Greed Is Global

A world of corruption revealed by WikiLeaks.

BY ELIZABETH DICKINSON, JOSHUA E. KEATING | DECEMBER 18, 2010

For-Profit Education

Country: Tunisia

Corruption ranking: 59 of 178

The Deal: First Lady isn't just a title for Leila Ben Ali, wife of the president of Tunisia. She and her family have become the economic brokers of the modern Tunisia, the leaked cables claim. In the summer of 2007, for example, the Tunisian government gave Ben Ali the land to build a new international school -- and about $1.5 million to start it. Together with co-owner Suha Arafat, widow of former Palestinian leader Yasser Arafat, Ben Ali turned the Carthage International School into a hot spot for the children of the Tunis elite. (It helped when, not long after, the government shut down Carthage's elite rival, the Bouebdelli School.) But just months after Ben Ali and Arafat began their apparently successful partnership, the two had a falling out over the school. The Tunisian government then revoked Arafat's visa while she was away in Malta. Effectively exiled, Arafat called the U.S. Embassy in Tunis to complain, blaming the whole mess on Ben Ali. By mid-2008, Ben Ali had sold the school "for a huge, but undisclosed sum," a cable claims. "[Source] noted any such sale would be pure profit since Ms. Ben Ali received land, infrastructure, and a hefty bonus at no cost."

The Dirt: To do business in Tunisia, you have to be in with "the Family" -- the First Family, that is, according to the Americans. "Whether it's cash, services, land, property, or yes, even your yacht, President Ben Ali's family is rumored to covet it and reportedly gets what it wants," the same 2008 cable notes. But Tunisians don't seem to blame Ben Ali himself for these misdealing; that honor goes to his wife's "Trabelsi clan," which includes the first lady and the families of her 10 siblings.

Whoever's at fault, what's clear is that corruption is getting worse in Tunisia on every level, the cables say. One source joked to the embassy that when inflation rose, even the price of bribes went up. Petty corruption muddies every transaction -- from getting into schools to winning government jobs, the cable explains. And even foreign businesses are taking the hint:

The prime example remains McDonald's failed entry into Tunisia. When McDonald's chose to limit Tunisia to one franchisee not of the GOT's [government of Tunisia] choosing, the whole deal was scuttled by the GOT's refusal to grant the necessary authorization and McDonald's unwillingness to play the game by granting a license to a franchisee with Family connections.

Tunisia has not taken fondly to the allegations reported in the cables, and last week it blocked the website of the Lebanese newspaper Al-Akhbar, which had published the cables, the Guardian reported.

FETHI BELAID/AFP/Getty Images

 

Elizabeth Dickinson is assistant managing editor and Joshua E. Keating is associate editor at FP.

BENJAMINFRANKLIN

10:58 PM ET

December 17, 2010

Moral leadership

It seems that much of the world is run like America under Republican rule. It's nice to know that our moral leadership is creating such an impression worldwide.

 

ONEUNSTUCKINTIME

2:09 AM ET

December 18, 2010

And where is America?

God forbid we put America on that list, right? fucking fp.

 

SAUSAGE

6:44 AM ET

December 18, 2010

RE: And where is America?

Obviously, a US Embassy abroad is unlikely to write a cable about US government corruption. Go through the cables yourself and see if you can find one about Joe Biden monopolizing the juice industry in the US....

 

HURRICANEWARNING

4:16 PM ET

December 18, 2010

I just realized something...I

I just realized something...I hate the far left as much as I hate the far right. here's the deal...if you identify yourself strictly as a liberal or a conservative...then you, my friend, are an Idiot, and stand in the way of progress. I mean, yeah, our government's not perfect, but for christsakes, we are NOT even close to being as bad as some of these other countries. i mean, ARE YOU KIDDING ME! Have you ever been to Honduras? or Mexico? or Guyana? Or Romania? or any country on this list? ARE YOU KIDDING ME?

People in this country need to chill out. trust me when I tell you that we are doing fine...we've got work to do, but WE ARE NOT TUNISIA!!!!! My god! Go get an education.

 

XENOPHON

6:54 PM ET

December 19, 2010

Hurricane Warning: You Need an Education

You're right, we're not Tunisia. We're worse. Yes, the corruption here is better concealed but much more far-reaching. You do realize, don't you, that Wall Street's fraudulent and incompetent attempt to securitize junk MBS's, leverage them to the hilt, using their bought-and-paid-for legislators to do so, and sell them to suckers around the world, was the precipitating event of this global financial crisis? And of course, our corrupt ratings agencies, S&P, Moody's, Fitch, agreed to rate everything AAA so they could continue their lucrative relations with the investment banks. Goldman Sachs helped the previous Greek government hide its endemic fraud. Our banks are among those that the Irish tax payers are now bailing out. WE ARE THE CENTER OF CORRUPTION IN THE GLOBAL ECONOMY.

By the way, how did the author manage to do an entire section on Nigeria without once using the word "Shell"????

And though we may be "shocked" by the corruption of the Azerbaijani leadership, somehow, we've found a way to keep them as a close ally.

 

ROD_MODE

11:28 PM ET

December 19, 2010

@ Hurracaine: You are missing the point

I am an American, since I was born in Guatemala and America is my continent; sometimes I wonder how come people from the United States, get such reactions like yours.

Sure the US is a great country, just like many others. But the problem with the US its the sense of "special boy" that a lot of its citizens have; I mean, a lot of ppl think they are the role model (hence you should preach total non-corruption, which the cables clearly show you dont), you sell yourselves as the country that brings freedom (when sometimes the case has been the contrary, hence Clinton's apology to my country to taking our president out of power in a CIA-led coup in 1954 -look for Jacobo Arbenz-). And I could go on and on.

My point is that for example, the Pope HAS TO BE A VERY GOOD HUMAN BEING if he wants to pretend to lecture others. I dont know if he is, I dont even care, but he sure preaches a lot, so he should be a role model. The US is not what it says it is.

The US preaches freedom and democracy to other nations, so it puts itself in the line of criticism. Its normal, its even fair of you think about it.

Sadly, in the last decade, the US has done way to much to make the world notice the double standards it has been applying: fighting for freedom but supporting dictators (when its suitable to US interests). Naughty, naughty. At the end of the day, the US is as good or as bad as any nation... My disappointment too.

Read a bit: Iran and Mosadeq, Guatemala and Arbenz, Chile and Allende, Nicaragua and The Contras, Panama + THE CIA + Noriega, Haiti since 1920's (or even earlier I think), Greece and the 1949 coup, Golf of Tonkin, Pentagon Papers, geez, its too much, you might go crazy. But dont worry, like you said, all the countries are corrupt, including yours. Its just that yours thinks its not... or at least you seem to not see it.

 

GRANT

2:49 AM ET

December 20, 2010

Original poster, believe it

Original poster, believe it or not but America really isn't that corrupt compared to perhaps even the majority of the world.

 

XTIANGODLOKI

10:17 AM ET

December 20, 2010

The US is ranked 22nd on the transparency index

However, just because corruption is openly known (you can easily find out how much lobbyists spent on each US politician and who donated how much), it doesn't mean that the country is not corrupt.

The thing is, regardless of the transparency the world is run mostly by the 1% elite. In democratic nations laws are designed with loopholes to benefit those in the know. In authoritarian nations there are unspoken laws which benefits those in the know. Either way the rich will get richer.

 

HURRICANEWARNING

11:31 AM ET

December 20, 2010

xeno and Rod

You guys made an awwwful lot of assumptions about me. The fact is, yes we have corruption, I have NEVER denied it. Every country has corruption on some level. Here's a clue however, corruption within private enterprise is different than corruption in government. Corruption in business within a capitalist economy is to be expected...people want to make money, and we want them to make money, thats how you grow your economy...some corruption is to be expected. as long as it is not widespread in government. The problem is, our companies go around the world and FIND corrupt governments that will bow to their every whim if the simply pay them off (shell/ nigeria etc.). This does not mean that the U.S. is corrupt. This means that we have some less than honorable people running some businesses who deal with other less than honorable people.

oh, and the pentagon papers is NOT corruption...it's classification...there is nothing corrupt about it. We were in a war and we did some nasty things to try and win it...that's not corruption, that's war. No one was taking money or anything, it was really about a set of military orders...no corruption.

I am not one of those people who thinks that America is better than everyone else, I just want to be realistic...America is doing better than most on almost every level. Lets face facts, we are doing ALOT better than guatemala, where I have lived, and where it is VERY corrupt to the point that almost noone I knew there (locals) trusted police because they had all been robbed by them. Same in Honduras where H ave also lived, and many places in South America, Mexico...look, it might make you feel better to think that we americans like to talk about how great we are without it being true...but the fact of the matter is, compared to most places in the world we are doing great. We are far from perfect, but for the 3rd most populous and most diverse country in the world, the fact that we are as stable and comfortable as we are is amazing. Corruption is not bad in the U.S. at all. it could be better...but in the end, it's NOTHING like the rest of the world. if you refuse to believe that then you are blind, probably a hard core lefty, and incapable of making an unbiased judgement. lets be realistic

 

BUILDER7

4:20 PM ET

December 25, 2010

Polarization and foreign aid

You are right, this polarization is fake. Liberal or conservative is stupid. Liberal means that they allow more freedom and are easy going. Conservative is supposed to be financially conservative, but it is not, as evidenced by the 6 Trillion rung up during the Bush administration to the deficit and the fact that most of the budget deficit was rung up during Republican administrations. How can people believe the Republicans when they are actually the big spenders, especially when it comes to big banks and Wall Street firms that have stolen billions from customers and then got bailouts by Bush?
On to the subject. It might not be that we live in these other countries that get this aid, but we are the biggest aid donor in the world. We claim that we give the aid to help the people, but we never see to it that the people get it. We actually give the aid so that the leaders can steal it and sell it. Our government makes a deal with these crooked leaders who steal it all and then they do what the US wants them to. This is documented and wiki-leaks will probably show that in a large way. It used to be great to live in this country until it declined in every way in the last 40 years and became corrupt to boot!

 

SYEDAHAQ

3:21 PM ET

December 18, 2010

corruption

One of the worst corrupt leaders is Pakistan's Zardari. How come he is not mentioned. I'd love to read about his corruption. He is being investigated by the Chief Judge of Pakistan's Supreme Court. As a matter of fact, a SAwiss court has already declarede that he owns about 60 million dollors cas stashed in Swiss Banks. His Corruption is leagendry. He was previously known as Mr 10 percent.

 

THESEOWORK

2:09 AM ET

December 20, 2010

Nice

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SCHMOEPOOH

5:22 PM ET

December 22, 2010

Greed is Global

100 billion a year of American taxpayers money is spent a year on the so-called "War on Terror" in Afghanistan. Guess where a large chunk of it ends up?
The Military-Industrial Complex. America will exit Afghanistan when the next "intervention" is lined up.