Honduras Ratchets Up Battle With Crypto-Libertarian Investors, Rejects World Bank Court
Honduras Ratchets Up Battle With Crypto-Libertarian Investors, Rejects World Bank Court
After the Honduran president repealed a law granting unfettered authority to outside investors, the crypto groups took the dispute to World Bank arbitration court.
This is the best summary I could come up with:
The crypto crew is exploiting a dispute mechanism nested inside the World Bank, created by an obscure provision of the Central America Free Trade Agreement.
“We view the withdrawal as a critical defence of Honduran democracy and an important step toward its sustainable development,” reads the letter, which was organized by Progressive International, a left-leaning coalition.
“For decades, international arbitration courts like ICSID have allowed corporations to sue states and restrict their freedom to regulate in favour of consumers, workers and the environment.
“Between 2004 and 2019, the defendant secured and distributed millions of dollars in drug-derived bribes to Juan Orlando Hernandez, former Honduran President Porfirio Lobo Sosa and other politicians associated with Honduras’s National Party,” prosecutors wrote.
The U.S. had no evident problem with that freewheeling narco-state while Hernandez was in office and remained useful, yet once Castro took power in a backlash to the U.S.-fueled corruption, the United States suddenly rediscovered its respect for the rule of law and the sanctity of contracts with U.S. investors.
Colindres claimed that the ZEDEs had resulted in more than $100 million in foreign investment so far, and that Castro had not gotten approval from the National Congress to withdraw from the World Bank’s dispute body.
The original article contains 1,685 words, the summary contains 204 words. Saved 88%. I'm a bot and I'm open source!
The U.S. had no evident problem with that freewheeling narco-state while Hernandez was in office and remained useful, yet once Castro took power in a backlash to the U.S.-fueled corruption, the United States suddenly rediscovered its respect for the rule of law and the sanctity of contracts with U.S. investors.
A tale as old as the CIA
I haven't seen any explanation of why the current Honduras is so dead set on shutting down Prospera. At worst, the development is not an economic success, and the cost is borne by the investors. At best, it creates an economic boon to Honduras. Seems like a no-lose proposition, the same reasoning behind many other special economic zones around the world. The only explanation I can think of for the Honduras government continuing to chase this issue is ideological/political hostility. It feels like their energy would be much better spent elsewhere.
I haven't seen any explanation of why the current Honduras is so dead set on shutting down Prospera
Then you clearly haven't read and understood the article you're replying to.
At worst, the development is not an economic success, and the cost is borne by the investors. At best, it creates an economic boon to Honduras.
You can't possibly believe that bullshit yourself. Do you work for Prospera or are you shilling for free?
Seems like a no-lose proposition, the same reasoning behind many other special economic zones around the world
"Special economic zones" are specifically made to circumvent regulations meant to protect and otherwise benefit workers and consumers to maximize corporate profits while minimizing corporate risk. Their very existence is harmful to regular people.
The only explanation I can think of for the Honduras government continuing to chase this issue is ideological/political hostility
Yeah, some of us have ideologies that put the interests of the majority of people over the interests of the ultra-rich and their corporations. Baffling to a corporate shill like yourself, I'm sure.
It feels like their energy would be much better spent elsewhere.
Than protecting their people from corporations looting their country? Not really, no.
In the real world, sensible governments know that getting companies to make investments is a good thing, not a bad thing. Over in the States, Joe Biden is making the investment incentives of the IRA the centrepiece of his re-election campaign. That's why it's remarkable to see a government actively trying to drive away investors.
This is an organized crime scheme to wash drug money and fuel right wing paramilitary so yes hondurans will pay.
This is the shit RICO act protect US citizens from. And the law is a shit now used in union busting still better than a corrupt arbitration court.
