Hillary’s Server, Guccifer, and Sid

April 10th, 2016

Welcome to the second half of An All Sidney Blumenthal Weekend! (I’m sure that hook is just the thing to pull all the kids in for boffo sweeps ratings…)

First some useful background on the state of play on Hillary’s email server scandal, via Kimberly Strassel at The Wall Street Journal (usual WSJ Google hoops apply):

Hillary Clinton is good at imagining partisan plots, and to listen to her team, no less than several inspectors general, the intelligence community, and the entire Republican ecosphere are colluding to turn her home-brew email system into a fake scandal. To this conspiracy, she must now add the federal judiciary.

In recent weeks, not one, but two, esteemed federal judges have granted an outside group—Judicial Watch—the right to conduct discovery into the origins and handling of her private email system. It’s a reminder that Mrs. Clinton’s biggest problem this election isn’t Bernie Sanders or Donald Trump. Her problem is a 1966 statute known as the Freedom of Information Act, and the judges who enforce it.

The judges have taken unprecedented steps to resolve this case. It is exceedingly rare—almost unheard of—for a judge to allow discovery in a FOIA proceeding. This is a testament to how grave Mrs. Clinton’s email problem is. In the usual course of things, an outside group demands documents, a judge requires a federal department to hand them over, and the public learns something.

In this case—as we all know—the problem is that the State Department doesn’t have the documents. Or rather, it can’t confirm that it has them all, because State left it to Mrs. Clinton and her aides to possess them, and then to unilaterally decide what to hand over. To Judge Royce Lamberth, this is cut and dry “evidence of government wrong-doing and bad faith,” and the law demands a full accounting of how this situation came to be, what records exist, and where they are now.

Speaking of the judge’s words, they too are a testament to Mrs. Clinton’s mess. Judge Lamberth was unplugged in his order, calling the former secretary of state’s email set up “extraordinary,” and slamming “constantly shifting admissions by the government and former government officials” about the setup. Judge Emmet Sullivan, the first to allow discovery, referred in his own hearing to Mrs. Clinton’s “totally atypical system” and noted that it “boggles the mind that the State Department allowed this circumstance to arise in the first place. It’s just very, very, very troubling.”

“Troubling” is putting it mildly…

Fueling the judges’ suspicions has been new evidence that Mrs. Clinton didn’t turn everything over. Judicial Watch recently obtained emails showing that State Department and National Security Agency personnel had big concerns with Mrs. Clinton’s early demands that she be allowed to use a BlackBerry for secure correspondence. They wanted her to sit at a computer in a secure facility—as everyone else does. These documents include a February 2009 email from then-Clinton chief of staff Cheryl Mills to her boss, crowing that State was coming around to Mrs. Clinton’s demands, and a return email the same day from Mrs. Clinton saying, “That’s good news.”

These are clearly work-related emails. They speak to the question of Mrs. Clinton’s communications while at the State Department. They aren’t about yoga routines. And yet, guess what? That email chain was not included in the 55,000 pages of documents Mrs. Clinton turned over. Perhaps it was an oversight, but far more likely, the Clinton team—knowing the firestorm over a home-brew system—chose to withhold documents showing that State and NSA considered Mrs. Clinton’s email demands unsafe and unreasonable. What else did Mrs. Clinton choose to withhold from the public?

What else indeed?

Judicial Watch is hoping to use discovery to interview eight current and former State Department officials, including Ms. Mills, Clinton aide Huma Abedin, top State Department official Patrick Kennedy, and former State IT employees Bryan Pagliano (who is reported to have recently been granted immunity by the FBI). And yet in a hearing this week in Judge Sullivan’s court, State Department officials were already moving to limit or shut down what questions Judicial Watch could ask—including those pertaining to how classified information was handled on the system.

Put another way, State wants to put off-limits the questions that are at the heart of the Clinton email scandal. And no surprise. The Judicial Watch discovery holds the potential to expose the many and varied ways Mrs. Clinton may have skirted the rules, and in turn to put enormous pressure on the FBI to act. These depositions meanwhile are currently set to happen this summer, right before the Democratic convention.

The beauty of FOIA is that it is designed to bring things to light. Mrs. Clinton has grown talented at outfoxing investigators, Congress, inspectors general, the press. But she made the error this time of playing games with a law that federal judges take seriously, and that gives outside watchdogs real leverage.

So what role did Clinton toady Sidney Blumenthal play in this “unsafe and unreasonable” secret email server? He’s the one that helped get it exposed via a Romanian hacker:

One of the notches on Guccifer’s cyber-crime belt was allegedly accessing the email account of Clinton confidant Sidney Blumenthal, one of Clinton’s most prolific advice-givers when she was secretary of state. It was through that hack that Clinton’s use of a personal account — clintonemail.com — first came to light.

Former law enforcement and cyber security experts said the hacker, whose real name is Marcel Lehel Lazar, could – now that he’s in the U.S. – help the FBI make the case that Clinton’s email server was compromised by a third party, one that did not have the formal backing and resources of a foreign intelligence service such as that of Russia, China or Iran.

And isn’t it interesting that hacker “Guccifer” has been extradited to the U.S. “at a critical point in the FBI’s criminal investigation of Hillary Clinton’s email use”?

Also this: “Guccifer has no programming skills and guessed passwords of prominent public figures after reading their biographies.”

So Guccifer isn’t some computer criminal mastermind, he’s a lowly “script kiddie” doing password guess attacks. If he did obtained access to Hillary’s email server, then it’s a dead certainty that Russia, China and other intelligence services hacked it as well.

(Hat tip: Ace of Spades HQ.)

The Panama Papers’ Clinton-Putin Connection Part 2

April 9th, 2016

It turns out that there’s another Clinton-Putin collection revealed by the Panama Papers in the form of ubiquitous Clinton toady Sydney Blumenthal:

Bidzina Ivanishvili, a Georgian billionaire and former prime minister of the Caucasus state, is also named in the Panama Papers, which is believed to be the largest leaks of financial documents in history. A close ally of Russian President Vladimir Putin, Ivanishvili appeared in the Hillary Clinton email dump through her longtime friend Sidney Blumenthal.

Blumenthal, who played a middle-man role for Clinton, passed along a memo from Ivanishvili ahead of the 2012 Georgian elections. Ivanishvili was head of the Georgian Dream party, which successfully ousted then-Georgian President Mikheil Saakashvili, a U.S. ally.

Snip.

According to Blumenthal’s email, [former Clinton ambassador to Germany John] Kornblum was “working with the political party in Georgia opposing Saakashvili.”

Kornblum made the case that the U.S. should consider distancing itself from Saakashvili. He also asserted that the regime was cracking down on opposition parties, such as the Ivanishvili-controlled Georgian Dream coalition.

“There is a real chance Saakashvili could lose,” Kornblum wrote. “He is doing everything possible to avoid that indignity, including harassing Georgian Dream in ways described in the letters.”

“If Saakshvili clearly steals the election, there could be public discontent, violence and maybe a ‘wag the dog’ scenario with Russia,” he added.

In a memo passed to Blumenthal through Kornblum, Ivanishvili urged Clinton to support Georgian Dream.

“The first step back to the path of democracy must be an open and fair election that offers the hope of a peaceful transfer of power,” Ivanishvili wrote. “Recent polls suggest that Georgian Dream can make this happen, if the authorities give democracy a chance.”

Yes, because “peaceful democracy” and “Putin stooges” go together so well. And who wouldn’t want to ally with an America whose Secretary of State is willing to intervene in local elections on behalf of their political enemies?

Of course, betraying allies and comforting enemies has pretty much been the modus operandi of Obama/Clinton/Kerry foreign policy.

It is unclear if Blumenthal was paid for connecting Kornblum and Ivanishvili to Clinton. It is also unclear whether Ivanishvili directed Kornblum or Blumenthal to reach out to Clinton. Additionally, it is unclear how Clinton responded to the memos.

But as Gawker reported, attorneys with expertise in the Foreign Agents Registration Act, which governs foreign lobbying, say that Blumenthal and Kornblum should have registered as lobbyists.

Blumenthal frequently emailed Clinton with items ranging from political gossip to in-depth intelligence briefings gleaned from his deep reservoir of intelligence community sources. He lobbied heavily on behalf of a company called Osprey Global Solutions, which sought contracts in post-Gaddafi Libya.

And this is not the last time that Blumenthal will be mentioned here this weekend…

The Panama Papers:
The Clinton-Putin Connection

April 8th, 2016

Among my first thoughts when the Panama papers scandal broke was “How soon until until this is tied to the Clintons?”

The answer seems to be about four days:

The revelations of the so-called Panama Papers that are roiling the world’s political and financial elites this week include important facts about Team Clinton. This unprecedented trove of documents purloined from a shady Panama law firm that arranged tax havens, and perhaps money laundering, for the globe’s super-rich includes juicy insights into how Russia’s elite hides its ill-gotten wealth.

Almost lost among the many revelations is the fact that Russia’s biggest bank uses The Podesta Group as its lobbyist in Washington, D.C. Though hardly a household name, this firm is well known inside the Beltway, not least because its CEO is Tony Podesta, one of the best-connected Democratic machers in the country. He founded the firm in 1998 with his brother John, formerly chief of staff to President Bill Clinton, then counselor to President Barack Obama, Mr. Podesta is the very definition of a Democratic insider. Outsiders engage the Podestas and their well-connected lobbying firm to improve their image and get access to Democratic bigwigs.

Which is exactly what Sberbank, Russia’s biggest financial institution, did this spring. As reported at the end of March, the Podesta Group registered with the U.S. Government as a lobbyist for Sberbank, as required by law, naming three Podesta Group staffers: Tony Podesta plus Stephen Rademaker and David Adams, the last two former assistant secretaries of state. It should be noted that Tony Podesta is a big-money bundler for the Hillary Clinton presidential campaign while his brother John is the chairman of that campaign, the chief architect of her plans to take the White House this November.

Sberbank (Savings Bank in Russian) engaged the Podesta Group to help its public image—leading Moscow financial institutions not exactly being known for their propriety and wholesomeness—and specifically to help lift some of the pain of sanctions placed on Russia in the aftermath of the Kremlin’s aggression against Ukraine, which has caused real pain to the country’s hard-hit financial sector.

It’s hardly surprising that Sberbank sought the help of Democratic insiders like the Podesta Group to aid them in this difficult hour, since they clearly understand how American politics work. The question is why the Podesta Group took Sberbank’s money. That financial institution isn’t exactly hiding in the shadows—it’s the biggest bank in Russia, and its reputation leaves a lot to be desired. Nobody acquainted with Russian finance was surprised that Sberbank wound up in the Panama Papers.

though Sberbank has its origins in the nineteenth century, it was functionally reborn after the Soviet collapse, and it the 1990s it grew to be the dominant bank in the country, today controlling nearly 30 percent of Russia’s aggregate banking assets and employing a quarter-million people. The majority stockholder in Sberbank is Russia’s Central Bank. In other words, Sberbank is functionally an arm of the Kremlin, although it’s ostensibly a private institution.

Snip.

John and Tony Podesta aren’t fooling anyone with this ruse. They are lobbyists for Vladimir Putin’s personal bank of choice, an arm of his Kremlin and its intelligence services. Since the brothers Podesta are presumably destined for very high-level White House jobs next January if the Democrats triumph in November at the polls, their relationship with Sberbank is something they—and Hillary Clinton—need to explain to the public.

So in summary: Hillary Clinton’s campaign manager is a registered lobbyist for Vladimir Putin.

The Clintons generate corruption and conflict of interest the way bees make honey…

Obama Granting Social Security for Illegal Aliens?

April 7th, 2016

Obama’s unlawful “Deferred Action for Parents of Americans” (DAPA) backdoor amnesty program wouldn’t just shield illegal aliens from deportation. According to this brief filed by Texas Attorney General Ken Paxton, it would circumvent both statutory law and congressional will to bestow a number of government transfer program benefits to to those illegal aliens.

DAPA is unlawful because the Executive exceeded its statutory authority.

The power to establish when aliens are lawfully present is “entrusted exclusively to Congress,” which enacted “extensive and complex” statutes governing lawful presence. Arizona, 132 S. Ct. at 2499, 2507. Congress has never given the Executive carte blanche to grant lawful presence to any alien it chooses not to remove. Congress would have needed to delegate such power “expressly,” because this is “a question of deep ‘economic and political significance’ that is central to [the INA’s] statutory scheme.” King v. Burwell, 135 S. Ct. 2480, 2489 (2015). After all, DAPA removes eligibility bars for numerous significant benefits—such as Medicare, Social Security, and the Earned Income Tax Credit. Yet Congress in 1996 amended immigration statutes expressly to deny benefits to unlawfully present aliens whom the Executive chooses not to remove. DAPA flouts that congressional directive.

For Democrats, they get to create another 4 million voters and make them eligable for government transfer programs, all in one fell swoop, and get the American taxpayers to pay for it…

(Hat tip: Director Blue.)

Post-Wisconsin Presidential Race Update

April 6th, 2016

A few quick hits after Cruz’s victory in Wisconsin, where he ended up with 48.2% of the vote, and will end up with 36 delegates:

  • Cruz takes the lead nationally in Reuters polling. (Hat tip: Director Blue.)
  • Four things to watch for denying Donald Trump the nomination. Including how close Ted Cruz can get in the delegate count.
  • How Cruz won.
  • Is Wisconsin a turning point for Cruz?
  • Trump throws a temper tantrum in press release form after losing.
  • More from Trump’s super classy supporters. And here’s a summary in classic movie form:

  • Can Trump get to 1237 delegates? Fiddle with the controls to enter your estimates. (Hat tip: Ann Althouse.)
  • Ted Cruz Wins Wisconsin

    April 5th, 2016

    Ted Cruz wins Wisconsin with (as of this writing) about 55% of the vote.

    Also, nationwide polls are now showing Cruz in a statistical dead heat with Donald Trump nationally.

    Meanwhile, Bernie Sanders is winning on the Democratic side with about 54% of the vote.

    Here’s a liveblog with more election tidbits. (Hat tip: Ed Driscoll at Instapundit.)

    Presidential Race Update for April 5, 2016

    April 5th, 2016

    Today is Wisconsin’s turn in the primaries. Ted Cruz leads there in most recent polls, and there are signs the Donald Trump campaign is continuing to implode.

    So here are some Presidential race links:

  • “Ted Cruz’s preferred candidates won the vast majority of convention delegates available in North Dakota over the weekend, taking 18 of 25 slots in the state in another show of organizational strength over Donald Trump.”
  • Many of Trump’s own delegates are ready to flee at the first opportunity. (Hat tip: Weasel Zippers via Director Blue.)
  • And Cruz is lining up Arizona delegates willing to defect to him on a second ballot. (Hat tip: Director Blue.)
  • Five factors working against Trump securing a majority of Republican delegates. (Hat tip: Director Blue.)
  • How demographics doom Trump.
  • Trump is an effect, not a cause.

    A majority of Trump supporters agree with the following statement: “people like me don’t have any say in what the government does.”

    Distance is decisive. The transcendent aim of the revolt of the public, everywhere around the globe, has been to smash the elites and the institutions down from the protected heights, by whatever means necessary, regardless of the consequences. So far, the US presidential elections of 2016 appear to be no exception.

    (Hat tip: Roger Kimball via Ed Driscoll at Instapundit.)

  • Has Trump brought in 14 million new voters?
  • Trump can’t destroy the Republican Party.
  • Trump: “A large blob of sheer grossness. (Hat tip: Director Blue.)
  • The Chalkening.
  • “You don’t have an army. You’ve got 500 marxists in mom’s basement.”

    April 5th, 2016

    TL:DR Summary: Social Justice Warriors tried to pull their usual social justice warrior thing, in this case trying to get a presenter for a programming conference called LambdaConf kicked off because he said politically incorrect things on his blog. LambdaConf told them, far too politely, to get stuffed. So next the SJW managed to pressure some sponsors into pulling out. In response, conference organizers put up an Indigopop appeal to make up the funding shortfall and support free speech.

    Result: They reached their funding goal in one day.

    Rather than deploy my own snark, I’m going to lazily embedded ClarkHat’s far more deliciously pointed Tweets on the same subject:

    But I have to thank the SJW things for one thing: Without them, it might have been a while before I delved into Urbit, the project of the guy they want to ban. It’s completely off the hook, utterly bonkers and probably entirely feasible. It’s halfway between early open source goals and something out of a Greg Egan novel. Here’s an early look at same from ClarkHat,

    (Hat tip: Borepatch.)

    Milo Explains It All For You

    April 4th, 2016

    And by “all” I mean two different things. First, here’s Milo Yiannopoulos why it’s so important to beat the Social Justice Warriors now at the peak of their powers:

    Second, here’s Yiannopoulos and Allum Bokhari’s very interesting piece “An Establishment Conservative’s Guide To The Alt-Right.” Interesting, in that the authors attempt to lay out the various strands of the so-called “Alt-Right,” but not necessarily persuasive.

    It is very informative as to identifying various alt-Right clades from Twitter trends, comments trolls, and other online venues. However, nothing in the piece really explains how Donald Trump is capturing some 37% of Republican primary voters down in the wilds of meatspace. In that context, I am especially unconvinced that those the authors finger as “natural conservatives” think about cultural issues in the way the piece suggest they do. “Their perfect society does not necessarily produce a soaring GDP, but it does produce symphonies, basilicas and Old Masters.” While I am sure a fair number of Trump voters are indeed resentful of a national elite media that paints them as the redneck freaks of JesusLand, I would be greatly surprised if they give terribly much thought about symphonies and basilicas compared to economic insecurity, stagnant wages, and illegal aliens taking jobs away from Americans.

    Similarly unpersuasive is the authors’ implied definition of “Establishment Conservatives.” As someone who has occasionally written for National Review and is backing Ted Cruz over Trump, I suppose I theoretically fit the definition. But this taxonomy (and the piece itself) completely ignores the Tea Party and its alternate media organs, lumping together everyone from David Brock to Ron Paul into some sort of amorphous political mass.

    The piece is still worth reading, but with several grains of salt.

    Putin and the Panama Papers

    April 3rd, 2016

    Here’s a potentially huge scandal that’s just unfolding now:

    An unprecedented leak of more than 11 million documents, called the “Panama Papers”, has revealed the hidden financial dealings of some of the world’s wealthiest people, as well as 12 current and former world leaders and 128 more politicians and public officials around the world.

    More than 200,000 companies, foundations and trusts are contained in the leak of information which came from a little-known but powerful law firm based in Panama called Mossack Fonseca, whose files include the offshore holdings of drug dealers, Mafia members, corrupt politicians and tax evaders – and wrongdoing galore.

    The law firm is one of the world’s top creators of shell companies, which can be legally used to hide the ownership of assets. The data includes emails, contracts, bank records, property deeds, passport copies and other sensitive information dating from 1977 to as recently as December 2015.

    It allows a never-before-seen view inside the offshore world — providing a day-to-day, decade-by-decade look at how dark money flows through the global financial system, breeding crime and stripping national treasuries of tax revenues.

    There’s 2.6 terrabytes of data released, including Donald Trump’s favorite Russian dictator:

    The most extraordinary allegations in the archive revolve around Putin’s closest associates, including Sergey Roldugin, a close friend since the late 1970s when Putin was a young KGB agent.

    Roldugin is a cellist for the St Petersburg orchestra, yet his name appears as the owner of offshore companies that have rights to loans worth hundreds of millions of dollars. A Russian news service report in 2010 disclosed that he owned at least three per cent of Bank Rossiya, Russia’s most important bank.

    When Mossack Fonseca helped open a bank account in Switzerland on behalf of Roldugin, the application form asked if he had “any relation to PEPs (politically exposed persons) or VIPs.”

    The one-word answer was, “No.” Yet, Roldugin is godfather to Putin’s daughter Mariya.

    “Roldugin is, by his proximity to a serving head of state, clearly an exposed person,” Mark Pieth, a former head of the Swiss justice ministry’s organized crime division, told the ICIJ team.

    The documents show how in 2008 a company controlled by Roldugin had influence over Russia’s largest truck maker Kamaz, joining with several other offshore companies to help another Putin insider acquire majority control of the company. They wanted foreign investment, and German carmaker Daimler later that year bought a 10 per cent stake in Kamaz for $250 million.

    The offshore company that connects many Putin loyalists is Sandalwood Continental Limited in the British Virgin Islands. Roldugin was a shareholder until 2012, as was Oleg Gordin, a little-known businessman whom incorporation documents describe as linked to “law enforcement agencies.”

    The files also mention a company co-owned by Putin friend Yury Kovalchuk, the largest shareholder of Bank Rossiya. Kovalchuk was among those targeted by US sanctions in 2014 in retribution for Russia’s invasion of Crimea. Another friend, Arkady Rotenberg, Putin’s judo partner and a billionaire construction mogul, openly obtained companies through Mossack Fonseca. The US Treasury Department, when sanctioning him in 2014, suggested that the oligarch acted on behalf of “a senior official.”

    That was widely believed to mean Putin, whose fingerprints were not on any offshore company.

    The fact that Putin is lining the pockets of himself and his cronies is hardly shocking, but having concrete proof of it is a different thing altogether.

    Strangely, the web page for the papers run by the International Consortium of Investigative Journalists‎, doesn’t seem to have any Americans fingered by the papers yet. There’s a good chance that could change.

    Developing…