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Media Links: Kiwi killed in drone strike.

datePosted on 17:56, April 17th, 2014 by Pablo

I did interviews on TV 3 and Radio NZ about the drone strike that killed a Kiwi dual citizen in Yemen last year. There are many questions raised by the incident, but time constraints precluded addressing all of them. The headline of the TV 3 interview is misleading of what I actually said. The RNZ interview is more straight forward and has a slightly different angle.

Foreign Policy after the Election.

datePosted on 17:39, April 9th, 2014 by Pablo

Lost amid the distractions of royal visits, Mananet Party circus side-shows and assorted other peripheral issues has been the subject of NZ foreign policy after the September 2014 election. The topic is worth considering beyond the attention it has received so far. In this post I outline some (far from all) of the major areas of convergence and difference in the event a National-led or a Labour-Green coalition wins.

If National wins it will deepen its current two-pronged approach: it will continue with its trade obsession to the detriment of other foreign policy areas such as disarmament, non-proliferation and human rights, and it will strive to deepen its security ties with the US and its close allies, Australia in particular. The trade-for-trade’s sake foreign policy approach will see National return to the bilateral negotiating tale with Russia regardless of what it does in Ukraine or other Russian buffer states, and will see it attempt to garner even a piecemeal or reduced TPP agreement in the face of what are growing obstacles to its ratification (especially US domestic political resistance that sees TPP as a drain on American jobs, but also sovereignty protection concerns in areas such as copyrights, patents and strategic industries in places like Chile, Japan and Singapore). NZ will continue to try and expand its trade relationships with Middle Eastern states in spite of their largely despotic nature, and it will continue to push commodity specialization, niche value-added manufacturing and education provision as areas of competitive advantage.

On a security dimension NZ will continue its return to front-tier, first line military ally status with the US and Australia, and will deepen its intelligence ties within the 5 Eyes signals intelligence network as well as with other pro- US partners and in the field of human intelligence. This will occur whether or not Edward Snowden reveals the full extent of NZ espionage on behalf of 5 Eyes in the months leading up to the election, but the government will find itself under scrutiny and hard pressed to defend the behaviour of the NZ intelligence community in that event. Closer military ties with the US brings with it the risk of involvement in American-led conflicts, but the National approach, as it is with the looming Snowden revelations, is to “wait and see” and deal with the issues as they arise (presumably in more than a crisis management way).

Truth is, under National NZ will become another US security minion. One has to wonder how the Chinese, Indians, Russians and assorted Middle Eastern trading partners feel about that, especially if it is revealed that NZ spies on them on behalf of 5 Eyes..

National will conduct its foreign policy unimpeded by its potential coalition partners. United Future and the Maori Party have zero interest in foreign affairs other than to reaffirm whatever status quo they are part of, and ACT, should it survive, is a National mini-me when it comes to the subject. Winston First will not rock the boat on foreign policy issues so long as a few baubles are thrown its way.

A Green-Labour government will have a slightly different approach, but not one that fundamentally rejects the basic premises of National’s line. The Greens have already begun to soften their stance regarding TPP and trade relations, emphasising their interest in “fair” trade and after-entry protections and guarantees. Labour, which otherwise would have likely continued the thrust of National’s trade strategy, will back away from some of the more foreign-friendly aspects of trade negotiations in order to mollify the Greens, and if Winston First is part of that coalition it may place some restrictions on foreign ownership and investment rights on NZ soil.

Along with the softening of single-minded trade zealotry, a Labour-Green government will attempt to reemphasize NZ’s independent and autonomous diplomatic stance (which has now been fundamentally compromised by the nature of National’s two-pronged approach). This will include attempting to rebuild its reputation and expertise in the fields hollowed out by National’s razoring of the diplomatic corps, although it will be very hard to replace the lost expertise and experience in fields such as chemical and nuclear weapons control, multinational humanitarian aid provision and environmental protection. To do so will require money, training and recruitment, so the time lag and costs of getting back up to speed in those areas are considerable.

With regards to security, the Greens and Labour are in a dilemma. The Greens want to review the entire NZ intelligence community with an eye towards promoting greater oversight and transparency in its operations. That includes a possible repeal of the recently passed GCSB Act and, if some of its members are to be believed, a reconsideration of NZ participation in 5 Eyes. For all its opportunistic protestations about the Dotcom case and GCSB Act, Labour in unlikely to want to see major changes in NZ’s espionage agencies or its relationship with its intelligence partners. It is therefore likely that Labour will agree (as it has said) to a review of the NZ intelligence community without committing itself to adopting any recommendations that may come out of that review. It may also agree to a compromise by which recommendations for greater intelligence agency oversight and accountability are accepted as necessary and overdue in light of recent revelations about the scope and extent of NZ domestic espionage as well as its foreign intelligence operations (all of which will become much more of a public issue if Snowden reveals heretofore denied or unexpected espionage by NZ intelligence agencies).

The same is true for NZ’s burgeoning military alliance with the US. Labour will not want to entirely undo the re-established bilateral military-to-military relations, especially in the fields of humanitarian assistance, search and rescue and perhaps even de-mining, peace-keeping and peace-enforcement operations. The Greens, however, will object to continuing the bilateral military “deepening” project and will oppose NZDF participation in US-led wars (especially those of of choice rather than necessity). The Greens will push to further reduce military expenditures as percentage of GDP (which is currently around 1.1 percent) and will seek to restrict weapons purchases and upgrades as much as possible. That will put it as loggerheads with Labour, which will see the necessity of maintaining a small but effective fighting force for both regional as well as extra-regional deployments, something that in turn will require modernization of the force component as well as good working ties with military allies (which is maintained via joint exercises and cross-national training events).

What that means in practice is that the Greens will not be given ministerial portfolios connected to foreign affairs or security, although they will be assuaged by concessions granted by Labour in other policy areas, to include (however token or cosmetic) intelligence reform.

Minor parties that might be part of the coalition will have little influence on the Labour-Green foreign policy debate. Mana will bark the usual anti-imperialist line but will be ignored by Labour and the Green leadership. Winston First will extract a pound of flesh with regard to the influence of non-Western interests on the NZ economy and NZ’s security commitments but otherwise will toe the Labour foreign policy line. The Maori Party will be irrelevant except where there is international  diplomatic interest in indigenous affairs.

The vote on NZ’s candidacy for a non-permanent seat on the UN Security Council will not be greatly influenced by the election (the UN vote occurs in October). NZ’s chances have risen as of late in the measure that Turkey’s has fallen thanks to the increasingly autocratic and erratic rule of the Erdogan government. Spain, the other rival for the “Europe and other” non-permanent UNSC seat (yes, NZ is not part of Oceania when it comes to such voting), has been tarnished by its economic woes, so NZ’s relative economic and political stability have bolstered its chances by default. Even so, a Labour-Green government will likely be more appealing to the majority of the UN membership given National’s obsequious genuflection to Great Powers on both trade and security.

In sum, foreign policy may be a non-issue in the run up to the elections but that does not mean that it does not matter. Party activists and the public at large would do well to contemplate which direction they would like to see NZ steer towards in its foreign relations, and what international role they envision it should properly play. Otherwise it becomes just another elite game uninformed by the wishes of the majority, which means that when it comes to engaging the world it will be exclusively elite logics that inform the way NZ does so.

 

NATO toasts Putin.

datePosted on 12:18, March 27th, 2014 by Pablo

The end of the Cold War left NATO without its raison d’être. Its creation was predicated on the existence of an existential threat emanating from the USSR, one that would take the military shape of high intensity warfare: waves of armored columns crossing the central European plains backed by massive infantry formations covered by blanketing air cover and even tactical nuclear weapons. NATO was designed as a collective security arrangement whereby superior counter-force on the part of the US and its Northern Hemisphere allies served as a deterrent to Soviet aggression. That strategic orientation was at the heart of the Cold War.

With the Soviet Union gone, so was the need for that strategy. NATO first sought to incorporate, over Russian objections, former Warsaw Pact states into its embrace. Poland, Hungary and the Czech Republic joined first, followed by  Estonia, Latvia, Lithuania, Slovenia, Slovakia, Bulgaria, Romania and, most recently, Albania and Croatia. It shifted its focus towards multinational peace-keeping and peace-enforcement, irregular low-intensity conflict operations such as those in Kosovo in the late 1990s (the size, scope, pace, depth and range of weapons used in kinetic operations determine the relative intensity of combat). Later it cast its collective gaze further afield, involving itself in the International Security Assistance Force occupation of Afghanistan and the ouster of the Gaddafi regime in Libya.

The irony is that these strategic shifts did nothing to allay Russian concerns that NATO’s  primary focus remained on curtailing its ability to project force to its West and South, but in Western capitals the belief was that NATO needed to re-boot given the shifting geopolitical landscape and strategic priorities of the late 20th and early 21st centuries.

None of the new NATO missions substituted for those designed to counter the threat posed by the Soviet-led Warsaw Pact, and with the exception of the US, this was reflected in diminishing defense budgets, numbers of uniformed personnel and overall military significance within policy-making circles in member states. However it tried to redefine its core mission, NATO was increasingly seen by elites and public alike as a security organization without a purpose. Many felt that it should be disbanded and replaced by more flexible military agreements that would eliminate the costs of maintaining a permanent NATO infrastructure in Brussels and annually contributing, both militarily and financially, to its operations. It was believed in some quarters that this could be done without significantly impacting on any nation’s self-defense in what was seen as a largely benign European strategic environment where conflicts were more intra-rather than inter-state in nature.

It was for that reason that I penned this column as part of my late “Word from Afar” series as Scoop.

Now, thanks to the Russian invasion and annexation of Crimea, that has changed. In the eyes of its champions, NATO is once again confronted by hostile Russians on its Eastern flanks. Not surprisingly, US and European military-security officials, especially but not exclusively in places like Poland, have been quick to raise the specter of Russian imperialism in the former Eastern European bloc, calling for a revitalization of NATO’s original primary and core concern: containing the Bear.

The justification for NATO revitalization is based on the belief that Putin will not stop in Crimea or even the Eastern Ukraine, but has intentions to at the very least “Finlandize” a number of former Soviet Republics on Russia’s border that he feels have gotten too politically close to the EU and their Western neighbors. Given that the uprising in Ukraine was seen as a vote in favor of closer ties with the EU, the Russian response in Crimea is taken as indicative of its approach towards other “pro-EU” governments in its near abroad.

Just as Putin was able to capitalize on Russian nationalism as a generator of support for the invasion of Crimea, so too can conservative politicians in many European states use his actions as a catalyst for nationalistic appeals. Fear of the Bear is widespread and often visceral in many parts of Europe, especially those that suffered under Soviet occupation or at the hands of Soviet troops during the Great War. They and their descendants provide receptive audiences for anti-Russian appeals made on both politically opportunistic as well as principled grounds.

This is music to the ears of European defense bureaucrats, even if the US is not quite as capable of shouldering the burden of their collective defense in the measure that it once used to. For European security elites, the good ole days of robust defense spending, new weapons acquisitions, force expansion and significant military say in national policy making are now set to replace the politics of austerity and neglect that characterized the post Cold War period. Security decision-makers will make the argument that resurgent Russia is as much a threat today as it was back during the Cold War, even if its reach is now more regional than global in scope and its power is derived as much from its energy exports as it is from its military capabilities. Their argument will dove-tail nicely with those of anti-Russian nationalists, so the die is set for another re-casting of NATO’s mould.

Of course, while NATO went through contortions of re-defining itself after the Cold War, Russian strategists continued to focus primarily on defending their land borders and promoting Russian influence in neighboring states so as to provide a buffer to would-be aggressors, particularly from the West. For the Russians the “liberation” of Crimea is just a natural and justified reaction to the steady erosion of Russian influence in regions in which it has core historical, cultural and political interests. It is this “natural” reaction that has prompted the calls for NATO’s strategic re-orientation, which in turn means that the two strategic visions have once again been counterpoised.

This will be welcomed by Russian military and NATO officials because it marks the return to the common logics of collective defense that justify their positions and the arguments for counter-force deterrence that bound them together in opposition during the Cold War. However, for the citizens affected by a return to Cold War logics the prospects may not be so rosy.

Whatever the case, there are bound to be more than a  few NATO officials quietly hoisting a glass in honor of Vladimir Putin, for it is is he who has given them importance once again.

Playing Checkers on a Chessboard.

datePosted on 12:32, March 3rd, 2014 by Pablo

So John Kerry says that Russia’s military intervention in Crimea demonstrates that it is acting “in 19th-century fashion by invading another country on (a) completely trumped-up pretext.” He goes on to say that “It’s an incredible act of aggression,” and threatens Russia with expulsion from the G8 and a raft of sanctions.

My oh my. I realize that an essential element of politics and diplomacy is to be able to lie with a straight face and turn hypocrisy into an art form, but this really is up there on the chutzpah scale. Has someone pointed out to Mr. Kerry that this incredible act of aggression has resulted in zero deaths, unlike, say, some other military interventions over the last ten years? In any event, such rubbish is about all that the US has left when it comes to effectively replying to the Russian gambit.

Before I delve into why Putin is playing a larger game while the US reacts and responds simplistically, let me ask a couple of questions. Does military intervention by an autocracy feel any different from military intervention by a democracy on the part of those being occupied? And if the locals welcome the intervention even if their government does not (and in Crimea both the regional government and locals overwhelmingly welcome the Russian intervention), does that legitimate the use of force against a sovereign state?

Putin’s move reiterates his resolve to protect Russian interests and ethnic Russians along its borders. Already proven in Georgia, this latest move secures Russia’s strategic interests by defending its warm water naval bases in Crimea as well as the local Russian population. If extended to Eastern Ukraine where ethnic Russians are a majority, it could well provide a significant, albeit riskier bargaining chip for the Russian leader. His time window is relatively short, but if played right the strategic gains for Russia could be significant.

For example, withdrawal of Russian troops from the Crimea and/or Eastern Ukraine could be traded off for more than the continuation of a pro-Russian status quo in Kiev. The Russians can tie such a withdrawal to better terms for the Assad regime in Syria (where Russian strategic interests are also at stake), and even more- favorable-to-Russia terms for dealing with the Iranian nuclear program (which the Russians have an interest in given the larger interest in maintaining Iran as a buffer against Western influence in the Middle East). The Russians also have numerous points of contention with the West (particularly the US) in its near abroad, particularly in Central Asia amongst the various “Stans.”  Any of these can be used as bargaining chips in the negotiations to secure a Russian withdrawal from the Ukraine.

The ball is the Russian court, They have presented the West with a fait accompli in the guise of boots on the ground. They are going nowhere soon and will not be dislodged by force.

Why? because after nearly two decades of continuous war the US is exhausted of fighting. GOP and Fox News chickenhawks notwithstanding, the US public has no stomach for another fight and the US military is suffering from a slow burning crisis of morale than has been seen in gross ethical lapses from command to barracks across all of the armed services, to say nothing of the 20-30 military suicides per month and the epidemic of PTSD amongst young veterans. The US may still have a technological edge when it comes to weapons systems and a more experienced combat force, but its strategic interests in Ukraine are less than those of Russia and its emotive stake in a Ukrainian conflict is closer to zero when compared with that of Russian troops defending their ethnic kin living in Ukraine.

Then there is the small matter of escalation should the US and its allies get involved, which given the relative stakes and nuclear arsenals sitting at the top of each side’s weapons pile, is as good a deterrent as any.

If the US will not respond with force, then no one else will. NATO troops will go on alert, but even an increased supply of weaponry or foreign military advisors to the Kiev government will risk Russian retaliation beyond what the Europeans will find acceptable. If the Ukrainians go to war, no one will come to their defense other than to provide covert logistics and intelligence. But that will not be enough to overcome the Russian military advantage, although it might raise the costs of it remaining in Ukraine for a long period of time. So counter-force is not a real option.

As for the idea that the CIA somehow orchestrated the Ukrainian uprisings as part of some master plan (a theory put forth by at least one Left commentator), well let’s just say that the recriminations with the Beltway about a lack of warning, to say nothing of this outcome, would suggest not. In fact, the contrary is true: given the ethnic tensions within and Russian historical ties to and strategic interest in the Ukraine, the failures of intelligence and diplomatic reporting when it comes to assessing possible outcomes have been major (if for no other reason than this is the stuff of basic comparative foreign policy research). That means that Western intelligence services also will have limited to no effective say in the eventual resolution of the crisis–they will just report on developments as they occur.

The Budapest Memorandum of 1994 (signed by the US, UK, Russia and the Ukraine), which pledged non-interference in and respect for Ukrainian sovereignty in exchange for it giving up nuclear weapons on its soil, is a dead letter. It is not a Treaty and has no enforcement mechanisms other than what each country or countries choose to impose on each other. The Russians claim that the right to self-defense supersedes the memorandum, and that the presence of military bases and citizens in Crimea give Moscow the right to militarily intervene in their defense against Ukrainian aggression, even if done preemptively. In fact, if the Russians wanted to be really cynical they could invoke the “responsibility to protect (R2P)” doctrine that was used by NATO in Libya to justify its intervention against the Gaddafi regime (and R2P does not need UN sanction to be invoked).

Kerry flaps his jaws about expelling Russia from the G8 and imposing sanctions on Russian businesses. The EU makes lapdog noises about “serious consequences.” Does anyone think that Putin is cowed by those remarks? In fact, if anything the day of reckoning is upon Europe, not Russia. For instance, Germany is seriously dependent on Russian energy imports and has re-calibrated its foreign policy in recent years towards Russia. What is it going to do  now, abandon all of that in order to make a point about the Ukraine?

Diplomatically, Russia has the upper hand has the upper hand here and it involves (but is not limited to) its relations with Europe and the US.

As for the issue of economic sanctions threatened by Mr. Kerry.

Russian capital has flowed out of the mother country and is now invested–seriously invested–all over the world, to include places like the UK, Singapore, Dubai and the US. Are these states seriously going to consider freezing the assets of those who have made such investments? Will there be a united response when it comes to sanctions or will it be fragmented, porous and ineffectual?

Russia is not Cuba, South Africa, Iraq under Hussein or even Iran and North Korea today. Imposing sanctions on it is a far more difficult proposition, both in terms of getting states and private entities to adhere to any sanctions regime as well as with regards to Russian retaliatory capabilities.

Russian energy supplies are a lifeblood for many countries as well as Russia itself. States that choose to genuinely hurt Russia economically do so at their peril.

The UN will condemn the intervention and resolutions will be introduced in the Security Council to that effect. Russia will veto them. Nothing concrete will be done. If it were to get kicked out the G8–which is a long shot–then Russia can turn to the G20 for diplomatic support. Among its members are nations not entirely enthused about the US, UK and other colonial powers, so it is easy to suppose that its response will be lukewarm to any proposed sanctions or collective punishment.

Bilaterally, it will be hard for all but the most powerful nations to do anything meaningful to Russia. Perhaps countries will issue statements of regret and disappointment, perhaps even suspend talks on items of mutual interest, perhaps even recall or expel an ambassador. But symbolism aside, does anyone think this is going to sway Putin one way or the other?

Putin has a domestic constituency to consider. He may rule from behind a rigged electoral facade but he does represent a specific, and fairly broad constellation of Russian interests. These interests converge when it comes to defending Russia’s borders and near abroad, as well as Russians living outside the motherland. These constituents matter far more to Putin than the likes of David Cameron or John Kerry.

For all these (and several more) reasons, the Russians have the dominant hand in this situation. They will use it to extract concessions on matters of concern to them in exchange for an eventual, likely phased and partial withdrawal from Ukrainian territory. Their strategic interests will be reaffirmed and recognized by their adversaries.

Barring a miscalculation or over-reach on Putin’s part that would bog his troops down in a protracted war (which would inevitably be irregular, unconventional and asymmetrical given the forces involved), Russia stands to gain most from what basically amounted to a window of opportunity created by the Ukrainian uprising.

Policy-makers in Western capitals should have thought about this before rather than after Putin made his move.

 

Dismissing Skullduggery.

datePosted on 11:16, March 1st, 2014 by Pablo

The latest Snowden leaks reveal that the British signals intelligence outfit GCHQ held a top secret conference in 2012 where it briefed its Five Eyes partners on an array of cyber “dirty tricks” that could be used against opponents. These included a range of hacking techniques, to include denial of service overloads, false on-line identities, “spoofing,” manipulation and alteration of on-line data and even the tried and true method of luring targets into so-called “honey traps” via social media.

The operative terms in such operations are encapsulated in the Four “D’s:” deny, disrupt, degrade and deceive.

Needless to say, there was the usual hue and cry when the news went public. Civil libertarians are incensed. Privacy advocates are outraged.

My reaction was “so what?” This is typical counter-intelligence, disinformation and psychological operations (pysops) taken to a new technological level (there is a positive side to psyops, something that is most commonly associated with so-called “hearts and minds” campaigns, but that is not the objective here). Instead, this program replicates what hackers already do on a regular basis and parallels similar programs run by the signals intelligence services of many countries. The conference just drew together the various aspects and strands of cyber naughtiness into a package made available to the Five Eyes members. The presentation (as provided by journalist Glenn Greenwald) is here: https://firstlook.org/theintercept/2014/02/24/jtrig-manipulation/.

Needless to say, New Zealand’s signals organizations, the GCSB, as well as the SIS and perhaps other security/intelligence units such as those of the police, have been granted access to this program. Government denials of such are just another smokescreen designed to hide the full extent of what NZ spy agencies can (and) do.

I was interviewed on Radio Nw Zealand about this. I pretty much said what I have mentioned above and pointed out that the real damaging news is soon to come: revelations about who NZ spies on, which, if Snowden holds true to form, will include allies as well as trading partners and perhaps even the Chinese. The interview is here: http://www.radionz.co.nz/audio/player/2587171.

After my interview former GCSB director Bruce Ferguson was interviewed. What he said was remarkable. He claimed that he knew of no such programs and that as far as he knew the GCSB did not engage in illegal activities. He dismissed my views by saying that some people give too much credit to NZ spy agency capabilities. He also claimed that the Russians and Chinese engage in similar behavior.

Let’s deconstruct this. The “dirty tricks” conference was held in 2012 and Ferguson left the GCSB in 2009. Perhaps he was unaware of the conference and during his time no such “dirty tricks” programs were operated by the GCSB. During his tenure cyber espionage was not the priority focus that it is today, so perhaps that is true insofar as using hacking techniques on social media and other cyber targets is concerned.

He says that as far as he knows the GCSB has done nothing illegal. That flies in the face of the illegal spying on Kim Dotcom (even the government admits the tapping of Dotcom’s phones by the GCSB was in fact unlawful) and the revelations that the GCSB misled parliament in its most recent annual report as to the number of warrants and operations it was engaged in (which the government claims was a simple error rather a purposeful deception). This latest embarrassment occurs after the publication of the Kitteridge Report on GCSB failures and the appointment of a new director charged with addressing and correcting them (Kitteridge is now the director of the SIS).

So, contrary to Bruce Ferguson’s claims, the GCSB has committed at least a few illegal acts, but perhaps not during his tenure as director. I leave it for readers to make judgement on that.

Whatever the truth, I believe that we can safely assume that the GCSB employs aspects of the “dirty tricks” program against foreign and perhaps domestic targets (the SIS certainly does in the latter case). I see this as par for the course given the current state of Five Eyes signals intelligence collection. I am not particularly fussed by the revelations, perhaps because it is just a technological extension of what always has been the norm in the world of intelligence and espionage.

What I do believe, as I have said many times before, is that these latest revelations are just the tip of the iceberg when it comes to NZ intelligence operations, and that Snowden, via his circle of investigative journalists, will publish far more damaging information about the role and extent of GCSB spying in the months to come.

It is time for the NZ government, if not the NZ public, to come to grips with that fact and prepare accordingly, because my suspicion is that the repercussions will be damaging and not necessarily confined to the diplomatic arena.

 

Monitoring Syrians and Supplicants.

datePosted on 12:14, February 14th, 2014 by Pablo

The subject of spying is back in the news this week, but the coverage has been inadequate. Allow me to clarify some issues, first with regard to those who want to join the Syrian conflict and second with regard to politicians trying to ingratiate themselves with Kim Dotcom.

Contrary to the thrust of the coverage, not all those seeking to join the Syrian conflict are Syrian or descendants of Syrians. The Syrian War is a civil war between Shiia and Sunnis, where the minority Alawite-backed Assad regime is fighting to maintain its grip over a majority Sunni population (Alawites are a sub-sect of Shiia Islam). For a variety of affective and strategic reasons Iran (a very large Shiia dominant country) supports the Assad regime while Sunni-controlled Saudi Arabia and Gulf oligarchies back the armed opposition. This opposition is divided into what can be loosely called secular moderates (such as those grouped in the Free Syrian Army) and Islamicists (such as those in the al-Nusra Front and Al-Qaeda in Iraq and the Levant).

The latter have come to dominate the military side of the opposition due to their superior combat skills and determination. Their ranks include Sunni internationalists from all over the world (including New Zealand) who see joining the struggle as a religious imperative. Egyptians, Jordanians, Pakistanis, Britons, Australians and French nationals are among those fighting in Islamicist ranks. That has led to serious clashes with the moderate secularists (who do not have as many internationalists in their ranks, although there are some), to the point that the fighting between the armed opposition factions has allowed the Assad regime to re-gain the upper hand in the overall struggle after being near collapse just six months ago.

Where the armed opposition is winning, it is the Islamicists who are doing so.

In the last nine months the Prime Minister has made repeated reference to would-be New Zealand jihadis joining the fight in Syria. Some are already there and others have been barred from going. They may or may not be Syrian in origin, but his use of the “Syrian trump card” is a naked political ploy designed to use fear-mongering as a justification for extension of domestic espionage and, perhaps, as a way of pre-emptively steeling public opinion against the negative consequences of the inevitable revelations from Edward Snowden about New Zealand’s foreign espionage role within the Five Eyes/Echelon signals intelligence collection network. The trouble with the PM’s ploy is that the proclaimed threat does not match the facts.

According to the government ten New Zealand passports have been revoked since 2005 and a handful of Kiwis are in Syria fighting. The PM makes it sound as if all these have associations with extremist Islam. Perhaps they do, but the Syrian conflict only heated up as of early 2012, so the Syrian card does not explain why passports were cancelled prior to that. Moreover, the PM says that passports were cancelled in order to prevent “radicalized” Kiwis from returning and making trouble at home. That begs the question as to what the frustrated wanna-be jihadis are going to do now that their plans are thwarted and they are forced to remain in the country under heavy scrutiny.

A Syrian community spokesman has said that two brothers had their passports revoked after their parents informed authorities of their plans to travel back home to join the fight. He also accused the PM and his government of “racial discrimination.” The latter claim is ridiculous and shows a gross misunderstanding of how democratic governance works. John Key did not personally order the revocation of any passports nor does he have the power to rescind the cancellation order. New Zealand authorities did not cancel the brother’s passports because they were Syrian but because of their purported intentions. They did not target the entire Syrian community for who they are.

In fact, under current legislation the government is well within its rights to revoke passports on the grounds that the individuals involved intend to become or are part of a criminal enterprise, of which terrorism is one. Since the Islamicists fighting in Syria are considered terrorist organizations by the New Zealand government, any intent to join them could be construed as an attempt to engage in criminal activity. One might argue that the definition of terrorism is too broad (and I believe that it is), but as things stand the government’s concern about returning, combat experienced jihadis is a legitimate motive for canceling passports.

I shall leave aside the fact that the chances of survival of those joining the Syrian conflict is quite low* and they are being monitored in any event, so mitigating the potential threat posed by returning jihadis is not as formidable as Mr. Key implies. There are technical means of tracking the location of passports, and the individuals who are in Syria or want to go there have been identified already via domestic intelligence gathering. In fact, allowing suspects to travel while being secretly monitored is a standard intelligence collection method, so one can reasonably assume that the handful of Kiwi internationalists in Syria as well as their as of yet to travel brethren are the focus of both human and signals intelligence collection efforts by local espionage agencies in conjunction with foreign counterparts.

However, Mr. Key’s repeated public use of the Syrian card certainly has alerted any would-be extremists in the New Zealand Muslim community that they have been infiltrated by the Police and SIS and that there are informants in their midst. In fact, the New Zealand Muslim community is a bit of a sieve since 9/11 because personal, sectarian and financial vendettas as well as legitimate concerns about ideological extremism have seen the accusation of “terrorist” thrown around quite freely within it. This has been well known inside security circles (who have to separate bogus from legitimate accusations of terrorist sympathies), but the PM’s public disclosure has given potential jihadis a clear signal to exercise increased caution and diligence when planning future violence (should there be any).

The most important issue, however, is the selective application of the passport revocation authority. If would-be Islamic internationalists have not been convicted of crimes in New Zealand, and barring clear evidence that they intend to engage in crime abroad, then they should be allowed free passage to travel. If they engage in war crimes or crimes against humanity during a foreign conflict (be it in Syria or elsewhere), they can be charged upon their return, or even detained on the suspicion of complicity in said crimes. This is not a far-fetched speculation because both the Assad regime and its armed opposition have committed a raft of atrocities that fall under both definitions of illegal war-time behavior.

This applies equally to those who may choose to join non-Islamicist groups in other foreign conflicts (for example, by joining Christian militias in the Central African Republic), so specifically targeting those intending to go to Syria to fight is, in fact, selective if not discriminatory application of the relevant law. As far as following the Australian example and making it illegal to join a foreign conflict under penalty of imprisonment or revocation of citizenship, one can only hope not.

The simple fact is that would-be jihadis and other internationalists should be free to join any foreign conflict. They assume the risk of doing so and understand that they give up the diplomatic protections usually reserved for citizens traveling abroad. Should they be deemed a potential threat upon their return (in the event that they do), then it is the responsibility of local law enforcement and intelligence agencies to mitigate that threat within the rule of law. As I have alluded to above, that is not particularly hard to do in the New Zealand context.

As for politicians meeting with Dotcom, the issue is far more simple than sinister. Dotcom is a NZ permanent resident who is a fugitive from US justice still under extradition warrant (which is being argued in court). The authorities may well consider him a flight risk because he certainly has the means to do so. They may believe that he is continuing his criminal associations or practices while his court case is being heard (I shall refrain from making bad jokes about those who have flocked to his side during the GCSB Bill debates, or about the politicians who have knocked on his door). Given his penchant for partying and those he associates with when doing so, they may want to catch him in possession of illegal drugs.

Thus the Police would have legitimate reason to run ongoing surveillance operations on him, and can do so legally with or without the help of the SIS and now, thanks to the passage of the GCSB Bill, the GCSB. In doing so, they would monitor and record the comings and goings of visitors to his mansion, with that information passed up the chain of command.

That is why Mr Key’s version of how he came to know about Mr. Peters’ treks to the Coatesville property is odd. He claims that he got his information about Dotcom’s political visitors from Cameron Slater working with or independently from a Herald gossip columnist. That is troubling.

The Right Honorable John Key is the Minister of Intelligence and Security, so presumably he is aware of the status of security operations and the Dotcom case in particular given its history. But he claims that he received domestic espionage information about Dotcoms’s visitors from a right-wing, admittedly partisan “attack” blogger, rather than from the security agencies for which he is responsible and who have a legal right to monitor Mr. Dotcom. That is a sign of incompetence or willful ignorance on his part.

I have shares in a Bolivian gold mine I am willing to sell at a very affordable price to readers who believe a sociopath was the first source of the Dotcom visit data provided to the PM.  Perhaps I am wrong and it is simply too much for domestic law enforcement and intelligence agencies to pursue the monitoring of Dotcom for a supposed copyright infringement when so many Syrian-focused terrorists abound. But given the amount of resources expended and the reputational stakes involved, it would not be surprising and in fact legal for security agencies to do so.

I would suggest that if people like Winston Peters are concerned about being spied on when visiting Mr. Dotcom, then they should look at their own roles in allowing that to happen. Since 9/11 the legal powers and practical reach of the domestic espionage apparatus have been increased incrementally yet extensively under both Labour and National governments. Other than a relatively small number of Left activists and the Green Party (as well as ACT while Rodney Hide was still around to lead it), neither the majority public or the majority of political parties did anything to oppose this extension.

In fact, although Labour party figures and Winston Peters joined Kim Dotcom on the stage at various anti-GCSB Bill protests last year, and the bow-tied buffoon with a pompadour posing as a political party objected to having his personal communications accessed during the course of an investigation into leaks of confidential government information, Labour is responsible for the majority of the extensions and Dunne and Peters supported all of them. National has merely deepened the trend towards a surveillance society.

Hence, whatever Labour, NZ First or United Future may say now as a way of partisan point-scoring, they are full accomplices in the erosion of Kiwi privacy rights over the last decade. Any current whinging about violations of their personal and the larger collective privacy should be dismissed as cowardly rank hypocrisy.

In any event, when it comes to intrusions on basic freedoms of association, privacy and travel, not only Syrians living in New Zealand have reason to feel aggrieved.

* This is due to the immutable Buchanan rule of ground warfare: if you are firing your weapon over your head, or firing blindly around corners in the general direction of the enemy, you will not last long once s/he closes in. Should that rule be miraculously violated without consequence, the fifth Buchanan rule of asymmetrical warfare comes into effect: strapping explosives or amulets to your body in the hope of divine intervention is based on a false premise.

Media Link: Snowden, Spying and New Zealand.

datePosted on 10:55, December 3rd, 2013 by Pablo

In a New Zealand Herald op ed I discuss Edward Snowden’s actions and their implications for New Zealand. It is possible that he may not be what he claims to be, but whether he is or not, there will be inevitable consequences for New Zealand stemming from his leaks.

The deal within the deal.

datePosted on 15:18, November 26th, 2013 by Pablo

There are several things to consider when digesting news about the recently signed nuclear limitation agreement between Iran and the P5+1 countries (the UNSC permanent members US, UK, France, China and Russia plus Germany, with the EU as a mediator/facilitator). First, what is publicly announced about international agreements is not always all that is agreed upon. Often times what is not publicly disclosed is as or more important than the announced terms.

Second, actors given majority credit for an international agreement may not have been as decisive as they and their home media would like the public to believe.

Third, no agreement stands alone or occurs in a vacuum: other geopolitical and strategic considerations are bound to frame and influence the terms of the finalized compact.

The agreement between Iran, EU and six world powers on the conditions by which Iran would de-weaponize its nuclear research program in exchange for a temporary relief from international sanctions is a case in point. The agreement is for six months, with an eye to negotiating a more permanent contract at the end of that period. The 7 billion dollars in sanctions relief is not a huge amount by global standards, but significant in that it demonstrates the effectiveness of the sanctions regime imposed on Iran as well as its the flexibility of it (since it can be reimposed in the event Iran reneges on its promises).

The technical details are pretty straight forward: Iran agrees to suspend the enrichment of natural uranium (U238) beyond five percent and to neutralize its stockpile of 20 percent enriched uranium (U235). This is a step away from weaponization because most weapons grade U235 is enriched above 80 percent, which is relatively easy to produce if 20 percent enriched U235 is on hand. Most civilian nuclear energy programs use 3 to 5 percent enriched U235 fuel, thereby making weaponization more time consuming and costly. The agreement therefore does not interfere with Iran’s ability to enrich uranium for civilian power production.

Iran will also curb its use and purchase of centrifuges employed for said enrichment as well as suspend the heavy water reactor extraction methods used to produce plutonium. The entire Iranian nuclear complex will be placed under tighter international inspection controls.

The Western media has variously described the deal as a “US-Iran” or “Iran-Western” accord, but the importance of China and Russia should not be ignored. Both of these powers have friendly relations with Teheran and have supplied it with weapons and diplomatic support. They were not at the meetings in Geneva to serve as props for the US and UK. In fact, their presence in the negotiations should be considered to be decisive rather than incidental, to the point that they may have had a large say in the broader issues being bargained over that eventually sealed the deal.

What might those issues be? That brings up the larger geopolitical and strategic context.

Iran, as is well known, is a major patron of the Assad regime in Syria, currently engaged in a civil war against a Sunni opposition backed by the West and Sunni Arab states. The Assad regime receives funding, weapons and direct combat support from the Iranian Revolutionary Guards and Hizbollah, the Lebanese Shiia militia that serves as an Iranian proxy and power multiplier in the Levant. Assad also receives weapons from Russia, which has a naval base at the port of Tartus and which considers the Assad regime as its closest Arab ally.

Should Assad fall, not only Russia but more importantly Iran will lose a major source of power projection in the region. This would suit Israel and the Sunni Arab world, as Iran is seen as an existential threat by Israeli and Arab Sunni elites alike. Defeating Assad will pave the way for Israel to turn its military gaze more directly on Hizbollah, something that will not meet with much opposition from the West or the Sunni Arab elites. Israel is less concerned about the radical nature of a future Sunni government in Syria or the fragmentation of that country into sectarian enclaves, as the heterogenous rebel coalition now fighting Assad will be consumed by factional in-fighting that will limit its ability to project meaningful military force across its borders whether Syria as presently constituted remains intact or not. Sunni Arab elites will welcome a Sunni dominance in Syria as another bulwark against Shiia influence in the eastern Mediterranean, again, whether Syria retains its present boundaries or divides into smaller Sunni states.

However, it has become increasingly clear that the leading rebel groups in Syria are led by al-Qaeda inspired jihadis who are as bad if not worse than the Assad regime when it comes to committing callous atrocities against civilians as well as armed opponents. They are people who do not have much regard for the laws of war and who have published videos of themselves gassing dogs using crude chemical weapons (which may have had something to do with the rush to reach agreement on removing Assad’s CW stockpiles in the midst of the civil war), and who have had to apologize for “accidentally” beheading a fellow Sunni rebel leader under the mistaken assumption that he was an Alawite or Shiia Assad supporter (all videotaped, of course). Their atrocities (as well as those of the Assad regime) are well documented in the propaganda war now raging on social media.

Jihadist government in Syria may not be an existential threat to Western, much less global interests, but it is the most visible. It would be the first and most important place outside of Afghanistan where Islamicists fought their way into power (Somalia does not count). That is a significant issue regardless of their actual military power because symbolism matters and diplomacy is as much about symbology as it is about substance.

Following Russia’s lead and over Israeli and Saudi protestations, Western powers have become very alarmed about a possible jihadi victory in Syria, and now see a weakened Assad remaining in power or as part of a brokered coalition as the lesser evil. Hence the previous Western moves to give material and technical assistance to the rebels have slowed considerably while calls for a negotiated solution grow louder. Not surprisingly and following on the success of the Iran nuclear accord, negotiations on the Syrian crisis are now scheduled for January in Geneva, and include the Iranians as interested parties along with those supporting the anti-Assad forces grouped in and around the non-jihadist Syrian National Coalition and Free Syrian Army.

For Iran, this was the bargaining chip. It can agree to temporarily halt its nuclear enrichment efforts in exchange not just for sanctions relief but also in exchange for a reprieve for Assad. As things stood, its nuclear program invited massive preemptive attack and Assad’s fall spelled the end of its geopolitical influence. By agreeing to curtail its nuclear program to verifiable peaceful uses in exchange for a withdrawal of Western aid to the Syrian rebels and sanctions relief, Iran is able to buy Assad enough time to defeat the rebels, thereby maintaining Iran’s influence as a regional power while it re-builds its domestic economy unfettered by sanctions. Israel and the Saudis may not be happy about this, but their narrow interests have been shown to not be coincident with those of their Western allies on a number of strategic issues, Iran being just one of them.

Political scientists would call this the nested game scenario: within the public “game” involving negotiations between Iran and its foreign interlocutors lie other confidential or private “games” that are key to resolving the larger impasse over its nuclear program (Iranian involvement in Iraqi domestic politics might be another). These games are defined as much by those who are excluded as those who are involved in them.

All of this is speculation, and any “nested game” deal on Syria would be part of the non-public aspects of the agreement  and therefore deliberately non-verifiable over the near term absent a leak. But there is enough written between the lines of the public rhetoric to suggest that this may be what is at play rather than a simple compromise on the limits of Iran’s nuclear ambitions.

 

Coleman’s Cultural Cringe Moment.

datePosted on 15:35, October 31st, 2013 by Pablo

For some time I have had the impression that Defense Minister Jonathan Coleman is out of his depth on issues of defense and security, so I was not surprised by his joyful celebration of the signing of a bi-lateral defense pact with the US. Master of the flak jacket photo op, it was all sunshine and roses for Dr. Coleman at the Pentagon press conference, where he emphasized that US and NZDF troops would be training and working together on peacekeeping and humanitarian assistance missions in between group hugs and port visits. He seemed blissfuly unaware that US Defense Secretary Chuck Hagel, standing beside him at the press conference, made no mention of the kumbaya aspects of the bilateral, instead referring to the combat integration benefits of closer military-to-military relations.

What I was surprised at was how provincial and just plain goofy Coleman appeared to be. Among other country bumpkin moments, he dismissed concerns about US spying on New Zealand by referencing an editorial cartoon that had spies falling asleep listening to NZ communications; he outright lied and said that the NZ government would not say anything in private that it would not say in public (which makes its silence on the Trans-Pacific Partnership negotiations all the more suspicious); he never once countenanced the thought that the bilateral might be part of the US strategic pivot towards Asia (in a military way), or that China might view the bilateral with some concern; and for a Pièce de résistance, he whipped out a junior sized All Blacks jersey and foisted it on the unsuspecting Hagel.

The last moment was gold. Hagel acted as if he was not sure what the piece of black cloth was all about. A pirate flag? A tea towel? Something for Halloween? Then Coleman did the most crassly egregious act of sponsor placement I have ever seen in an official government ceremony by turning the jersey to the cameras with all front logos on display (the back had Hagel’s name and the number 1 on it).  AIG and Adidas would not have believed their luck, but what does it say about Dr. Coleman and his government that he/they thought it appropriate to shill for sports team sponsors at such an event?

The usual protocol for government to government exchanges of sporting symbols (most often on the occasion of bi- or multination sporting events) is to keep the colors and national crests but not the commercial logos. Such exchanges are done at the conclusion of formal meetings, with approved media doing the coverage on cue. Otherwise, the exchange is approved at press conference photo opportunities by prior consent. This avoids impromptu, ad lib or extemporaneous embarrassments or hijacks of the media op, to say nothing of security breaches.

On this the ritual of public diplomacy is pretty clear: public posturing and grandstanding is expected, but surprises are not.

In this instance Secretary Hagel was clearly surprised by the unilateral token of affection. He had nothing to give in return in front of the cameras. That means that the NZ embassy in Washington was incompetent, deliberately mean or ignored in the decision as to choice of gift as well as the way in which to present it, because it is brutally clear that Coleman and his staff were clueless as to the symbolism and significance of their preferred option for a unilateral, unscripted gift.

Lets ponder this. Coleman and his staff decided that the best gift to give the US Secretary of Defense on the occasion of signing a major bilateral military agreement ending years of estrangement was a replica jersey for a commonwealth sport barely recognized outside of some hard core devotee circles in the US. He might as well given him a surf lifesaving jersey.

I would have thought that a Mere pounamu, or better yet a Taiaha or Pouwhenua (to signify continued distance), would have been more appropriate for the occasion. With some advance warning (perhaps in consultation with the US embassy in Wellington), such a gift would be appreciated in its full significance by the US counterparts and transmitted as such to the interested public. Instead, the most powerful US civilian decision maker on military matters was given a piece of quick-dry, stretchable artificial cloth with corporate logos as a symbol of New Zealand’s commitment to first-tier military relations.

Coleman compounded the back-handed compliment with the jersey sponsorship display, thereby commercializing the event. To be honest, I could not believe what I was seeing and can only imagine what the Americans thought. I say this because in a former life I was party to such official ceremonies involving the US Defense Department and allied nation officials, and it was simply unimaginable that someone would attempt to push product, however unintentionally, during a symbolic gift exchange. That is why the display was so utterly cringe worthy.

In general though, I was not surprised by Coleman’s hillbilly-in-the-big-city moment. After all, if the Prime Minister, as Minister of Intelligence and Security, says that he cannot be bothered asking the GCSB questions about US spying on its allies, then it is no wonder that Dr. Coleman thinks that US spies are asleep and the US government is up with the play when it comes to the All Black nation.

Espiando nossos amigos (Spying on our friends).

datePosted on 11:58, October 10th, 2013 by Pablo

Well well well.

Edward Snowden has revealed that the Canadian signals intelligence agency Communications Security Establishment Canada (CSEC), a Five Eyes partner of New Zealand’s signals intelligence agency GCSB, has been electronically spying on a communications network operated by the Brazilian mines and energy ministry. Brazil has a strategy of using its natural resources exploitation to become a major power, and the Ministry of Mining and Energy (MME) is the coordination node for that strategy. The network connected the ministry, state run oil and mine companies and private Brazilian energy firms, and was a forum where subjects such as investment strategies, negotiating positions and other sensitive commercial information were discussed. This included comunications with firms such as Petrobras, the Brazilian state-owned oil conglomerate.

Needless to say, the MME communications network, presumably internet and telephonic in nature, would be of value to competitors or others seeking to countervail Brazilian economic growth and power projection. With its own energy sector comprising a vital part of Canada’s economy (often in competition with Brazilian interests), it should not be entirely surprising that the Canadian government authorized this instance of economic espionage.

CSEC shared what it obtained with its Five Eyes partners. That particular revelation follows on the heels of Snowden disclosing that the NSA tapped into the personal as well as official communications of Brazilian President Dilma Rousseff, although it is unclear if these were also shared with the other Five Eyes partners.

The CESC angle is interesting because Brazil is no adversary of the Five Eyes nations (in fact, it has a history of alliance with the US) and because Petrobras is a direct competitor of US and Canadian energy firms in a number of markets, including some in the Asia-Pacific. Petrobras has also been involved in pushing for off-shore oil and gas exploration rights in New Zealand, which means that the New Zealand government is quite possibly privy, in advance and thanks to the Canadians, to the Brazilian’s internal logics and bottom lines with regards to those ventures.

If so, it is possible that the recently passed legislation to severely curtail sea demonstrations against oil and gas exploration in New Zealand waters was motivated not by a direct request from Petrobras and other energy sector actors, but by direct knowledge of its internal concerns about the cost impact of such demonstrations if left unchecked. If this speculation is correct, it would be a twist to the economic espionage tale because the National government used the information gleaned by Echelon to help rather than hinder the activities of a foreign based private firm facing strong domestic opposition.

Whatever the specifics, the Canadian-Brazilian spy saga confirms what Snowden has previously disclosed, which is that the Five Eyes network routinely engages in economic espionage on allies as well as adversaries. Brazil has protested the intrusions vigorously, most recently by calling in the Canadian ambassador in Brasilia to complain about the breach of trust and previously by means of President Rousseff’s scathing speech to the UN General Assembly where she denounced the practice of spying on friends and partners. The Brazilians denunciations are not just rhetoric–they are actively looking for ways to create alternative internet routing systems that can circumvent US dominance of fiber optic cable networks. They have been joined in this initiative by–no surprises here–the Chinese.

Given these revelations, the questions begs as to what the GCSB is doing when it comes to economic espionage on allies or partners as well as adversaries. Given the Canadian revelations and given that Canada is considered to be a junior partner in Echelon/Five Eyes just like New Zealand, by what means does the GCSB do so and does it share the information that it collects with its Five Eyes counterparts?

We must remember that it is already known that the GCSB has eavesdropped on Japanese diplomatic communications regarding whaling and on UN communications in the build up to both Gulf Wars. Although this is a more traditional form of signals intelligence gathering in that it targeted diplomatic intercepts, the communications being intercepted were from a country that New Zealand is friendly with and an organization that New Zealand has been a champion of (and in which it is lobbying for a seat on the Security Council).

The revelations are important because it suggests that economic espionage by the Five Eyes network is pervasive and equally shared amongst the partners.

If I were involved with a Chinese firm, to say nothing of Petrobras and any number of other foreign commercial entities (state or private), I would be concerned about doing business in and with New Zealand given what we now know (so far–there is more to come). Forget milk powder contamination and other production snafus: the real issue is not so much product quality or reliability but whether New Zealand can be trusted to not use its signals intelligence capabilities and network to engage in the type of economic espionage the Canadians and Americans are clearly doing (and one would assume the Australians and British are doing as well). That the GCSB can now do it locally as well as from afar (thanks to the recently passed GCSB Act amendments) should double the concern.

The same concerns might be raised by the eight countries involved in negotiating the Trans-Pacific Partnership (TPP) trade and investment agreement that are not Echelon members. Australia, Canada, New Zealand and the US are parties to the negotiations, which given the Snowden revelations raises questions as to what they might covertly know about the other countries’ negotiating positions and about how much of what they might know is shared exclusively amongst themselves in order to better coordinate their approaches to the negotiations.

It should also be remembered that the NSA used private telecommunications firms and other corporate entities to cast its signals trolling net overseas. Does the GCSB do the same?

Of course, other countries engage in economic espionage. The Chinese, Russians, French and Israelis are known for it. But none of these countries have had their means and targets exposed in public, nor do they have the reach of the Five Eyes network at their disposal.

It is a big difference. If the Chinese, Russians or many others, either directly via state agencies or through  any number of non-state (including corporate) fronts, want to obtain signals intelligence abroad, they have to do so covertly. But the Five Eyes partners freely share their signals intelligence. In other words, non-Five Eyes signals intelligence agencies have to try and sneak through back doors to access the sensitive information of others, whereas the Echelon members freely pass surreptitiously gathered information through the front doors of their respective signals intelligence agencies.

Perhaps that is why the GCSB and TSIC Bills have been pushed so hard and so fast by the National government. The concern was not about terrorism, which served as a good fig leaf. The concern was not just defensive, in countering cyber and signals espionage on New Zealand targets and interests No, the concern was as much if not more offensive in nature in that the new powers of the GCSB facilitates exactly the type of spying that the CSEC was engaged in with regard to Brazil.

More precisely, before the passage of the Bills (I am assuming that the TSIC bill will pass) the GCSB could engage in economic espionage on friendly countries and firms but the legality of it doing so was in question when it came to it engaging in such spying (as well as more traditional types of signals intelligence) on New Zealand soil. Now it can do so legally. Any country or firm not part of the Five Eyes network that proposes to do business with or in New Zealand needs to take account of that.

The bottom line is that the Snowden revelations increasingly point to GCSB involvement in economic espionage of the first order. It may be only a matter of time before he drops a bombshell about the who, what and where of GCSB espionage. For a minuscule isolated nation heavily dependent on trade with foreign partners for its economic prosperity, this could be a potentially disastrous development.

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