Tag Archives | privatization

Wall Street Corporations Rent Their Own NYPD Unit From The City Of New York

wallstreetDid you know that for a measly fee of $37 an hour per officer, you can rent uniformed, on-duty NYC cops as easily as ordering a sandwich? Then-Mayor Rudy Giuliani created the “Paid Detail Unit” in 1998 and Goldman Sachs and the New York Stock Exchange among others have been frequent customers recently. Counterpunch reveals:

The Paid Detail Unit allows the New York Stock Exchange and Wall Street corporations, including those repeatedly charged with crimes, to order up a flank of New York’s finest with the ease of dialing the deli for a pastrami on rye. The corporations pay an average of $37 an hour for a member of the NYPD, with gun, handcuffs and the ability to arrest.

New York City gets a 10 percent administrative fee on top of the $37 per hour paid to the police. The City’s 2011 budget called for $1,184,000 in Paid Detail fees, meaning private corporations were paying wages of $11.8 million to police participating in the Paid Detail Unit.

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‘Kids For Cash’ Judge Gets 28-Year Prison Sentence

ap_Mark_Ciavarella_nt_110818_wgPennsylvania Judge Mark Ciavarella jailed teenagers for minor offenses (e.g. satirizing a teacher on Myspace) in return for over $1 million in kickbacks from the area’s for-profit youth prison. Mother Sandy Fonzo alleges that Judge Ciavarella is only “the tip of the iceberg” in a practice that is occurring across the country. Fonzo’s star-wrestler son, whom Ciavarella sentenced, committed suicide after spending six months imprisoned among violent offenders as punishment for being caught with a marijuana pipe. In her words, “Judge Ciavarella is proof that for-profit incarceration cannot happen.”

The Kids For Cash scandal involved more than 30 state and local government officials and contractors, says ABC News.

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The Pentagon’s Invisible Third-World Army

iraqWhen enlistment is down, what’s the military to do? Outsource. Seventy thousand of the people in the Pentagon’s war effort in Iraq and Afghanistan are not U.S. soldiers, but “third-country nationals” — Filipinos launder our soldiers’ uniforms, Bosnians repair electrical grids, Indians serve up iced lattes. Many say they are being held in conditions resembling indentured servitude by subcontractors who operate outside the law, the New Yorker reports:

In the morning of October 10, 2007, the beauticians boarded their flight to the Emirates. They carried duffelbags full of cosmetics, family photographs, Bibles, floral sarongs. More than half of the women left husbands and children behind. In the rush to depart, none of them examined the fine print on their travel documents: their visas to the Emirates weren’t employment permits but thirty-day travel passes that forbade all work, “paid or unpaid”. And Dubai was just a stopping-off point. They were bound for U.S.

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How Two Bumbling Stoner Kids Became The Pentagon’s Favorite Arms Dealers

efraimdiveroli00_guns_local_embedded_prod_affiliate_56It sounds like the plot of a John Hughes ’80s teen comedy. Efraim Diveroli and David Packouz were a pair of underachieving kids from Miami (interests: football, “whisky”, and “chilling with the boyz”) until, as part of the privatization effort, they somehow landed a $300 million contract from the Bush administration to provide ammunition for U.S. soldiers in Afghanistan.

Then things soured: greed pitted the friends against one another, all they could give the military were defective, Chinese-made munitions from Albania, and now Diveroli is in jail. Rolling Stone has the barely-believable saga:

Reassured by the e-mail, Packouz got into his brand-new blue Audi A4 and headed home for the evening, windows open, the stereo blasting. At 25, he wasn’t exactly used to the pressures of being an international arms dealer. Only months earlier, he had been making his living as a massage therapist; his studies at the Educating Hands School of Massage had not included classes in military contracting or geopolitical brinkmanship.

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Mass Privatization Can Kill

Source: BBC/The Lancet

Source: BBC/The Lancet

The BBC reported in January of 2009:

The rapid mass privatisation which followed the break up of the Soviet Union fuelled an increase in death rates among men, research suggests.

The UK study blames rapidly rising unemployment resulting from the break-neck speed of reform.

The researchers said their findings should act as a warning to other nations that are beginning to embrace widespread market reform.

The study features online in The Lancet medical journal.

The researchers examined death rates among men of working age in the post-communist countries of eastern Europe and the former Soviet Union between 1989 and 2002.

They conclude that as many as one million working-age men died due to the economic shock of mass privatisation policies.

Following the break up of the old Soviet regime in the early 1990s at least a quarter of large state-owned enterprises were transferred to the private sector in just two years.

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