Saturday, July 5, 2014

Renowned Cuban Poet Resigns from Cuba’s Artists & Writers Association

Renowned Cuban Poet Resigns from Cuba's Artists & Writers Association
July 4, 2014
By Cafe Fuerte

HAVANA TIMES — Poet Rafael Alcides Perez, one of the most prestigious of
contemporary Cuban intellectuals, publicly announced he has resigned
from the Association of Cuban Writers and Artists (UNEAC) in protest
against the government restrictions he is being subjected to.

"In view of the fact that my books aren't allowed into Cuba – neither by
customs nor the mail -, which amounts to prohibiting my work as a
writer, I hereby resign from UNEAC," Alcides wrote in a letter sent to
Miguel Barnet, president of the institution, parliamentary deputy and
member of the Central Committee of the Communist Party.

The 81-year-old writer also sent Barnet the commemorative medal given
him on UNEAC's 50th anniversary in 2011, saying his decision was "final."

In recent years, the poet had assumed postures that are openly critical
of the country's situation and had distanced himself from the official
discourse, assuming a commitment to the cause of human rights and civil
liberties. He has worked with the Estado de Sats project, which gathers
activists of the Cuban opposition.

A Renowned Figure

A prominent public figure of Cuba's "50s generation," Rafael Alcides is
considered one of the most widely recognized and important of Cuban and
Latin American poets alive today.

He is the author of numerous books, including the well-known Himnos de
montaña ("Mountain Hymns, 1961), Gitana ("Gypsy Woman", 1962), La pata
de palo ("The Wooden Leg", 1967) and Agradecido como un perro ("As
Grateful as a Dog", 1983), a classic of conversational poetry that
earned him Cuba's Premio de la Critica ("Critics' Award") that year.

He is also the author of Nadie ("No-one", 1993), Noche en el recuerdo
("A Night to Remember", 1989), and Y se mueren, y vuelven, y se mueren
("They Die and Come Back and Die Again", 1989). His works are part of
numerous poetic anthologies published in Cuba and Latin America.

In 1965, he obtained an honorary mention in the Casa de las Americas
writing contest for his novel Contracastro ("Counter-Castro").

Born in 1933 in the town of Barrancas, Bayamo, in what is today the
province of Granma, he completed his senior secondary studies at
Holguin's Secondary Institute and at Havana's Escuelas Pias ("Pious
Schools"). He studied industrial chemistry at Havana's Arts and
Vocational School (1950) and then travelled in Mexico and the United States.

Poetry in Context

Alcides was a highly renowned radio producer, director and writer. He
hosted the radio program En su lugar la poesia ("Poetry in Context"),
where young Cuban artists were exposed to the public.

In 2011, he received Spain's Bodegas Olarra – Café Breton Literary
Award. His most recent book, Un cuento de hadas que termina mal ("A
Fairy Tale Without a Happy Ending"), was published this year in Logroño,
Spain.

Below is the entire text of his letter of resignation from UNEAC.

Havana, June 30, 2014

Miguel Barnet, Poet

President of the Association of Cuban Artists and Writers, Havana

Dear Friend,

In view of the fact that my books are not allowed into Cuba – neither by
customs nor the mail-, which amounts to prohibiting my work as a writer,
I hereby resign from UNEAC.

In this envelope, you will also find the commemorative 50th anniversary
medal given me as a founding member of UNEAC. What remains of that big
old house [the UNEAC headquarters] which I once made my own are my
memories, and these, being personal, depart with me. Among these
memories are those of the good friends I made among the members of the
Association back then, treasures of my youth that are all that remain of
that great, failed dream, people I love though they do not think the way
I do, and who love me also, even if they dare not visit me.

That is all, Miguel. Anticipating different interpretations of my
resignation that could omit the text of this resignation, which is
final, I have taken the liberty of making it public.

Rafael Alcides

Source: Renowned Cuban Poet Resigns from Cuba's Artists & Writers
Association - Havana Times.org - http://www.havanatimes.org/?p=104661

Young Cuban-Americans Favor Diplomatic Relations with Cuba, Older Cuban-Americans Continue to Support Embargo

Young Cuban-Americans Favor Diplomatic Relations with Cuba, Older
Cuban-Americans Continue to Support Embargo
By Nicole Akoukou Thompson (n.thompson@latinpost.com)First Posted: Jul
03, 2014 10:13 AM EDT

Known in Cuba as el bloqueo, the United States placed an embargo against
Cuba on October 19, 1960, nearly two years after the Batista regime was
deposed by the Cuban Revolution. The economic, commercial and financial
embargo placed restrictions on exports to Cuba, with the exception of
food and medicine; on February 7, 1962, the embargo was extended to
include almost all exports.
Fifty years later, polls indicate that half of Cuban-Americans in Miami
would change the United States' standing relations with Cuba, while
still supporting certain elements of the current policy, according to a
survey conducted by Florida International University. Respondents
expressed strong support for increased contact between U.S. citizens,
including Cuban-Americans, and the Cuban people.
Cuba's violation of human rights, their sponsorship of terrorism, and $6
billion held in financial claims against the Cuban government by the
United States fuels the embargo; and the embargo will last "so long as
[Cuba] continues to refuse to move toward democratization and greater
respect for human rights." Nonetheless, the UN General Assembly has,
since 1992, passed annual resolutions condemning the ongoing impact of
the embargo, claiming that it's a violation of the Charter of the United
Nations and international law. Cuba, itself, believes that the embargo
is a violation of human rights.
A large majority (68 percent) of the 2014 FIU Cuba Poll respondents
favor reestablishing diplomatic relations with Cuba, and 69 percent
support the lifting of travel restrictions. The new poll shows that
younger and more recently arrived Cubans favor a change in the policy
toward the island, though Cuban Americans, overall, are just about
equally split on their support for the embargo that's considered to be
the "centerpiece of U.S. policy toward the island nation." Seventy-one
percent believe that the embargo isn't working at all.
Fifty-two percent of total respondents stated they were opposed to the
continuance of the embargo. However, embargo support is strong among
Cuban-American Republican registered voters, many of whom are Cuban
exiles; 51 percent of registered voters are in favor of continuing the
embargo. The Cuban exodus from the island of Cuba to the U.S. occurred
between 1959 and 1980; almost 900,000 Cuban exiles fled to Miami-Dade
County in South Florida (an area that is home to 48 percent of Cubans in
the nation) to flee Fidel Castro's regime.
The earliest waves of exiles traditionally registered as Republicans and
are the strongest supporters of the U.S. embargo. Younger generations of
Cuban-Americans between the ages of 18 and 29 are not only opposed to
the embargo against Cuba, but they are in favor of reestablishing
relations with Havana. Fifty-eight percent of all Cubans who came to
the United States since 1995 agreed with that sentiment.
In 1991, support for the embargo was at 84 percent. Now, 68 percent of
the country's Cuban-Americans want diplomatic relations with Cuba, a
figure that jumps to 90 percent among the youngest Cubans. The general
U.S. population (56 percent) is in favor of normalizing the relations
between the U.S. and Cuba.
President Barack Obama began shedding restrictions on Cuban-Americans
traveling to the island in 2009, also allowing Cuban-Americans to send
remittances and humanitarian packages to their families there. Obama has
asked that Cuba's economic reforms be accompanied by an addressing of
human rights concerns. The president has outlined a series of steps that
could demonstrate a willingness to open its closed society. Those steps
include: the release of political prisoners, allowing the United States'
telecommunications companies to operate in Cuba, and ending government
fees on U.S. dollars sent by relatives from the U.S.
But, even if Cuba takes the steps to have the embargo lifted, it's
likely that pro-embargo Cuban-American exiles, who have terrific
political sway in Florida, will continue to be opposed to the idea that
trading freely between Cuba and the U.S. would be good for both nations.

Source: Young Cuban-Americans Favor Diplomatic Relations with Cuba,
Older Cuban-Americans Continue to Support Embargo : World : Latin Post -
http://www.latinpost.com/articles/16132/20140703/young-cuban-americans-in-favor-of-diplomatic-relations-with-cuba-older-cuban-american-support-the-embargo.htm

Pioneering Editor Sees Open Internet in Cuba's Future

Pioneering Editor Sees Open Internet in Cuba's Future
Reuters, July 05, 2014

A magazine editor who has tested the limits of free speech in Cuba
believes the Cuban government has no option but to allow universal
Internet access, and he plans to exploit that opening to promote a more
pluralistic Cuba.

"The government is obligated to allow it because the country's
development demands it," Roberto Veiga told Reuters in an interview on
Friday. "The government is aware it has to make political openings."

Veiga and his partner Lenier Gonzalez turned the Roman Catholic magazine
Espacio Laical (Lay Space) into a rare forum for critical, open debate
in Communist-ruled Cuba, where authorities monopolize the media and
censor the opposition.

Espacio Laical operated freely but after 10 years Veiga and Gonzalez
resigned under pressure from within the church in May. On Tuesday they
announced they were launching a new website and debating forum called
Cuba Posible.

Like the previous venture, Cuba Posible will air a broad range of views,
but now they will operate without the protection of the church, which is
by far the largest and best organized institution on the Caribbean
island with a different ideology than that of the Communist Party.

Broadband Internet is available only to a tiny minority of Cubans due to
technological and political restrictions imposed by the government.

While some authorities have said Cuba needs an open Internet for its
economic development, the government still blocks opposition websites,
such as 14ymedio.com, a news site run by dissident blogger Yoani Sanchez
and her husband, Reinaldo Escobar.

Veiga plans to keep pushing the bounds of debate.

"Evidently in Cuba there will come a time when more than one party
exists," Veiga said. "I have a personal opinion in favor of a multiparty
Cuba. Our project wants to facilitate this and contribute to serenity in
the process.

"Today in the streets of Cuba a lot of people express themselves ...
there are many small public openings. What do we need? To create a
large, national opening where all opinions can interact and collective
opinions can be formed."

Veiga, 49, was confident a measured tone would protect Cuba Posible from
official censorship, even though he said Cuban officials disliked
Espacio Laical, "especially from the ideological sector."

Veiga declined to discuss the division within the church that led them
to resign, except to repeat his previous public statement that the
church wanted the magazine to be less political.

Cuba Posible will promote "transitional change" with views from a wide
range of Cubans, Veiga said.

"Cubans want a change, a big change, but generally they yearn for a
change without disruption, change without confrontation, without
annihilation," Veiga said. "They want peaceful change within a process
of inclusion."

Source: Pioneering Editor Sees Open Internet in Cuba's Future | NDTV
Gadgets -
http://gadgets.ndtv.com/internet/news/pioneering-editor-sees-open-internet-in-cubas-future-553312

Friday, July 4, 2014

Sonia Garro’s trial postponed once more

Sonia Garro's trial postponed once more

As Sonia Garro's trial has been again postponed, after initially being
announced for June 30th, the Czech NGO People in Need would like to
express its concerns about the potential outcome of her case. She has
been accused of aggression, public disorder and attempted murder against
a policeman who was trying to arrest her, charges for which she could be
facing a ten year sentence. As her lawyer at the time mentioned, the
accusations are unfounded and the sentences demanded by the Prosecution
are excessive and unnecessarily severe. The trial was previously
postponed in October 2013 without any explanations or the setting of a
new date by the Court, as is often the case with trials dealing with
political dissidents in Cuba.

As a member of the Ladies in White, Sonia Garro, along with two other
opposition activists - her husband Ramón Alejandro Muñoz González and
Eugenio Hernández Hernández, were violently taken into custody and
arrested in March 2012, during Pope's Benedict XVI visit to the island,
following an aggressive intervention in which the authorities used the
Special Forces.

They have been imprisoned without a trial for more than two years,
during which Sonia's health has deteriorated significantly. Sonia and
her husband have both been repeatedly subjected to physical and
psychological torture, i.e. beatings, interrogations, placement in
isolation cells among other acts, while in prison. She had to be
hospitalized several times due to poor health. Furthermore, on April
10th 2013, she was moved from the prison during the Open Day organized
for the journalists, so that they couldn't witness the terrible state
she was in.

This is why People in Need would like to bring added public attention
to her situation and to ask for human rights to be respected in the
cases of Sonia Garro, Ramón Alejandro Muñoz González and Eugenio
Hernández Hernández .

Sincerely,

Cuban Team / Equipo de Cuba

People in Need - Human Rights and Democracy

Cuba To Issue Sovereign Bonds To Finance Fiscal Deficit

Cuba To Issue Sovereign Bonds To Finance Fiscal Deficit

HAVANA, July 4 (BERNAMA-NNN-ACN) -- Cuba will finance its 2013-2014
fiscal deficit by issuing sovereign bonds, which will be acquired by the
country's commercial banks, the Cuban Finance and Price Ministry said.

During debates at the Parliament's Economic Commission, the Ministry's
director of budget, Jesus Matos, told PL news agency that the initiative
will finance the public debt without funneling money into circulation,
but by using bonds payable in 20 years with redemption based on a
2.5-percent interest rate.

The official said the amount of bonds will reach 1.8 billion Cuban pesos
(equivalent to 1.8 billion dollars at official exchange rate), which is
the planned figure of the budget debt.

Meanwhile, Cuban lawmakers demanded higher quality and more control of
investment projects since they have a strong impact on the country's
social and economic development.

According to a report submitted to the parliamentarians, major
investment projects in 2014 are implemented in sectors such as textiles,
shoe making, the digital television program, raw materials, as well as
in the modernization of a steel plant in Havana, which will reach a
production capacity of up to 340 thousand tons of steel bars.

The president of the parliament commission analyzing the issue, lawmaker
Santiago Lajes, said that a recent visits by the deputies to several
investment projects in 13 provinces allowed identifying problems such as
inefficient technical preparation of the works, labor instability, lack
of quality control, and failure to meet contracts along with the lack of
skilled personnel.

The country is given steps ahead in strengthening investment control,
though there are still gaps including problems at entrepreneurial level
and failure to meet legal norms, the deputies agreed.

-- BERNAMA-NNN-ACN

Source: BERNAMA - Cuba To Issue Sovereign Bonds To Finance Fiscal
Deficit - http://www.bernama.com/bernama/v7/wn/newsworld.php?id=1051337

Tourism grows 4.6 pct in Cuba

Tourism grows 4.6 pct in Cuba
Published July 03, 2014 EFE

Cuba welcomed 1.67 million foreign tourists during the first six months
of this year, a 4.6 percent increase over the same period in 2013,
according to figures released by the Tourism Ministry.

"For this sector to continue contributing to the country's economic
development we must increase the quality," Tourism Minister Manuel
Marrero told a National Assembly committee.

Lawmakers said that the country needed to diversify its tourist
offerings, although quality in the sector was already high, state
television said in a report on the hearing.

In May, nearly 196,000 international tourists traveled to the island,
compared with 191,213 in the same month in 2013, according to a report
by the National Statistics and Information Office.

Canada remained the main tourist-sending nation to the island, followed
by Britain, Germany, France and Argentina.

Last year, 2.85 million travelers came to the island and, of those, more
than 1 million were Canadians, and although the government's target of 3
million visitors was not reached, it did register a modest increase of
0.5 percent.

International tourism provided Cuba with some $1.8 billion in earnings
in 2013, according to official figures. EFE

Source: Tourism grows 4.6 pct in Cuba | Fox News Latino -
http://latino.foxnews.com/latino/news/2014/07/03/tourism-grows-46-pct-in-cuba/

Cuba opens pipeline of baseball talent to Japan, U.S. left out

Cuba opens pipeline of baseball talent to Japan, U.S. left out
By Daniel Trotta and Junko Fujita
Reuters
11:53 p.m. CDT, July 3, 2014

HAVANA/TOKYO (Reuters) - Cuba is allowing some of its best baseball
players to take their skills to Japan and make good money instead of
risking their lives at sea with human traffickers in pursuit of Major
League Baseball dreams.

The bright lights of the U.S. big leagues do still draw Cuban prospects
to speedboats in order to escape the communist-run island - one player
just left the island and six others were excluded from the national team
for trying.

But now they have options.

In an attempt to halt defections, Cuba is allowing some of its players
to sign overseas contracts while raising the pay of those who stay.

Two of Cuba's biggest stars have signed officially sanctioned contracts
this season with Nippon Professional Baseball teams, and Cuba for the
first time is welcoming foreign scouts. South Koreans have also come
looking for Cuban talent.

Cuban baseball officials have indicated more signings are likely, though
they have not said how many.

"We would like to hire more Cuban players in the future," said Masao
Shimazaki, director for international relations for the Yomiuri Giants.
"One reason Cuba has a lot of good players is because Cuba does not have
an agreement with MLB yet."

Cuba once prevented its stars from playing in the United States but now
Major League Baseball teams are shut out of the Cuban market only
because of the decades-old U.S. economic embargo of the country.

Without the embargo, they would be free to scout and sign players
straight out of Cuba as long as they are willing to share the rights to
players with the Cuban government, which also takes a 20 percent cut of
the contracts plus income tax.

The shakeup in Cuba's rules comes at a time of unprecedented success for
Cuban players, as typified by this year's sensation, Jose Abreu of the
Chicago White Sox.

After defecting last year, Abreu signed a six-year, $68 million contract
and deftly adapted to the big leagues. He is among the league leaders in
home runs.

Since 2009, more than 20 defectors have signed MLB contracts worth a
combined total of more than $330 million, according to data on
Baseball-Reference.com.

Players in the Cuban league were lucky to make $20 a month until
recently. Now the minimum salary is over $40 a month, and veteran
players can earn several times that.


DANGER AT SEA

Yasiel Puig defected from Cuba on a speedboat at age 21 and soon found
himself entangled with Mexico's notorious Zetas crime organization,
which threatened to chop off his arm if it failed to receive the
promised $250,000 fee for his passage.

When Puig finally reached U.S. shores in 2012, he was rewarded with a
seven-year, $42 million contract with the Los Angeles Dodgers.

By contrast, Frederich Cepeda is one of Cuba's most accomplished players
over the past decade. When the Cuban government finally gave Cepeda his
chance to find fortune overseas, he was past his prime at age 34 so he
signed a one-year, $1.5 million deal with Japan's Yomiuri Giants.

Cepeda was the first to arrive in Japan in April, followed by Yulieski
Gourriel, who signed a $900,000 deal with the Yokohama DeNA Baystars in
May. Both are veterans who had proven their loyalty to Cuba before being
rewarded with the chance to play in Japan.

Cepeda said he long wanted to test himself against better competition
but chose to wait for a legal option rather than leave behind his wife
and 6-year-old son.

Source: Cuba opens pipeline of baseball talent to Japan, U.S. left out -
chicagotribune.com -
http://www.chicagotribune.com/news/sns-rt-us-cuba-baseball-20140703,0,6345457.story

French bank handled $1.7 billion in illegal business with Cuba

Posted on Wednesday, 07.02.14

French bank handled $1.7 billion in illegal business with Cuba
BY JUAN O. TAMAYO
JTAMAYO@ELNUEVOHERALD.COM

The largest bank in France, BNP Paribas, disguised $1.75 billion in
illegal transactions with Cuban entities as part of a long string of
violations of U.S. sanctions that brought it a record $8.9 billion in
forfeitures and fines, according to U.S. prosecutors.

A prosecution document on the case said BNP already has corrected its
ways, "including terminating all business and prohibiting new business
in any currency with sanctioned entities" in Cuba, Iran and Sudan.

It was not clear how the case would impact Cuba, already restricted by
the U.S. embargo and U.S. laws and regulations on money laundering and
terrorism financing. BNP shuttered its Havana office last year, after it
came under U.S. investigation.

"This is a very important bank, but it doesn't mean other banks won't be
able to do transactions," said Luis F. Luis, a former chief economist at
the Organization of American States who follows Cuban banking.

The U.S. Justice Department on Monday announced an agreement with BNP,
under negotiation for several months, for the bank to forfeit $8.83
billion and pay a $140 million fine for violating U.S. sanctions on the
three countries from 2000 to 2010.

The bank pleaded guilty to criminal charges in New York State and is
expected to plead guilty to federal charges within a few weeks.

BNP officials knew and approved of repeated violations by leaving out
the names of the sanctioned countries from transactions sent to the
bank's New York office, according to the 36-page "Statement of Fact"
filed by U.S. prosecutors in New York.

"During the course of its illicit conduct, BNP processed thousands of
U.S. dollar-denominated financial transactions with Sanctioned Entities
located in Cuba, with a total value in excess of $1.747 billion," the
document said. The use of U.S. dollars anywhere is subject to U.S. laws
and regulations.

That amount included more than $300 million in transactions with an
enterprise identified only as "one of Cuba's largest state-owned
commercial companies" and one that is on the U.S. watch list of
"Specially Designated Nationals," the document added.

Bank employees "directed that transactions involving Cuba omit
references to Cuba in payment messages" to hide them from U.S.
watchdogs, it said. And after three transfers in 2006 were blocked
because they mentioned Cuba, BNP resubmitted them without mention of
Cuba and through different U.S banks.

"From at least 2000 up through and including 2010, BNP, through its
Paris headquarters, conspired with numerous Cuban banks and entities as
well as financial institutions outside of Cuba to provide U.S. dollar
financing to Cuban entities in violation of the U.S. embargo," the
document added.

The use of such large quantities of U.S. dollars in the BNP deals is
surprising because Cuban banks generally use euros to avoid U.S. blocks,
said a former Havana banker who defected in 2005 and asked to remain
anonymous because he still has family in Cuba.

Although the Statement of Fact did not identify the enterprises involved
in the violations, it included several examples of illegal "Cuban Credit
Facilities" that showed they covered a broad range of Cuban government
financial and commercial activities.

One of the facilities involved U.S. dollar loans to a company in
Netherlands to finance the company's purchase of crude oil products that
were to be refined in and sold to Cuba, according to the document.

Another facility involved U.S. dollar loans for "one of Cuba's largest
state-owned commercial companies" identified in the document only as
Cuban Corporation 1.

The facilities "were structured in highly complicated ways," it added.
And BNP employees confirmed to U.S. investigators that the complexities
"had no business purpose other than to conceal the connection to Cuba."

The $8.9 billion in forfeitures and fines amounts to the largest
sanctions violations case ever brought by the Justice Department, and
was reported to be the largest in any criminal case against a U.S. bank.

Several European and other banks have paid stiff fines in recent years
for violating U.S. regulations on business with Cuba, Iran, Sudan, Syria
and other countries sanctioned for weapons development, human rights
abuses and other issues.

In 2011, ING bank in the Netherlands agreed to pay $619 million to
settle allegations of illegal dealings with sanctioned countries. Two
years earlier, Credit Suisse Bank had paid $536 million and in 2004 the
Swiss UBS bank had paid $100 million for similar cases.

But BNP's violations were portrayed as more brazen and broader in the
Statement of Fact, agreed to by both U.S. prosecutors and bank officials.

Shortly after one Cuba-related transfer was blocked in 2006, a senior
bank attorney in Paris consulted with a U.S. law firm on whether the
block "could … trigger a retroactive investigation" by U.S. authorities,
the document said.

The U.S. law firm replied in a memorandum that "the risk of serious
regulatory sanction … is such that BNP Paribas should consider
discontinuing participation in any such U.S. dollar facility," according
to document said.

But after a junior BNP attorney forwarded the memorandum to a bank
officer in charge of complying with laws and regulations, he was
reprimanded by the senior attorney "who insisted that 'it was a draft
memo and should not have been distributed to just anyone.'"

"We now no longer have control over its status. Do not do anything more
on this file without talking to me about it," the senior lawyer told the
junior, according to the document.

The junior attorney, it added, responded that the compliance officer
would "delete the e-mail."

Source: French bank handled $1.7 billion in illegal business with Cuba -
Cuba - MiamiHerald.com -
http://www.miamiherald.com/2014/07/02/4215549/french-bank-handled-17-billion.html

Cuba criticizes $9B US fine for French bank

Posted on Thursday, 07.03.14

Cuba criticizes $9B US fine for French bank
BY PETER ORSI
ASSOCIATED PRESS

HAVANA -- Havana on Thursday protested U.S. penalties levied against
France's largest bank over allegations it processed financial
transactions for Cuba and other blacklisted states in violation of U.S.
trade sanctions.

In a statement published by Cuban official media, the Foreign Ministry
said the penalties "violate the rules of international law and qualify
as an extraterritorial and illegal application of American legislation
against a foreign entity."

The U.S. Justice Department announced Monday that BNP Paribas had agreed
to pay nearly $9 billion to settle the case. Under the deal, the
Paris-based bank entered a guilty plea in a New York Court and
acknowledged processing billions of dollars in transactions for clients
in Cuba, Sudan and Iran.

U.S. prosecutors said the transactions were handled by BNP's New York
branch office from at least 2004 through 2012.

"Sanctions are a key tool in protecting U.S. national security
interests, but they only work if they are strictly enforced," Attorney
General Eric Holder said earlier this week. "If sanctions are to have
teeth, violations must be strictly punished."

But the Cuban Foreign Ministry questioned the legitimacy of Washington's
52-year-old embargo, which aims to isolate Communist-run Cuba
economically and financially, and alluded to the annual, near-unanimous
U.N. General Assembly votes calling for an end to what Havana refers to
as a "blockade."

"Once again, the U.S. government ignores the overwhelming international
rejection of this criminal and failed policy against our nation," the
statement said. "With actions like this, it also ignores the increasing
calls from different sectors of American society in favor of a
fundamental change in policy toward Cuba."

U.S. authorities have targeted several banks in recent years for similar
cases involving trade sanctions against Cuba and other nations.

In December 2012, Havana objected to a $1.9 billion fine against
London-based HSBC, Europe's largest bank, and an $8.6 million settlement
with Japan's Bank of Tokyo-Mitsubishi UFJ.

Peter Orsi on Twitter: www.twitter.com/Peter-Orsi

Source: HAVANA: Cuba criticizes $9B US fine for French bank - Latest
News - MiamiHerald.com -
http://www.miamiherald.com/2014/07/03/4216432/cuba-criticizes-9b-us-fine-for.html

Another 41 Cubans arrive in Cayman Islands

Posted on Thursday, 07.03.14

Another 41 Cubans arrive in Cayman Islands
BY JUAN O. TAMAYO
JTAMAYO@ELNUEVOHERALD.COM

A boat with 41 Cuban migrants aboard has arrived in the Cayman Islands
and asked for 24 hours of safe harbor because of bad weather, the
Immigration Department of the British territory announced Thursday.

The 33 men and eight women arrived in Cayman Brac island on Wednesday
evening and asked for permission to wait out a weather system, the
department said in a brief announcement that gave no other details of
the group.

The statement added that the arrival of a second boatload of Cuban
migrants in less than one week "demonstrates an increase in the number
of migrants leaving Cuba and passing though the Cayman area."

Thirty-four Cubans aboard a home-made boat docked Sunday in the east end
of Grand Cayman Island but sailed away quickly after authorities ordered
them to move on or face detention and eventual repatriation to their
country.

Another 30 Cubans were ordered to sail on or be detained last week after
their wooden had broken down and drifted for nearly two weeks along the
south side of Grand Cayman Island. Local residents apparently helped
them to repair their vessel.

Most Cubans spotted in Cayman waters set sail from eastern Cuba, 125
miles to the north of the British territory, and hope to ride the
prevailing currents and winds to reach Honduras. From there, they try to
travel by land to the United States, where they can legally stay under
the U.S. "wet foot, dry foot policy."

Under a 1999 agreement between the Cayman Islands and Cuba, Cayman
authorities can allow Cuban boatpeople to continue on their voyage if
their vessel is safe. But if their boat is not fit, the Cubans must be
forced to land and be detained in immigration centers. Virtually all are
later repatriated to their home country.

Source: Another 41 Cubans arrive in Cayman Islands - Cuba -
MiamiHerald.com -
http://www.miamiherald.com/2014/07/03/4217303/another-41-cubans-arrive-in-cayman.html

Cuba’s Anti-Corruption Effort Turns Five

Cuba's Anti-Corruption Effort Turns Five
July 3, 2014
Fernando Ravsberg*

HAVANA TIMES – Cuba's Comptroller's office turns five years old and the
anniversary is celebrated with the most important corruption trial in
recent years, with heavy prison sentences requested for prominent
foreign businessmen and top Cuban officials.

The appointment of Gladys Bejerano as Comptroler said little in itself
to most Cubans but raised the ears of many politicians who tried to
influence President Raul Castro to prevent the official from launching a
full-fledged anti-corruption campaign.

After five years of operation the rest of us begin to understand the
resentment of government administrators. Ms. Bejerano has sent to prison
ministers, deputy ministers, managers and directors, foreign businessmen
and many "rich kids".

The signs of what was to come were not lacking; even President Raul
Castro said in a public speech that no Cuban should believe that he/she
is above the law, bearing a clear message to the ruling class and their
families.

The Comptroller's office was essential to combat internal corruption, a
cancer that had metastasized throughout the body of the nation, to the
point that Fidel Castro himself felt the need back in 2005 to warn that
the revolution could destroy itself.

Gladys Bejerano has sent ministers, deputy ministers, managers,
directors, administrators, foreign businessmen and many "rich kids" to
prison.
Despite the limited information provided about the fight against
corruption, this five-year period makes clear that the disease is
clearly immune to the ideological training of the political and
government cadres and business ethics of some foreign millionaires.

Elements that facilitate corruption

Corruption is certainly not a problem unique to Cuba but the island has
a long tradition. Back in 1951, Fulgencio Batista said that embezzlement
was one of the three major problems of the country and that "the crisis
was not derived because of the crimes committed, but because they were
unpunished."

There's no way to avoid that some people are corrupted but there are
elements that facilitate this. In Cuba, the fertile ground comes from
excessive centralization, lack of controls, lack of transparency, and a
lack of a vigilant press and bureaucratic oversight mechanisms.

The government promotes changes in all these areas but progresses very
slowly. The ministries themselves are reluctantly letting go of some of
their businesses and allowing for cooperatives to replace them, but the
change is at a snail's pace.

The huge number of companies in the hands of the government directly
affects the lack of oversight and the need to maintain a huge,
bureaucratic apparatus that often generates more problems than solutions.

Companies are created to manage other companies as is the case of import
firms, further detaching them from the retailer and their customers
while generating one more level susceptible to corruption. Officials
serving prison sentences have commented that sometimes the supposed cure
is worse than the disease.

The oversight of all these activities is very difficult and the State as
both judge and jury doesn't work. At a food company I know, the ministry
that it is under warns weeks in advance of the "surprise" inspection it
plans to carry out.

Likewise, little progress has been made on the issue of transparency,
essential if they want people to participate in any way in the fight
against corruption. When citizens cannot demand information from
officials it creates a grey area that facilitates crimes.

The press could do a lot to promote transparency but the steps it has
taken thus far are still minimal. Officials still believe they can
handle journalists at will. Just days ago a newspaper claimed that the
director of a hospital tried to forbid them from writing.

The work of the Comptroller during these five years has been very
commendable but the cancer will be reborn again and again if the fight
against corruption is not accompanied by other social, economic and
political transformations in the nation.
—–
(*) Visit the blog of Fernando Ravsberg.

Source: Cuba's Anti-Corruption Effort Turns Five - Havana Times.org -
http://www.havanatimes.org/?p=104630

Cuba Customs Returns my Confiscated Belongings

Cuba Customs Returns my Confiscated Belongings
July 3, 2014
Isbel Diaz Torres

HAVANA TIMES – This past Tuesday, well before the established waiting
time of one month had elapsed, I went to Terminal 2 of Havana's Jose
Marti International Airport to demand the return of my belongings,
arbitrarily confiscated days before following my arrival from the United
States, where I had taken part in the LASA Conference.

Waiting for more than two hours there was ultimately worth my while, for
all of the electronic devices they had confiscated were returned to me
(after their contents were inspected).

Coincidentally, the US Supreme Court has just ruled that the police will
require a court order to inspect the contents of the cell phones owned
by those arrested, and this ruling is likely to be applied to other
electronic devices, such as portable computers.

If this is to apply to people who have been detained by authorities, I
imagine the protection afforded to those who have committed no crimes
will be greater still. I wonder what Cuba's political police, accustomed
to doing and undoing things as it pleases, think of this. What will our
politicians, who sing praises to Cuba's "intangible" democracy, say of this?

Of course, I am not so naive as to believe that this protective measure,
announced by the US media, will be all-encompassing or that it will
always be respected. US authorities have violated the rights of their
citizens (and those of other countries, including presidents) on more
than one occasion. They are the leaders in espionage.

Nevertheless, the important thing here is the existence of legal
instruments designed to protect individuals, tools with which one can
use in a lawful process, or that can serve as a point of departure for
demanding one's rights.

As we know, Cuban authorities do not respect the privacy of regular or
electronic mail. They tap the phones of people who are of interest to
them, even when these have committed – and probably will not commit –
any crimes. They openly record the activities of people and groups and
engage in other similar activities.

I know these practices aren't novel anywhere in the world, but that
doesn't mean we should stand by and allow governments to stick their
noses in our private lives. We should condemn this when the USA spies on
Brazilian politicians or when the Cuban government is guilty of the same
thing with LGBT activists.

Cuba can invoke the valid argument that it is besieged by the greatest
military power in history, a country that huge sums to destabilize the
island from within and without.

But this argument becomes vacuous when it is used, day after day, to
justify all of the abuses of Cuba's security forces, in connection with
activities that aren't remotely linked to the subversive plans of the US
government.

Without a doubt, this reveals the vulnerability of Cuba's political
system, which has been losing its legitimacy in a process that has been
progressively unfolding over the past few decades.

As for me, I have not yet exhausted my demands. I submitted a
"complaint" (this is the term employed by the customs bureaucracy, even
though my tone was not one of complaint at any moment – I merely
demanded my rights) in connection with the fact I was given no
explanation as to why my cell phone was rudely taken from me, and with
other facts that have yet to be clarified.

As for the "confiscated" documents, I will have to go back a different
day to get an official answer on that matter, because that particular
process isn't handled in the same place.

I am dying to find out whether they will acknowledge their
institutionalized homophobia, evident in the argument that the contents
of my documents "tarnished the country's morals and customs."

I thank everyone for following this situation, which may not have the
shock-value of other Internet news, but which has been painful and
humiliating for me.

Source: Cuba Customs Returns my Confiscated Belongings - Havana
Times.org - http://www.havanatimes.org/?p=104644

Putting the Military Back in its Barracks

Cuba: Putting the Military Back in its Barracks
July 3, 2014
"One cannot found a nation, General, as one commands a military
encampment" – Jose Marti
Pedro Campos

HAVANA TIMES — Not a day goes by without a report published by Cuba's
alternative or official media telling us of important decisions made and
regrettable actions taken by high or mid-level government officials in
an economic, political and social sector, behind which we always find an
active or retired military officer (who has, needless to say, been
officially appointed).

To confirm this, one need only look at the series of incoherent measures
that make up (and undermine) the current "economic reforms", all of them
decided by General/President Raul Castro and the group of military
officials around him.

These officials can just as easily distribute lands without any
prospects to farmers than approve a labor law that legalizes salaried
exploitation, in violation of the current constitution. They organize
economic plans on the basis of military discipline, liberalize the sale
of automobiles at astronomical prices, organize "cooperatives" through
State mandates, issue a foreign investment law which appears designed to
sell the country out to international capital or sign a "security"
treaty with an imperialist power engaged in territorial wars.

One senseless measure after the other

Cuba experts of the United States establishment had many expectations of
Raul Castro, his military officers and his "iron hand" (1), which is
supposed to "prevent chaos" following the disappearance of Fidel Castro,
lead to a "peaceful transition", "prevent a migratory crisis" and
"develop a market economy." The "reform process" and its measures,
particularly the foreign investment law and the labor law that
complements it, must please these characters. I am of course not
insinuating or accusing anyone of doing what imperialism wants, I am
merely exposing facts.

Today, those who see no way to realize our aspirations are us ordinary,
dispossessed Cubans.

The most recent misfortune experienced by the people because of measures
taken by the military is described by the prestigious intellectual
Esteban Morales, who tells us of the arbitrary treatment of visitors to
Terminal 3 of the Jose Marti International Airport in Havana who are not
allowed inside the facility. No one answers for stupid things like this,
but everyone knows that the airport and its immediate surroundings are
under the control of the military, as anything of any importance in the
country generally is.

The main cause of this disaster is, without a doubt, the State-command,
bureaucratic and hyper-centralized economic and political model that was
established in Cuba in the name of socialism, which concentrates all
decision-making prerogatives in the hands of a small group of people,
and in which the people and workers only follow the orders of the
bureaucratic elite. They have no role in decisions, implementation or
resource allocation, (much less elect public officials at any level).

The military and their chain-of-command methods, which have been
implemented in the spheres of politics and the economy, have a lot to do
with this "socialist" mess.

Regrettably, this is something we have been seeing in Cuban history
since the wars of independence of the 19th century, when the military
sought to secure political power, in contradiction with the opinion of
the most lucid Cubans of the time, such as Major General Ignacio
Agramonte and the most illustrious of all, Jose Marti – intellectuals
who loved freedom, justice and democracy, not military men.

One cannot stress some of the lines written to Gomez by Marti on October
20, 1884 enough: "One cannot found a nation, General, as one commands a
military encampment; (…) What guarantees do we have that public
liberties, the only aim a country should find worthy of fighting for,
will enjoy greater respect tomorrow? What are we, general? The heroic
and modest servants of an idea that warms our hearts, the loyal friends
of an unfortunate people, or the courageous and fortunate military
strongmen who, whip in hand and spur on boot, set out to take war to the
people, so as to become its masters later? Will you throw away the
reputation you earned for yourselves in one enterprise, your reputation
as courageous, loyal and prudent men?

Those of us who strive to make Cuba a paradise of freedom, justice,
democracy and socialism, under the leadership of the unchanging
government of Sierra Maestra rebels, today sadly realize how right Marti
was to try and prevent the military from controlling the country's
public and government affairs.

Militarism was to spread following Marti's death and, after Cuba secured
independence from Spain, most of the country's presidents in its first
30 years of existence as a pseudo-republic were generals from those same
wars of independence. The military was to continue playing this role
with Fulgencio Batista in the revolution of the '30s, his first
constitutional government in 1940 and his dictatorship, established in 1952.

Finally, the military struggle against that unconstitutional government
took the current military leadership to power in the name of socialism.
The means once again prevailed over the ends.

In one way or another, all of these military officers started out
defending a constitutional and democratic government and ended up
turning their backs on it and imposing their authority through force.

The revolution of 1959, which united the people of Cuba in the struggle
against Batista and for the restoration of the democratic system and
constitution established in 1940, ultimately frustrated those aims when
Fidel Castro and his young, Sierra Maestra rebels decided to remain in
power, suppress all opposition, postpone general elections indefinitely
and set in motion a system of government based on a personality cult and
the rule of a single Party, ratified in the constitution of 1976.

How much longer will we Cubans tolerate living under military rule?
Don't misunderstand me: I am not calling for revolt, disorder, violence
or anything of the sort. We have had too much of that already. Violence
engenders more violence. We don't need any more violence – of any kind –
in Cuban society.

It is time to put our house in order, to democratize the country's
political and economic system – it is time for us to have full freedom
of expression and association.

How are we to achieve this? There are proposals for a new constitution,
for democratizing the country's political and economic system, lifting
restrictions on Internet access, demanding that the government respect
people's freedom of expression and association, that all public
officials be elected by the people, for the country to renew itself and
revoke old structures. This is a task for all Cubans of good will and of
all political affiliations.

But there is one thing I have no doubts about. Whatever the solution, it
will require the military to retreat to their barracks, something they
will have to do for the good of everyone – and their own good.
—–
1- See Soren Triff's articles and publications in The New Herald
(January 18, 2007), Alejandro Armengol's column in the same newspaper,
where he calls Raul Castro "Washington's man", and Brian Lattel's
assessment of Raul Castro and what is expected of his government in the
United States.

pedrocampos313@yahoo.es

Source: Cuba: Putting the Military Back in its Barracks - Havana
Times.org - http://www.havanatimes.org/?p=104646

Thursday, July 3, 2014

“El Sexto” or the King of Spray

"El Sexto" or the King of Spray / 14ymedio, Yoani Sanchez
Posted on July 3, 2014

We spoke with El Sexto, the young man who has made graffiti one more
method of denunciation.

Yoani Sánchez, Havana | June 26, 2014 – Winking at art, a non-authorized
decoration on the walls, graffiti maintains its irreverent and
clandestine air that distances itself from galleries and approaches our
eyes.

If one day there is a tour of Cuban graffiti, it will have to include
this gangly young man called El Sexto*. A character of the night, of
agile fingers, he has marked facades, bridges and traffic signs all over
Havana with his art.

Many consider him an artist, others accuse him of vandalizing the city
and marking landmark places, but, how does El Sexto see and construe
himself?

Question: Graffiti, performances, paintings, charcoal draawings… you
work in many techniques.

Answer: I have tried to insert new technologies in my work as well. For
example, I developed a line of placing QR codes (quick response code)
messages about Cuban society and politics. After leaving them stuck to
walls, on products in the market, on the wall of a cell in the police
station… People were very curious tio know what the little quadrangle
filled with pixels was saying, so they would look for someone with a
smart phone with the QR reader application to understand them.

Then they would read the message: "El Sexto," "Down with the Castros!"
or the dissemination of some event on the alternative scene. It was a
form of mocking censorship through new technologies.

Question: Many Cuban artists opt for the metaphor, perhaps to stay out
of trouble and to not be censored. You go for an ever more direct
language. Has no institution approached you to organize an exposition?

Answer: So far no one has approached me to present my work in any
institutional gallery. I am an artist outside the permitted limits.
Although the official world doesn't accept me, other Cuban artists have
offered me solidarity and encouragement. At first I thought that the art
scene wasn't looking at me, didn't know my work. However, I've been in
contact with some major figures such as Ezequiel Suárez, Garaicoa, Los
Carpinteros, and to my surprise they value my art and are up to speed on
what I'm doing. This has given me greater commitment to my work and
makes me improve every project I undertake.

"I had to look out for the guards at the Museum of the Revolution in
order to paint on the façade of the Museum of Fine Arts."

Question: Can you talk about the graffiti movement in Cuba?

Answer: Yes, there are young people who are joining this phenomenon.
Right now, I am working with a group that sees in the idea of painting
walls as also being a way of promoting social phenomena. Helping to give
a face and form to figures of the alternative scene and also artistic,
technological and even journalistic projects. We create graffiti,
flyers, umbrellas, shirts… with the symbols that distinguish these
projects and to go to public places where people ask, "And this, what's
this?" A way of arousing curiosity and disseminating these phenomena.

Question: In the last year you left the country for the first time and
you were in Miami. How did that first trip abroad go?

Answer: It's been very important in my life. Especially the stay in
Miami where I could meet so many Cubans and see what they've managed to
achieve. That gave me a lot of happiness but it also made me very sad to
think of all the lives that have been shattered on this side because
they don't have freedom to fulfill themselves. I learned a lot about
publicity; it nurtured me, the ways in which people want to spread an
idea among as many people as possible. But I also understood on those
trips that I am here, in the street, I need the Cuban streets to realize
my art and to inspire me. So I returned home.

Question: You were also in The Hague, Netherlands, what did you do there?

Answer: My art tries to call attention to what is happening here. So in
The Hague I gave a public performance – which coincided with the
so-called Night of the Museums in that city – where I used a 24-yard
chain to convey the sensation of confinement and lack of freedom that we
experience in Cuba. It was very cold and my body was totally shaking in
the street, while people waited in long lines to enter the museum halls,
also joining the piece and creating a great impact on those who were
watching.

"In The Hague I performed with a 24-yard chain to convey the feeling of
confinement we experience in Cuba."

Question: You're always living with one foot in the street and the other
in jail. Are you afraid?

Answer: I've been given many fines for painting facades, fines I will
never pay, because it's my art. This has been a path to my individual
freedom, I'm going to build myself toward greater sincerity. Even if I'm
taken prisoner tomorrow, I will continue doing it.

Question: Of all your graffiti, which do you like best?

Answer: The one that has come farthest with me is my signature, El
Sexto, and although I like them all, that one in particular took me a
lot of work because of the place where I did it. I had to look out for
the guards at the Museum of the Revolution in order to paint on the
façade of the Museum of Fine Arts, so there I am, in that place, despite
censorship.

Question: Future projects?

Answer: I'm going to do a performance that has a lot to do with the
direction of my career. I still don't have a date but I'm working on it.
It will be a piece in which I will refine with my art and my own body
the wall where I will paint it.

Translator's note: Follow the link for an explanation of the
nom-de-plume "El Sexto," whose given name is Danilo Maldonado Machado.

26 June 2014

Source: "El Sexto" or the King of Spray / 14ymedio, Yoani Sanchez |
Translating Cuba -
http://translatingcuba.com/el-sexto-or-the-king-of-spray-14ymedio-yoani-sanchez/

Cuban refugee hospitalized after self-harming

Cuban refugee hospitalized after self-harming
Posted on Wed, 02/07/2014 - 18:11 in Crime

(CNS): Immigration and prison authorities say they are currently
investigating the circumstances surrounding a self-harm incident at the
immigration detention centre in George Town. A Cuban migrant awaiting
deportation who is one of dozens of refugees who have been detained by
the local authorities recently, is understood to have injured himself
today and has undergone surgery at the Cayman Islands Hospital.
Officials have given no details regarding the severity of the injuries
that the person has suffered, what weapon or other implement was used to
inflict them or whether the victim is a man or a woman.

Security at the Fairbanks detention centre has been a matter of growing
concern for officials as the number of migrants shows no sign of slowing
down but the Cuban authorities are said to be dragging their feet over
repatriation. Government is due to meet with officials from the
neighbouring island in September to discuss the current agreement
regarding the treatment refugees who are forced to land in Cayman during
the journey from Cuba to other destinations usually with the goal of
reaching the USA.

With a number of recent break outs from, and major disturbances at the
detention centre involving detained refugees the prison service has now
taken over the security which had been managed by a private sector firm.

Source: Cayman Islands News -
http://caymannewsservice.com/crime/2014/07/02/cuban-refugee-hospitalized-after-self-harming

Company of Canadian facing Cuba charges says legitimate transactions wrongly treated as graft

Company of Canadian facing Cuba charges says legitimate transactions
wrongly treated as graft
By Peter Orsi, The Associated Press | The Canadian Press

HAVANA - The company and family of a Canadian business executive
awaiting a court ruling in Cuba defended him against accusations of
graft, arguing that what were in fact "legitimate commercial
transactions" were wrongly characterized as corrupt at trial.
A two-page statement sent to The Associated Press by the Tokmakjian
Group also complained that company president Cy Tokmakjian's trial,
which ended June 21, was unfairly stacked against him.
It said he was held without charge for two years while the results of
the investigation were kept secret, and then given just two months to
present a defence. Meanwhile 14 of 18 proposed defence witnesses,
including international tax experts, were rejected by the court without
explanation.
"We are concerned that the outcome of the trial is predetermined given
the reluctance by the Cuban authorities to rectify gross procedural
mistakes," the statement said.
Prosecutors are seeking 15 years for Tokmakjian and 8 to 20 for more
than a dozen others named as defendants. They include two more Canadians
as well as Cuban employees of the company, government officials and
workers at state-run businesses.
On Monday, Communist Party newspaper Granma said Tokmakjian was accused
of corruption to obtain benefits in contract negotiations, unauthorized
financial transactions, illegally taking large amounts of money out of
the country, falsifying documents to avoid taxes and payroll
irregularities. A ruling is expected soon.
Tokmakjian is among a number of foreigners and dozens of Cubans arrested
in 2011 as part of a high-profile crackdown on graft that targeted
multiple businesses operating in the country.
Another Canadian, Sarkis Yacoubian of Tri-Star Caribbean, was sentenced
to nine years in 2013 but freed earlier this year and allowed to return
home.
Canada's Foreign Affairs office has said it is monitoring its citizens'
legal cases in Cuba and providing consular services, but declined to
comment further. Ottawa's ambassador to Havana attended Tokmakjian's trial.
The statement from the Tokmakjian Group, an international transportation
company based in Concord, Ontario, questioned why an individual was
being held liable for a corporate tax issue, and said any claims were
purely commercial and should have been handled in arbitration rather
than a criminal court.
"A simple and objective reading of recent court decisions will lead to
the conclusion that what is shown as 'corruption' is internationally
accepted business practices," it said. "Commercial activities such as
discounting bills of exchange or providing supplier credit appear as
'evidences of corruption.' Earning profits out of a commercial activity
is considered a 'crime against (the) economic interests of Cuba.'"
Tokmakjian's trial came to a close within days of a new law taking
effect that Cuba hopes will lure much-needed foreign investment.
Officials say it safeguards commercial and personal property rights.
Though Cuban authorities made no details publicly available while the
trial was ongoing, its outcome is sure to be scrutinized by the foreign
business community and likely by potential investors.
"Although no one will (dispute) the legitimacy of Cuba to combat
corruption," the Tokmakjian Group statement said, "this fight against
corruption has been used as an excuse to deprive companies operating in
Cuba of their rights and assets with no compensation."
___
Associated Press writer Rob Gillies in Toronto contributed.
___
Peter Orsi on Twitter: www.twitter.com/Peter_Orsi

Source: Company of Canadian facing Cuba charges says legitimate
transactions wrongly treated as graft - Yahoo Finance Canada -
https://ca.finance.yahoo.com/news/company-canadian-facing-cuba-charges-says-legitimate-transactions-161243574.html

French bank accepts harsh U.S. conditions, pulls out of Cuba

French bank accepts harsh U.S. conditions, pulls out of Cuba
By Johannes Werner and Vito Echevarria

CUBA STANDARD — As part of an agreement to pay record fines of $8.97
billion to settle allegations it used U.S. dollars in transactions with
Cuba, Iran, Sudan and Burma, French bank BNP Paribas promised U.S.
enforcers to terminate all business with U.S.-sanctioned countries "in
any currency," according to a 10-page settlement agreement released by
the Office of Foreign Assets Control (OFAC).

While the use of U.S. dollars in transactions with Cuba and other
U.S.-sanctioned countries violates U.S. laws, doing business with Cuba
is perfectly legal under French laws.

The amount is below the $10 billion U.S. authorities threatened to fine
BNP, according to earlier press reports, and BNP's Cuba-related dollar
transactions are dwarfed by those with Sudan and Cuba. Also, if BNP's
practices involving Cuba are an indicator, foreign banks doing business
with Cuba have instituted internal policies to avoid U.S. dollar
transactions since at least 2007.

Even so, the cost to Cuba is likely high. In the settlement, BNP agrees
to "terminate all business and prohibiting new business in any currency
with sanctioned entities," fire employees who violate U.S. sanctions,
and relocate its global sanctions compliance unit from Paris to New
York, according to OFAC. It will also be forced to handle all of its
global dollar transactions through a third entity for one year,
according to a BNP press release.

"We express our regret for these past errors that led us today to this
agreement," BNP CEO Jean-Laurent Bonnafé said in the release.

BNP's harsh penalty and surrender to Washington makes the
extraterritorial reach of U.S. laws obvious and sends yet another chill
through third-country banks doing business with Cuba. Observers believe
this will prompt the Cuban government and its business partners to
reduce dollar transactions to those impossible to avoid — thus raising
transaction costs even more — seek business with banks less vulnerable
to U.S. threats, and cause other large western banks to pull out or
abstain from doing business with Cuba.

The Irish Independent reported July 3 that the Bank of Ireland became
the latest financial institute to tell customers they will stop doing
business with Cuba.

One way bank abstinence may affect the Cuban economy is via its debt.

"Cuba has massive external debt, and is trying to restructure some of
it," said Judith Alison Lee of Washington law firm Gibson, Dunn &
Crutcher LLC. However, Cuba is having difficulty securing the most
advantageous restructuring arrangements, in large part because sanctions
prevent foreign banks with U.S. exposure from providing advisory
services related to U.S. dollar debt to Cuba.

"Assisting Cuba could expose them to liability, and as a result, many
are simply unwilling to conduct any transactions related to Cuba. As a
result, Cuba may have to rely on potentially less expert firms, which do
not have any U.S. exposure."

As of Tuesday, Cuba had not made any official statement regarding the
BNP settlement.

Following escalating U.S. enforcement actions over the past decade,
several banks such as Switzerland's UBS and Crédit Suisse,
Netherlands-based ING, and Britain's HSBC Holdings reduced their Cuba
business or abandoned the country altogether. According to press
reports, U.S. investigators are currently targeting France's Crédit
Agricole as well as Deutsche Bank.

The incriminated BNP transactions

The OFAC settlement agreement — which does not constitute an admission
of any fault on part of the bank — says BNP participated in eight credit
facilities in U.S. dollars to Cuban entities. In 2007, the bank
instituted an internal policy that blocked U.S. dollar transactions with
Cuba, and converted six of the eight credit facilities to euros. But it
wasn't until August 2012 that it converted the last Cuban credit
facility to euros, according to OFAC.

The bulk of BNP's alleged violations regarding Cuba center on 909
payments from 2005 through 2012 for a total of $689 million, performed
by the bank's Paris headquarters, its commodity finance division in
Geneva, Switzerland, and various third-country branches. They involve
trade finance instruments in U.S. dollars, retail banking transactions,
and one investment banking instrument in U.S. dollars for a Cuban entity
processed by the BNP branch in Milan, Italy.

That compares to $1.12 billion for BNP transactions with Iran and $8.37
billion with Sudan.

While legal under French and Swiss laws, the use of U.S. dollars in
transactions with Cuba and other U.S.-sanctioned countries violates U.S.
laws. SWIFT payments in U.S. dollars must clear through U.S.-based
computers, and that violates U.S. sanctions, policy enforcers in
Washington insist.

In addition, OFAC holds against the bank what it considers efforts to
cloak transactions.

"BNPP appears to have engaged in a systematic practice, spanning many
years and many BNPP branches and business lines, that concealed,
removed, omitted or obscured references to … sanctioned parties in U.S.
dollar … SWIFT payment messages sent to U.S. financial institutions,"
the settlement agreement says.

According to the agreement, BNP omitted references to Cuba, Iran and
Sudan in SWIFT payment orders to U.S. corresponding banks, replacing the
names of sanctioned parties with that of BNP or a code name.

BNP in 2004 shifted the U.S. processing of SWIFT dollar payments from
its New York branch to a U.S. bank in New York, in order to avoid
liability, OFAC claims. The document also states that until 2007, the
French bank followed requests from its customers in U.S.-sanctioned
countries to conceal dollar transactions.

Just as Washington seems to be easing on Cuba, ties between France and
the United States are being strained. French Foreign Minister Laurent
Fabius, who visited Havana in March, complained on France 2 TV that
"these figures are not reasonable." "The fine has to be proportionate
and reasonable," he said. Other French politicians hinted that the
settlement may scuttle negotiations between the United States and the
European Union over a trans-Atlantic free-trade pact.

The mechanics of U.S. pressure

The BNP case is the latest and biggest in a fast-escalating series of
fines against third-country banks.

A legal expert on OFAC's enforcement of trade sanctions, Judith Alison
Lee of the Washington law firm Gibson, Dunn & Crutcher LLC, says that
targeting banks has been a growing element of OFAC's strategy since
2005. Foreign banks are increasingly being ensnared in a package
proceedings for a variety of reasons, from doing business with nuclear
proliferators like North Korea and Iran, to facilitating the flow of
dollars for state sponsors of terrorism (such as Iran and Sudan), to
money laundering, to facilitating U.S. tax evasion. In those U.S.
investigations, Cuba is almost an afterthought, with OFAC simply
following Washington's long-standing regime change-driven embargo.

"Since approximately 2005, the U.S. Treasury Department has begun
relying on these banking-related sanctions more frequently," said Lee.
"The primary reason for this reliance is that the sanctions have
arguably proven effective. In particular, the sanctions influence the
decision-making of foreign financial institutions by forcing them to
make a choice: Either do business with the targeted country (e.g.,
Iran), or do business in the United States. These new forms of sanctions
have proven fairly successful — for example, bringing the Iranians to
the negotiating table over their nuclear program. It's no surprise then
that —given their success — OFAC has employed similar types against
Cuba, hoping to further increase the pressure on that country."

Depending on the nature of the alleged sanctions violations, other U.S.
agencies can initiate sanctions proceedings against foreign banks that
trade with Cuba, working hand-in-hand with OFAC.

"OFAC works closely with other agencies, including the Department of
Justice, to penalize European banks that conduct transactions with Cuba
in violation of U.S. law," said Lee. "For example, in many enforcement
actions taken against European banks, (the Department of Justice) will
suspend prosecution if the bank agrees to pay both (it and) OFAC a
certain settlement sum. Over the past few years, other agencies, both
federal and state, have become increasingly involved."

For example, the New York State Department of Financial Services played
a role in the agreement with Standard Chartered Bank and BNP Paribas.

One foreign banker who spoke on background said that Cuba has the
misfortune of being listed as a "state sponsor of terrorism" by the U.S.
State Department, and because of that, European and other international
banks' Cuba-related activities get red-flagged by OFAC, even if the
amounts involved are modest. "I don't think Obama's OFAC is targeting
banks doing business with Cuba (alone)," he said. "They are targeting
banks doing stuff with Iran, North, Korea, Sudan, Syria, and the mostly
minor Cuba transactions just get swept up into the rap sheet."

Meanwhile, the U.S. Congress is responsible for the steep rise in
amounts. In 2009, Congress raised the statutory maximum from a cap of
$11,000 to $250,000 per violation, or twice the value of the underlying
transaction. This has enabled OFAC to reap unprecedented amounts for
such fines. In 2008, OFAC collected a total of $3.5 million for 108
settled matters. After the statutory changes in 2009, OFAC collected
$772 million for just 27 settled matters.

With such enhanced financial powers from Congress, OFAC has become a
feared household name among the world's bankers. Some of the
institutions targeted were ING Bank, HSBC Holdings, Crédit Suisse, and
Barclays Bank, which paid the heaviest fines settled with OFAC thus far.
In 2012, OFAC collected over $1.1 billion in fines for just 16 matters.
Although OFAC reaped in just $137 million in 2013 for 26 matters, 2014
will be a record-breaker with the BNP Paribas settlement, which includes
a $963 million OFAC fine.

Getting off Washington's 'terror' list

Pro-normalization activists in the United States have recently focused
on pressing the Obama Administration to take Cuba of the State
Department's list of "terrorism-sponsoring nations," as a crucial tool
to improve relations.

Washington lawyer Lee is skeptical.

"The State Department and OFAC maintain different lists, and inclusion
or removal from one does not necessarily change the status of an entity
or a country on the other," she says. "Even if the president relaxed
sanctions on Cuba, Congress could still independently ratchet up
pressure through additional legislation."

Another OFAC expert, Washington attorney and one-time OFAC official Hal
Eren, noted that even the use of non-U.S. dollar currencies between Cuba
and its trading partners can trigger sanctions enforcement. Enforcement
actions are overwhelmingly triggered by U.S. dollar (transactions), but
can also involve other currencies, he said.

"What matters is where the transaction occurs and who conducts it," Lee
added. "Red flags generally include systematic attempts by large
financial institutions to cover their tracks and hide any transactions
which could violate U.S. sanctions on Cuba."

Eren said that any type of international commerce Cuba conducts can
become a sanctions target – from commodity trade financing for nickel,
sugar, or oil sales, to payments for Cuban medical services.

Some political observers have criticized Washington for penalizing
international banks' transactions with Cuba with the same severity as
countries conducting allegedly more nefarious activities, such as Iran
and North Korea, since Havana has nothing to do with nuclear
proliferation, or international terrorism. "Florida has a Cuban-American
population and is a swing state," said OFAC legal expert Erich Ferrari
in Washington, referring to that community's influence on presidential
elections. "If you're not tough enough on Cuba, you have the potential
of losing that state. That's why we have Cuba (OFAC) sanctions today."

Downside for the dollar?

A number of international banks still have a Cuban presence, such as
Scotiabank and National Bank of Canada (whose offices are at Havana's
glitzy Miramar Trade Center), and Spain's Banco Bilbao Vizcaya
Argentaria (BBVA). But they tend to keep a low profile, due to the U.S.
embargo.

To minimize exposure to Washington's sanctions campaign against Cuba,
these banks are facilitating the island's international trade in other
currencies.

"Here, we only use the euro or the Canadian dollar," said Havana-based
Chilean businessman Ángel Domper, whose trading firm TJP Internacional
supplies the island's supermarkets and tourism sector with food items
from various Latin American countries.

For the time being, international banks are still likely to comply with
OFAC's demands, simply because they don't want to be shut out of the
U.S. economy.

"The dollar is the prevailing trade currency," said Ferrari.
"International banks are going to have to have a presence in New York.
These banks are saying 'what are we going to make from these Cuba
transactions versus losing a license (in USA)?'"

But in the long run, there may be a downside to the U.S. crackdown on
foreign banks.

Says Washington lawyer Lee: "If foreign banks are increasingly subjected
to having their licenses being revoked (to operate in USA), such steep
penalties may incur a re-thinking of the decision to conduct
transactions using the dollar."

Source: French bank accepts harsh U.S. conditions, pulls out of Cuba «
Cuba Standard, your best source for Cuban business news -
http://www.cubastandard.com/2014/07/01/french-bank-accepts-harsh-u-s-conditions-pulls-out-of-cuba/

Should American Taxpayers Help Fund Cuba’s Media?

Should American Taxpayers Help Fund Cuba's Media?
July 3, 2014 by Humberto Fontova

"Everything within the Revolution, nothing outside of it." (Fidel Castro
speech, June, 1961.)

"Everything within the state, nothing outside the state, nothing against
the state." (Benito Mussolini, Doctrine of Fascism, 1932.)

In his famous speech on June 16, 1961 Fidel Castro, whose KGB-designed
jails and torture chambers at the time incarcerated one of every 19
Cubans for political "crimes," was warning the rest of his subjects how
they might stay out of them. In particular he was setting the boundaries
of "artistic freedom." If your prose or poetry or films or journalism
served the purposes of the totalitarian regime you were probably safe.
Otherwise…?

As usual, even with this declaration Fidel Castro was stealing, from the
declarations of his hero Benito Mussolini this time. Earlier he also
stole from his hero Adolf Hitler.

"Condemn me, it doesn't matter," declared Fidel Castro during the 1953
trial for his failed Moncada putsch. "History will absolve me."

"You may pronounce me guilty," declared Adolf Hitler during the 1924
trial for his failed Rathaus putsch. "But the eternal court of history
will absolve me."

Last week National Public Radio (lavished with over $ 4 billion by U.S.
taxpayers over the past decade) ran a week-long "special series" on—and
from—Cuba. Such was their propaganda value for the Castro regime, that
Cuba's own KGB-founded and mentored media gleefully ran some of them—and
in their pristinely unedited form.

Given Castro's quote above this should serve as quite a "compliment" to
NPR's producers.

That NPR has a soft spot for socialism should not be surprising,
however. After all, "Federal funding is essential to public radio's
service to the American public," explains NPR's own website.
"Elimination of federal funding would result in fewer programs, less
journalism…and eventually the loss of public radio stations."

NPR's brand of journalism came under fire most recently when Republican
Senators Jim DeMint and Tom Coburn sponsored a bill in 2011 to defund
the Corporation of Public Broadcasting. "Since 2001, the Corporation for
Public Broadcasting, which funds programming for National Public Radio
and the Public Broadcasting Service, has received nearly $4 billion in
taxpayer money," explained Senator DeMint at the time. "There's simply
no reason to force taxpayers to subsidize liberal programming they
disagree with."

Liberal programming on the dime of unwitting conservative donors is bad
enough. Flat-out KGB-mentored propaganda on behalf of a
terror-sponsoring regime that murdered more political prisoners than
pre-war Hitler's, jailed political prisoners at a higher rate than
Stalin's and came closest of any in history to wantonly igniting a
thermo-nuclear war cranks up the offense several notches. Or should.

Even pinkos should be offended by NPR's latest infomercials on behalf of
the Castro-regime, if not by the content, then by the cartoonish and
unprofessional presentation of the propaganda. This week NPR's Morning
Edition host David Greene hosted a report from Cuba featuring
an interview with a Cuban "man-on-the-street":

"I was born in 1947, under capitalism," Landin says. "(Cuba) used to be
a pot of crickets. It was the saddest place on earth."

He wants to be sure we understand how Cuba was before the revolution.

"Have you been to Haiti? That's what Cuba used to look like. A few
people were rich, and everyone else was starving."

See Spot run. See Dick and Jane play. "Good grief, NPR!" Castro himself
might wince. "I know you mean well. And it's one thing to earn your
Havana bureau. But please, some subtlety and maturity would help. You
sound like Igor complimenting his master."

What makes their Castroite pamphleteering even worse is how NPR bills
itself as intrepid investigators who don't just report. "Great
storytelling and rigorous reporting," boasts the NPR intro page. "These
are the passions that fuel us (here at NPR)…But always we dig, question,
examine and explore. We never settle for obvious answers and predictable
stereotypes. We look to connect history and culture to breaking news."

Well, exactly how much "digging" would have been required by NPR's
intrepid investigative reporter David Greene (or his staff) to correct
this "rigorous" bit of "reporting"? Exactly how much "questioning" and
"examination" would have been required to obliterate one of the most
grotesque Castroite lies of the century—to "connect history" with the
truth, as NPR claims as its goal?

Not much. In fact pre-Castro Cuba enjoyed a higher-standard of living
than most of Europe, from which it attracted a flood of immigrants–to
say nothing of next door Haiti, whose residents often jumped on rafts
desperate to enter pre-Castro Cuba.

Think about that for a second, amigos: people used to jump on rafts and
take to the high seas trying to enter Cuba. Yet NPR would have us
believe Cuba was as poor as Haiti!

"One feature of the Cuban social structure is a large middle
class," found a report from The Geneva-based International Labor
Organization in 1957. "44 per cent of Cubans — a higher percentage than
Americans at the time— are covered by social legislation. Cuban workers
are more unionized (proportional to the population) than U.S. workers.
The average wage for an 8-hour day in Cuba in 1957 is higher than for
workers in Belgium, Denmark, France and Germany. Cuban labor receives
66.6 per cent of gross national income. In the U.S. the figure is 70 per
cent, in Switzerland 64 per cent."

When no NPR "reporters" are within hearing range, Commies can be
extremely frank with each other. Early in the Cuban revolution, for
instance, Czech economist Radoslav Selucky visited Cuba and gaped: "We
thought Cuba was underdeveloped except for a few sugar refineries?!" he
wrote upon returning to Prague. "This is false. Almost a quarter of
Cuba's labor force was employed in industry where the salaries were
equal to those in the U.S.!"

The Castro brothers and Che Guevara converted a nation with a higher per
capita income than half of Europe, the lowest inflation rate in the
Western hemisphere, a huge influx of immigrants and whose unionized
workers enjoyed the 8th-highest industrial wages in the world into one
that repels Haitians. And this after being lavished with Soviet
subsidies that totaled almost ten Marshall Plans (into a nation of 6.4
million.) This economic feat defies not only the laws of economics but
seemingly the very laws of physics. One place where Cuban exiles agree
wholeheartedly with Castro and Che is regarding their exalted posts as
Third World icons. They certainly converted Cuba into a humdinger of a
Third World nation.

David Green has much to learn from one of NPR's other Cuba
correspondents Nick Miroff, who'd never attempt anything as crude as
Green's recent morning edition. Miroff, who also contributes to the
Washington Post, is married to the daughter of one of Castro's top KGB
protégés. The man who would have been Miroff's late father-in-law,
Manuel Piniero, founded and headed the Castro regime's secret police and
international terror agency the Dirección General de Inteligencia (DGI.)
As often happens to top players in his profession, (Yezhov, Yagoda,
Beria in the mother country) Piniero himself was offed in 1998 after his
usefulness to the Castros expired. Not that you'd guess any of Miroff's
background (and what might be influencing his NPR and Washington Post
"reporting") from the Washington Post and NPR bios of their valued
Latin American correspondent.

Just thought you should know.

Source: Should American Taxpayers Help Fund Cuba's Media? | FrontPage
Magazine -
http://www.frontpagemag.com/2014/humberto-fontova/should-american-taxpayers-help-fund-cubas-media/

The new realities of running a business in Cuba

The new realities of running a business in Cuba
In an attempt to jumpstart Cuba's economy and shed unprofitable state
enterprises, the government is converting select businesses into
cooperatives. It's an adjustment for many Cuban workers.
By Jonathan Wolfe, Contributor JULY 2, 2014

HAVANA, CUBA — The stakes were high when Café Nautico lost electricity
during its grand reopening here last month. Losing power is commonplace
in Cuba, but this occasion was different: It was the first time
restaurant employees would be paid based on the day's earnings. The chef
scrambled to keep the kitchen running by candlelight while the waitstaff
assured the handful of customers that the lights would be back shortly.

Café Nautico used to be a state-run restaurant, which meant reliable –
albeit low – wages for the staff of 12 whether or not anyone came to
dine. But the Cuban government recently transferred management of the
location to its employees, now called "associates," to be run as a
cooperative.

"We are making a lot of changes and we will try anything that can be
useful," says Jorge Cercera Montes, the president of the cooperative who
got his start as a cook. He's opening the restaurant for business
earlier in the day, hosting parties and weddings, and renting out the
back room for private events. "Our objective is to grow so that this
place can provide more income for us as cooperative members."

Recommended: Think you know Latin America? Take our geography quiz.
The Cuban government is strapped for cash as it works to keep its
economic vision alive, more than five decades after the US implemented
its economically isolating trade embargo. In an attempt to jumpstart the
economy and shed unprofitable state enterprises, the government is now
converting select businesses into cooperatives and allowing others to
pop up in the Cuban market.


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The move is part of a broader attempt by President Raúl Castro to update
Cuba's economic model, while maintaining its socialist principles. But
the nearly 250 cooperatives operating here exist without constitutional
protection, and will only be legally incorporated into the economy if
the experiment is deemed a success. This leaves many Cuban entrepreneurs
excited, yet skeptical of the viability of projects like Café Nautico in
the volatile Cuban marketplace.

"The Cuban government is afraid of losing subsidies from Venezuela and
they are … turning to cooperatives to help fill the gap the state can't
provide," says Christopher Sabatini, the senior director of policy at
the Americas Society and Council of the Americas.

"Decentralizing the economy will allow the government to earn money from
taxes [from cooperatives], inject productivity into the lumbering,
inefficient government, and sop up some of the thousands of employees
that were recently let go by the state," Mr. Sabatini says.

'A little imposing'
In contrast to businesses run by the government, cooperatives allow
their members to take home a portion of the business' earnings, and give
their workers democratic control over operations and management,
including electing their own president. The state is also giving them a
leg up on their private competitors by offering them perks like a 20
percent discount on products bought from the state in the case of Café
Nautico, and subsidizing their utility bills.

"The old system was a little imposing," says Tania Lourdes Ortiz
Fernández, an esthetician at the Bellall Health and Beauty Institute in
the Vedado neighborhood. She says she's "more happy with this system
than the one we had before."

For example, she makes more money – about $42 a month compared to $15
when her "boss" was the Cuban government. Ms. Ortiz says that although
she lost clients when the beauty center became a cooperative (the
associates voted to raise their prices), she now has access to better
products and has more time to dedicate to services.

Although many cooperative members say they receive higher wages, there
are complaints.

"The largest obstacle right now is the bureaucratic process of approving
new cooperatives," says Eric Leenson, president of Sol Economics, a
company that promotes socially responsible development in Cuba.

Additionally, cooperative employees complain they don't have access to
wholesale markets, and that importing materials or products from outside
the country is almost impossible.

Even convincing the Cuban workforce that they could benefit from working
in a cooperative has been a challenge, says Adriana Cervantes, the
president of the Bellall Health and Beauty Institute. She lost more than
a quarter of her workers when the business converted to a cooperative
eight months ago, and has had trouble convincing others to invest the
one-time payment of 500 Cuban pesos ($22) required to join.

"Right now I need a manicurist … we have so much demand," says Ms.
Cervantes. "For months I have tried to hire more associates but people
tell me that they don't understand why they have to invest in order to
become a member of the cooperative," she says as dozens of clients pass
her on their way to an aerobics class at the institute.

Mr. Leenson believes that, despite these initial problems, the
cooperative project in Cuba is here to stay.

"This change in Cuba is broad enough and strong enough that there is no
going back."

Source: The new realities of running a business in Cuba - CSMonitor.com
-
http://www.csmonitor.com/World/Americas/2014/0702/The-new-realities-of-running-a-business-in-Cuba

Cuba responds to Google CEO's call for open Internet

Cuba responds to Google CEO's call for open Internet
Published July 02, 2014 EFE

The U.S. economic embargo prevents Cubans from accessing many Google
services, Communist Party daily Granma said Wednesday, reacting to
comments by the search giant's chief during a recent visit to the island

CEO Eric Schmidt and three other Google executives traveled to Cuba last
week "to promote the virtues of a free and open Internet," dissident
blogger Yoani Sanchez said in a post on her site, 14ymedio.

Cuba is "one of the few countries in the world that cannot access a good
part of the services" offered by Google because the California-based
company is bound by the "unjust laws" of the U.S. economic embargo,
Granma said.

Neither Android apps nor platforms such as Google Analytics are
available to Internet users in Cuba, the newspaper said.

Granma noted that Schmidt criticized the U.S. embargo in comments online
after his visit to Cuba.

Very few Cubans have Web access from their homes and the only option for
most people is going to a government-run Internet cafe or to a hotel
serving tourists.

Connection charges are steep for a country where the average monthly
wage is $20.

While Cuba's Internet links improved substantially with the arrival in
2011 of an underwater fiber-optic cable connecting the island with
Venezuela, the government says it will take years to upgrade
telecommunications infrastructure to the point where widespread home Web
access will be possible. EFE

Source: Cuba responds to Google CEO's call for open Internet | Fox News
Latino -
http://latino.foxnews.com/latino/entertainment/2014/07/02/cuba-responds-to-google-ceo-call-for-open-internet/