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Date Posted: 10:47:07 10/29/07 Mon
Author: briefing
Subject: October 29, 2007

ICLC BRIEFING INTERNATIONAL VERSION

[A7-44-1/BFG001]:BFG:L: [07/10/28][06:1 ]AM BRIEFING, ENGLISH
STAND:[1.1.00/ ][0.1.00/ ][ . . / ] [00: ]MESSAGES, ICLC EXECUTI
SUBJT:[5.0.00/ ][4.0.00/ ][3.0.00/ ] [23: ]AREA SECTOR INTEL
TOPIC:[060.000 :AM BRIEFING ] [71:1 ]LAROUCHE PAC
SUB-T:[061.000 :AM BRIEFING, ENGLISH ]
TITLE:[BRIEFING FOR MONDAY OCTOBER 29 2007] 1 of Pages

SYNOPSIS:

TO: ALL POINTS BY: PAUL GALLAGHER/DAVID CHERRY
RE: MORNING BRIEFING FOR MONDAY OCTOBER 29 2007

+---------------------------------------------------------------+
| |
| |
| MORNING BRIEFING |
| |
| Monday, October 29, 2007 |
| |
| |
+---------------------------------------------------------------+


LEADERSHIP VS. MS.LEADERSHIP IN A DEPRESSION COLLAPSE CRISIS

The escalation of the HBPA drive we carried out over the weekend
in Loudoun County, adding to the serious mobilizations already
underway in various states in our regions of the country, is
exactly the response we have to make to the Pelosi Ms.Leadership,
the Rohatyn-Shultz-Kennedy machine disaster that Lyn has exposed
so forcefully over the past 48 hours.
With financial collapse underway, the "shocking" report on
foreclosures chaos and economic losses that came out of the Joint
Economic Committee of Congress at the end of the week, only
ironically underlines that Congress has enacted {nothing} to
build a firewall against this; and the JEC report of Schumer et
al. just repeated the same worse-than-nothing recommendations as
before. The Pelosi-Reid leadership said all this was "emergency"
at their Oct. 3 press conference--they've moved nothing one inch
since then--and these recommendations are worse than useless, as
economists and expert reports have told them. The New York Times
woke up to that reality in its lead editorial yesterday--and it
added, Hank Paulson's MLEC blunder won't function either.
But the Congress doesn't lift a finger, as it didn't to save
auto, and its public approval sinks below Bush's and even
Cheney's.
LaRouche's warning that this leadership Pelosi represents is
opening the door for a President "Ghoul-iani" is right on target.
Rudy Giuliani (New York's Arnie Schwarzenegger) is matching
Cheney word for word on bombing Iran, on no limits on
surveillance of Americans, even on publicly endorsing
waterboarding torture. Don't forget, one columnist reminded
yesterday, Giuliani tried his damndest to cancel the New York
City election two months after 9/11, and remain mayor by fiat,
illegally.
Cheney's perpetual war in Southwest Asia looks more and more
like drawing Turkey into Iraq in the current crisis, while the
British press continue to egg Bush on--when are you going to
attack Iran? Isn't the Iraq situation "stable" enough now to
attack Iran?
So LaRouche leadership--kicking Congress' ass all over the
country on HBPA--is the one, right thing to do.
Our mobilization is stirring up Loudoun County, Virginia,
called `Housing Bubble Ground Zero' by Lyn. The drive is not only
getting people in Loudoun to call on the county or Leesburg town
governments for resolutions in support of the HBPA (one member of
the County Board of Supervisors has publicly endorsed the HBPA).
It is also "getting under the surface" of the nation's "richest
county," to the horror stories of foreclosures, unsellable
speculative and residential homes, victimization of recent
Hispanic homeowners, and even homelessness.
With a skyrocketting escalation of home prices and real
estate values from 2000-2006, and plenty of Federal government
employment and contracting from nearby Washington, D.C., Loudoun
became the county with the highest median income in the United
States in 2005 and 2006. All through that "property boom," and
earlier, LaRouche warned county leaders and business interests
that turning Loudoun into one huge mortgage bubble, pushing out
light industry and farming, would destroy it.
Now, in late 2007, Loudoun's median home value has fallen by
6% in a year, there is a year-long inventory of unsold homes,
foreclosures have leaped by 1000% for two years running, and a
$100 million revenue hole has opened up in the county's $1.5
billion budget.
Sunday, 16 churches around the county were visited with
thousands of copies of a leaflet for the HPBA, and one exposing
operations by Blackwater, Inc. and its owners to try to turn
Loudoun County politics to immigrant-bashing hatred. At least one
man who had received the leaflet drove straight to the LPAC
office to contribute support. Hundreds of county residents,
contacts of LPAC from post offices and offices of the Department
of Motor Vehicles all over Northern Virginia in recent months,
were called up and mobilized for funds and for support of HBPA in
the local governments, and future meetings. Sixteen people gave
financial support on the spot. There was general excitement that
LPAC had mobilized at the churches in the morning, and that
someone was getting to what is really happening to the county,
and doing something about it. We organized all of them on the
danger that the Democrats' current "Ms.Leadership" poses to the
nation.
"We kicked ass today in Loudoun County," said the
mobilization's coordinator, "and everybody had a great time."


- NEWS SUMMARIES -

- LaRouche -

PHILIPPINES WIRE SERVICE REPORTS LAROUCHE REPRESENTATIVE
MICHAEL BILLINGTON'S ANTI-IMF CALL (see slug).

LPAC MOBILIZATION `KICKED ASS IN LOUDOUN COUNTY' FOR THE
HOMEOWNERS AND BANK PROTECTION ACT (see slug).

- Economics -

SCHUMER'S GLOOMY JEC REPORT ON FORECLOSURES IS ACTUALLY `WAY
TOO OPTIMISTIC' AND INEFFECTIVE (see slug).

REALITY STRIKES NEW YORK TIMES: NO ACTION BY CONGRESS
AGAINST FORECLOSURES (see slug).

RECORD NUMBER OF EMPTY, OWNED HOMES IN THE UNITED STATES AS
FORECLOSURE INCREASE, HOMES BECOME UNSELLABLE (see slug).

AUTO SECTOR COLLAPSE: FORD WILL DEMAND 10,000 MORE JOB CUTS
FROM UAW (see slug).

DOLLAR FALLS TO RECORD LOWS AS THE FED GEARS THE MONEY
PRESSES FOR HYPERINFLATION (see slug).

- United States -

WHY THE REPUBLICAN RIGHT WING SUPPORTS `GHOUL-IANI' FOR
PRESIDENT (see slug).

THERE WERE DEMONSTRATIONS FOR WITHDRAWAL FROM IRAQ IN
AMERICAN CITIES ON SATURDAY, with tens of thousands marching in
Chicago, San Francisco, and New York, organized by an Oct. 27
Coalition of a number of groups.

- Ibero-America -

CHILEAN CONGRESSIONAL DELEGATIONS TOUR FRANCE, RUSSIA TO
EXPLORE NUCLEAR ENERGY OPTION (see slug)

- Europe/Russia -

RUSSIA AND UNITED STATES CALL FOR ALL STATES TO BAN
INTERMEDIATE RANGE MISSILES (see slug).

BRITS TAUNT BUSH TO BOMB IRAN (see slug).

BBC GOES AFTER BLAIR FOR IRAQ DISASTER (see slug).

- Southwest Asia -

CHENEY PERPETUAL WAR SCENARIO ABOUT TO BRING IN TURKEY (see
slug).


ECONOMICS AND FINANCE

Philippines Press Report LaRouche Anti-IMF Call

Oct. 28 (LPAC)--A Philippines national news service reported
Lyndon LaRouche associate Mike Billington's call for the
Philippines to pull "out of the clutches of the IMF." ABS-CBN
News.com, under the headline, "RP Urged To Declare Debt
Moratorium," said that "An American economist on Monday urged
President Arroyo to pull the country `out of the clutches' of the
International Monetary Fund (IMF) and declare a debt moratorium.
"The President was warned that if she fails to do so the
Philippines would face fiscal hardships that may lead to a
collapse of the economy," ABS-CBN reported. "During a press
conference of the Philippine LaRouche Society in Quezon City,
Mike Billington of the LaRouche Movement's Executive Intelligence
Review publication said the Philippines is being forced by the
IMF to squeeze its population's `lifeblood' by demanding that the
government adhere to the fund's policies." [ron]

Dollar Falls to Record Lows as the Fed Gears the Money Presses to
Hyperinflation

Oct. 28 (LPAC)--The U.S. dollar declined against 15 of the 16
major currencies this week, in part on expectations that the
Federal Reserve will start up the money printing presses again by
lowering the interest rate--likely by another half percentage
point--at its Oct. 31 meeting.
The U.S. Dollar Index, measuring the dollar's performance
against six major currencies, has lost 8 percent in 2007 and set
a record low of 76.977 on Oct. 26, according to Bloomberg News.
The dollar hit an all-time low of $1.4395 against the euro
yesterday, down five percent in just over two weeks.
Gold hit a record high Friday of $783.50 per troy ounce on
the New York spot market. Gold is also rising steadily against
the euro. [lmh]

Schumer's Gloomy JEC Report on Foreclosures Is Actually `Way Too
Optimistic' and Ineffective

Oct. 28 (LPAC)--The Oct. 25 report on the U.S. mortgage blowout
of the congressional Joint Economic Committee (JEC), says that
American households will lose $100 billion in their housing
"wealth" by the end of 2008, and another 2 million of them could
lose their homes to foreclosure.
But the JEC, headed by Sen. Charles Schumer (D-NY), is being
way too optimistic about the wreckage from the mortgage bubble
collapse, say economists like Jon Haveman, former senior
economist of the President's Council of Economic Advisors.
"Things are getting exponentially worse. Home prices have only
now started to drop. They have a ways to go," Haveman told the
San Francisco Chronicle.
The JEC estimated that California families would lose about
$24 billion as prices fall and foreclosures surge, but they're
reckoning on home price drops reaching 8-10% at most by the end
of 2008, as the National Association of Realtors does. But
national median home prices are already nearly 10% below their
January-February 2007 peak, and year-to-year drops that large
will be reported by the end of this year. At the JEC's recent
hearing, housing economist Robert G. Shiller told them he was
modelling a 20% national home price fall, historically a
completely unprecedented development. And Shiller acknowledged,
that it could get worse than that.
Schumer's JEC report also says that states around the
country will lose about $1 billion in tax revenue; an unrealistic
figure considering that Florida, for example, is in special
legislative session because it has already sprung a $1 billion
tax revenue hole due to the mortgage meltdown.
Worst are the recommendations for action in the JEC report:
boosting foreclosure-prevention counselling; allowing Fannie Mae
and Freddie Mac to purchase more mortgages temporarily; changing
the bankruptcy code to let homeowners choose "bankruptcy rather
than foreclosure"; fighting predatory lending practices,
eliminating pre-payment penalties.
These proposals were all introduced in Congress in August
and September; none have been enacted; and none would stop the
foreclosure wave. Schumer personally forecasts 15,000
foreclosures in New York City next year, and can see firsthand
that major international banks, holding mortgage-backed
securities, are foreclosing from afar with no possibility of
"negotiating a refinancing." In fact, in Cleveland, the biggest
forecloser is Deutsche Bank--with no office anywhere in
Ohio--with nearly 600 foreclosed homes, and 40-50 more every
month. Deutsche Bank is also the biggest forecloser in New York
City. [pbg]

New York Times Notices: No Action by Congress Against
Foreclosures

Oct. 28 (LPAC)--It was just about one month ago now, on Oct. 3,
that the entire Democratic leadership of Congress--House Speaker
Nancy Pelosi and Senate Majority leader Harry Reid, and economic
committee chairmen Sen. Christopher Dodd, Rep. Barney Frank, Sen.
Charles Schumer, Rep. Rahm Emanuel--held a special press
conference to announce that "emergency" action to stop nationwide
mass home foreclosures, was a top priority.
Since that time, none of the measures which were then
already introduced in Congress dealing with the foreclosure
tsunami, have moved at all. The proposal to use the Federal
Housing Administration to help refinance mortgages before they
foreclose, has not even gotten {into} Dodd's Senate Banking
Committee, let alone out of it. The Senate legislative proposals
to let bankruptcy judges "reform" mortgages and prevent
foreclosures, have not moved. The House-passed legislation to
expand the capital of Fannie Mae and Freddie Mac has not been
heard in the Senate; and so on.
On Oct. 26, the Joint Economic Committee of Congress issued
a fat report on the huge devastation of the mortgage collapse
--American homeowners will lose $100 billion in personal wealth
as 2 million of them lose their homes, it said--and repeated all
the same recommendations for action which have gone nowhere since
the beginning of October!
The reason? None of these ideas has a chance of stopping
foreclosures in a mortgage market collapse of this magnitude.
Foreclosures have to be stopped by stopping them, by law, as
proposed only in Lyndon LaRouche's principles of a Homeowners and
Bank Protection Act.
The Oct. 28 New York Times, in its lead editorial, has taken
note of this point. The editorial confirms that the Congressional
ideas won't work; that Countrywide Financial Corp.'s promise to
refinance 82,000 of its mortgages, one at a time, won't work;
that Treasury Secretary Paulson's Master Liquidity Conduit to
save the big banks won't work. The Times proposes, that Paulson
get behind the desperation proposal of FDIC chairman Sheila Baer,
two weeks ago, that 1.5 million or more adjustable rate mortgages
(ARMs) just be frozen, right now, at their initial rates, and not
allowed to adjust upward.
While Baer's idea of "freezing" these mortgages echoes one
point of LaRouche's three principles for protecting homeowners
and banks, it falls far short of the "firewall" to protect the
economy from the mortgage-bubble collapse, which Congress must
enact.
The whole LaRouche proposal is the only one that will work.
[pbg]

Record Number of Empty Homes as Foreclosures Increase

Oct. 27 (LPAC)--According to the U.S. Census Bureau, there were a
record 2.1 million owned homes that were standing empty at the
end of the third quarter 2007, "as lenders took possession of a
growing number of properties in foreclosure." In addition, many
of these homes are vacant because the owners have had to move,
while being unable to sell the house. The total represents 2.8%
of all owned homes in the country, whereas a decade ago, 1.5%
were empty.
At the same time, homeownership has fallen from its peak of
69.1% of households in 2003, to 68.1% now--back to the level of
2000, again according to the Census Bureau. Since the Cheney-Bush
Administration took office in January 2001, homeownership in the
United States has actually fallen by 0.1%--despite a vast bubble
of nearly $15 trillion in mortgage originations and more than $6
trillion in mortgage-backed securities issued since 2002!
In addition to the owned homes, some 4 million rental
dwellings--for year-round living, leaving out temporary or
seasonal dwellings--were empty, more than 10% of the total of
such dwellings. Here too, the waves of foreclosures are having an
impact, because foreclosed multi-family dwellings are nearly
always emptied by the foreclosing company. [pbg]

Auto Sector Collapse: Ford Will Demand 10,000 More Job Cuts from
UAW

Oct. 28 (LPAC)--The U.S. auto sector, the primary remaining
machine-tool capability in the U.S. economy, has lost a net
350,000 jobs since 2000, and is now about to lose more jobs and
plants. After a Chrysler contract--just narrowly approved by a
roughly 53% vote of United Auto Workers (UAW) members--which
leaves unsecured the future operation of most of Chrysler's
assembly and engine plants, Ford Motor Company will demand that
the UAW agree to 10,000 more job cuts in its new contract,
according to sources of the Detroit News. Ford has already
eliminated 27,000 production jobs in just the past two and one
half years, and has taken on so much new debt in that period that
it clearly faces the threat of bankruptcy.
Nearly 100 auto assembly, production, and parts supply
plants in North America have closed or been put on the chopping
block since the beginning of 2005, when Lyndon LaRouche and
LaRouche PAC mobilized to urge Congress to intervene and rescue
this irreplaceable capacity by giving it the mission of building
new national economic infrastructure. These plants, large and
small, comprise over 80 million square feet of the best-tooled
productive plant remaining in America's deindustrialized economy.
Yet Congress has not lifted a finger to save it.
The continuing reports of falling auto sales during 2006 and
2007 show that the automakers' production cutbacks are
futile--they cannot "sell their way out" of their debt crisis.
Sales projections for October are in the range of 1.2 million
cars and light trucks, according to Edmunds.com and other auto
analysis firms. If this total is matched in November and
December, which are low sales months, the auto industry will have
sold less than 16 million cars in 2007 for the first time since
1995; and its sales will have dropped nearly 10% since 2000. With
the mortgage-bubble debt collapse now hitting households hard,
this drop is accelerating. [pbg]

UNITED STATES

Why the GOP Right Wing Supports `Ghoul-iani' for President

Oct. 28 (LPAC)--Right-wing Republican Presidential candidate Rudy
"Ghoul-iani" went to Midland, Texas, on Oct. 27 and repeated Vice
President Dick Cheney's Oct. 20 threat to attack Iran, word for
word, saying "The military option is {not} off the table ...
America will not allow [Iran] to become a nuclear power."
Giuliani and his advisors have been virtually promising the media
that he will bomb Iran if he gets into office. Giuliani had also,
two days earlier in New York, declared that waterboarding is not
torture ("It depends on how it's done...") and should be used;
and called for no limits on warrantless spying on Americans in
the United States, by the NSA and the Pentagon.
Media pundits continue to claim they are "amazed" by
Giuliani's widespread support among the most right-wing Christian
fundamentalist Republican voters. An Oct. 28 op-ed in the
Washington Post by Rutgers historian David Greenberg, who lives
in New York City (NYC), ridicules the media for this, pronouncing
Giuliani the most right-wing of the Republican candidates.
Greenberg reminds readers that Giuliani tried hard, after
9/11, to put off the NYC mayoral election scheduled two months
later, and stay in office himself, illegally, by fiat, claiming
that he was the only person who could handle the mayor's job in
the crisis. His foreign policy stance is based on war, especially
on war against Iran; he has blocked the release of any of his
mayoral papers or records, without even bothering to assert
executive privilege; he wanted to send NYC public students into
Catholic Church-run charter schools involuntarily; and he is for
unlimited police and national security powers for an indefinite
period of time.
All the members of the `Ghoul-iani' campaign's Justice
Advisory Committee are in the Federalist Society, founded on
admiration for Nazi Jurist Carl Schmitt's ideas. They are former
Solicitor General Ted Olson, Federalist founder Steven Calabresi,
and Miguel Estrada.
Media pundits profess disbelief that Giuliani has 69%
approval among Christian fundy voters, but this is the way it
will be, says Greenberg.
And Giuliani is what Nancy Pelosi's Democratic Ms.Leadership
of Congress could put into the Presidency, warns Lyndon LaRouche.
[pbg]

IBERO-AMERICA

Chilean Congressmen Tour France, Russia to Explore Nuclear Power
Option for Their Country

Oct. 28 (LPAC)--Chilean congressional delegations toured France
and Russia this past week, to visit both nations' nuclear plants,
and to discuss with both government and energy sector officials
how they might cooperate to help resolve Chile's desperate energy
crisis.
Pressure on President Michelle Bachelet to consider nuclear
energy has been building in intensity, particularly since the
commission of scientists she mandated to study the feasibility of
nuclear energy delivered its study to her with a reportedly
favorable recommendation. Unfortunately, Bachelet has chosen to
keep the report's contents secret.
The head of that commission, physicist Jorge Zanelli,
travelled in France with other commission members and with
congressmen from the House Mining and Energy Commission, who
visited the Penly nuclear reactor in Normandy, and met with
officials from the EDF electricity giant, among others.
In Russia, during a four-day tour that concluded Oct. 26,
members of the Senate's Mining and Energy Commission met with
leaders of the State Duma as well as with the president of the
Federal Atomic Energy Agency, Rosatom, and experts from
Atomstroyexport, which specializes in building nuclear reactors
abroad. After touring the Nizhniy Novgorod and Balakovo nuclear
reactors, they expressed the hope that Russia's state energy
companies could contribute their expertise to Chile, not only in
the nuclear sector, but also for oil and gas development as well.
The parliamentarians also held a lively dialogue with their
Russian counterparts on important strategic developments,
involving Eastern Europe, Asia, and Ibero-America. [crr]

EUROPE/RUSSIA

Russia and U.S. Call for All States to Ban Intermediate Range
Missiles

Oct. 28 (LPAC)--The United States and Russia have issued a joint
declaration urging all countries to destroy intermediate range
nuclear missiles. Russia has been pressing the United States to
rewrite the Intermediate Range Nuclear Forces (INF) Treaty to
include countries other than those of the former Soviet Union and
the United States; otherwise, the Putin government has said, it
will withdraw from INF, since it will be the only nation in all
Eurasia which is observing it.
The U.S. agreement apparently meets this key demand.
The declaration was released Oct. 25 in New York and
published by both the U.S. State Department and the Russian
foreign ministry. The short text notes that December 8, 2007,
will be the 20th anniversary of the treaty between the Soviet
Union and U.S., which banned ground-launched ballistic and cruise
missiles with ranges between 500 and 5,500 kilometers.
By late May 1991, the USSR and the United States had
destroyed all missiles of these two classes along with all
supporting infrastructure under strict verification procedures,
the joint declaration says. [lmh]

Brits Taunt Bush to Bomb Iran

Oct. 28 (LPAC)--"Will Bush Really Bomb Iran?" is the provocative
headline on the lead story in Rupert Murdoch's {Sunday Times} of
London today. The Murdoch-owned sister daily, {The Times},
yesterday featured neo-Con pod-person Norman Podhoretz
campaigning for a strike.
Today's article cites an emergency request to Congress from
the Air Force to equip the B-2 stealth bomber to be able to carry
the massive bunker buster weapon known as Big Blu, which would be
used to destroy underground nuclear research facilities. A
Pentagon source warns that, "This is for real now."
Murdoch's rag then provides justification for an attack: The
Iranian man-in-the-street now expects an attack, and Americans
expect it too. Controversy over the Iraq war is fading in
America, and stability is coming to Iraq, according to Murdoch's
warmongering fantasy. Gordon Brown's promise that Britain would
lead the fight for tough sanctions in the UN are also cited.
Maybe it is just an elaborate game of "chicken," but Bush
may do it, the {Sunday Times} hopefully concludes.
Perhaps even George Bush is smart enough to smell a British
set-up in such manipulations. But then again, maybe not. [lmh]

BBC Goes After Blair for Iraq Disaster

Oct. 28 (LPAC)--Tony Blair, then British Prime Minister, knew
there were no plans for how to govern Iraq after the allied
invasion, but went ahead anyway. That is the thrust of a two-part
exposé to be aired tonight and tomorrow on Britain's BBC-1
television.
Blair's friends claim he was let down by the Bush
administration, but the television special provides evidence that
he knew beforehand that a fiasco was building, whose likely
result would be to break Iraq into pieces, and not rebuild it.
He was "tearing his hair out," his former political
secretary Lady Morgan says in the BBC program.
Now even that political asset of Blair's appears to be
wearing thin. [lmh]

SOUTHWEST ASIA

Cheney Perpetual War Scenario May Now Bring In Turkey

Oct. 28 (LPAC)--With 100,000 troops on the border of northern
Iraq, Turkey said today that a military solution to the problem
of Kurdish separatists using bases in Iraq, is on the table.
A Turkish invasion of Iraq would be the next link in the
chain of the British Empire perpetual war scenario, which lies
behind the post-9/11 war drive of Cheney and the U.S. neo-Con
dupes. The problem of the tens of millions of ethnic Kurds
scattered through Turkey, Iran, and northern Iraq, was one of the
powder kegs that Britain's Arab Bureau built into the 1916
Sykes-Picot agreement for the apportionment of spheres of
interest in the Ottoman empire. Now it is detonating.
Turkish-Iraqi talks broke down on Friday, and the Turkish
army sent more equipment to the border Sunday, according to
Reuters news service. Turkey's 100,000 troops are backed by jet
fighters, helicopter gunships, and tanks. Army sources said
Sunday that preparations are now almost complete, according to
Reuters.
Ankara has demanded Iraq hand over members of the Kurdistan
Workers Party (PKK), whom they blame for more than 30,000 Turkish
deaths since the start of the separatist campaign in 1984.
The leader of Iraq's Kurdistan Regional Government, Masoud
Barzani, refuses to hand over anyone "no matter the cost."
However, he said he would not allow PKK officials to use the
Kurdistan region for attacks on Turkey.
Iranian President Ahmadinejad told Iraq that he supported a
crackdown on the PKK, but wanted a peaceful solution, according
to Reuters. Iran has also faced cross-border attacks by the PKK.
[lmh]

*** END OF BRIEFING ***

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