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Banana Republic: Meta-Blog


We have put a lot of credence in President Obama and his Attorney General, Eric Holder.
I suggest that this trust that they will represent a new, law-abiding variety of public servant may not be entirely well-placed, particularly when it comes to restoring the credibility of the Justice Department. [actually, my interpretation is entirely wrong, so ignore my comments. The story itself is a very revealing one. But not for the reasons I first suggested.)
(Asa matter of 'meta-blogging,' the reason I am sitting here typing instead of working is that I am sitting here in incredible pain, and could not schedule a dr.s appt for today. Maybe I should just delete this whole thing? It seems intellectually dishonest, especially since jsfox has already written his/her excellent comments to this. I think the effort he/she put into them is the reason I will not just delete this since it is embarrassing to myself. And, I am currently too ill to feel too  embarrassed on that score.)
[extremely 'marginal' gloss removed]
When the US Justice Department announced in March 2007 that Chiquita Brands had pleaded guilty to "one count of engaging in transactions with a specially-designated global terrorist" and would be paying a $25 million fine, observers were astonished at the lightness of the sentence.
Between 1997 and February of 2004, Chiquita made $1.7 million in payments to a right-wing paramilitary group, the United Self-Defense Forces of Colombia (AUC), in regions where it had banana-growing operations. During that period, AUC conducted a "dirty war" against Colombia's left-wing FARC guerrillas, marked by widespread murders of union leaders and farmers, as well as trafficking in cocaine and heroin.

<snip>

"The plea agreement reached with Chiquita in March [2007] - in which it acknowledged making the illegal payments - has been criticized as far too lenient by many outside legal experts and some high-ranking Justice Department prosecutors," the Times added.
Although the decision to let Chiquita off lightly was criticized as a case of the Bush administration favoring powerful corporations, it was not seen at the time in light of the deep-seated politicization of the Bush Justice Department, which only became fully apparent in the wake of the US Attorney scandal. That scandal - which involved the firing of nine US Attorneys, allegedly for political reasons - was just starting to break at the time of the plea agreement.
The US Attorney who arranged the plea agreement for Chiquita, Jeffery A. Taylor, had been sworn in just six months earlier, in September 2006, under a controversial provision of the Patriot Act which enabled him to hold that position until May of this year without ever being confirmed by the Senate.

         <snip>
According to the announcement of the plea agreement, senior executives at Chiquita learned that AUC was being paid off by their Colombian subsidiary "no later than September 2000," at which time "the payments were reviewed and approved by senior executives of the corporation, including high-ranking officers, directors and employees."
In June 2002, after several years of paying AUC by checks sent through intermediaries, Chiquita switched to making direct cash payments, which were concealed by new procedures approved by Chiquita's audit committee.
By that time, AUC had been designated by the US government as a foreign terrorist organization. Although the designation was widely publicized in both the US and Colombia, Chiquita officials allege that they were not aware of it until an employee brought it to their attention in February 2003.
They then consulted an outside lawyer, who advised them that the payments were illegal, since any claims of extortion had long since been invalidated by their "decision to stay in harm's way," and that they should be stopped immediately.
Instead of following this advice, a group of Chiquita executives paid a visit to the Department of Justice to explain the situation. There they were also informed that "the payments were illegal and could not continue."


[more inaccurate commentary of mine removed]
According to the Los Angeles Times, "the prosecutors handling the Chiquita case had wanted to bring charges of material support of terrorism against the banana company and to pursue charges against some of its top executives by early 2004, if not sooner."
Yet the investigation dragged on for over three years and ended with a relatively modest fine of $25 million instead of a potential $180 million in legal costs. No charges were ever brought against any individual Chiquita executives, since the firm's lawyer, Eric Holder - now the Obama administration's attorney general - successfully arguedthat they had been the victims of extortion by AUC.

[the story was probably worth reading, but my conclusion certainly wasn't, so it is gone, too.]

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I hope that someone, more clearheaded than I, reads this, and is able to explain to me why Obama should have chosen Holder as his A.G., on the assumption that he was going to to "clean up" the Augean stable that is today's DOJ.

Someone, please explain this, especially in light of the following passages which I quoted:

They then consulted an outside lawyer, who advised them that the payments were illegal, since any claims of extortion had long since been invalidated by their "decision to stay in harm's way," and that they should be stopped immediately.
Instead of following this advice, a group of Chiquita executives paid a visit to the Department of Justice to explain the situation. There they were also informed that "the payments were illegal and could not continue."

Yet the investigation dragged on for over three years and ended with a relatively modest fine of $25 million instead of a potential $180 million in legal costs. No charges were ever brought against any individual Chiquita executives, since the firm's lawyer, Eric Holder - now the Obama administration's attorney general - successfully arguedthat they had been the victims of extortion by AUC.


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Well, let's append to this a speculation of the estimable Marcy Wheeler:

"DOJ is willing to see this[Cheney's interview with Fitzgerald about Plame] released in several years, but not now. I'm wondering if that has as much to do with a 5 year statute of limitations as it has to do with anything else? Perhaps there's enough evidence of Bush's involvement in the leak that they want to avoid any questions of whether Bush obstructed justice when he commuted Libby's sentence?"

http://emptywheel.firedoglake.com/2009/07/18/the-real-reason-theyre-hiding-cheneys-interview/

Yes, this speculation does get a little more poignant given Holder's history.

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So let me get this straight, because Holder did his job for his client and successfully argued in their defense he's the bad guy? No offense, but this is what attorneys do. You may not like the outcome, but to blame the outcome on Holder is absurd at best.
Chiquita paid dearly for a robust defense and got one with which the court agreed. I would say the bad falls to the Bush Justice Department which failed to do their jobs in the first place.

Also, you need to know that at the time Chiquita Brands, while publicly traded the majority of the ownership was and still is held by Carl Lindner, Jr.. To say this guy was a major Bush II supporter would be an understatement of rather larger proportions. Another reason Bush's justice department dragged it's heels?

Carl Lindner and his family have been strong supporters of the Republican Party for quite some time. During the 2004 election cycle, the Lindner family contributed tens of thousands of dollars to various Republican groups, including the Republican National Committee and several Republican politicians. In 2004, the Republican National Committee named Lindner as one of 62 "Super Rangers", the highest level of fundraising recognition, accorded to those who raise $300,000 or more for the Republican Party.[5] Lindner, a close ally of George W. Bush, secured the use of Great American Ball Park for Bush's re-election campaign on October 31, 2004, two days before the 2004 Presidential Election.

http://en.wikipedia.org/wiki/Carl_Lindner,_Jr.

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And let me add this case is far from over. Presently though settled, the company is facing further criminal and civil charges related to these payments.

Chiquita currently faces serious charges in a lawsuit issued in June 2007. According to the attorney of 173 family members of victims of the AUC militia this could be the biggest terrorist case in history and may put Chiquita out of business. "Terry Collingsworth, a lawyer with International Rights Advocates who is leading the multi-million dollar litigation, said: "This is a landmark case, maybe the biggest terrorism case in history. In terms of casualties, it's the size of three World Trade Center attacks."
Chiquita Brands International still may have to face criminal charges in Colombia, which could even include the extradition of some of its current and former board members. Specifically, on December 7, 2007, "the 29th Specialized District Attorney's Office in Medellín called the board members of Chiquita […] to make statements concerning charges for conspiracy to commit an aggravated crime and financing illegal armed groups. The court order mentions Robert Fisher, Steven G. Wars, Carl H. Linder, Durk Jaguer, Jeffrey Benjamin, Morten Amtzen, Roderick Hills (former committee director of Chiquita), Cyrus F. Freidheim (former general director and most recently president and CEO of a large media group), and Robert Olson, former legal counsel. The nine of them, according to the initial data obtained by the Attorney General's Office, knew of the illegal operation through which 1.7 million dollars were transferred to the AUC, a charge to which Chiquita has already admitted and for which the US justice system fined it 25 million dollars."

Both quotes from: http://en.wikipedia.org/wiki/Chiquita_Brands_International

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thanks for the info and analysis.

It is incredibly damning for the Bush DOJ.

Holder merely did his job. OK.

Then Holder, having been involved as the defense in an incredibly corruptly handled case, should have an intimate knowledge of what infested the DOJ.

Is that right?

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You might be able to get there from here,

Then Holder, having been involved as the defense in an incredibly corruptly handled case, should have an intimate knowledge of what infested the DOJ.
, but remember Holder was handling one case against one set of DOJ attorneys. Not the entire department. Next while this case stinks it is merely a highlight to a Justice Department under Bush that had become extremely political. Anybody coming in under the Obama administration I think might realize this. The press has covered it rather a lot.

The real question how fast can one AG turn around a department that still has entrenched party hacks in left over from the previous administration? The answer fire them all. However, might this not open the administration to the same kind of charges we have leveled against Bush for the attorney firings several years ago? I'm asking the question, not stating it as a certainty.

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Arlen Specter said, re the legality of the firings, that attorneys could be fired for no reason, but not for a bad reason.
If Obama/Holder just fired them all, it would not be for "no reason" (ie, routine DOJ transition of power). It would be hard to claim it was done as a transition of power, when clearly there are suspicions attached to so many of them.
You can fire them for a good reason. But that definitely takes time, making cases against them one by one.

It's an interesting situation, for sure.


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yes, and you can see that I am aware I am far from 'clearheaded.'

more so even than usual, for the reason I added above.

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I've seen some attempts to criticize Holder based upon clients he has represented while in private practice, most notably his defense of Chiquita Brands in a criminal case brought by the DOJ arising out of Chiquita's payments and other support to Colombian death squads. Attempts to criticize a lawyer for representing unsavory or even evil clients are inherently illegitimate and wrong -- period. Anybody who believes in core liberties should want even the most culpable parties to have zealous representation before the Government can impose punishments or other sanctions. Lawyers who defend even the worst parties are performing a vital service for our justice system. Holder is no more tainted by his defense of Chiquita than lawyers who defend accused terrorists at Guantanamo are tainted by that.
(Glenn Greenwald)

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THERE IS MUCH BETTER BACKGROUND ON THIS CASE HERE;

http://www.law.com/jsp/ihc/PubArticleIHC.jsp?id=1195639472310

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Thanks, it really was a far better background.

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In closing . . .diachronic I hope you are feeling better soon.

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Thank you.

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Wow, thanks for posting this, diachronic. I wasn't even aware of the case - duh.

It did remind me, however, that Allen and John Foster Dulles were heavily invested in United Brands at the time of the overthrow of the Arbenz government of Guatemala.

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Neoboho, thanks for the kind words.

It is an important story, though I wish I had digested it better.

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n jonnienohands' link, which gives a fuller picture of the scandal re Holder's role as defense lawyer for Chiquita, Holder is presented as railing, not unjustly, against the lack of clear signals given by Bush's DOJ. I had been confused, initially, about this by the Rawstory presentation, which mentioned that DOJ told Chiquita to stop the payments, presumably in 2003.
Holder's accusation later in 2003) was that DOJ did not say 'stop.' Well, actually, they did say 'stop.' But Chertoff, who at that time was in DOJ, then (as Holder said), despite the clear instructions given to chiquita by his subordinates, "waffled" regarding the legality of the payments given by th e major Bush-donor corporation. Holder said, justly, that "heads would roll" if such mixed signals had been given out by any Department under his control.


This sheds some light on how the disaster at Katrina unfolded. Chertoff, of course, was running DHS in 2005.

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