Best-selling journalist Antony Loewenstein trav­els across Afghanistan, Pakistan, Haiti, Papua New Guinea, the United States, Britain, Greece, and Australia to witness the reality of disaster capitalism. He discovers how companies such as G4S, Serco, and Halliburton cash in on or­ganized misery in a hidden world of privatized detention centers, militarized private security, aid profiteering, and destructive mining.

Disaster has become big business. Talking to immigrants stuck in limbo in Britain or visiting immigration centers in America, Loewenstein maps the secret networks formed to help cor­porations bleed what profits they can from economic crisis. He debates with Western contractors in Afghanistan, meets the locals in post-earthquake Haiti, and in Greece finds a country at the mercy of vulture profiteers. In Papua New Guinea, he sees a local commu­nity forced to rebel against predatory resource companies and NGOs.

What emerges through Loewenstein’s re­porting is a dark history of multinational corpo­rations that, with the aid of media and political elites, have grown more powerful than national governments. In the twenty-first century, the vulnerable have become the world’s most valu­able commodity. Disaster Capitalism is published by Verso in 2015.

Profits_of_doom_cover_350Vulture capitalism has seen the corporation become more powerful than the state, and yet its work is often done by stealth, supported by political and media elites. The result is privatised wars and outsourced detention centres, mining companies pillaging precious land in developing countries and struggling nations invaded by NGOs and the corporate dollar. Best-selling journalist Antony Loewenstein travels to Afghanistan, Pakistan, Haiti, Papua New Guinea and across Australia to witness the reality of this largely hidden world of privatised detention centres, outsourced aid, destructive resource wars and militarized private security. Who is involved and why? Can it be stopped? What are the alternatives in a globalised world? Profits of Doom, published in 2013 and released in an updated edition in 2014, challenges the fundamentals of our unsustainable way of life and the money-making imperatives driving it. It is released in an updated edition in 2014.
forgodssakecover Four Australian thinkers come together to ask and answer the big questions, such as: What is the nature of the universe? Doesn't religion cause most of the conflict in the world? And Where do we find hope?   We are introduced to different belief systems – Judaism, Christianity, Islam – and to the argument that atheism, like organised religion, has its own compelling logic. And we gain insight into the life events that led each author to their current position.   Jane Caro flirted briefly with spiritual belief, inspired by 19th century literary heroines such as Elizabeth Gaskell and the Bronte sisters. Antony Loewenstein is proudly culturally, yet unconventionally, Jewish. Simon Smart is firmly and resolutely a Christian, but one who has had some of his most profound spiritual moments while surfing. Rachel Woodlock grew up in the alternative embrace of Baha'i belief but became entranced by its older parent religion, Islam.   Provocative, informative and passionately argued, For God's Sakepublished in 2013, encourages us to accept religious differences, but to also challenge more vigorously the beliefs that create discord.  
After Zionism, published in 2012 and 2013 with co-editor Ahmed Moor, brings together some of the world s leading thinkers on the Middle East question to dissect the century-long conflict between Zionism and the Palestinians, and to explore possible forms of a one-state solution. Time has run out for the two-state solution because of the unending and permanent Jewish colonization of Palestinian land. Although deep mistrust exists on both sides of the conflict, growing numbers of Palestinians and Israelis, Jews and Arabs are working together to forge a different, unified future. Progressive and realist ideas are at last gaining a foothold in the discourse, while those influenced by the colonial era have been discredited or abandoned. Whatever the political solution may be, Palestinian and Israeli lives are intertwined, enmeshed, irrevocably. This daring and timely collection includes essays by Omar Barghouti, Jonathan Cook, Joseph Dana, Jeremiah Haber, Jeff Halper, Ghada Karmi, Antony Loewenstein, Saree Makdisi, John Mearsheimer, Ahmed Moor, Ilan Pappe, Sara Roy and Phil Weiss.
The 2008 financial crisis opened the door for a bold, progressive social movement. But despite widespread revulsion at economic inequity and political opportunism, after the crash very little has changed. Has the Left failed? What agenda should progressives pursue? And what alternatives do they dare to imagine? Left Turn, published by Melbourne University Press in 2012 and co-edited with Jeff Sparrow, is aimed at the many Australians disillusioned with the political process. It includes passionate and challenging contributions by a diverse range of writers, thinkers and politicians, from Larissa Berendht and Christos Tsiolkas to Guy Rundle and Lee Rhiannon. These essays offer perspectives largely excluded from the mainstream. They offer possibilities for resistance and for a renewed struggle for change.
The Blogging Revolution, released by Melbourne University Press in 2008, is a colourful and revelatory account of bloggers around the globe why live and write under repressive regimes - many of them risking their lives in doing so. Antony Loewenstein's travels take him to private parties in Iran and Egypt, internet cafes in Saudi Arabia and Damascus, to the homes of Cuban dissidents and into newspaper offices in Beijing, where he discovers the ways in which the internet is threatening the ruld of governments. Through first-hand investigations, he reveals the complicity of Western multinationals in assisting the restriction of information in these countries and how bloggers are leading the charge for change. The blogging revolution is a superb examination about the nature of repression in the twenty-first century and the power of brave individuals to overcome it. It was released in an updated edition in 2011, post the Arab revolutions, and an updated Indian print version in 2011.
The best-selling book on the Israel/Palestine conflict, My Israel Question - on Jewish identity, the Zionist lobby, reporting from Palestine and future Middle East directions - was released by Melbourne University Press in 2006. A new, updated edition was released in 2007 (and reprinted again in 2008). The book was short-listed for the 2007 NSW Premier's Literary Award. Another fully updated, third edition was published in 2009. It was released in all e-book formats in 2011. An updated and translated edition was published in Arabic in 2012.

The nightmare of today’s Western-backed Rwanda

My book review in The Australian:

Rwandan President Paul Kagame is feted across the world, celebrated for rescuing his country after the 1994 genocide and bringing stability to a devastated nation. Kagame’s government has received billions of dollars in aid and weapons for more than 20 years from the US, Israel, Britain and the EU, not to mention the Clinton Foundation, the Bill and Melinda Gates Foundation, the Tony Blair Africa Governance Initiative and many others. Just this year Kagame was invited to speak at the Harvard Business School, and feted in Toronto by its cultural and business elites.

Kagame rules over a country of spectacular beauty, rare mountain gorillas and streets of deceptive cleanliness. He feels protected, confident that his foreign donors will keep the money flowing while internal dissent is extinguished. Few questions are asked about his military forces killing tens — or perhaps hundreds — of thousands of people in the Congo after 1994. Nobody wants to hear about journalists and writers critical of the Kagame government, or military leaders, disappearing or being murdered in the capital Kigali and elsewhere. Grenade attacks against civilian targets are dismissed and rarely reported.

The revelations in this book, one of the finest works of reportage in living memory, reveal the depravity at the heart of modern Rwanda, backed and defended by guilt-ridden Western states. Author Anjan Sundaram, who lived in Kigali for years teaching journalism, funded by the EU and Britain, confronts an EU ambassador about his backing for state terror. “Aren’t you worried about giving money to a dictator?” Sundaram asks. “I have no problem with giving money to a director,” the man replies. “He runs one of the most efficient governments in Africa. I’m proud to be giving him money. By giving him money we influence their policies. We are for freedom of speech. We will influence the government in the right direction.”

Bad News dismisses this notion as wilful fantasy. Sundaram explains how Kagame and his cronies institute an “army of flatterers” to ask the President only softball questions at press conferences: “Your Excellency, I was asking myself the other day why our government is so capable and professional.” Loyalty is rewarded with favours, money and promotion.

Sundaram, whose fine first book, Stringer, reported on the largely ignored Congo conflict from the perspective of a young foreign correspondent, befriends Rwandan journalists in an attempt to understand why the country became an autocracy. He is told about how every part of the country is organised into administrative units to allow monitoring of citizens. There is no privacy. His friend Moses tells him that people want to please the state, fearing punishment if they do not, and will happily report anything suspicious to higher authorities.

Rwandans live in an atmosphere of fear and intimidation. Gibson, a friend of Sundaram, says: “We hide from the government, which wants to see us all the time. So you now see the truth in our country is hidden, you need to look not for what is there, but for what they hide. You cannot pay attention to what they show you, but need to listen to those who are kept quiet. You need to look differently in a dictatorship, you need to think about how to listen to people who live in fear.”

This book’s strength lies in its ability to convey the nightmare of today’s Rwanda and the international community’s complicity in it. Sundaram cites the UN’s choice of Kagame as head of a high-profile committee on improving the welfare of citizens around the world. The group included Bill Gates, Nobel prize-winner Muhammad Yunus and CNN founder Ted Turner. “[UN Secretary-General Ban Ki-moon] said the committee would be a collection of development ‘superheroes’. A number of messages of congratulations for Kagame came in from foreign leaders and dignitaries. The President said in response that he was honoured. The more the President’s statements went unchallenged by Rwandan journalists and citizens, the more the world believed in their truth.”

The 1994 genocide permeates the book: for survivors, for outsiders who didn’t help, and for donors looking away once more in the face of repression. “Never again” in the case of Rwanda appears to mean tolerating a dictatorship because, were they to halt aid, donors fear being accused of ignoring a nation in need. Unquestioning Western aid is a justifiable target because Sundaram shows that building roads, schools and infrastructure is only one part of a nation’s rebirth. Without freedom of speech or movement, and civic life, Rwanda is almost guaranteed to face further serious violence.

Bad News offers no simple solutions to Rwanda’s descent into autocracy. Western states that offer almost uncritical backing of Kagame bear partial responsibility for creating millions of fearful citizens who know that obedience to the leader is essential for survival.

Antony Loewenstein is a Middle East-based independent journalist and author of Disaster Capitalism: Making a Killing Out of Catastrophe.

Bad News: Last Journalists in a Dictatorship

By Anjan Sundaram

Allen and Unwin, 240pp, $29.99

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What the Sanders and Corbyn movements say about Australia

My column in the Guardian:

Charisma and persuasion matter in politics. Though neither trait guarantees fair policies or outlook – think Tony Blair backing the catastrophic war against Iraq, or Malcolm Turnbull hailing himself as a free speech champion before pressuring the ABC over its robust journalism – image is apparently more captivating than ever in the 21st century.

That’s the mainstream consensus, anyway. The last 12 months have challenged this reality. The rise of Jeremy Corbyn to the leadership of the British Labour party and Bernie Sanders as a viable US Presidential candidate proves that the general public increasingly craves potential leaders who understand economic disenfranchisement (likewise the allure of Donald Trump).

Both men’s popularity is despite them being unconventional left-wing politicians, outsiders with little love for the Labour or Democratic elites, with strong messages against the political and media establishments.

Sadly, it’s highly unlikely that anybody remotely as critical of the system will appear in Australia to lead one of the two major political parties. A relatively buoyant economy – despite a growing homeless problem and rampant wealth inequality – has insulated Australia from the worst excesses of the global financial crisis. As a result, the country is left with leaders who rarely stray from reflexive, pro-US and neo-liberal positions on the economy, foreign affairs, intelligence and spying.

Both the United States and Britain have suffered greatly in the last decades from a bi-partisan obsession with supposedly free trade, crony capitalism and privatisation. America’s infrastructure is literally falling apart. The results are clear to see with four out of every 10 households in the UK below the poverty line and 46 million Americans equally poor.

These individuals are mostly invisible in political campaigns and yet Sanders and Corbyn are articulating how this happened and what to do about it. Austerity is rejected. For example, Sanders has an economic plan that favours high spending for vital services and increasing taxation on corporations. Many young people are flocking to him.

Latest opinion polls place Corbyn’s Labour neck-and-neck with the Tories despite Corbyn being accused of turning a blind eye to anti-Semitism in his own party. His ascension doesn’t mean that the Labour party isn’t still filled with politicians, officials and former leaders who loathe any deviance from the establishment view on politics and are committed to destroying Corbyn and what he claims to represent; the promotion of equality and justice for the majority of the population.

In Australia, why is it impossible to even imagine a person such as Corbyn or Sanders rising to a leadership position? Labor is led by Bill Shorten, a man of stunning unpopularity though both the Liberal and Labor parties are, according to the latest polls, as popular as each other. Prime minister Malcolm Turnbull is pandering to the far-right base of his party, men he fears could topple him. The Greens are languishing in third place.

The prospect of an election on 2 July (or whenever it may be) will bring little change to Shorten’s posture. His party’s long-term erroneous belief, despite diving membership numbers, is to differentiate itself only marginally from political opponents. Therefore, expect continued blind support for the Liberal party’s positions on foreign policy, spying for Washington through the Five Eyes network, and data retention.

There are some obvious reasons that a proudly left-wing candidate would have little chance in Australia. A reactionary Murdoch empire would aim to topple anybody pushing for, say, companies to pay more tax, asking questions about the nature of the US alliance over intelligence sharing, spying on neighbours and foreign companies. How about ending the privatisation of all prisons, public services and immigration detention centres? It would be deemed as radical, unfriendly to big business and shunning our biggest ally.

The majority of Australians oppose privatising public services, believe the government should be far more critical of Israeli actions in Palestine and want a strong and publicly-funded Medicare and university sector (the deregulated system for higher education in the US has led to massive student fees and institutions turning into corporations).

Of course there remains vital criticisms of the policies pushed by Corbyn and Sanders, including their ability to seriously challenge the might of corporate donors and big business if they made it to power. Recall the Syriza party in Greece promised to unwind harsh austerity then capitulated to even stricter economic strangulation.

But can you imagine an Australian political leader pledging to massively increase funding for schools and universities, hugely invest in sustainable energy solutions, reduce defence spending and not join every failed US misadventure in the Middle East? While much of this is the current Greens party platform, its failure to attract widespread political support is symptomatic of a political and media clique that hates genuine outsiders.

Political uniformity in Australia, with few politicians daring to vote against their party on issues of moral or social significance – sending asylum seekers to be abused on remote Pacific islands or increased surveillance powers – doesn’t create allegiance, but dogma.

What the rise of Corbyn and Sanders shows is that within the strict confines of mainstream politics it’s possible to generate huge public passion for politics. Corbyn has invigorated huge numbers of young Britons and Sanders attracts massive rallies. In Australia, Turnbull and Shorten are lucky to generate any passionate interest in themselves or their parties beyond the true believers.

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ABC Radio Adelaide Australia on Palestine, disaster capitalism and PNG

Yesterday I was interviewed by ABC Radio Adelaide from Australia by host Peter Goers on Israel/Palestine, disaster capitalism and Papua New Guinea:

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Interview with US magazine The Source about disaster capitalism

I was recently interviewed by Lulaine Compere for leading American music magazine The Source:

The system of capitalism is always being debated. In most countries people are fighting it, seeking to replace it, or trying to improve it. The mere presence of capitalism also brings with it values and ideas that will have huge consequences for the people who live under it. The ideals and virtues of capitalism hold true, even in times of disaster and chaos. Antony Loewenstein, an Australian journalist, explains this phenomenon in his new book, Disaster Capitalism: Making A Killing Out of Catastrophe . As a current columnist for the Guardian, he has written on this and other similar topics for not only the Guardian, but also other publications like The New York Times, The Nation, and The Washington Post. The Source got a chance to speak with Loewenstein about the premise of his book and to explain what is disaster capitalism.

The Source: What was the motivation behind writing your book Disaster Capitalism

Antony Loewenstein: As an investigative journalist who doesn’t subscribe to the embedded reporter mindset, I wanted to write a book that questioned the economic system of our age in some of the most challenging places on the planet, such as Afghanistan, Haiti and Papua New Guinea. Furthermore, how does privatized immigration and war affect civilians in Greece, Britain, Australia, the US and Britain? By visiting these nations, and understanding how rarely the voices of those most affected by discriminatory economic policies are heard in the mainstream media, I hoped to show readers that the corporation has become more powerful than the state, and why that’s a big problem for democracy and accountability.

How does this book differ and how is it similar to Naomi Klein’s book Shock Doctrine?  

I was inspired by Klein’s book and wanted to expand her thesis. The Shock Doctrine was released in 2007 and much has changed since then, especially the 2008 global financial crisis. A key focus of my book is the privatized immigration industry across the globe. I wanted to investigate who was making money from the refugee “crisis” in Europe, Australia, the US and beyond, and why exploiting this issue was morally and economically irresponsible.

Is disaster capitalism “imperialism” by another name?

In many ways, yes. Take Afghanistan, consumed by war for decades. There are an estimated trillions of dollars of resources under the ground, but the excavation so far has been beset by corruption and violence. Is it even possible to responsibly mine in the country with a rising insurgency? What about climate change concerns? Imperialism, a word that the corporate media so rarely uses in the 21st century when discussing Western government and corporate policies, is little different to past exploitation by the major powers and multinationals, except that globalization today has allowed domination to occur on an unparalleled scale.

Should it be morally wrong or unethical for a company to make money during a disaster or in the aftermath?

No. It all depends on what the company is doing and how. Are they employing locals and training them? The profit motive often distorts the priorities of a corporation in a disaster or war zone, though I’m not idealizing the state, either. An entity that can and does regularly fail to provide adequately for its citizens—think New Orleans after Hurricane Katrina. A key problem with corporations operating in disaster zones, man-made or natural, is the lack of regulation, oversight and accountability. In Bougainville, Papua New Guinea, one of the world’s biggest copper mines, run by Rio Tinto, caused a civil war and pollution in in the 1970s, 80s and 90s and yet today, the company has paid no compensation and is talking about re-opening the site. It’s an almost invisible struggle against huge odds. I wanted to show how one company could take on a major mining player and win, though at a huge personal cost.

How should the rules of capitalism change or adjust should a disaster strike? 

When a disaster strikes, necessary regulations should already be in place, but my book investigates how this is so rarely the case. Even in first-world nations, such as the US and Australia, the ongoing refugee “crisis” finds politicians and their media supporters supporting a “whatever it takes” mentality to manage it. Out of sight and out of mind is often viewed as a positive, short-term solution. For example, Australia is the only country in the world to completely privatize its asylum seeker facilities, including those based on remote Pacific islands. The conditions are awful; mental health problems are rampant and sexual and psychological abuse are common. None of these issues have stopped wily companies from bidding on contracts and making a profit from the misery of others.

Do you see the topic of disaster capitalism being discussed in some part by politicians throughout the world? 

The vast majority of corporate politicians don’t discuss disaster capitalism because they’re complicit in continuing it. There are exceptions. US Presidential candidate Bernie Sanders has pledged to abolish privatized prisons and immigration centers due to the abuses within them.

Where are the latest examples of disaster capitalism taking place in the world? 

In Afghanistan, there are still tens of thousands of private contractors with virtually no oversight. There are also many private contractors fighting ISIS in Iraq, but we don’t know the exact number. Once again, US President Barack Obama fights his wars with no transparency. Since 2001, the US has pledged to spend $110 billion in reconstructing Afghanistan and there’s very little to show for it.

Are there opportunities for disaster capitalism to be played out in more developed countries like U.S., Europe and Russia? 

Disaster capitalism is borderless and knows no ideology other than the profit motive. Globalization allows unregulated corporations to travel the world looking for nations with low or no tax rates. Without a concerted international effort to challenge tax havens, disaster capitalism will continue to thrive.

What is the role of non profits and NGOs, where disaster capitalism can or is taking place? 

NGOs and non-profits can play a central role in disaster and war zones. I’ve seen this myself in Haiti, Afghanistan, South Sudan, Papua New Guinea and elsewhere. But too often, accountability for NGO actions are missing. For example, the American Red Cross raised huge amounts of money after the 2010 Haitian earthquake, but little of the money has helped the Haitian people. This case, and many others, is why the public should demand far greater scrutiny of groups that cloak themselves in benign intent.

Can you talk about the links between donor funds from donor countries, companies in those donor countries, the needs of the people in the disaster area, and what appears to be the freezing out of professionals in those countries? Can you also explain the diverging agendas that seem to happen when all these forces collide? 

After the Haitian earthquake in 2010, the US government pledged to give the country billions of dollars in support. In reality though, much of this money went to US corporations, who failed to deliver on the ground in Haiti. A major insight during the reporting of my book is how little accountability exists within the aid world, when there’s a major incentive to keep the donor money rolling in. During my work in many troubled places, I’ve seen committed aid workers helping people in need, but it’s important to ask if prolonged conflicts are benefiting long-term NGOs. I want to see locals in developing nations being far more empowered by outside forces, through training, jobs etc, rather than being bystanders in their own country.

What has been the reaction from people about your book?

I’ve been pleased with the global response to the book, including a very positive review in the UK Guardian. I’ve toured the book in the UK and US, and found countless people keen to share their dismay with the political and economic direction of their nations. The immigration issue has been especially potent because the mass of people coming into Europe and the US are easily demonized as numbers and irritants, dismissed and turned into a number to be profited from. We need to resist this dangerous and immoral capitalist tendency.

What are the future plans for the book? 

The book will be released in paperback later this year. I’ve also been working for years on a documentary called Disaster Capitalism with New York film-maker Thor Neureiter. It features stories from Afghanistan, Haiti and Papua New Guinea. We’re currently working on a rough edit of the feature. In recent great news, we’ve been accepted into the prestigious Hot Docs film festival in Toronto in May.

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The “war on drugs” in Guinea-Bissau translated into French

Late last year I visited Guinea-Bissau in West Africa to investigate the country’s role as a key drug smuggling hub between South America and Europe. I published a number of stories about it including in Foreign Policy.

Leading French website Ulyces is committed to translating investigative stories from across the world and bringing back the tradition of financially supported journalism. They’ve translated my Foreign Policy story (with more to come) and I’m happy that French speakers can now read my work around the globe. Here’s a taste (more here and PDF here: antonyloewenstein):

Nous nous trouvons à Bissau, capitale de la Guinée-Bissau. Les quartiers généraux de la police judiciaire, l’agence du gouvernement chargée de mener la guerre contre les drogues dans le pays, sont situés dans une rue poussiéreuse, au beau milieu de cette capitale d’Afrique de l’Ouest étonnamment silencieuse. À l’intérieur se trouve l’unique laboratoire d’analyse des drogues du pays, un ajout récent dû à l’augmentation du financement de l’Union européenne, qui vise à endiguer le flot de narcotiques qui traversent en permanence les frontières du petit État africain.

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The UN on trial: debate at the London School of Economics

During my recent time in London I was an expert witness at the London School of Economics during a fascinating event putting the UN on trial. 70 years old and always controversial, prosecution and defence lawyers tried the UN and asked both a jury and large audience if the UN should continue. A number of witnesses spoke on their experiences about the UN and I principally discussed my reporting and insights from Haiti, Afghanistan, South Sudan and beyond. My comments start at 46:28:

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Disaster Capitalism documentary selected for prestigious Hot Docs festival

For over four years I’ve been working on the documentary, Disaster Capitalism. I was shooting footage myself when I started researching the book that eventually became my recent Disaster Capitalism: Making A Killing Out Of Catastrophe. I partnered with New York film-maker Thor Neureiter in 2012 (and Norwegian film-maker Spencer Austad has shot some amazing footage around the world). The film features Afghanistan, Haiti and Papua New Guinea and issues related to aid, development and resources.

We’ve just been selected to participate in Hot Docs in Toronto in May, one of the most prestigious documentary film festivals in the world. One of 19 films (out of more than 200 submitted), we’ll be pitching the film for funding, distribution and support.

Please like the film on Facebook and follow us on Twitter and Instagram. Here’s our constantly updated website.

Over the years we ran a successful Kickstarter campaign (here’s the latest update), received support from philanthropists Bertha (backers of Oscar nominated Dirty Wars and Virunga) and applied for countless grants around the world. We’ve recently started working on a rough cut of our feature documentary and are making good progress.

It’s been a long journey, independent film-making always is everybody tells us, and we’re rapt with the current momentum.

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Debating Disaster Capitalism at the London School of Economics

During my recent visit to London, where I debated the future of the UN at the London School of Economics (LSE), I also discussed my book Disaster Capitalism at the LSE with three articulate and critical women: Dr Brenna Bhandar, Dr Marsha Henry and Dr Devika Hovell. I was challenged on my choice of interviewees in the book, why more female voices weren’t heard and whether disaster capitalism is really any different to exploitative capitalism:

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German radio station Bayerischer Rundfunk on privatised immigration

During my recent period in Berlin, Germany, as a Visiting Researcher at WZB Social Science Centre, I was interviewed by Bayerischer Rundfunk (Bavarian Broadcasting) about Europe and Germany’s moves towards outsourcing its refugee “problem” to private corporations. My interview begins at 36.17.

Other people on the show are social scientist Manuela Bojadzijev, political scientist Sandro Mezzadra, author Merle Kröger, artist Kader Attia and two postcolonial activists. The journalist is Anne Fromm.

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Private immigration facilities making money from misery

My debut article in the New York Times:

Berlin — Immigration and Customs Enforcement calls the detention site in Dilley, Tex., a “family residential center.” But to the 2,000 migrant children and mothers who live there, it’s something else: “People who say this is not a prison are lying,” Yancy Maricela Mejia Guerra, a detainee from Central America, told Fusion last year. “It’s a prison for us and a prison for our children, but none of us are criminals.”

The Dilley center holds people detained by Immigration and Customs Enforcement, a government agency, but it is run by the Corrections Corporation of America, America’s largest private prison and detention company. It is one part of a worrisome global trend of warehousing immigrants and asylum seekers at remote sites maintained by for-profit corporations. The United Nations estimates that one in every 122 people on the planet is displaced. This is a crisis that requires a humanitarian solution; unfortunately, some people view it as a business opportunity.

In recent decades, many Western governments have increasingly outsourced prisons to private companies, claiming that doing so saves money. As the number of migrants and asylum seekers has grown, governments have found a new use for the private-prison model.

It has become a multimillion-dollar industry. The company Hero Norway runs 90 refugee centers in Norway and 10 in Sweden, charging governments $31 to $75 per refugee per night. Australia’s government has contracted the company Broadspectrum to manage two detention camps in Nauru and Papua New Guinea for asylum seekers. In Britain, Prime Minister David Cameron’s government awarded the security firm Serco a seven-year contract in 2014 worth over $100 million for running the Yarl’s Wood immigrant detention center.

These private companies are too often plagued by scandal and accused of abuse. The Corrections Corporation of America has a long history of ignoring detainee safety and federal laws. Serco has been accused of inadequately training its guards and overcharging the British governmentfor substandard work. One doctor who worked at a site run by Broadspectrum in Nauru told The Guardian that the detention center was “reminiscent of Guantánamo Bay.”

The global flows of refugees are unlikely to abate anytime soon. Wars in the Middle East continue, as does the epidemic of gang violence in Central America. Climate change will send millions more people fleeing their homes in the years to come. Governments must accept that for-profit detention centers are not the way to deal with this issue.

State-run detention centers don’t necessarily guarantee more respect for human rights, but there is evidence that government control brings improvements: A 2014 report by the American Civil Liberties Union, for example, found that private immigration detention centers in the United States were more crowded than state-run ones, and detainees in them had less access to educational programs and quality medical care. And public centers, while still flawed, are more transparent.

Opacity is a common denominator in the privatized detention system around the world. In Australia, Europe and the United States, journalists have less access to private prisons than they do to public ones; governments maintain less oversight. That’s not a coincidence. As Matthew J. Gibney, a political scientist at Oxford University, told The New York Times: “When something goes wrong — a death, an escape — the government can blame it on a kind of market failure instead of an accountability failure.”

Advocates of private immigration detention claim they are saving taxpayers money. But that seems unlikely. The American government spends more on immigrant detention today than it did 10 years ago, when the number of border crossings was higher. The Corrections Corporation of America and other companies have lobbied politicians to keep more people behind bars rather than deporting them. Congress requires that at least 34,000 people be housed daily in detention centers — a so-called detention bed mandate.

Making a profit doesn’t just require keeping beds filled, it can often lead companies to skimp on services. This means mental health care, outdoor activities and healthy food are far less available in private detention centers than at those run by the government. Last year, the United Nations described a camp for refugees in Traiskirchen, Austria, that is run by the Swiss firm ORS Service, as “inhumane” because of overcrowding. Similar reports are common not just on Europe’s frontiers but across the world.

Governments that receive migrants and asylum seekers must reverse their reliance on private companies. The current practice is a short-term fix that in the long run will cost governments more and subject refugees to worse conditions. In the meantime, governments from Canberra to Vienna to Washington should institute independent cost analyses to ensure that private centers give taxpayers the best value for their money. They should encourage more oversight of these sites, from government agencies and from the news media. And the 34,000-bed quota must also be done away with immediately.

In its 2014 annual report, the Corrections Corporation of America worried that changes to American immigration policy could cut into the company’s bottom line. Many other such contractors might have similar fears. Let’s hope they do. Unless governments make drastic changes now, these corporations look likely to get richer and richer as more people around the world flee their homes, desperately seeking safety.

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Interview in German newspaper Berliner Zeitung about privatised immigration

During my recent time in Berlin, Germany, I was interviewed by one of Germany’s leading newspapers, Berliner Zeitung, about Europe’s growing reliance on privatised and unaccountable detention facilities for refugees. I’ve investigated this issue in my book, Disaster Capitalism.

The interview was conducted in English and then translated into German. I’m a German citizen but sadly my local language skills are lacking.

Please find the Google Translated version of the interview below (with some corrections attached):

Antony Loewenstein is an Australian journalist with German roots. His Jewish family fled in 1939 from the Nazis. Loewenstein writes a column in the Guardian and deals primarily with the networking of transnational corporations and their influence on political processes.

His new nonfiction book “Disaster Capitalism” deals with the profiteers of the refugee crisis. Loewenstein was based in Sydney but had a research stay at the WZB Science Center Berlin and deals with the US anti-drug war.

The Australian bestselling author and Guardian columnist Antony Loewenstein explains in an interview how business is done with the refugee crisis in Germany and the world.

The Australian bestselling author and Guardian columnist Antony Loewenstein, well known for “My Israel Question” (2006), has researched his new, highly acclaimed book “Disaster Capitalism”  and now present in Berlin. In this interview he explains how business is done with the refugee crisis in Germany and the world.

Mr Loewenstein, you research for years on the subject of privatization of refugee care. What does it mean exactly?

It is all about the privatization of refugee centers. My home Australia is the only Western country that has outsourced all accommodations for migrants to private providers. In these camps, located partly on the Pacific Islands, there have been countless cases of physical and sexual abuse by security guards.

Because the operators want to make a profit, they hire poorly trained and unqualified personnel. The health care is insufficient, because the companies are willing to spend just a little money.

Could not happen in government-run institutions such incidents?

Of course there are such problems in public institutions. But there are clear indications that wherever refugees are considered sources of profit, the conditions in the facilities for staff and refugees are worse. There is no incentive for companies to offer money for good performance.

See the problem in Germany?

Yes, Germany and some neighboring countries have partly outsourced to private companies, the refugee support. European Homecare and ORS are important players.

European Homecare stand accused in 2014 because guards abused refugees in a facility in Burbach. Last year, there was criticism of the conditions in a refugee camp near Vienna.

Such problems are inevitable. But governments that outsource refugee accommodation to private companies, it does not matter. Traiskirchen is a perfect example of the failure of a privately run facility: The operator ORS has deliberately chosen to spend as little money as possible for food and living space. The result was that refugees had to sleep under the stars and got bad, sometimes rotten food. The overcrowding was rampant.

What about the staff in private institutions?

The staff is trained often poorly and can not adequately deal with problems that arise from working with traumatized refugees. My research in Australia, the US and the UK showed that staff hardly help in coping with work stress’ condition in private institutions and often develop psychological problems themselves. In public refugee facilities that I visited in different countries, this is much less the case.

Germany has taken in hundreds of thousands of refugees in the previous year. Many communities are highly indebted and unable to cope with the supply. Is it not natural to seek help from private providers?

In the short term perhaps and I can understand local politician want to solve the problem quickly, perhaps even before the next election. But based on the experience in Australia, Britain and the United States, it is almost certain that there will be abuse. I believe that certain social responsibilities – I am thinking the care of refugees – should not be privatized. This very vulnerable group of persons should not be an object of profit.

If the refugee accommodation for businesses lucrative?

The company Serco has an exclusive deal with the Australian Government, all facilities on the mainland. The contract comes to a total of more than one billion dollars. So there is to earn a lot of money.

What would municipalities gain from pursuing all facilities themselves?

Private providers are more expensive in the longer term. If ever new refugees arrive in large numbers, providers will renegotiate contracts in order to get better terms. I have already observed this in Australia, the UK and the USA. The contracts that seem cheap can become expensive so quickly. For the local authorities it will not pay off financially to take matters into their own hands.

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