liberal policies, the media have a history of ignoring controversial liberal political ads. Back in May, ABC, MSNBC, and CNN, among others, avoided covering – for as long as they could – the Agenda Project's offensive Medicare video showing a Republican politician steering grandma and her wheelchair off a cliff. –Alex Fitzsimmons is a News Analysis intern at the Media Research Center. Click here to follow him on Twitter.
Continue reading …Nearly one million Pakistanis are still homeless, but charities hampered by fallout from Osama bin Laden killing Last summer aid workers in Pakistan battled with epic floods that affected 20 million people, destroyed crops and inundated one-fifth of the country. A year later they find themselves in a very different imbroglio: the escalating spy war between the US and Pakistan. With millions of flood victims still in urgent need of aid, western charities say their efforts are being hit by the fallout from Osama bin Laden’s death as the government hunts for CIA spies. Stringent visa regulations and restrictions on movement by the military are causing long delays, increasing costs and affecting the delivery of aid to areas hit by floods and the conflict with the Taliban. Last month a young American aid worker with Catholic Relief Services was brought to court for visa irregularities, imprisoned for nine days, then deported. British agencies say their staff have fallen under the microscope of Pakistan’s spy service, the ISI, with officials visiting field offices and introducing restrictions on travel. “We’ve seen gradual restrictions on movement and longer processing time for visas,” said a spokesman for the Pakistan Humanitarian Forum, which represents 40 aid groups. The crackdown started after CIA agent Raymond Davis shot and killed two Pakistanis in Lahore last January, and intensified after the killing of Bin Laden in Abbottabad on 2 May. Aid workers in Sukkur, a southern city at the heart of flood relief efforts, started to complain of regular visits from intelligence officers and police. In Jacobabad, location of a sensitive airbase, agencies were told that visiting certain areas now required a “no objection certificate” – an official letter of permission. “The authorities have started paying more attention to who is in the country and what they are doing,” said Michael O’Brien of the Red Cross. Pakistani embassies abroad have also started to restrict access. “It’s making things extremely difficult,” said Paul Healy of Trocaire, an Irish aid agency. “Before, we could get a visa for a technical expert in one week; now it takes 10.” The greatest impact is in north-western Khyber Pakhtunkhwa province, the source of last year’s floods, and where 850,000 civilians have been made homeless by fighting between the army and the Taliban. Aid workers now require permission to visit previously open areas, such as Kohistan and Shangla near the Swat valley. Applications are vetted by the army’s 11th Corps, which runs local military operations; the UN says 43 no-objection certificates are outstanding there. One European aid manager said he had been unable to send staff to his rural project for more than a month because of the restrictions. “We’re being bundled in with diplomats and other foreign-service nationals. They need to be educated about who we are – and that is not CIA agents,” he said. “Quite a lot of the population are affected by both floods and conflict,” said a British aid worker. “The irony is that they’re getting half the help, even though the needs may be twice as great.” The aid worker, like several others, spoke on condition of anonymity, fearing discrimination from the authorities. The National Disaster Management Authority, which oversees disaster relief, said it was issuing travel permits on a priority basis. “We are committed to facilitate aid workers in their pursuit of assisting affected communities,” said spokesman Brigadier Sajid Naeem. Tensions were exacerbated by news that the CIA ran a fake vaccination programme in Abbottabad to identify the occupants of Bin Laden’s house. “It’s adding fuel to the fire in terms of mistrust,” said a senior UN official. “Now the Pakistanis can say ‘We were right all along – these NGOs are only doing spy work.’ ” Médecins Sans Frontières said the CIA operation was “a dangerous abuse of medical care” that would compromise humanitarian work. The bureaucracy and spy intrigues coincide with a serious crisis. Some 800,000 families still lack permanent shelter and more than 1 million people require food aid, according to Oxfam. In places the price of bricks has quadrupled, making it impossible for survivors to rebuild their homes. A UN appeal to help families get back on their feet has a $600m (£366m) shortfall. Then there is the psychological toll. “People are still afraid of the sound of running water,” said Suzanna Akasha, a psycho-social expert from the Danish Red Cross. “They have trouble falling asleep, staying asleep.” The monsoons started last week in northern Punjab and, although rainfall is normal so far, last year’s devastation left vast numbers vulnerable to hunger and illness. The US says 2 million people will be affected this year, though contingency plans are based on 7 million being affected should the weather deteriorate. Tensions between US and Pakistani spies continue to bubble. Last week an American convoy entering Peshawar was sent back to Islamabad because, officials said, it lacked the correct paperwork. Peshawar has been largely open to foreigners but the ISI is keen to rein in the activities of a CIA station presumed to operate from the American consulate there. In Washington, the FBI recently arrested the director of a lobby group focused on Kashmir that they allege is a ISI front; if convicted, he faces up to five years in prison. As the ISI scours Pakistan for undeclared CIA agents, aid workers worry about getting caught in the dragnet. Some accuse the United Nations of not doing enough to push their case with the government. “They’re asleep, as in Rip Van Winkle,” said one. A UN official said that some aid workers were “over-reacting”. “Certainly the situation has resulted in mistrust,” she said. “But they come into the country for a short period, they don’t know the system, and they overreact.” Pakistan Osama bin Laden US foreign policy Flooding Natural disasters and extreme weather Declan Walsh guardian.co.uk
Continue reading …Controversy surrounds new testing system which union says is discriminatory towards disabled people David Cameron on Tuesday hailed official figures showing more than two thirds of those seeking to claim employment support allowance, the chief out-of-work benefit for the disabled, are found to be fit for work, or drop their claim before taking the government’s fitness-for-work test. Cameron stopped short of calling the claimants work-shy, but said those capable of work, should work. The figures released by the Department for Work and Pensions are the latest set of statistics released by ministers on the impact of the new work-capability assessment (WCA), designed to find out whether those tested are fit for work, capable of some work with help, or entirely unfit for work. The figures are, however, generating controversy as some claim the company overseeing the tests, ATOS, is driving people into work. on Tuesday Brendan Barber, the TUC general secretary, attacked the policy saying the government was making the tests harder to save money “by excluding more people”. The latest data shows only one in 14 people assessed for the new incapacity benefit (7%) are deemed too ill to do any work, and so are entitled to claim the full benefit in the long term. A total of 39% of claimants are deemed entirely fit to work, while a further 17% can do some work with help and support. More than a third drop their application before the test, sometimes because they have found work. The figures cover potential new claimants between October 2008 and November 2010 and the results are broadly in line with an earlier set of numbers published by the DWP in April. The numbers are, however, totally out of line with government predictions, which had predicted 65% would be deemed capable of some work and only 15% fit for work. Ministers admit they are concerned by the numbers dropping out before taking a test. The figures cover new claimants, and not the stock of existing claimants that have mainly been switched from Incapacity Benefit to ESA. In total there are 2.5 million IB or ESA claimants, and ministers have only just started requiring 1.5 million long-standing IB claimants to take the work-capability test. Trials began in Burnley and Aberdeen of existing claimants from October 2010 prior to turning the scheme nationwide in April. Initial figures from the pilots suggested 29.6% were fit for work and 39% were capable of some work with help. In a visit designed to coincide with the figures, and the growth statistics, Cameron said: “For too long in this country we have left people on welfare for year after year when those people, with help and with assistance, could work, and so we’re producing a much better system where we really put people through their paces and say that if you can work, you should work. “We’ll be there to help you with the training and the skills, but what we are finding, and the figures show today, is that only one in four of the people who apply for the new benefit are actually found to be unable to work. “The rest are able to work and we’re going to help them to get jobs. That will be good for them, good for their families and good for our economy.” The figures are published quarterly and have been published only for a year. Ministers have already accepted that the WCA has been flawed. The work and pensions minister, Steve Webb, said: “These figures show that many people are able to work with the right help. We have strengthened the support now available, tailoring it to individual needs so they can overcome whatever barriers they face.” Compared to the general population, people claiming ESA are disproportionately male. Almost two-thirds (65%) of those claiming are men; older (with an average age of 43); more likely to live in social housing – 35% are owner-occupiers, compared with 68% for the UK as a whole; and more likely to be single or a lone parent. The TUC’s Barber attacked the figures saying: “The new incapacity benefit assessment is a much tougher test than previously and is designed to save the government money by excluding more
Continue reading …Controversy surrounds new testing system which union says is discriminatory towards disabled people David Cameron on Tuesday hailed official figures showing more than two thirds of those seeking to claim employment support allowance, the chief out-of-work benefit for the disabled, are found to be fit for work, or drop their claim before taking the government’s fitness-for-work test. Cameron stopped short of calling the claimants work-shy, but said those capable of work, should work. The figures released by the Department for Work and Pensions are the latest set of statistics released by ministers on the impact of the new work-capability assessment (WCA), designed to find out whether those tested are fit for work, capable of some work with help, or entirely unfit for work. The figures are, however, generating controversy as some claim the company overseeing the tests, ATOS, is driving people into work. on Tuesday Brendan Barber, the TUC general secretary, attacked the policy saying the government was making the tests harder to save money “by excluding more people”. The latest data shows only one in 14 people assessed for the new incapacity benefit (7%) are deemed too ill to do any work, and so are entitled to claim the full benefit in the long term. A total of 39% of claimants are deemed entirely fit to work, while a further 17% can do some work with help and support. More than a third drop their application before the test, sometimes because they have found work. The figures cover potential new claimants between October 2008 and November 2010 and the results are broadly in line with an earlier set of numbers published by the DWP in April. The numbers are, however, totally out of line with government predictions, which had predicted 65% would be deemed capable of some work and only 15% fit for work. Ministers admit they are concerned by the numbers dropping out before taking a test. The figures cover new claimants, and not the stock of existing claimants that have mainly been switched from Incapacity Benefit to ESA. In total there are 2.5 million IB or ESA claimants, and ministers have only just started requiring 1.5 million long-standing IB claimants to take the work-capability test. Trials began in Burnley and Aberdeen of existing claimants from October 2010 prior to turning the scheme nationwide in April. Initial figures from the pilots suggested 29.6% were fit for work and 39% were capable of some work with help. In a visit designed to coincide with the figures, and the growth statistics, Cameron said: “For too long in this country we have left people on welfare for year after year when those people, with help and with assistance, could work, and so we’re producing a much better system where we really put people through their paces and say that if you can work, you should work. “We’ll be there to help you with the training and the skills, but what we are finding, and the figures show today, is that only one in four of the people who apply for the new benefit are actually found to be unable to work. “The rest are able to work and we’re going to help them to get jobs. That will be good for them, good for their families and good for our economy.” The figures are published quarterly and have been published only for a year. Ministers have already accepted that the WCA has been flawed. The work and pensions minister, Steve Webb, said: “These figures show that many people are able to work with the right help. We have strengthened the support now available, tailoring it to individual needs so they can overcome whatever barriers they face.” Compared to the general population, people claiming ESA are disproportionately male. Almost two-thirds (65%) of those claiming are men; older (with an average age of 43); more likely to live in social housing – 35% are owner-occupiers, compared with 68% for the UK as a whole; and more likely to be single or a lone parent. The TUC’s Barber attacked the figures saying: “The new incapacity benefit assessment is a much tougher test than previously and is designed to save the government money by excluding more
Continue reading …Click here to view this media Republican presidential candidate Michele Bachmann slipped up Monday and nearly referred to herself as “President O’Bachmann” during an attack on President Barack Obama over his use of teleprompters. “I know you’re not used to seeing a president without teleprompters, but I’m just here to tell you President O’Bach — President Bachmann will not have teleprompters in the White House.” CBS’ David Letterman has been calling her Michele O’Bachmann for about a month.
Continue reading …Click here to view this media Republican presidential candidate Michele Bachmann slipped up Monday and nearly referred to herself as “President O’Bachmann” during an attack on President Barack Obama over his use of teleprompters. “I know you’re not used to seeing a president without teleprompters, but I’m just here to tell you President O’Bach — President Bachmann will not have teleprompters in the White House.” CBS’ David Letterman has been calling her Michele O’Bachmann for about a month.
Continue reading …List of potential activities to fill empty coffers sound more like protection rackets and organised crime scams than jihad Al-Qaida in Iraq has made an online appeal for new fundraising ideas, saying it is in dire need of money to help thousands of widows and children of dead fighters. Insurgents of the Islamic State of Iraq – an umbrella organisation for Sunni militants in the country – have funded their operations in the past by robbing jewellery stores, banks and offices where the government pays out monthly salaries. But the group has seen its main source of money – funding from abroad – dry up, leaving the group strapped for cash. In an Arabic statement posted on AQI’s online forum, website administrator Seif Saad lamented the state of the group’s finances and launched an urgent appeal for money to “feed the widows and the orphans” of mujahideen. “A few days ago a brother was martyred, leaving behind a wife and children. There is no need to explain how we were running here and there to collect money for their minimum requirements of life,” wrote Saad. Among the new ideas to raise funds, Saad suggested insurgents find a way to extort money from foreign oil, construction, transport and mobile phone companies, as well as international media agencies. If the companies refused to pay, insurgents would disrupt their operations. He did not elaborate. He also said businessmen and wealthy families should be forced to pay annual zakat , or charity, which is one of the Five Pillars of Islam and stipulates should be roughly 2% of assets. Saad also called for fines to be imposed on wealthy Shia Muslims in Iraq “who receive aid from America and the west and steal the country’s oil revenues”. Mohamed Abdel-Hadi, who identified himself online as another administrator for the website, dismissed the idea of taking money from foreign companies, but said he strongly supports fining Shias. “All the Shias, including merchants or government officials, are infidels and confiscating their money is part of jihad,” he wrote. Another contributor advised recruiting specialised hackers to transfer money from US banks. al-Qaida Global terrorism Iraq Middle East guardian.co.uk
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