With all that’s going on, it’s easy to forget that China’s “Thousand Talents” program of systematic industrial espionage continues apace.
While China has attempted to steal trade secrets in semiconductors, aerospace and biotech, their espionage also has far more prosaic targets. Here’s the interrogation of a woman who stole the secret formula for the chemical lining inside a Coke can:
Dr. Xiaorong You, aka Shannon You, was just sentenced to serve 168 months in prison.
According to court documents and evidence presented at trial, You stole valuable trade secrets related to formulations for bisphenol-A-free (BPA-free) coatings for the inside of beverage cans. You was granted access to the trade secrets while working at The Coca-Cola Company in Atlanta, Georgia, and Eastman Chemical Company in Kingsport, Tennessee. The stolen trade secrets belonged to major chemical and coating companies, including Akzo-Nobel, BASF, Dow Chemical, PPG, Toyochem, Sherwin Williams, and Eastman Chemical Company, and cost nearly $120,000,000 to develop.
You stole the trade secrets to set up a new BPA-free coating company in China. You and her Chinese corporate partner, Weihai Jinhong Group received millions of dollars in Chinese government grants to support the new company. Documents and other evidence presented at trial, showed You’s intent to benefit not only Weihai Jinhong Group, but also the governments of China, the Chinese province of Shandong, and the Chinese city of Weihai, as well as her intent to benefit the Chinese Communist Party.
If China can steal something, they will steal something. Design your corporate security appropriately.
As Russia enters the 14th month of its 72 hour campaign to take Kiev, there are signs that its meat-grinder approach to combat is depleting the exact resources it needs to win.
First up: Anders Puck Nielsen on Russia’s likely manpower shortage:
He looks at various how and low counts for determining Russian casualty rates, then builds his arguments around one in the middle.
There is a rule of thumb that is often mentioned, that for every dead soldier there are three wounded. So if we take some round numbers, and remember it’s not actually important if they are a little bit off. It doesn’t change the point that I am getting to if you think real the number is a little lower. But say that on average about 500 Russian soldiers have been killed every day since the mobilization in September, when Russia also really started to have very big attrition numbers. And if we then make a conservative estimate and say that for every dead soldier, there have been two wounded, then we get that the Russian fighting force has been decreased by about 1500 soldiers every day. Then we can divide 300,000 by 1500, and we get that they have soldiers for about 200 days, until the Russian army will have consumed all those mobilized soldiers. This is not exact science. It’s just a rough estimate to illustrate Russia’s manpower problem. Putin announced the mobilization on 21 September, and incidentally 200 days after that is about now. It’s on 9 April 2023.
“Putin probably should have announced the second wave of mobilization months ago, but he didn’t. So that is why military analysts are talking about a Russian manpower shortage.”
“Those 300,000 soldiers that Russia mobilized in the fall are probably not there anymore.”
Second up is a report that both sides are rationing artillery shells in advance of Ukraine’s anticipated counteroffensive.
Artillery units on both sides of the line, despite the continued duels, are reportedly dialing back fire missions to save up ammunition for the long-awaited Ukrainian counteroffensive.
Russian milblogger Alexander Khodakovsky claims that those Russian units not involved in ongoing offensives have had ammunition supplies seriously curtailed. Khodakovsky attributed the rationing to concerns about the potential offensive.
At the same time, a frontline account from the Washington Post highlighted Ukrainian artillery crews similarly conserving shells. While embedded with an artillery platoon in Ukraine’s 56th Motorized Brigade, Isabelle Khurshudyan and Kamila Hrabchuk reported the unit’s 152mm howitzers used to fire more than 20-30 shells a day. That number has dwindled to fewer than three.
The nearby units equipped with NATO 155mm caliber guns are reportedly facing less of a shortage than the Warsaw Pact-era guns. Citing an anonymous Ukrainian military official, the report claimed Ukraine is still firing 7,700 shells a day. Russian shelling reportedly dwarfs even that figure. Ukraine’s incredible artillery consumption remains a concern for NATO as Western production lines struggle to keep supplies moving.
Russia’s grinding style of combat requires a fresh supply of bodies and artillery shells to function, and those are the things (along with money, high tech munitions and global sympathy) that Russia seems to be running short on…
A couple of weeks ago, I posted a piece on how Russia was pulling ancient T-55s out of storage to send to Ukraine. In the interest of balance and fairness (to my readers, not to Russia), here’s a video on how Ukraine fielding their own upgraded T-55s.
“Ukraine has also had to look to the past, the distant past, for compatible tanks. The Ukrainians are fielding, since last autumn, a design of tank dating from over 70 years ago, the venerable T-55.”
“The 28 vehicles that the Ukrainians brought into service last autumn are a radically improved version of this model of tank called the M-55S obtained from Slovenia.”
“Taking standard T-55s into battle in 2023 would not be advisable. The 40-ton tank has a semi-stabilized 100mm d10 gun, a 500 horsepower diesel engine, and steel armor of a maximum thickness of just 200mm, meaning even old RPGs can knock them out. The gun site requires a semi-infrared spotlight that betrays the tank’s position, instant death on the modern battlefield.”
“The type also soldiers on in many armies around the world, particularly in the Third World, where T-55s saw action recently in the 2014-20 Libyan Civil War, the Yemeni Civil War from 2015 to present…and the Tigray War in Ethiopia, which ended last year.”
“Via Israel, [Slovenia] was able to heavily modernize its existing T-55s into something that is still fairly capable in 2023.”
“The old Soviet gun was replaced with the British Royal Ordnance L7 105mm rifled gun…Although the L7 is getting on in years it is still highly effective, and plenty of ammunition abounds for them.”
The tanks also received new fire control systems, incorporating a laser rangefinder and second generation night vision, a digital ballistic computer, new rubber metal tracks, an upgraded diesel engine increasing horsepower from 500 to 800, giving a maximum speed of 50 kph, and of course the tank is covered in reactive armor bricks, changing the entire look of the old tank and drastically increasing its ability to survive on the modern battlefield.
Even without knowing exactly what upgrades Russia is performing on its own T-55s, I feel safe in assuming that Israeli tech > Russian tech.
“No one is sensibly suggesting that the upgraded T-55s could deal with modern tanks deployed by Russia, but they will be lethal against all other non-tank armored vehicles the Russians deploy. And of course they can also fire high explosive rounds, which would be excellent support for Ukrainian infantry.”
As the plucky underdog in the fight, it’s no surprise that Ukraine is fielding older, upgraded tank designs as a stopgap (or supplement) until more modern western tanks can be fielded. The surprise is that Russia, with it’s reputed 12,500 or so tanks when the conflict began, having to resort to pulling out T-55s to send to Ukraine. So much of Russia’s equipment has been so poorly maintained that it’s difficult to tell how much might remain operational. And day by day, poor Russian tactic and Ukrainian precision weapons continue to whittle that number down…
In all the other various weapons being shipped to Ukraine to fight off Russia’s illegal war of territorial aggression, I missed that the U.S. has shipped 18 M109A6 Paladins.
The United States has announced a new military aid package for Ukraine, which includes the provision of 18 M109A6 Paladin 155mm tracked self-propelled howitzers.
The M109A6 Paladin is a modern version of an older unit that has been used in various conflicts worldwide, including Iraq and Afghanistan. Its 155mm gun has a maximum firing range of 14.9 miles (24 kilometers) with standard artillery ammunition and 18.6 miles (30 kilometers) with assisted rounds. This range makes it a valuable asset for the Ukrainian army, allowing them to strike enemy positions from a safe distance.
One notable feature of the M109A6 Paladin is its ability to fire M982 Excalibur extended-range precision guided projectiles. These projectiles have a range of up to 40 kilometers and are capable of hitting targets with a high degree of accuracy. This capability can be particularly useful when targeting enemy artillery positions or other high-value targets.
The M109A6 Paladin is also equipped with a secondary armament consisting of a roof-mounted 12.7 mm heavy machine gun. Some vehicles were fitted with a 40 mm automatic grenade launcher in place of the machine gun. This additional firepower can be used to defend the howitzer against enemy infantry or light armored vehicles.
To support the M109A6 Paladin, the US is also providing the Ukrainian army with the M992 ammunition supply vehicle. This vehicle can carry up to 93 rounds of ammunition and transfer them to the self-propelled howitzer via conveyor. This ensures that the howitzer has a steady supply of ammunition and can continue firing for extended periods without needing to reposition or resupply.
These are not the first M109s sent to Ukraine, as they’ve already received older variants from Italy, Norway, Latvia and the UK. Plus the Polish Krab, the French CAESAR, the UK AS-90, and the German PzH 2000, all of which are self-propelled 155mm howitzers. Plus Sweden has announced they’re sending their Archer system.
Russia doesn’t lack self-propelled artillery of its own, but last I checked they hadn’t fielded any smart artillery shells, and when (or if) they do, I would bet good money they won’t be nearly as capable as Excalibur.
Recently Vladimir Putin and Xi Jinping announced a “strategic partnership.” Here’s Peter Zeihan explaining exactly what “strategic partnership” means.
“Vladimir Putin of Russia entertained president or chairman Xi Jinping of China, and they had one of the big hoity-toity summits where they pledged their unending support for each other. The reality, of course, is nothing of the sort.”
Putin used the magic phrase strategic partnership, which, for the uninitiated, sounds really important and like an alliance. But this is the phraseology that the Russians have been using for centuries, where they [want] a partnership with the country that they don’t trust, and they expect the other country to pay for everything, and they expect to stab that other country in the back at the earliest opportunity.
Unless, you know, the other country is just cold and brutal enough to stab them in the back first.
“That’s the magic phrase that you know that they really, really, really, truly despise each other. And that this is only an alliance of convenience. It has to do with getting out from under some of the sanctions that had to do with Ukraine war. So let’s put that in a box.”
“Within hours of leaving Russia, Xi Jinping of China invited the leaders of Kyrgyzstan and Kazakhstan and Tajikistan and Uzbekistan to a summit with just him, not the Russians.”
“This is the Chinese making a naked power play for control of Russia’s backyard.”
Zeihan reiterates his theory that Russian rational for the war is plugging historical gaps through which they’ve been invaded. “There are other access points that the Russians are really paranoid about…one of them is the Altai Gap that leads straight to China.” AKA the Dzungarian Gate.
When the Russians see the Chinese making this sort of naked power play to get on the other side of that gap and position themselves politically, economically, maybe militarily with countries that are on the wrong side of that line while the Russians are occupied in Ukraine, the Russian mind immediately falls into kind of this revanchist position where they realize that they are now under assault from all possible angles. And this is like the worst case scenario for the Russians, and there’s not a damn thing they can do about it, because they have completely committed their entire conventional forces to their Western periphery in the war with Ukraine.
“Now that the Chinese are actually nibbling on the eastern periphery, we know that this relationship is now in its dying years, because the Russians know the Chinese absolutely cannot be trusted. I can’t say, for the rest of it, that’s really realization.”
It’s no secret that one of the motives behind Xi Jinping’s various actions on Hong Kong, Taiwan, etc., is China reasserting control over “historical lands,” and China lost a lot of land in Outer Mongolia and the Far East/Siberia to Russia in the 19th century that it had previously controlled. (See the treaties of Aigun (1858) and Peking (1860) for details.) And all that land is a lot closer to Beijing than Moscow.
Like Hitler and Stalin, Xi and Putin deserve each other.
For several weeks, I’ve been running out of time to post every link I’ve gathered, so I’ve been bumping some links (generally ones that seemed less time-sensitive or required more commentary than others) to the next week’s LinkSwarm, whereupon I may use one or two, but otherwise the process repeats.
Well, I’m just going to post all those today to clear the decks.
California’s leftwing Democratic Governor Gavin Newsom is using his position as governor subsidize his wife’s own leftwing business empire.
In the summer of 2022, Governor Gavin Newsom convinced the state legislature to provide $4.7 billion for K-12 mental health services, which, among other things, funded 10,000 new school counselors.
Gavin Newsom convinced the legislature because Jennifer Siebel Newsom, the wife of the governor, convinced him. The biggest advocate for mental health funding within the K-12 California public schools in the Newsom administration was Mrs. Newsom, according to published accounts.
In fact, Gavin Newsom created The Office of First Partner so his wife could promote her policy agenda using taxpayer money. Since 2019, Siebel Newsom’s been armed with nearly $5 million and nine staffers within her subdivision of the governor’s office.
Snip.
Siebel Newsom spent years laying the ideological groundwork and political infrastructure to support her policy ambitions.
In 2012, Siebel Newsom founded a nonprofit, The Representation Project, that licenses “gender justice” films and curricula to 5,000 schools in all 50 states. The year Gavin Newsom became governor, the California Board of Education adopted guidance that recommended her films and curriculum be licensed and used in classrooms.
Policy making in California isn’t magic. Turns out, it’s a carefully thought through process to maximize political power and personal return from public investments.
Last week, we investigated the sophisticated scheme through which Siebel Newsom’s film and curricula “gender justice” nonprofit, The Representation Project, leverages taxpayer dollars to promote radical ideologies, personally profit, and push the political ambitions of her husband. She brags that 2.6 million students have seen the films nationwide.
The Representation Project contracts with her for-profit film-production company, Girls Club Entertainment. Since 2012, Siebel Newsom received $1.5 million in salary from the nonprofit. Furthermore, since 2012, the Siebel’s nonprofit paid her for-profit Girls Club $1.6 million to produce films.
Last month, our investigation broke the story that The Representation Project was not in compliance with the California Charitable Solicitation Act. The organization was not permitted to operate or solicit donations in California most of 2022 – yet spent all last year in operation and fundraising.
Now, we dig deeper, investigating the $4.8 million “Office of the First Partner” Gavin Newsom established for his wife’s policy work, and how Jennifer Siebel Newsom used her position to impact social and political processes, cashing checks along the way.
n 2019, Gov. Newsom created an office for his wife as a division within the governor’s executive team. According to a press release “the First Partner and her team will focus on lifting up women and their families, breaking down barriers for our youth, and furthering the cause of gender equity in California.”
Since inception, Siebel Newsom’s office has received nearly $4.8 million in directed taxpayer funding. The Office of First Partner has grown from seven employees with a budget of $791,000, to nine employees with a budget of $1,166,000 proposed for 2023-2024.
Snip.
Parents have complained about the pornographic content in Newsom’s films shown to 11-year-olds (such as an animated, upside-down stripper with tape over breasts) and 15-year-olds (nearly naked women being slapped, handcuffed, and brutalized in images taken from porn sites) — to view images, viewer discretion is advised.
Editorials have criticized the activities in Newsom’s film The Great American Lie as “emotionally abusive.” The activities ask students to publicly reveal personal information and force commentary on their relative “privilege” and “oppression.”
So Jennifer Siebel Newsom is using California taxpayer money to propagandize children for radical social justice and transexism.
An Australian comedian, YouTuber and Journalist, made videos making fun of Australian politicians and covering their oppressive Flu Manchu lockdown policies. That’s when they started trying to use the state machinery to shut him up. Then they firebombed him.
Jordan Shanks is an Australian comedian, also know as freindlyjordies, who fell in to doing YouTube videos about Australian politicians and powerful companies over the past few years. Along the way he became a journalist, the only journalist covering some of the things being done by the government and the corporations. Then in November of 2022 his house was firebombed. It was only by chance that he wasn’t in the house at the time.
And hey, if that sounds too dry, well you kids like Knives Out or whatever. Stick around. It’s a pretty interesting whodunit.
Most of the Australian press is even more in the bag for the powers-that-be than the US national media is for the Democrats. There were numerous stories, all but ignored by the mainstream. One example, the Premiere of New South Wales was under investigation. That was all but ignored by the press until she resigned. Then there were the antics of her Deputy Premiere, John Barilaro.
That is the most entertaining — or damaging to powers that be — story friendlyjordies covered.
As a result of that coverage, the Australian anti-terrorism machinery was directed at Shanks and his employees. Of course that turned out to be a group of Keystone cops, which got their own exposure on freindlyjordies. Along the way he exposed the abuse of the anti-terrorism squad, the relationship between some of the politicians and large corporations and perhaps organized crime. Then in November of the last year, after the lawsuits failed, the anti-terrorism actions failed, and the intimidation failed, someone moved to direct action, and tried to kill him.
On all key technical measures, the Next Generation Squad Weapons program is imploding before Army’s very eyes. The program is on mechanical life support, with its progenitors at the Joint Chiefs obstinately now ramming the program through despite spectacularly failing multiple civilian-sector peer reviews almost immediately upon commercial release.
Indeed the rifle seems cursed from birth. Even the naming has failed. Army recently allowed a third-party company to scare it off the military designation M5. The re-naming will certainly also help scupper bad public relations growing around ‘XM-5′ search results.
Civilian testing problems have, or should have, sunk the program already. The XM-5/7 as it turns out fails a single round into a mud test. Given the platform is a piston-driven rifle it now lacks gas, as the M-16 was originally designed, to blow away debris from the eject port. Possibly aiming to avoid long-term health and safety issues associated with rifle gas, Army has selected an operating system less hardy in battlefield environments. A choice understandable in certain respects, however, in the larger scheme the decision presents potentially war-losing cost/benefit analysis.
Civilian testing, testing Army either never did or is hiding, also only recently demonstrated that the rifle seemingly fails, at point-blank ranges, to meet its base criteria of penetrating Level 4 body armor (unassisted). True, the Army never explicitly set this goal, but it has nonetheless insinuated at every level, from media to Congress, that the rifle will penetrate said armor unassisted. Indeed, that was the entire point of the program. Of course, the rounds can penetrate body armor with Armor Piercing rounds, but so can 7.62x51mm NATO, even 5.56x45mm NATO.
The fundamental problem with the program is there remains not enough tungsten available from China, as Army knows, to make the goal of making every round armor piercing even remotely feasible. The plan also assumes that the world’s by far largest supplier will have zero problems selling tungsten to America only for it to be shot back at its troops during World War III. Even making steel core penetrators would be exceedingly difficult when the time came, adding layers of complexity and time to the most time-contingent of human endeavors. In any case, most large bullet manufacturers and even Army pre-program have moved to tungsten penetrators for a reason, despite the fact it increases the cost by an order of magnitude and supply seems troubled. Perhaps Army has a solution, perhaps.
The slight increase in ballistic coefficiency between the 6.8x51mm and 7.62x51mm cartridges neither justified the money pumped into the program nor does the slight increase in kinetic energy dumped on target. Itself a simple function of case pressurization within the bastardized 7.62mm case. Thus the net mechanical results of the program design-wise is a rifle still chambered in a 7.62×51 mm NATO base case (as the M-14), enjoying now two ways to charge the weapon and a folding stock. This is the limit of the touted generational design ‘leap’ under the program. And while the increased case pressure technology is very welcome the problem is, in terms of ballistics, the round is in no way a leap ahead compared to existing off-the-shelf options as those Army nearly went with under the now disavowed Interim Combat Service Rifle program, or it in fact did purchase schizophrenically just before the NGSW program began with the HK M110A1.
I can’t tell you whether the criticisms are true or not unless Sig Saur sends me a example to shoot. While that would be cool, I suspect it’s pretty unlikely, and I fear many test ranges have picayune policies against using military grade automatic weapons…
For questioning Covid restrictions, Georgetown Law suspended me from campus, forced me to undergo a psychiatric evaluation, required me to waive my right to medical confidentiality, and threatened to report me to state bar associations.
The Dean of Students claimed that I posed a “risk to the public health” of the University, but I quickly learned that my crime had been heretical, not medical.
Just before I entered Georgetown Law in August 2019, I watched The Paper Chase, a 1973 film about a first-year Harvard Law student and his experiences with a demanding professor, Charles Kingsfield.
The movie has the standard themes of law school: teaching students how to think, challenging the premises of an argument, differentiating fact patterns to support precedent. Kingsfield’s demands represent the difficulty of law school, and the most important skill is articulate, logic-based communication. “Nobody inhibits you from expressing yourself,” he scolds one student.
“Nobody inhibits you from expressing yourself.”
Two years later, I realized that Georgetown Law had inverted that script. The school fired a professor for commenting on differences in achievement between racial groups, slandered faculty members for deviating from university group-think, and threatened to destroy dissidents. Students banished cabinet officials from campus and demanded censorship of a tenured professor for her work defending women’s rights in Muslim-majority countries.
Unaware of the paradigm shift, I thought it was proper to ask questions about Georgetown’s Covid policies.
In August 2021, Georgetown Law returned to in-person learning after 17 months of virtual learning. The school announced a series of new policies for the school year: there was a vaccine requirement (later to be supplemented with booster mandates), students were required to wear masks on campus, and drinking water was banned in the classroom.
Dean Bill Treanor announced a new anonymous hotline called “Law Compliance” for community members to report dissidents who dared to quench their thirst or free their vaccinated nostrils.
Meanwhile, faculty members were exempt from the requirement, though the school never explained what factors caused their heightened powers of immunity.
Shortly thereafter, I received a notification from “Law Compliance” that I had been “identified as non-compliant” for “letting the mask fall beneath [my] nose.” I had a meeting with Dean of Students Mitch Bailin to discuss my insubordination, and I tried to voice my concerns about the irrationality of the school’s policies.
He had no answers to my simple questions but assured me that he “understood my frustration.” Then, he encouraged me to “get involved in the conversation,” telling me there was a Student Bar Association meeting set to take place the following Wednesday.
I arrived at the meeting with curiosity. I had no interest in banging my fists and causing a commotion; I just wanted to know the reasoning – the “rational basis” that law schools so often discuss – behind our school’s policies. There were four simple questions:
What was the goal of the school’s Covid policy? (Zero Covid? Flatten the curve?)
What was the limiting principle to that goal? (What were the tradeoffs?)
What metrics would the community need to reach for the school to remove its mask mandate?
How can you explain the contradictions in your policies? For example, how could the virus be so dangerous that we could not take a sip of water but safe enough that we were required to be present? Why are faculty exempt from masking requirements?
I feared there were simple answers to my questions that I had overlooked: these administrators made hundreds of thousands of dollars per year, surely they must have had some reasoning behind their draconian measures. Right? The contradictions appeared obvious to me. The data seemed to be clear, but maybe there was an explanation.
I delivered the brief speech without a mask, standing fifteen feet away from the nearest person. I awaited a response to my questions, but I realized this wasn’t about facts or data, premises or conclusions. This was about power and image.
Arbitrary. Irrational. Capricious. Students learn in their first days of their legal education to invoke these words to challenge unfavored laws and policies. I figured that I was doing the same, and I thought the school would welcome a calm, albeit defiant, student asking the questions rather than loud and angry crowds.
But this assumption turned out to be an incorrect premise. Nobody cared about my points regarding rationality – they cared that I had been reading from the wrong script. Even worse, not wearing a mask had been a more objectionable wardrobe malfunction than Janet Jackson’s Super Bowl performance.
Moscow’s ability to develop its own resource-based economy, expand the Northern Sea Route, cement ties with China and support Vladimir Putin’s ambitions to project power into the Arctic depends on the development of land-based infrastructure in the northern regions of the Russian Federation…
Yet, that ability has now been called into question, as the Russian government has canceled, despite Putin’s repeated orders to the contrary, a program to complete the broad-gauge Northern Broad-Gauge Railway. The route was intended to link settlements that support the Northern Sea Route, military bases and the locations of key sources of raw materials across the Russian North with the rest of the country…
Snip.
What appears to be this project’s death knell, at least for the time being, is instructive in its own right. It occurred not with some dramatic single action by the Kremlin but in a rolling fashion as has often been the case with the backtracking of decisions under Putin. In April 2021, to much acclaim, the Russian president called for construction of the Northern Broad-Gauge Railway to begin, with the goal of completing the project in the next few years. Yet, despite Putin’s words, nothing happened, at least in part because of the COVID-19 pandemic, increased spending for his war against Ukraine and the impact of Western sanctions. Then, in 2022, Putin issued a new order for the project to go ahead. Again, nothing happened. Instead, less than a month later, Marat Khusnullin, a Russian deputy prime minister, quietly stopped all work on the project without giving anyone reason to think it would be resumed. Indeed, many Russian experts and commentators concerned with infrastructure issues believe that this railway plan has come to the end of its line, and one has even suggested that the cancellation of this project puts “a cross on the future of Russia.
Russia was broke before it launched its illegal war of territorial aggression against the Ukraine. Now it’s even more broke.
More on the collapse of Silicon Valley Bank, Syria gets spicy again, woke companies like Disney are having massive layoffs, and Sig Saur gets into the Killbot business. It’s the Friday LinkSwarm!
Courtesy of Bloomberg’s reporting, it appears that not only were insiders dumping their shares faster than syphilitic hooker, there were loading up on loans from the bank at a scale that makes a mockery of any regulatory oversight…
”
Yes, that’s real.
Loans to officers, directors and principal shareholders, and their related interests, more than tripled from the third quarter last year to $219 million in the final three months of 2022 – a record dollar amount of loans going back over 20 years.
Many questions come to mind – what were the terms, who were the recipients, what was the collateral?
But, sadly, we will likely never know.
However, we do note that the banking execs may be facing a serious shortfall (like their bank): if the loans were collateralized by SVB shares for example, those shares are now worthless, leaving the loan-heavy C-suite left to come up with the cash to repay the loans (and no, these loans don’t disappear with the bank’s liquidation).
Between that and the insider share dumping, people need to go to jail.
After the implosion of the FTX crypto exchange run by Sam Bankman Fried, questions of due diligence and competency immediately arose, suggesting that perhaps the company mishandled assets “accidentally” and that Fried was naive and “in over his head.” Numerous central bank officials and globalist organizations jumped into the debate almost immediately, arguing that FTX was a perfect example of why centralized regulation of crypto and digital currencies was necessary. They claimed that without oversight by banking elites, disaster was inevitable.
Of course, what they did not mention was that FTX and Sam Fried already had extensive connections with globalist groups including the World Economic Forum. In fact, the very basis of Fried’s business model was the WEF’s “Stakeholder Capitalism” theory, which he often referred to as “Effective Altruism.”
Stakeholder Capitalism is essentially the opposite of free markets – It is a socialist/globalist framework which uses corporations as a kind of economic enforcement tool. Corporations are already highly socialistic in their operations, and their existence is completely dependent on their special relationship with government. Corporations are created through government charter, enjoy special protections under “corporate personhood” laws and avoid direct consequences for criminal activities through limited liability.
Many corporations are not even allowed to fail because governments backstop their operations. That’s socialism, not free markets. However, “stakeholder capitalism” expands on this dynamic a hundred-fold.
Where free markets assert that businesses must make profit their primary objective for the overall economy to function, the WEF asserts that companies including banking institutions have a social obligation that goes beyond making money. To the typical leftist this probably sounds like a Utopian vision filled with promise, but to anyone that actually understands economics it sounds like a recipe for the collapse of civilization.
The WEF paints stakeholder capitalism an effort to reign in the power of the corporate system in favor of social causes. In reality, it’s a way to give corporations ultimate power over everything, including ultimate influence over public behavior.
We have seen extensive evidence of this through widespread corporate ESG investment programs implemented in the past several years. It is no coincidence that the invasion of woke ideology into the mainstream happened at the exact same time that ESG-based lending accelerated.
The institutions lending to various companies were able to set social rules for access to credit, and these rules required businesses to adopt far-left politics in their marketing and policies as a result. Stakeholder capitalism is about homogenizing all business into a single ideological entity – Instead of competing with each other for market share through innovation, companies have been abandoning merit based competition and are colluding to saturate the mainstream with social justice cultism, climate change propaganda and globalist rhetoric.
By making corporate elites “responsible” for society, we give them the power to engineer society.
However, the WEF’s model of false altruism is turning out to be a disaster for corporate survival. I have to wonder now if this was the intent all along – To create a kind of ESG fueled woke financial bubble that was always intended to come crashing down, leaving the western world in ruins.
Snip.
Looking into SVB’s operational history, the company was a woke nightmare.
Take a gander at their 66 page ESG report compiled in 2021 to get a sense of how far to the extreme political left the bank was. SVB is the pinnacle example of why “Get Woke, Go Broke” is more than a mantra, it’s a rule.
Digging even deeper we then find that SVB’s leadership was highly involved in the WEF and their Stakeholder Capitalism Metrics (SCM), along with corporate governance. SVB was not only implementing every single policy the WEF outlines in its agenda, they were reporting back to the WEF on their progress.
SVB’s capital exposure was heavily tied up in securities, but also venture capital for woke tech startups, climate change related projects and leftist activist groups which qualified for ESG loans; everything from BLM to Buzzfeed. In other words, they were investing aggressively into money-pit projects that devoured cash and gave nothing back. The real question is, how many US banks are involved in ESG and WEF operations at the same level as SVB? Dozens? Hundreds?
“U.S. Carries Out Airstrikes in Syria after Iranian Drone Kills U.S. Contractor, Wounds Five Service Members.” As I’ve mentioned before the withdrawal of most U.S. troops from Iraq and Syria doesn’t mean all. And the same goes for Africa.
“56% of liberal white women age 18-29 have been diagnosed with a mental health condition.” Well, you already said “liberal”…
Louisiana state Rep. Francis Thompson switched from the Democratic to the Republican Party, given Republicans a super-majority in both houses and thus the ability to override any veto by Democratic Governor John Bel Edwards. ““The push the past several years by Democratic leadership on both the national and state level to support certain issues does not align with those values and principles that are a part of my Christian life,” said Thompson.
World Athletics, the governing body for international track and field competition, has banned men from international competition. “I’ll take ‘Headlines no one in the 20th century would understand’ for $600, Alex.”
“Dallas Bar Cancels All-ages Drag Event.” Funny how the threat of having your TABC license yanked concentrates the mind…
Get Woke, Go Broke Part 1: After a string of expensive bombs and streaming losses, Disney to lay off 7,000 employees.
Get Woke, Go Broke 1.5: “Woke Marvel Producer Victoria Alonso Gone From MCU.” She was one of the central figures pushing Disney to adopt a pro-groomer position in Florida. The ostensible reason for her firing was breach of contract for producing a non-Marvel movie, but a lot of industry insiders think her outspoken wokeness was a key reason for her getting the axe.
Get Woke, Go Broke Part 2: “Twitch Streaming Service To Sack 36% Of Employees.”
SIG Sauer announced late last week it has acquired General Robotics, one of the world’s premier manufacturers of lightweight remote weapon stations and tactical robotics for manned and unmanned platforms as well as anti-drone applications. The companies have been working in concert for some time, a fact made obvious at January’s SHOT Show when they debuted a Polaris ATV equipped with a General Robotics PitBull remote weapons station that aimed and fired the vehicle-mounted SIG MG 338 belt-fed machine gun remotely.
“This acquisition will greatly enhance SIG Sauer’s growing portfolio of advanced weapon systems,” said Ron Cohen, president and CEO of SIG Sauer. The team at General Robotics is leading the way in the development of intuitive, lightweight remote weapon stations with their battle-proven solution.”
“How can anyone govern a nation that has two hundred and forty-six different kinds of cheese?” – Charles de Gaulle (attributed)
Ah, France! [Insert lazy paragraph describing France in in terms of classic cliches including food, wine, cheese, sex, cigarettes and surrender.]
Yes, you’ll do nicely, Cliched French Guy Clip Art
In addition to those classic French attributes, another time-honored French tradition is “widespread rioting,” which they’ve been celebrating over the last few weeks. What they’re protesting is French President Emmanuel Macron’s decision to force through an unpopular bill to raise the retirement age from 62 to 64.
French President Emmanuel Macron ordered his prime minister to wield a special constitutional power Thursday that skirts parliament to force through a highly unpopular bill raising the retirement age from 62 to 64 without a vote.
His calculated risk set off a clamor among lawmakers, who began singing the national anthem even before Prime Minister Elisabeth Borne arrived in the lower chamber. She spoke forcefully over their shouts, acknowledging that Macron’s unilateral move will trigger quick motions of no-confidence in his government.
The fury of opposition lawmakers echoed the anger of citizens and workers’ unions. Thousands gathered at the Place de la Concorde facing the National Assembly, lighting a bonfire. As night fell, police charged the demonstrators in waves to clear the elegant Place. Small groups of those chased away moved through nearby streets in the chic neighborhood setting street fires. At least 120 were detained, police said.
Similar scenes repeated themselves in numerous other cities, from Rennes and Nantes in the east to Lyon and the southern port city of Marseille, where shop windows and bank fronts were smashed, according to French media. Radical leftist groups were blamed for at least some of the destruction.
The unions that have organized strikes and marches since January, leaving Paris reeking in piles of garbage, announced new rallies and protest marches in the days ahead. “This retirement reform is brutal, unjust, unjustified for the world of workers,” they declared.
Macron has made the proposed pension changes the key priority of his second term, arguing that reform is needed to keep the pension system from diving into deficit as France, like many richer nations, faces lower birth rates and longer life expectancy.
Macron decided to invoke the special power during a Cabinet meeting at the Elysee presidential palace, just a few minutes before the scheduled vote in France’s lower house of parliament, because he had no guarantee of a majority.
French President Emmanuel Macron chose on Thursday to shun parliament and impose his unpopular pension reforms via a special constitutional power, the so-called “Article 49.3.”
The procedure has been regularly used in the past by different governments. But this time it’s drawing a lot of attention and prompting much criticism because of the massive public opposition to the increase in retirement ages.
Here’s a look at how and why the special power is used.
WHAT’S ARTICLE 49.3?
Article 49, paragraph 3 of the French Constitution provides that the government can pass a bill without a vote at the National Assembly, the lower house of parliament, after a deliberation at a Cabinet meeting.
In response, lawmakers can file a no-confidence motion within 24 hours. If the motion gets approval from more than half the seats, the text is rejected and the government must resign.
If not, the bill is considered adopted and passes into law. Since the Constitution was established in 1958, only one no-confidence motion was successful, in 1962.
Charles de Gaulle (him again) rammed through the Constitution of the Fifth Republic because he wanted a stable central government and, compared to some other European states (I’m looking at you, Italy), it’s largely achieved those goals.
The thing is, Macron is probably right in that the French welfare state needs an older retirement age for the entire system to stay solvent (at least for a while longer). But the way his proposal was passed also emblematic of the deficit of democracy in the EU generally and France specifically. That old saw about democracies only lasting until people figuring out they can vote themselves largess from the public treasury is largely right, and in this, as in so many, many things, Eurocratic elites have decided the peasants simply can’t be allowed to derail the plans of their illustrious betters.
As of this writing, Macron just survived a no confidence vote over the issue. So France may well have bought itself a little more time before inevitable national bankruptcy. But every maneuver like increases French anger over the obvious democracy gap, and, as the Grand Tour lads have noted, the French can be exceptionally bloody minded over expressing their disapproval of laws they hate.
A Russian military plane collided with a U.S. drone in international airspace over the Black Sea on Tuesday, prompting U.S. forces to land the unmanned aircraft in international waters.
U.S. European Command confirmed that a Russian Su-27 aircraft struck the propeller of a U.S. MQ-9 drone, which was on a routine mission in international airspace when two Russian jets attempted to intercept it.
“Several times before the collision, the Su-27s dumped fuel on and flew in front of the MQ-9 in a reckless, environmentally unsound and unprofessional manner. This incident demonstrates a lack of competence in addition to being unsafe and unprofessional,” a spokesman for the U.S. European Command said in a statement.
The Russian jets’ recklessness almost caused one of the fighter jets to crash, the statement added.
Sounds like a pretty stupid thing for the Russians to do, as an Su-27 is obviously a lot more expensive to replace (including the pilot) than an MQ-9 Reaper drone. For one thing, the MQ-9 is over 15 years old and we have more than 300 of them, so losing one isn’t going to deter the American military in the slightest. But they’re not building any more Su-27s (a 1980s Soviet attempt to rip off the F-14 Tomcat), and Russia only had some 100 of them when the war started. (No documented losses on Oryx as of this writing, but Russia became ultra-conservative about committing manned airpower to the arena after the opening phases of the war.)
Russia continues to be annoyed at NATO in general, and America in specific, using technologically superior surveillance and communications assets to effectively provide the entire killchain for Ukrainian forces. Indeed, it appears that those assets are far more effectively integrated into Ukrainian forces than Russian assets are integrated into their own military and/or Wagner Group.
I can understand their frustration, but directly attacking American assets (over international water or otherwise) is only going to make things much, much, much worse for them…
It turns out that having your ruling party alienate the entire world with a genetically engineered plague, rampant human rights abuse and widespread intellectual property theft is not conducive to continued economic success. Who knew?
Hence comes the hashtag #SaveTheBoss, i.e. the company needs to survive to save jobs. I assume there’s more than a little irony to the tag, given how badly conditions suck in so many Chinese factories. .
Takeaways:
“In the first half of 2022, 460,000 companies announced their closure, and 3.1 million self-employed people have canceled their business.”
“It’s hard to be a boss this year. All industries are in decline. In order to maintain the factory, profits have to be squeezed and squeezed. Many have even accepted orders with zero profit outright. The purpose is simply to keep the cash flowing.”
“According to data released by China’s General Administration of Customs, China’s exports fell 9.9 percent year on year in December 2022, widening the decline from 8.7 percent in November and marking the biggest drop since February 2020.” And those are the official numbers. It’s almost certainly worse.
“The once congested roads in this major terminal in Guangdong Province, and also in the Pearl River delta region, are now empty. Trucks are parked all over the parking lot, reflecting how depressed the foreign trade export industry is.”
“The Chinese government is carefully covering up the situation of its major economic regression, so it isn’t easy to tell from the statistics how serious the situation is.” But employers think it’s really bad.
“I heard that four or five factories are closing down here every day.”
Foreign companies are pulling out as well. “500 European companies have already moved to Singapore to set up their headquarters.”
Workers are returning from their Chinese New Year vacations only to find their factories shut down owing them back wages.
“At least 80,000 to 100,000 people are stranded in Suzhou, and there are probably more than 200,000 workers in the whole Yangtze River delta who are looking for work.”
“If someone promises to work in an electronics factory for 30 RMB, that is 4.3 USD an hour, don’t believe it. It’s all a lie.”
“Just after the Chinese New Year, the labor prices are dropping like an avalanche.”
And more foreign companies are pulling out of the country, like Toshiba, Microsoft and Panasonic.
“4.6 million factories are without orders.” I’ve got to think some of those “factories” have to be pretty small.
American capital firms are planning to pivot to Europe for foreign growth.
“The largest wave of unemployment in the history of CCP country is here.”
Many Chinese business owners are mystified by this drop in foreign orders.
Here’s a hint: Your crooked commie rulers acted like the biggest jerks in the world and everybody got tired of it. You reap what you sow…
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