June 10, 2015 archive

The Trade Promotion Authority Act (TPA), aka Fast Track, that the president and the corporatist congress are pushing, covers more than just the TPP.  It will also apply to the equally terrible European TTIP & the Trade In Service Agreement that has just been uncovered by Wikileaks. If you thought TPP was bad, you haven’t read the Trade In Service Agreement. This “trade” agreement is a corporate friendly document that would reshape how everyone in the world does business.

Today, WikiLeaks released the secret draft text for the Trade in Services Agreement (TISA) Financial Services Annex, which covers 50 countries and 68.2%1 of world trade in services. The US and the EU are the main proponents of the agreement, and the authors of most joint changes, which also covers cross-border data flow. In a significant anti-transparency manoeuvre by the parties, the draft has been classified to keep it secret not just during the negotiations but for five years after the TISA enters into force.

Despite the failures in financial regulation evident during the 2007-2008 Global Financial Crisis and calls for improvement of relevant regulatory structures2, proponents of TISA aim to further deregulate global financial services markets. The draft Financial Services Annex sets rules which would assist the expansion of financial multi-nationals – mainly headquartered in New York, London, Paris and Frankfurt – into other nations by preventing regulatory barriers. The leaked draft also shows that the US is particularly keen on boosting cross-border data flow, which would allow uninhibited exchange of personal and financial data.

TISA negotiations are currently taking place outside of the General Agreement on Trade in Services (GATS) and the World Trade Organization (WTO) framework. However, the Agreement is being crafted to be compatible with GATS so that a critical mass of participants will be able to pressure remaining WTO members to sign on in the future. Conspicuously absent from the 50 countries covered by the negotiations are the BRICS countries of Brazil, Russia, India and China. The exclusive nature of TISA will weaken their position in future services negotiations.

The draft text comes from the April 2014 negotiation round – the sixth round since the first held in April 2013. The next round of negotiations will take place on 23-27 June in Geneva, Switzerland.

Current WTO parties negotiating TISA are: Australia, Canada, Chile, Chinese Taipei (Taiwan), Colombia, Costa Rica, Hong Kong, Iceland, Israel, Japan, Liechtenstein, Mexico, New Zealand, Norway, Pakistan, Panama, Paraguay, Peru, South Korea, Switzerland, Turkey, the United States, and the European Union, which includes its 28 member states Austria, Belgium, Bulgaria, Cyprus, Croatia, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, Netherlands, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, Sweden, and the United Kingdom.

China and Uruguay have expressed interest in joining the negotiations but so far are not included.

1] Swiss National Center for Competence in Research: [A Plurilateral Agenda for Services?: Assessing the Case for a Trade in Services Agreement (pdf), Working Paper No. 2013/29, May 2013, p. 10.

2] For example, in June 2012 Ecuador [tabled a discussion (pdf) on re-thinking regulation and GATS rules; in September 2009 the Commission of Experts on Reforms of the International Monetary and Financial System, convened by the President of the United Nations and chaired by Joseph Stiglitz, released its final report (pdf), stating that “All trade agreements need to be reviewed to ensure that they are consistent with the need for an inclusive and comprehensive international regulatory framework which is conducive to crisis prevention and management, counter-cyclical and prudential safeguards, development, and inclusive finance.”

Read the Secret Trade in Services Agreement (TISA) – Financial Services Annex

Read the Analysis Article – Secret Trade in Services Agreement (TISA) – Financial Services Annex

Experts are still pouring over the documents but here is some of the preliminary analysis of what TISA will effect:

Wednesday’s leak provides the largest window yet into TISA and comes on the heels of two other leaks about the accord last year, the first from WikiLeaks and the other from the Associated Whistleblowing Press, a non-profit organization with local platforms in Iceland and Spain.

While analysts are still poring over the contents of the new revelations, civil society organizations released some preliminary analysis of the accord’s potential implications for transportation, communication, democratic controls, and non-participating nations

   Telecommunications: “The leaked telecommunications annex, among others, demonstrate potentially grave impacts for deregulation of state owned enterprises like their national telephone company,” wrote the global network Our World Is Not for Sale (OWINFS) in a statement issued Wednesday.

   Transportation: The International Transport Workers’ Federation (ITF), comprised of roughly 700 unions from more than 150 countries, warned on Wednesday that the just-published documents “foresee consolidated power for big transport industry players and threaten the public interest, jobs and a voice for workers.” ITF president Paddy Crumlin said: “This text would supercharge the most powerful companies in the transport industry, giving them preferential treatment. What’s missing from this equation is any value at all for workers and citizens.”

   Bypassing democratic regulations: “Preliminary analysis notes that the goal of domestic regulation texts is to remove domestic policies, laws and regulations that make it harder for transnational corporations to sell their services in other countries (actually or virtually), to dominate their local suppliers, and to maximize their profits and withdraw their investment, services and profits at will,” writes OWINFS. “Since this requires restricting the right of governments to regulate in the public interest, the corporate lobby is using TISA to bypass elected officials in order to apply a set of across-the-board rules that would never be approved on their own by democratic governments.”

   Broad impact: “The documents show that the TISA will impact even non-participating countries,” wrote OWINFS. “The TISA is exposed as a developed countries’ corporate wish lists for services which seeks to bypass resistance from the global South to this agenda inside the WTO, and to secure and agreement on servcies without confronting the continued inequities on agriculture, intellectual property, cotton subsidies, and many other issues.”

Despite assurances that Fast Track would force the president to reveal the contents of these agreements, it also removes congresses ability to amend, debate or filibuster. Right now, only congress members can view these complex documents. They are not allowed to take notes, ask questions or even discuss the contents amongst themselves, while big corporations are free to read and discuss it. This is not how transparency works, Barrack.

Meanwhile, to promote transparency, Wikileaks is offers $100,000 to anyone who will reveal the missing chapters from the TPP. Only three of the of the 26 chapters have been uncovered so far. It is imperative that Americans and the  world know what our governments are doing in our names.

The Fast Track vote is coming up this week. Help Stop Fast Track

This is your morning Open Thread. Pour your favorite beverage and review the past and comment on the future.

Find the past “On This Day in History” here.

June 10 is the 161st day of the year (162nd in leap years) in the Gregorian calendar. There are 204 days remaining until the end of the year.

On this day in 1990, Luther Campbell and fellow 2LiveCrew members are arrested on obscenity charges

Though the First Amendment to the Constitution clearly states that the U.S. Congress “shall make no law…abridging the freedom of speech,” free speech is widely understood to have its limits. It is dangerous and potentially criminal, for instance, to yell, “Fire!” in a crowded theater. But what about yelling “$&%#@!!” in a crowded nightclub? Lenny Bruce and other comedians tested the limits of that practice in the 1960s, but it was not until the late 1980s that the issue of obscenity came front and center in the world of popular music. The group that brought it there was 2LiveCrew, a hip-hop outfit led by Luther “Luke Skyywalker” Campbell. On June 10, 1990, just days after a controversial ruling by a Florida federal judge, Campbell and two other members of 2LiveCrew were arrested on charges of public obscenity after performing material from their album As Nasty As They Wanna Be in a Hollywood, Florida, nightclub.

As Nasty As They Wanna Be

In 1989, the group released their album, As Nasty As They Wanna Be, which also became the group’s most successful album. A large part of its success was due to the single “Me So Horny”, which was popular despite little radio rotation. The American Family Association (AFA) did not think the presence of a “Parental Advisory” sticker was enough to adequately warn listeners of what was inside the case. Jack Thompson, a lawyer affiliated with the AFA, met with Florida Governor Bob Martinez and convinced him to look into the album to see if it met the legal classification of obscene. In 1990 action was taken at the local level and Nick Navarro, Broward County sheriff, received a ruling from County Circuit Court judge Mel Grossman that probable cause for obscenity violations existed. In response, Luther Campbell maintained that people should focus on issues relating to hunger and poverty rather than on the lyrical content of their music.

Navarro warned record store owners that selling the album may be prosecutable. The 2 Live Crew then filed a suit against Navarro. That June, U.S. district court Judge Jose Gonzalez ruled the album obscene and illegal to sell. Charles Freeman, a local retailer, was arrested two days later, after selling a copy to an undercover police officer. This was followed by the arrest of three members of The 2 Live Crew after they performed some material from the album at a nightclub. They were acquitted soon after, as professor Henry Louis Gates, Jr. testified at their trial in defense of their lyrics. Freeman’s conviction was overturned on appeal as well.

In 1992, the United States Court of Appeals for the Eleventh Circuit overturned the obscenity ruling from Judge Gonzalez, and the Supreme Court of the United States refused to hear Broward County’s appeal. As in the Freeman case, Gates testified on behalf of Navarro, arguing that the material that the county alleged was profane actually had important roots in African-American vernacular, games, and literary traditions and should be protected.

As a result of the controversy, As Nasty As They Wanna Be sold over two million copies. It peaked at #29 on The Billboard 200 and #3 on the Top R&B/Hip-Hop Albums chart. A few other retailers were later arrested for selling it as well, including Canadian Marc Emery who was convicted in Ontario in 1991, and would later gain fame as a marijuana activist. Later hard rock band Van Halen sued over an uncleared sample of their song “Ain’t Talkin’ ‘Bout Love” in The 2 Live Crew Song “The Fuck Shop”. The publicity then continued when George Lucas, owner of the Star Wars universe, successfully sued Campbell for appropriating the name “Skywalker” for his record label, Luke Skyywalker Records. Campbell changed his stage name to Luke (and changed the record label’s name to Luke Records) and the group released an extremely political follow up album, Banned in the USA after obtaining permission to use an interpolation of Bruce Springsteen‘s Born in the U.S.A. The 2 Live Crew paraphernalia with the Luke Skyywalker or Skyywalker logos are often sought-after collector’s items.