SAUDI PURGES AND DUTY TO ACT

What the recent political shakeup in Saudi Arabia means for global terrorism funding.

For 70 years, Saudi Arabia served as the largest and most significant incubator of Sunni jihad. Its Wahhabist Islamic establishment funded radical mosques throughout the world. Saudi princes have supported radical Islamic clerics who have indoctrinated their followers to pursue jihad against the non-Islamic world. Saudi money stands behind most of the radical Islamic groups in the non-Islamic world that have in turn financed terrorist groups like Hamas and al-Qaida and have insulated radical Islam from scrutiny by Western governments and academics. Indeed, Saudi money stands behind the silence of critics of jihadist Islam in universities throughout the Western world.

As Mitchell Bard documented in his 2011 book, The Arab Lobby, any power pro-Israel forces in Washington, DC, have developed pales in comparison to the power of Arab forces, led by the Saudi government. Saudi government spending on lobbyists in Washington far outstrips that of any other nation. According to Justice Department disclosures from earlier this year, since 2015, Saudi Arabia vastly increased its spending on influence peddling. According to a report by The Intercept, “Since 2015, the Kingdom has expanded the number of foreign agents on retainer to 145, up from 25 registered agents during the previous two-year period.”

Saudi lobbyists shielded the kingdom from serious criticism after 15 of the 19 September 11 hijackers were shown to be Saudi nationals. They blocked a reconsideration of the US’s strategic alliance with Saudi Arabia after the attacks and in subsequent years, even as it was revealed that Princess Haifa, wife of Prince Bandar, the Saudi ambassador to Washington at the time the September 11 attacks occurred, had financially supported two of the hijackers in the months that preceded the attacks.
The US position on Saudi Arabia cooled demonstrably during the Obama administration. This cooling was not due to a newfound concern over Saudi financial support for radical Islam in the US. To the contrary, the Obama administration was friendlier to Islamists than any previous administration. Consider the Obama administration’s placement of Muslim Brotherhood supporters in key positions in the federal government. For instance, in 2010, then secretary for Homeland Security Janet Napolitano appointed Mohamed Elibiary to the department’s Homeland Security Advisory Board. Elibiary had a long, open record of support both for the Muslim Brotherhood and for the Iranian regime. In his position he was instrumental in purging discussion of Islam and Jihad from instruction materials used by the US military, law enforcement and intelligence agencies. The Obama administration’s cold relations with the Saudi regime owed to its pronounced desire to ditch the US’s traditional alliance with the Saudis, the Egyptians and the US’s other traditional Sunni allies in favor of an alliance with the Iranian regime.

During the same period, the Muslim Brotherhood’s close ties to the Iranian regime became increasingly obvious. Among other indicators, Egypt’s Muslim Brotherhood-affiliated president Mohamed Morsi hosted Iranian leaders in Cairo and was poised to renew Egypt’s diplomatic ties with Iran before he was overthrown by the military in July 2013. Morsi permitted Iranian warships to traverse the Suez Canal for the first time in decades.

Saudi Arabia joined Egypt and the United Arab Emirates in designating the Muslim Brotherhood a terrorist group in 2014.

It was also during this period that the Saudis began warming their attitude toward Israel. Through Egyptian President Abdel Fattah el-Sisi, and due to Prime Minister Benjamin Netanyahu’s leading role in opposing Iran’s nuclear program and its rising power in the Middle East, the Saudis began changing their positions on Israel.

Netanyahu’s long-time foreign policy adviser, Jerusalem Center for Public Affairs president Dr. Dore Gold, who authored the 2003 bestseller Hatred’s Kingdom: How Saudi Arabia Supports the New Global Terrorism which exposed Saudi Arabia’s role in promoting jihadist Islam, spearheaded a process of developing Israel’s security and diplomatic ties with Riyadh. Those ties, which are based on shared opposition to Iran’s regional empowerment, led to the surprising emergence of a working alliance between Saudi Arabia, Egypt and the UAE with Israel during Israel’s 2014 war with Hamas – the Palestinian branch of the Muslim Brotherhood.

It is in the context of Saudi Arabia’s reassessment of its interests and realignment of strategic posture in recent years that the dramatic events of the past few days in the kingdom must be seen.

Saturday’s sudden announcement that a new anti-corruption panel headed by Crown Prince Mohammed bin Salman, and the near simultaneous announcement of the arrest of more than two dozen royal family members, cabinet ministers and prominent businessmen is predominantly being presented as a power seizure by the crown prince. Amid widespread rumors that King Salman will soon abdicate the throne to his son, it is reasonable for the 32-year-old crown prince to work to neutralize all power centers that could threaten his ascension to the throne.

But there is clearly also something strategically more significant going on. While many of the officials arrested over the weekend threaten Mohammed’s power, they aren’t the only ones that he has purged. In September Mohammed arrested some 30 senior Wahhabist clerics and intellectuals. And Saturday’s arrest of the princes, cabinet ministers and business leaders was followed up by further arrests of senior Wahhabist clerics.

At the same time, Mohammed has been promoting clerics who espouse tolerance for other religions, including Judaism and Christianity. He has removed the Saudi religious police’s power to conduct arrests and he has taken seemingly credible steps to finally lift the kingdom-wide prohibition on women driving.

At the same time, Mohammed has escalated the kingdom’s operations against Iran’s proxies in Yemen.

And of course, on Saturday, he staged the resignation of Lebanese Prime Minister Saad Hariri amid Hariri’s allegations that Hezbollah and Iran were plotting his murder, much as they stood behind the 2005 assassination of his father, prime minister Rafiq Hariri.

There can be little doubt that there was coordination between the Saudi regime and the Trump administration regarding Saturday’s actions. The timing of the administration’s release last week of most of the files US special forces seized during their 2011 raid of al-Qaida leader Osama bin Laden’s compound in Abbottabad, Pakistan was likely not a coincidence.

The files, which the Obama administration refused to release, make clear that Obama’s two chief pretensions – that al-Qaida was a spent force by the time US forces killed bin Laden, and that Iran was interested in moderating its behavior were both untrue. The documents showed that al-Qaida’s operations remained a significant worldwide threat to US interests.

And perhaps more significantly, they showed that Iran was al-Qaida’s chief state sponsor. Much of al-Qaida’s leadership, including bin Laden’s sons, operated from Iran. The notion – touted by Obama and his administration – that Shi’ite Iranians and Sunni terrorists from al-Qaida and other groups were incapable of cooperating was demonstrated to be an utter fiction by the documents.

Their publication now, as Saudi Arabia takes more determined steps to slash its support for radical Islamists, and separate itself from Wahhabist Islam, draws a clear distinction between Saudi Arabia and Iran.

Given Saudi Arabia’s record, and the kingdom’s 70-year alliance with Wahhabist clerics, it is hard to know whether Mohammed’s move signals an irrevocable breach between the House of Saud and the Wahhabists.

But the direction is clear. With Hariri’s removal from Lebanon, the lines between the forces of jihad and terrorism led by Iran, and the forces that oppose them are clearer than ever before. And the necessity of acting against the former and helping the latter has similarly never been more obvious.

Originally published by the Jerusalem Post

For Saudi Arabia, the Yemen War is Ground Zero for its Fight Against Iran

With the war in Yemen, led by Saudi Arabia and coalition of Sunni states against the Houthis, Iranian proxy heating up, the Houthi led military fired a balistic missile over Riyadh on Saturday night. This marked a serious turn in the war.

The missile, producd in Iran, would have no doubt only been fired only with Iran’s permission, which seems to be more comfortable displaying its hegemonic aspirations since its victorious battle in Kirkuk. For Saudi Arabia, the missile is a sort of wake up call on just how serious the Iranian threat is. It also proves that the Iranians, true to their word are not about to stop and rest a bit.

Turki al-Maliki, spokesperson for the coalition forces, said: “The missiles Houthis targeted the Saudi Arabia was produced by Iran, they are not involved in the ammunition of Yemen army.”

Maliki continued: “Houthis couldn’t increase the tension without the support by the Iran regime.”

Controlling Yemen is key to the Iranian strategy and equal in value than building a land bridge from Tehran to the Mediterranean Sea; although the latter is usually mentioned far more by pundits. Taking full control of Yemen means that the Bab-el-Mandeb Straight which connects the Red Sea with the Gulf of Aden will fall into Iran’s hand. 3.8 million barrels of oil a day pass through the Bab el-Mandab chokepoint on Yemen’s southwestern coast.

More than that, taking Yemen completely would supplant on Saudi Arabia’s doorstep, giving it the capability to destroy the Kingdom.

This is why the missile over Riyadh that was taken down by an American Patriot Missile is a serious escalation. Given the fact that Iran is on the move under Russian protection across the Middle East, Saudi Arabia views Yemen as the last chance to stop them before the Kingdom has to take them on the Iranian forces directly.

With the rise of Prince Salman and his purging of his competition in the Saudi Kingdom, the Saudi royals may be forced to rally around the Crown Prince despite his controversial moves.  Embroiling the Kingdom in the Yemen war had always been viewed as a misstep by the young prince, but with Iran using it as a spring board to corner the Saudi Kingdom, Salman’s intereference may have been far more cunning than those who doubted it believed.

Does Saudi Shift to Russia Leave Israel Cornered?

Saudi Arabia opened its historic four day visit to Moscow with a clear indication that it is ready shift towards the Russian orbit.  With the Kingdom penning a $3 billion arms deal with Putin and agreeing to buy Russia’s S-400 anti-aircraft system, the seismic shift is clearly well underway.

Up until now the prevailing assumption was that Israel had growing covert relations with the Sunni leader due to the ascendancy of Iran, but a Saudi shift to Russia puts this theory on ice.

With a US on freefall and a Russia in firm control of the Middle Eastern future, Saudi Arabia has no choice but to switch allegiences in the hope that Russia would be able to hold back Iran from attacking.

Israel has always prided itself on  having a neutral foreign policy which has allowed it in recent years to expand relations to countries previously off its radar such as China, India, and much of East Africa.  Yet, the presence of Russia and the shifting positions of its Sunni allies in the face of a US in the midst of a regional pullback, changes its calculus in relating to the growing strength of Iran on its border.

Israel can no longer pretend to remain neutral while Russia allows Israel’s Persian nemesis to gain the upperhand.  Jerusalem must decide to either stick it out by itself while its long time ally America pulls back or finally decide like the Saudis that it is better to cut a deal with Putin in hopes he holds back Iran rather than face them alone.

Civil War in the House of Saud?

Reports are flying from Riyadh that as King Salman nears abdication, there is a potential coup set to go in effect in order to deprive his son Crown Prince Mohammed bin Salman from taking over.

In response to the Crown Prince’s fears Saudi Arabia arrested between 16-30 people in a broad crackdown across the Kingdom. The arrestees though were all members of the regime, yet loyalists of the ousted former Crown Prince Muhammad bin Nayef.

Why would the monarchy, which prides itself on collective unity in the face of ensuring its own survival feel the need to go after one another.

Iran and Qatar are close with Russia and China, and the latter two Great Powers are actually enjoying a renaissance of relations with Saudi Arabia right now. While one might expect this to make Tehran and Doha jealous, the opposite is true – Moscow and Beijing’s developing high-level strategic partnerships with Riyadh are designed to bring balance to the Mideast by weaning the Kingdom away from Washington and slowly but surely integrating it into the emerging Multipolar World Order, which will never be perfect or without friction, but is still a step in the right direction. In order to appreciate what’s happening, one needs to be reminded of a few things that have happened this past year when it comes to Saudi Arabia’s relations with Russia and China.

Concerning Moscow, Riyadh agreed to an historic OPEC output deal with Russia last year and renewed it a few months ago after it expired. The Saudis are also cooperating with the Russians in encouraging Syria’s so-called “opposition” to merge into a unified entity for facilitating peace talks with Damascus. Foreign Minister Lavrov was just in the Kingdom last week, and King Salman is expected to visit Moscow sometime next month. As for China, Beijing signed a total of over $110 billion of deals with Saudi Arabia in the past six months alone in an effort to assist the Crown Prince’s ambitious Vision 2030 program of economic modernization. It’s that initiative more so than anything else which holds the danger of inadvertently destabilizing the country’s internal affairs because of the opposition that it’s come under from some of Saudi Arabia’s many radical clerics who are against the social consequences of its reforms.

Bearing all of this in mind, it’s worthwhile to revisit the question of who has an interest in destabilizing Saudi Arabia right at the moment that it’s turning away from the US and towards Russia and China, timing their subversive efforts to coincide with a prolonged leadership change and an economic transition. By all indicators, those aren’t the hallmarks of an Iranian or Qatari operation, but the red flag for an American one.

US, Russian, and Chinese Neo-Colonialism in the Middle East

The fast changing word is in a great transition between a post Cold War uni-polarism to a 21st Century multi-polar chaos of various competing interests circling around energy control and market influence. Both the Russians and Chinese are thriving off of a Middle East in chaos and have learned like the US did that the Arab rulers have no loyalty to their countries.

These rulers, when given protection and money have the loyalty to the world powers providing them the money and arms to control their local “peasants.” The Russians and Chinese have figured out that the key to US dominance in the Middle East and therefore oil profits is the defense pacts Washington has used with the Saudis and Gulf States to ensure the dollar is constantly inflated due to its use as the sole oil currency.  This is now changing. Even more so, the Russians and Chinese as pointed out in the Oriental Review have gone out of their way to lure the Saudis away from America.

By creating balance between Saudi Arabia and Iran, the Russians and Chinese are in the process of playing both sides to ensure continued control of the region.  The American security establishment used the same policy in both encouraging Iran to push ahead across the Middle East, while using that threat to encourage the Saudis to stay within the American orbit.

The Saudis are trying to figure out how to work with both, but unlike Israel, the House of Saud has no real value to it other than a colonial apparatus to rented out to the highest bidder.

Where Does this Leave Israel?

With the Saudi family in the midst of an internal implosion, Israel has little room to maneuver.  The prevailing assumption has been that the blocs would remain the same and actually consolidate in opposition to the Iranian threat.  The insertion of Russia and China as the new power brokers has scrambled this assumption.

China’s Latest Strike Against Petrodollar is Another Shot to Kill US Hegemony in the Middle East

China Petrodollar

China took another major step towards the inevitable end of petrodollar dominance and the further internationalization of the yuan. Via this report:

‘China is expected shortly to launch a crude oil futures contract priced in yuan and convertible into gold in what analysts say could be a game-changer for the industry.
The contract could become the most important Asia-based crude oil benchmark, given that China is the world’s biggest oil importer. Crude oil is usually priced in relation to Brent or West Texas Intermediate futures, both denominated in U.S. dollars.
China’s move will allow exporters such as Russia and Iran to circumvent U.S. sanctions by trading in yuan. To further entice trade, China says the yuan will be fully convertible into gold on exchanges in Shanghai and Hong Kong.’

Critical to this move is the decision by Saudi Arabia:

‘If Saudi Arabia accepts yuan settlement for oil, Gave said, “this would go down like a lead balloon in Washington, where the U.S. Treasury would see this as a threat to the dollar’s hegemony… and it is unlikely the U.S. would continue to approve modern weapon sales to Saudi and the embedded protection of the House of Saud [the kingdom’s ruling family] that comes with them.”
The alternative for Saudi Arabia is equally unappetizing. “Getting boxed out of the Chinese market will increasingly mean having to dump excess oil inventories on the global stage, thereby ensuring a sustained low price for oil,” said Gave.’

If Saudi Arabia feels that China can act as an effective shield against its Iranian adversary, it most likely will forgo this ‘embedded protection’ from the US and acquiesce to Chinese demands. It may feel greater pressure as Qatar recently restored diplomatic relations with Iran thereby strengthening the Iran-Turkey-Qatar alliance.

Chinese Relations with Pakistan / Afghanistan

China has made inroads with non-oil producing nations in the region. Primarily, it has a growing economic relationship with Pakistan. While challenges of political and economic isolation exist, the China-Pakistan Economic Corridor commonly known as CPEC has grown larger than its initially planned $46 billion investment plan announced in 2015. The investment is potentially crucial to China’s Belt and Road Initiative as it could provide a link from China through Europe and Africa. In addition, China has aggressively pushed development of a railway linking China and Afghanistan that is aimed to cut travel time between the two nations from six months to two weeks. Although the project has run into problems, the importance of this railway cannot be understated. Back in September, Chinese Ambassador to Afghanistan Yao Jing went so far to say, “Without Afghan connectivity, there is no way to connect China with the rest of the world.”




Gold Moves

Curiously, on August 21, US Treasury secretary Steve Mnuchin became the first government official to visit Fort Knox in 43 years. Just prior to his visit, he said to an audience (hopefully in humor) ‘I assume the gold is still there…It would really be quite a movie if we walked in and there was no gold.” After his visit, he tweeted ‘Glad gold is safe!’. Unfortunately, it would have been more reassuring to some if there had been a full audit (i.e. serial numbers per each gold bar).
In addition, Germany recently announced that its central bank completed the transfer of $27.9 billion worth of gold bars back to Frankfurt three years ahead of expectations. The gold was held by the Federal Reserve in New York and France’s central bank to hedge against political and currency risks.

China’s Strike Against Cryptocurrency Threat

Yesterday, China effectively banned all organizations and individuals from raising funds through ICO activities. Also, all banks and financial institutions in China will not be able do any business related to ICO trading. Cryptocurrency prices dropped sharply as a result. While intended to protect investors from fraud, the decision may have been timed to strike back at the US – Japan alliance to transition to a world reserve currency led by Bitcoin. It would not be in China’s interest to allow this transition to occur smoothly (if at all). It is unclear how committed China is to blockchain technology as its primary goal is to prevent any financial instability in its markets as it attempts to undermine US hegemony.

US – China Comparison

In spite of the numerous deficiencies of Chinese government behavior (especially towards its own people), its acumen in establishing relationships throughout the Middle East without using military force can be characterized as highly impressive. Contrast that with the US and its consistent failed policy of invasion in the name of ‘fighting terrorists’. Sixteen years of US occupation has left Afghanistan as a failed state where the Taliban control roughly 40% of the country and opium production has risen from 185 tons in 2001 to 3,300 tons in 2015 despite the US spending $8.4 billion in counter narcotics programs. Equally troubling is President Trump’s recent decision to break his campaign promise and raise troop levels in Afghanistan. His deference to the military industrial complex has garnered meaningless praise from many of the same people who have supported these failed policies.
As Democrats and their compliant media hyped the fake Russian hacking narrative (updated to Russian collusion), Russia has only become more unified with China to counter US power. While China has economic issues of debt and ghost cities, the US is gripped in a state of chaos as it has:

  • An illusion of a healthy economy (due to central bank manipulation) and in contrast to the reality of a failing economy with fake economic data published by a corrupt government (Even David Stockman, former Reagan administration budget director, asks ‘How can there be “full-employment” at 4.4% unemployment claimed by the BLS and the Fed’s monetary central planners, when there are 103 million adults without jobs?’)
  • Dire circumstances for many as anywhere from 49% of Americans to 78% of all American full-time workers live paycheck to paycheck
  • A likely cost of $150 to $180 billion from Hurricane Harvey that will be added to a national debt of approximately $20 trillion
  • Death threats made by ‘deep state’ members against its president on a regular basis
  • An Attorney General that is too scared or compromised to follow the rule of law and proceed with justice and who has no problem instituting a widely criticized a policy that abuses its citizens

Conclusion

The repercussions of a Saudi move to side with China should not come as any surprise but will affect everyone in the world. For years, Dr. Ron Paul has warned about the end of the petrodollar system causing the US dollar to lose its world’s reserve currency status and to subsequently collapse. As a result, Russia would immediately demand the end of a US presence in Syria. This could be followed by the withdrawal of US troops from Iraq, Turkey and other countries. In the midst of great uncertainty, some may use the event to their advantage. The Kurdish population could feel emboldened and seize the opportunity to declare an independent state. In this case, Israel would be the beneficiary as a new Kurdish state would counter the looming threat from Iran.

Originally Published on News with Chai.