Posts Tagged ‘revolutionary tax’

h1

Mayor urges joint venture between investors and armed Marxist guerrillas

August 30, 2014

Rodrigo Duterte, mayor of the third largest city in the Philippines, is urging the Communist rebels to lease or sell 50,000 to 100,000 hectares of land to a group of Malaysian and Thai investors to use for a palm oil plantation.

According to the Philippine military, Marxist violence in that country led to the deaths of 3,000 people between 2001 and 2009. Yet Mayor Duterte thinks that local rebels in his city can be happily bought off with rents paid by foreign investors.

This is the same mayor who let it slip that he himself has paid revolutionary taxes to these insurgents (a common terrorist financing tactic), and he encouraged corporations to do the same. Just what kind of investors are these who would be willing to make such deals? One suspects that corruption between Duterte and this unnamed group of investors is afoot; backscratching is going. The only good news is that the Communist terrorists themselves don’t seem too interested Duterte’s corrupt deal.

It should be noted that the tendency of businessmen to cave into the demands of terrorists and pay them money is how ISIS rebuilt its capital before beginning to sweep down the Iraqi countryside.

From Davao Today in June:

Duterte urges rebels to engage in palm oil “joint venture” with Malaysian, Thai company

By JOHN RIZLE L. SALIGUMBA

June 13 2014

DAVAO CITY — Mayor Rodrigo Duterte urged New People’s Army guerillas to “bury your guns, or hang it on a tree” and engage into a joint business venture with a Malaysian and Thai entity that is looking for a 100,000-hectare area to plant oil palm and sesame seeds plantation.

With Paquibato District a known “stronghold” of the NPA in northern Davao City, Duterte said a plantation in their mid would be solely offered to the guerrillas to grab the opportunity.

Wa ko mangayo nga ang NPA isurrender ilang armas, tagoan lang nila unya akoy mopagador, sabot mo kung pila ilang pangayuon sa yuta. Kay ilang paliton ang palm oil unya naay trabaho. (I do not ask the NPA to surrender their arms; they just have to hide it. You [NPA] should talk [to investors] how much [rent] you want for the land. They [investors] will buy it and provide jobs),” he said.

Duterte said if the NPA agreed, he guarantees to talk with President Benigno Simeon Aquino III and the Armed Forces of the Philippines about “closing” Paquibato.

“Inyo na, kamo diri ug mga NPA,” said Duterte during the 116th Philippine Independence Day commemoration program he attended in Barangay Paquibato Proper, Paquibato District here.

Duterte was talking about his proposal several times since May this year but it was only lately that he gave the nationalities of the supposed investors. The size of the supposed plantation range from 50,000 to 100,000 hectares, which are figures given by Duterte himself in interviews with the media.

The NPA has not issued any statement yet on Duterte’s offer but the guerrillas have spoken against oil palm plantations in several statements.

The Communist Party of the Philippines refers to the NPA as “‘the tax enforcement agency of the people’s revolutionary government’ as it collects ‘revolutionary taxes’—especially from foreign-owned enterprises—in the regions where it operates.”

h1

Philippines: Marxist rebels make millions from corporate shakedowns

March 7, 2014

The Communist guerrillas of the New People’s Army in the Philippines is still hard at work threatening corporations to pay illegal revolutionary taxes.  And these aren’t just any old corporations—these are companies that have been awarded contracts by the government of the Philippines.  In other words, a portion of Philippine tax dollars that goes to pay government contractors are essentially being siphoned off to enrich the very enemies of that the Philippine military is at war with.  In Mindoro alone, the NPA has netted 100 million Philippine pesos ($2.2 million USD).

Remember, extortion against companies and businessmen is the same phenomenon that once made ETA a powerful force in Spain, and keeps the Taliban in Pakistan afloat today.  See prior Money Jihad coverage of the use of revolutionary taxes to fund terrorism here.

Sooner or later, the payers run out of money or get sick of paying, and that’s when the terrorists ratchet up the violence even further against them.  It’s an extremely dangerous cycle that’s difficult to break.

Read all about it:

NPA gets P100M in ‘revolutionary tax’

Published : Wednesday, February 26, 2014

Written by : Paul M. Gutierrez

“Almost all” private contractors who bagged government contracts in the island province of Mindoro continue to negotiate with the communist New People’s Army (NPA) for their unhampered operations in exchange for the rebels’ so-called “revolutionary tax.”

Brig. Gen. Bobby Calleja, chief of the 203rd Brigade, made the disclosure in a talk with People’s Tonight.

Calleja said recent “subversive documents” they recovered “listed” the names of contractors who are allegedly negotiating with the rebels for the payment.

Specifically, Calleja referred to a “Triple A” (AAA) contractor from Pampanga, who has bagged a major road project in Oriental Mindoro worth almost P1 billion.

At 2 percent of the contract, Calleja said the rebels would easily gain P20 million, which should give the guerillas enough resources to finance their armed struggle against the government at least for the entire Region 4-B (Mimaropa). This armed struggle would enter its 45th year on March 29, the founding date of the NPA.

Overall, the official said the NPA in Mindoro continues to rake in some P100 million each year from their enforced taxation of business establishments and contractors.

The Philippine Army, together with the Philippine National Police, is now hard pressed to stop what they described as the “banditry” and “terroristic activities” of the NPA in Mindoro.

Only last January 24, the guerillas staged a daring ambush in the tourist haven of Puerto Galera, resulting  in the wounding of three soldiers.

Three days before, the group burned down the heavy equipment being used in a road project in the area.

In two incidents last year, on September 7 and November 7, the NPA also burned down the heavy equipment being used for their projects by Jomerias International Corporation and China-Geo Construction, respectively, also for allegedly not heeding their demand for revolutionary tax.

To partly remedy the situation, Calleja said he is calling on the Department of Public Works and Highways (DPWH) and other concerned executive officials to “ban” contractors negotiating with the NPA.

h1

Marxists rebels blackmail Coca-Cola plant

January 19, 2014

The communist guerrillas of the New People’s Army in the Philippines sent letters in late November to major industrial firms in a province of Mindanao demanding that they pay 5 million pesos in revolutionary taxes to the NPA.  Among the extortion targets is a new Coca-Cola plant in Misamis Oriental, one of the most modern bottling facilities in the world.

The demands put the firms in a delicate position.  Multinational corporations with a presence in the Philippines have previously been violently attacked by NPA fighters for nonpayment of revolutionary taxes.  The mayor of a major Philippine city has even encouraged companies to go ahead and pay the taxes.  But, at least elsewhere in the world, multinationals that have gone ahead and met the financial demands of rebels, such as Chiquita in Colombia, have faced prosecution in courts of law and of public opinion for funding terrorism.

Coca-Cola Bottlers Philippines, Inc. and the other firms that have been targeted should refuse to make the payments.  A local police chief, Rogelio Labor, says the companies “have nothing to fear,” because of the presence of the Philippine Army’s 58th Brigade in the region.  That had better be true, or else these businesses would be well-advised to ramp up their own onsite security measures, or just do business elsewhere.

h1

Filipino mayor advises paying off terrorists

January 12, 2014

Rodrigo Duterte, the mayor of Davao City in the Philippines, says that the solution for dealing with extortion threats and “revolutionary taxes” demanded by Marxist and Islamist guerrillas against businesses in the southern Philippines is to pay up.

The stunning advice from the mayor of the third biggest city in the Philippines came during his address at the Davao Trade Expo 2013 on October 17.

Duterte himself has previously been quoted as saying that he’s paid revolutionary taxes personally.

Duterte suggested that the corporations in the region simply factor in the payments to insurgents as part of their costs of doing business.

This woefully misguided approach would only end up increasing the money available to militants to buy more weapons and carry out more attacks.  (This is the same phenomenon that is financing the Pakistani Taliban in Islamabad, Karachi, and Rawalpindi.)  Over time, a strategy of pay-offs would also drive up the amount of revolutionary taxes demanded, eventually draining and discouraging corporations from doing business in the region at all.

Let us hope that Duterte’s ideas do not take hold, and that he advances no higher in Philippine politics.

From Davao Today on Oct. 22, 2013:

NPA taxation a reality, just pay them – Duterte

By DAVAO TODAY

Davao City Mayor Rodrigo Duterte addresses participants of the Davao Trade Expo 2013. (davaotoday.com photo by Medel V. Hernani)

Davao City Mayor Rodrigo Duterte addresses participants of the Davao Trade Expo 2013. (davaotoday.com photo by Medel V. Hernani)

City Mayor Rodrigo Duterte had this advice to agri-business players who might be asked for ‘revolutionary taxes’ by the New People’s Army: just pay them.

The mayor raised this point, along with other concerns on peace and order, in his address during the opening day of the Davao Trade Expo 2013 last Thursday at the SMX Convention Center.

“It’s a fundamental question for business: is it good to do business in the mountains? Do we give in to them?” the mayor asked.

He said as mayor of a city in Mindanao dealing with “revolutionary” and “ideological” groups such as the Communist Party of the Philippines and Moro revolutionary groups, the way to deal with them is to talk to them.

“It’s a matter others want to avoid. But it’s a reality that has to be talked openly, since the NPA is more active now in Region 11, notwithstanding the statements from the AFP (Armed Forces of the Philippines),” Duterte said.

December last year, Duterte drew flak when his pronouncement during a visit at the Communist Party of the Philippines quoted him as saying that he pays revolutionary tax. A youtube video later circulated accusing him of giving P125 million as annual revolutionary taxes.

He clarified that he attended the CPP anniversary at a Typhoon Pablo-affected area where he gave some amount for the typhoon victims; the funds were sourced out from private donors. He said he merely kidded that the funds were the taxes that he would pay to NPAs, but because there was no barangay captain around to receive the donation, he coursed it through local NPA leaders.

In Thursday’s trade expo, Duterte said, “I can talk, but I can’t talk them out of their ideology. You have to realize the Communist Party is entering its 45th year here. You have to admit there’s been historical injustice committed on the people.”

Duterte said the national government should deal with the revolutionary groups by talking peace.

“Crimes I can deal with it. But with the revolutionary (groups), I give it to the (national) government, but here, I advised government not to make arrests of revolutionaries” he said.

As to the NPAs asking taxes he said “I cannot put it to a stop. So factor that in your investments. If you pay to the BIR (Bureau of Internal Revenue), you prepare also for the NPA.” Some participants giggled and smiled on this remark.

Duterte went on and explained that the NPAs are open to discuss terms.

“You give credit to these revolutionaries, you can exchange words and deal with them,” he said, citing experience that the NPA could be negotiated in the release of captured government soldiers and police.

The mayor added his account when the NPA apologized for the grenade attack in a gym in Paquibato district that injured civilians and paid 5,000 pesos for all the victims.

“When they informed me they will pay 5,000 pesos, I said ‘good’. When I asked where they will get the money, they said they will get it from banana planters,” Duterte quipped…

h1

Taliban force businessmen to support jihad

October 18, 2013

Even after formally being out of power for a dozen years, the Taliban has been able to sustain diversified and balanced revenue streams from a wider span of sources than nearly any other terrorist group on earth.  They collect royalties on opium and ordinary crops, taxes on shipments within and beyond Afghanistan, state sponsorship through Pakistan’s ISI spy service, zakat from wealthy Gulf donors siphoned through third party Islamic charities, jizya from Sikhs and other religious minorities in South and Central Asia, and ransoms from ordinary and wealthy Pakistanis—all of which they justify on the basis of Islamic law.

Dawn calls the ransoms “extortion,” which is vibrant and growing enterprise for Mullah Omar’s men:

Terror group sees Islamabad as a lucrative city for extortions

For the last couple of years, the capital city has seen an alarming increase in extortion cases. Unable to trace the culprits, the police say an outlawed terror group is behind the crime.

The banned Tehrik-i-Taliban Pakistan (TTP) has a hand in all the small and big extortion incidents. The terror outfit is involved in extorting money from rich people directly and indirectly, a police officer told Dawn on the condition of anonymity. He added that the TTP was found directly involved in targeting big businessmen, traders and professionals, especially doctors. But these cases were not so rampant.

The disturbing factor is that the TTP was also indirectly encouraging small groups to collect extortions and share the money with it. This racket of splinter groups has widened its activities across the city but most of the cases are not reported to the police on time, he said.

The TTP started getting extortions after its traditional source of foreign funding was either plugged or reduced. In the early days, militant groups in Pakistan and Afghanistan used to receive funds from abroad.

Though the militant groups still receive funds from other countries, they are not sufficient to carry out terror activities. This has forced them to look for other sources of income inside the country, with extortion, kidnapping for ransom and bank robberies being the most lucrative of them.

It was in September 2012 when the police arrested three people in the capital city and unearthed the TTP’s direct involvement in receiving extortions. The network had demanded Rs 6 million as extortion from a trader in the Blue Area.

During investigation, the accused disclosed that they collected extortions from traders and transferred the money to Manchester, UK, through Hundi for onward delivery to the terror network.

In June this year, traders of Sabzi Mandi informed the police that a group of Afghan nationals was forcing extortions from them, but when the police registered a case, the group escaped from the area. During investigation of the case, it was revealed in August that some people in Khana Pul, Sihala and Mandi Mor areas also collected millions of rupees every month and diverted them to militant outfits, the officer added.

The second direct involvement of the TTP in extortion came to light when a business centre in Sihala was attacked a week back. This was the second attack on the centre since July 26.

On June 17, Mohammad Raja Asif, the owner of the centre, received a telephone call in which the caller threatened him to pay Rs100 million. Later, he continued receiving similar calls from different local and Afghan numbers.

On July 26, his business centre was attacked with hand grenades in which his office was damaged. The next day – July 27 – he received another call from an Afghanistan-based number and the caller told him that the attack was the result of his failure to pay the extortion sum.

h1

Marxist rebels go bananas, attack fruit company

August 25, 2013

Left-wing militants have attacked Sumitomo Fruits Corp. (Sumifru) site in the southern Philippines after the business refused to pay the extortion money demanded by the insurgents.  Twenty communist gunmen of the New People’s Army burned six Sumifru trucks and seized equipment from the site.

Financing themselves with revolutionary taxes imposed against corporations and wealthy businessmen is a common tactic of leftist guerrillas including the Kurdish PKK and, until recently, the Basque ETA.  Terrorist groups such as the Taliban and al-Shabaab have employed similar tactics by demanding Islamic taxes from businessmen and shopkeepers within their territory.

A special report from United Press International:

Filipino NPA guerrillas attack Japanese business site

Filipino Communist New Peoples Army guerrillas attacked a Japanese Sumitumo Fruits Co. site in Mindanao.

DAVAO CITY, Philippines, Aug. 14 (UPI) — Filipino communist New Peoples Army guerrillas attacked a Japanese Sumitumo Fruits Co. site in Mindanao, authorities said.

The Sumitumo facility in Bangbang, a village in Mindanao’s North Cotabato province, has been targeted repeatedly.

The Bernama news agency reported Wednesday local authorities believe the attack could have been instigated by the firm’s refusal to pay the NPA’s “revolutionary” tax, exacted from businesses and politicians as the price for doing business.

The NPA, estimated by the Filipino government to have 4,000 members, is the armed wing of the Communist Party of the Philippines and has been battling authorities in Manila and 60 Philippine provinces since 1969.

The geography of the Philippines, which consists of more than 7,000 islands, with the 11 largest making up more than 95 percent of the country’s area, adds to the difficulties of imposing central government control.

Not only do the Philippines suffer from an NPA Communist insurgency, but Muslims militants in Mindanao have been a problem for decades.

Insurgency has a long history in the Philippines.

Islam infiltrated Southeast Asia through traders and Sufis beginning in the 13th century. Unlike its spread in the Middle East, it was a largely peaceful process. This process left the Philippines with approximately 5 percent of its population Muslim, concentrated largely in the southern part of the country.

The NPA’s militancy is not limited to Mindanao…

h1

Al Qaeda makes millions from Mosul shakedowns

July 8, 2013

Merchants, doctors, and sheikhs in northern Iraq are being blackmailed by Al Qaeda to fund martyrdom operations there and in Syria.  At about $1 to $1.5 million in payments per month, Al Qaeda may be grossing between $12 to $18 million a year—a staggering sum for an organization that was on the verge of bankruptcy following the Iraq surge.

During its pre-9/11 heyday, Al Qaeda was pulling in $30 million a year, but had arguably collapsed to $5 million following the invasion of Afghanistan.  Viewed with that trend in mind, the Mosul extortion racket isn’t just a regional threat to Malaki or to Syria, but a reversal of fortunes that puts Al Qaeda back toward the upper echelons of well-funded terrorist groups worldwide.

From the AP via NPR, with some paragraphs omitted for brevity and relevance:

In Northern Iraqi City, Al-Qaida Gathers Strength

by The Associated Press

June 20, 2013

BAGHDAD (AP) — Al-Qaida’s Iraq arm is gathering strength in the restive northern city of Mosul, ramping up its fundraising through gangland-style shakedowns and feeding off anti-government anger as it increasingly carries out attacks with impunity, according to residents and officials.

It is a disturbing development for Iraq’s third-largest city, one of the country’s main gateways to Syria, as al-Qaida in Iraq makes a push to establish itself as a dominant player among the rebels fighting to topple the Syrian regime.

The show of force comes as Mosul residents cast ballots in delayed local elections Thursday that have been marred by intimidation by militants. Al-Qaida’s renewed muscle-flexing is evident in dollar terms too, with one Iraqi official estimating that militants are netting more than $1 million a month in the city through criminal business enterprises…

Other Sunni militant groups, including Ansar al-Islam and the Army of the Men of the Naqshabandi Order, are also active in Ninevah. Mosul is the capital of the Sunni-dominated province.

Al-Qaida’s growing power is particularly worrying because it is thought to be behind the bulk of the bombings across Iraq and because it is trying to assert itself as a player in neighboring Syria’s civil war. The head of al-Qaida’s Iraq arm last week defied the terror network’s central command by insisting that his unit would continue to lay claim to al-Qaida operations in Syria, too.

“We’re definitely concerned about it,” said a U.S. diplomat about the deteriorating security situation in Mosul. The diplomat, who wasn’t authorized to speak on the record, said al-Qaida’s Iraq arm sees an opportunity to try to build support in the area and is “out blowing things up to show that the government can’t protect and serve the people.”

Al-Qaida’s growing strength in Mosul is painfully clear to businessman Safwan al-Moussili. Traders like him say they are once again facing demands from militants to pay protection money or face grave consequences. Merchants say that practice had largely disappeared by the time American troops left in December 2011.

“They tell us: ‘Pay this amount.’ And if it’s higher than before, they say something like: ‘You recently went to China and you imported these materials and you made such and such profits,'” he said. “It seems they know everything about us.”

Small-scale shop owners, goldsmiths, supermarkets, gas stations and pharmacies are all being hit up for money these days.

Al-Moussili and his fellow businessmen feel they have little choice but to pay up. About two months ago, he recalls, one businessman refused to pay, and insurgents planted a bomb inside his shop that killed the man.

“That forced everybody to pay, because we don’t see the security forces doing anything to end this situation,” he said.

Read the rest of this entry ?

Follow

Get every new post delivered to your Inbox.

Join 5,521 other followers