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Ukraine Accuses Russia Of Invasion, Considers State Of Emergency After Masked Gunmen Occupy Two Crimean Airports | Zero Hedge
The bizarre events in the Crimea continued overnight, after unidentified masked men but dressed like those who took over the parliament in Simferopol yesterday, took over two airports by blockading one near the Russian naval base in Sevastopol and another in the capital of Simferopol. This prompted the Ukraine’s interior minister Arsen Avakov, to accuse Moscow’s military of blockading the airports, and in a Facebook post, he called the seizure of the Belbek international airport in the Black Sea port of Sevastopol a “military invasion and occupation.” He added: “It is a breach of all international agreements and norms.” As NBC reports, the Interfax news agency quoted Russian military sources as saying the incident at Belbek airport was intended to stop “fighters” flying in. However, Interfax later quoted a Russian official as saying that no units had approached the airport or blockaded it. In a nutshell, Russia continues to push with escalation ever further, and is testing just how far it can and will go without Ukraine responding.
2-3 dozen militiamen at Simferopol #Crimea airport quickly piled into a truck – with no plates – and are leaving. pic.twitter.com/wgcIjvE8jV
— Alexander Marquardt (@MarquardtA) February 28, 2014
Kyivpost has a more detailed account:
Two Crimean airports were taken over by Russian military troops, Interior Minister Arsen Avakov said on Facebook this morning. He said the situation in the autonomous republic has now escalated to “a military intervention” and called on the National Security Council to take urgent steps towards its regulation.
“My assessment of what’s going on is that it’s a military intervention and occupation in violation of all international agreements and norms,” he said in his statement. “This is a direct provocation of bloodshed on the territory of a sovereign state.”
Avakov said that Sevastopol’s military airport Bilbek at night was blocked off by the military units of the Russian navy, which is based in Sevastopol. He said the airport is surrounded by camouflaged military troops with no identification and carrying guns. He said they do not hide their Russian affiliation.
Inside the airport there is a group of Ukrainian soldiers and border guards, and Ukrainian police troops have surrounded the outer perimeter of the airport. “There have been no armed clashes so far,” he said.
The navy base is Sevastopol is key for the Russian army. Under agreements signed between two countries in 2010, the Russian military can continue to use Sevastopol until 2042, with an option of extending the lease to 2047.
Some 70 kilometers away from the coast, in Crimean capital Simferopol, another airport was taken over by a group of about 100 plain-clothed men, who went inside the airport and onto the runway.
“The interior troops and police pushed these people first into the airport building, and then out of the territory. No weapons were used,” Avakov said.
He said that after the armed men left, a new group of camouflaged men arrived around 1:30 in the morning. They carried automatic weapons and had no markings. Avakov said they entered the building and stayed int he restaurant.
“They are not hiding their affiliation with the army of the Russian Federation,” Avakov said. “Told by the Ukrainian Interior Ministry workers that they are military men and have no right to be there, they answer curtly that they have no instructions to negotiate with you.”
Avakov said that so far there have been no clashes, but tension is growing as Ukrainian police troops continue to arrive. “The law enforcement organs cannot oppose the army,” Avakov concluded.
In the meantine, Ukraine is starting to realize that it may have bitten more than it can chew, and as Interfax reported:
- UKRAINE WEIGHS STATE OF EMERGENCY IN CRIMEA: INTERFAX
- RUSSIA BLACK SEA FLEET, HELICOPTERS BREAK UKRAINE ACCORDS: IFX
And the immediate re-escalation:
- RUSSIAN BLACK SEA FLEET SETS UP BALACLAVA BLOCKADE: INTERFAX
Visually:
Coastguard and frigate at entrance to Balaclava bay pic.twitter.com/Yvb69jPtHM
— Christian Fraser (@ForeignCorresp) February 28, 2014
Yet none of this compares to today’s main event when a t 5pm local time, in the Rostov-on-Don Technical University, deposed Ukraine president Yanukovich who is currently in Russia, is expected to hold a press conference. Missing since the beginning of the week, the ousted ukrainian president had fled the country to Russia in the latest days, either by car through the Donetsk region, either escorted by military planes, according to different reports.
We doubt anything he says will difuse the situation.
There Is “No Evidence” We Encouraged Forex Manipulation, Bank of England Says | Zero Hedge
There Is “No Evidence” We Encouraged Forex Manipulation, Bank of England Says | Zero Hedge.
In what has to be the most disappointing denial of central bank manipulation of a market in recent history, and probably never, the Bank of England today announced that it “has seen no evidence to back media allegations that it condoned or was aware of manipulation of reference rates in the foreign exchange market.” As a reminder, last week we reported, that according to a Bloomberg, “Bank of England officials told currency traders it wasn’t improper to share impending customer orders with counterparts at other firms” or, in other words, the highest monetary authority in England, and the oldest modern central bank, explicitly condoned and encouraged manipulation. Fast forward to today when Andrew Bailey, the Bank’s deputy governor and chief executive of the Bank’s Prudential Regulation Authority, told parliament’s Treasury Select Committee on Tuesday it had no evidence to suggest that bank officials in any sense condoned the manipulation of the rate-setting process. In other words, it very well may have… but there just is no evidence – obviously in keeping with the bank’s very strict “smoking manipulation gun document retention policy.”
Then again, such evidence already was presented to UK regulators: “Bloomberg News said on February 7 that the Bank officials told currency traders at the April 2012 meeting that it wasn’t improper to share impending customer orders with counterparts at other firms. A senior trader gave his notes from the meeting to the Financial Conduct Authority, Bloomberg said.”
Hence, Mr Bailey had to modestly revise his statement:
“I should say that we have no evidence yet, and we have not seen the evidence that was in the Bloomberg report,” he added.
He added that the Bank of England review was in close cooperation with the Financial Conduct Authority (FCA), which is also investigating broader allegations of manipulation in the foreign exchange markets.
Which obviously means that should the BOE never be “confronted” with the evidence, and it mysteriously “disappears”, it simply means that one of Mark Carney’s henchmen pulled a few levers at the FCA, and made it disappear: of course, on national security grounds, because should it surface that a central bank is merely a criminal organization, then faith and confidence in the Ponzi system might falter. It would also mean confirm what most people who care about these things know: when it comes to UK governance, the buck stops with Threadneedle. And not only there, but everywhere else too.
The rest of the report is trivial fluff and generic spin:
“The Bank does not condone any form of market manipulation in any context whatsoever,” Bailey told the lawmakers on Tuesday.
“On the evidence we have currently, we have no evidence to substantiate the claim that bank officials in any sense condoned or were informed of price manipulation or the sharing of confidential client information,” Bailey added.
“We’ve released the minutes of that meeting, but obviously there are now allegations that there are different versions of what happened at that meeting,” Bailey said.
Bailey said the claims, which the central bank first heard about last October, were being taken “very seriously” and a full review was now underway, led by the Bank’s internal legal counsel with support from an external counsel.
Perhaps just to confirm how serious the “review” is, Bailey should also release a few photos of the internal and external counsels operating the paper shredders with the passion of 2nd year Arthur Andersen intern.
Its Great Lake Shriveled, Iran Confronts Crisis of Water Supply – NYTimes.com
Its Great Lake Shriveled, Iran Confronts Crisis of Water Supply – NYTimes.com.

LAKE URMIA, Iran — After driving for 15 minutes over the bottom of what was once Iran’s largest lake, a local environmental official stepped out of his truck, pushed his hands deep into his pockets and silently wandered into the great dry plain, as if searching for water he knew he would never find.
Just an hour earlier, on a cold winter day here in western Iran, the official, Hamid Ranaghadr, had recalled how as recently as a decade ago, cruise ships filled with tourists plied the lake’s waters in search of flocks of migrating flamingos.
Now, the ships are rusting in the mud and the flamingos fly over the remains of the lake on their way to more hospitable locales. According to figures compiled by the local environmental office, only 5 percent of the water remains.
Iran is facing a water shortage potentially so serious that officials are making contingency plans for rationing in the greater Tehran area, home to 22 million, and other major cities around the country. President Hassan Rouhani has identified water as a national security issue, and in public speeches in areas struck hardest by the shortage he is promising to “bring the water back.”

Lake Urmia
Experts cite climate change, wasteful irrigation practices and the depletion of groundwater supplies as leading factors in the growing water shortage. In the case of Lake Urmia, they add the completion of a series of dams that choked off a major supply of fresh water flowing from the mountains that tower on either side of the lake.
“Only some years ago the water here was 30 feet deep,” Mr. Ranaghadr said, kicking up dust with each step on the dry lake bed. In the distance, spots of land — once islands where tourists would spend vacations in bungalows overlooking the blue waters — were surrounded by plains of brown mud and sand. “We just emptied it out,” he said with a sigh, stepping back into the car.
Iran’s water troubles extend far beyond Lake Urmia, which as a salt lake was never fit for drinking or agricultural use. Other lakes and major rivers have also been drying up, leading to disputes over water rights, demonstrations and even riots.
Major rivers near Isfahan, in central Iran, and Ahvaz, near the Persian Gulf, have gone dry, as has Hamoun Lake, in the Afghanistan border region. Dust from the dry riverbeds has added to already dangerously high air pollution levels in Iran, home to four of the 10 most polluted cities in the world, the United Nations says.
But nowhere is the crisis more pronounced than at Lake Urmia, once one of the largest salt lakes in the world — at 90 miles long and roughly 35 miles wide, it was slightly larger than Great Salt Lake in Utah. Environmentalists are warning that the dried salt could poison valuable agricultural lands surrounding the lake, and make life miserable for the three million people who live in its vicinity.
Along what used to be a lakeshore boulevard, worn-down snack bars and dressing rooms are testament to the days when people from across Iran would come to water-ski on the lake or cover themselves in its black mud, which is said to have healing powers.
About two decades ago, a local villager, Mokhtar Cheraghi, began to notice the water line receding. “First a hundred meters, then two hundred meters. After a while, we couldn’t see the shoreline anymore,” he said, standing in what was once his thriving cafe, Cheraghi’s Beach. “We kept waiting for the water to return, but it never did.”
Most people in the area blame the half-dozen major dams the government has built in the region for the lake’s disappearance. The dams have greatly reduced the flow of water in the 11 rivers that feed into the lake. As an arid country with numerous lofty mountain chains, Iran has a predilection for dams that extends to the reign of Shah Mohammed Reza Pahlavi.
Dam construction was given renewed emphasis under Mr. Rouhani’s predecessor as president, Mahmoud Ahmadinejad, who as an engineer had a weakness for grand projects. Another driving force is the Islamic Revolutionary Guards Corps, which through its engineering arm, Khatam al-Anbia Construction, builds many of the dams in Iran and surrounding countries.
Half an hour’s drive into the mountains above the city of Urmia stands the mighty Chahchai Dam, collecting water that would otherwise have reached the lake. The dam, finished during Mr. Ahmadinejad’s first term, now holds a huge lake itself, which local farmers use for irrigating their lands.
“Some of Urmia’s water is here,” said Mr. Ranaghadr, raising his voice over the howling winds that blow down from the surrounding snowcapped peaks. “The people here need water, too, is what they say.”
Besides producing badly needed electricity, the dams are intended to address the water shortage. But too often, the water is wasted through inefficient irrigation techniques, particularly spraying, Mr. Ranaghadr and other experts say.
In recent decades, the amount of land dedicated to agriculture in the region, the country’s heartland, has tripled, with many farmers growing particularly thirsty crops like grapes and sugar beets, Mr. Ranaghadr pointed out. His department has calculated that about 90 percent of all the water that should end up in the lake is sprayed on fields.
In a 2005 book that he wrote on national security challenges for Iran, Mr. Rouhani estimated that 92 percent of Iran’s water is used for agriculture, compared with 80 percent in the United States (90 percent in some Western states).
“They turn open the tap, flood the land, without understanding that in our climate most of the water evaporates that way,” said Ali Reza Seyed Ghoreishi, a member of the local water management council. “We need to educate the farmers.”
The lake has also been attacked from underground. As part of the government’s drive to promote local agriculture, large landholdings were divided into smaller plots, and most of the new owners promptly dug new wells, soaking up much of the groundwater.
Ukrainian Currency Plunges As Justice Minister Set To Call For “State Of Emergency” | Zero Hedge
Ukrainian Currency Plunges As Justice Minister Set To Call For “State Of Emergency” | Zero Hedge.
Following the rejection of President Yanukovych’s offers of key positions to opposition leaders (because key demands were not met), unrest is now spreading further into the country’s east, which is seen as Mr Yanukovych’s support base (as we discussed here). As The BBC reports, at least a dozen attempts by protesters to seize government buildings were made with the Justice Ministry successfully over-run. Justice Minister Olena Lukash, an ally of Yanukovych and involved in the negotiations, has called for a “state of emergency” if protesters – who claim “the seizure of the Ministry of Justice is a symbolic act of the people of the uprising. Now, these authorities are stripped of justice,” – do not leave. Furthermore, he said she would be “forced to turn to the Ukrainian president with a request to stop the negotiations unless the justice ministry building is vacated without delay.” The Ukraine Hyrvnia has weakened markedly despite the central bank’s intervention.
The UAH is now at its weakest since September 2009…
This is the biggest plunge in the UAH since August 2009…
Even though – Ukraine’s central bank was selling currency (dollars) today to commercial banks at 8.4 hryvnia per dollar, Interfax reported, citing bank dealers
Ukraine’s justice minister has warned anti-government protesters occupying her ministry she will call for a state of emergency if they do not leave.
Olena Lukash told local media she would ask the National Security and Defence Council to introduce the measures.
The ministry became the latest government building to be occupied on Sunday, with protesters setting up bags of snow as barricades outside.
Unrest and occupations of municipal buildings are spreading across Ukraine.
Buildings have come under attack even in eastern areas, which have traditionally had closer ties with Russia and where President Viktor Yanukovych has enjoyed strong support.
…
“The seizure of the Ministry of Justice is a symbolic act of the people of the uprising. Now, these authorities are stripped of justice,” one protester told reporters.
One of the organisers of the occupation, who gave his name as Oleg, told the Associated Press news agency: “We are not going to do any hooliganism, or have anyone hurt. We are peaceful people, we are for justice.”
But Ms Lukash told Inter TV channel: “If the protesters do not leave the justice ministry building… I will ask the National Security and Defence Council of Ukraine to impose the state of emergency.”
The minister is an ally of President Yanukovych and involved in the ongoing negotiations between the government and protest leaders.
…
She said she would be “forced to turn to the Ukrainian president with a request to stop the negotiations unless the justice ministry building is vacated without delay and the negotiators are given a chance to find a peaceful solution to the conflict”.
…
The fresh unrest comes after opposition leader Arseniy Yatsenyuk rejected President Yanukovych’s offer to appoint him prime minister, saying the key demands must be met.
Although the protest movement – the EuroMaidan – is largely peaceful, a hardcore of radicals have been fighting battles with police away from the main protest camp in Kiev’s Maidan, or Independence Square.
The unrest is now spreading further into the country’s east, which is seen as Mr Yanukovych’s support base.
Iran, Russia Ruffle US Feathers With Oil-Swap Deal | Zero Hedge
Iran, Russia Ruffle US Feathers With Oil-Swap Deal | Zero Hedge.
This morning’s apparent U-turn in US-Iran relations – when the US demanded the UN rescind Iran’s invite to the Syrian peace conference having somewhat instigated their invitation in the first place – is a little confusing for some. However, as OilPrice’s Joao Peixe points out, reports are emerging that Iran and Russia are in talks about a potential $1.5 billion oil-for-goods swap that is sure to upset the powers that be in Washington.
Submitted by Joao Peixe via OilPrice.com,
Reports are emerging that Iran and Russia are in talks about a potential $1.5 billion oil-for-goods swap that could boost Iranian oil exports, prompting harsh responses from Washington, which says such a deal could trigger new US sanctions.
So far, talks are progressing to the point that Russia could purchase up to 500,000 barrels a day of Iranian oil in exchange for Russian equipment and goods, according to Reuters.
“We are concerned about these reports and Secretary (of State John) Kerry directly expressed this concern with (Russian) Foreign Minister (Sergei) Lavrov… If the reports are true, such a deal would raise serious concerns as it would be inconsistent with the terms of the P5+1 agreement with Iran and could potentially trigger US sanctions,” Caitlin Hayden, spokeswoman for the White House National Security Council, told Reuters.
Russian purchases of 500,000 bpd of Iranian crude would lift Iran’s oil exports by 50% and infuse the struggling economy with some $1.5 billion a month, some sources say.
Since sanctions were slapped on Iran in July 2012, exports have fallen by half and Iran is losing up to $5 billion per moth is revenues.
In the meantime, a nuclear agreement reached in November with Iran and world powers is in the process of being finalized, and the news of the potential Russian-Iranian oil swap deal plays to the hands of Iran hawks in Washington who are keen to seen the November agreement collapse.
The November agreement is a six-month deal to lift some trade sanctions if Tehran curtailed its nuclear program. Technical talks on the agreement began last week.
Under the terms of the tentative November nuclear agreement, Iran will be allowed to export only 1 million barrels of oil per day.
In mid-December, Iranian oil officials indicated that they hoped to resume previous production and export levels and would hold talks with international companies to that end.
This announcement sparked an immediate reaction from US Congress, which has threatened oil companies with “severe financial penalties” if they resume business with Iran “prematurely” following the six-month agreement reached in Geneva.
There are plenty of figures in Congress—Republican and Democratic alike—who are opposed to the deal. The key “Iran hawk” in US Congress, South Carolina Republican Lindsey Graham, has described the deal as “so far away from what the end game should look like”, which should be to “stop enrichment”.
The opposition in this case believes any talk between Tehran and Western oil companies is premature because they are convinced that we won’t see a comprehensive resolution after the six-month period, and that sanctions will be laid on stronger than ever before.
Yet again, it would seem, Iran is another proxy pissing match between the US and Russia… and remember, nothing lasts forever...
The FBI Admits its Primary Focus is NOT Law Enforcement | A Lightning War for Liberty
The FBI Admits its Primary Focus is NOT Law Enforcement | A Lightning War for Liberty.
Recently, the FBI made a significant change to its self-proclaimed primary focus in its fact sheet from “law enforcement” to “national security.” This change merely confirms what I and countless others have claimed to be true for quite some time. That the entire regulatory, security and intelligence apparatus of these United States has been redirected away from protecting the Constitution and the rule of law, toward a narrow focus on protecting the economic and social positions of the oligarch class at all costs under the guise of a “war on terror.” We have seen many signs of cronyism at the FBI for decades now, something most accurately pointed out in the priceless image “All My Heroes Have FBI Files.”
While this change to the FBI fact sheet is just confirmation of something we already knew, it’s still mind-boggling to see it shoved right in our faces:
TechDirt covered this story well. Here are some excerpts:
A couple years ago, it was revealed that the FBI noted in one of its “counterterrorism training manuals” that FBI agents could “bend or suspend the law and impinge upon the freedoms of others,” which seemed kind of odd for a government agency who claimed its “primary function” was “law enforcement.” You’d think that playing by the rules would be kind of important. However, as John Hudson at Foreign Policy has noted, at some point last summer, the FBI quietly changed its fact sheet, so that it no longer says that “law enforcement” is its primary function, replacing it with “national security.”
Of course, I thought we already had a “national security” agency — known as the “National Security Agency.” Of course, while this may seem like a minor change, as the article notes, it is the reality behind the scenes. The FBI massively beefed up resources focused on “counterterrorism” and… then let all sorts of other crimes slide. Including crimes much more likely to impact Americans, like financial/white collar fraud.
So… what has the FBI been doing? Well, every time we hear anything about the FBI and counterterrorism, it seems to be a case where the FBI has been spending a ton of resources to concoct completely made up terrorism plots, duping some hapless, totally unconnected person into taking part in this “plot” then arresting him with big bogus headlines about how they “stopped” a terrorist plot that wouldn’t have even existed if the FBI hadn’t set it up in the first place. And this is not something that the FBI has just done a couple times. It’s happened over and over and over and over and over and over and over and over and over and over and over and over again. And those are just the stories that we wrote about that I can find in a quick search. I’m pretty sure there are a bunch more stories that we wrote about, let alone that have happened.
All of these efforts to stop their own damn “plots” screams of an agency that feels it needs to “do something” when there’s really nothing to be done. Thousands of agents were reassigned from stopping real criminals to “counterterrorism” and when they found there were basically no terrorists around, they just started making their own in order to feel like they were doing something… and to have headlines to appease people upstairs. The government seems to have gone collectively insane when it comes to anything related to “terrorism.”
Once again ladies and and gentlemen: USA! USA!
Full article here.
In Liberty,
Mike