Why is the Cuban Government Trying To Slow Down the Private Sector? 

                                                                                                              Yesterday’s post described the Cuban Government’s suspension of the issuance of new permits for certain self-employment categories and closing down some paladares (private restaurants).

Why is this happening and what is its impact on Cubans?

Nora Gámez Torres of the Miami Herald reports that certain experts say the suspension is the government’s fear of the emergence of a truly successful entrepreneurial class on the island as a future political opponent of the government. As Ted Henken, a U.S. sociologist and expert on Cuba’s private sector, put it this way: “hardliners in the Cuban government are afraid of the private sector, not only because it competes with state monopolies but because economic autonomy ‘can lead to more political freedom and independence, and create a powerful lobby with a different agenda than those in power currently.’”[1]

This move by the Cuban government is seen as against its economic interest as the private sector generates more than $2.5 billion and up to 18% of the economy’s revenues while the implosion of Cuba’s ally, Venezuela, has a major negative impact on Cuba’s economy.

Meanwhile Cubans planning to open new businesses are upset.  Here are some of their reactions.[2]

  • Sara in anticipation of renting a house in Vedado said, “I have spent months and money invested in arranging the house to rent it to foreign tourists, I already had contacts and I was planning to apply for my license in September.”
  • Sergio, a taxi driver who was planning to move to a home buying and selling office, said he lost more than 1,000 CUCs between chairs and other items he bought to set up an office. The government’s suspension of new licenses “demonstrates that no one can make more than four pesos.”
  • Brian, who already had bought equipment to open an appliance repair shop in Havana, has seen his aspirations frustrated, as he had not yet submitted his license application. “Right now I do not know what to do because I owe money to several people for the purchase of equipment.”
  • The owner of a cafeteria in Havana said that in just two months she planned to open a restaurant in the same place. “Now what do I do with all the cutlery, glasses and even an electric coffee maker I bought? I have to sell them or keep them until they reopen the licensing, but no one knows when that will be. The government wants us to be starving all our lives.”
  • Marta, a bookkeeper who looks for accountants to manage her payments at the bank, said that these closures “affects her a lot. As new entrepreneurs do not emerge, it makes it more difficult for me to get new clients. I have been put into China by these bastards since I only had a few months in this activity.”
  • Lázaro, “They do not want a middle class to emerge and they say they take these measures because there are many raw materials and equipment of illicit origin, and where do these illicit products come from? That comes from the lack of control and disaster of state companies,” he said. “They really screwed us up.”

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[1] Torres, Fear is driving Raúl Castro to punish Cuba’s new entrepreneurial class, experts say, Miami Herald (Aug. 2, 2017).

[2] Fernandez, ‘There is no one here to raise their heads,’ they complain affected by the brake on private work, Diario de Cuba (Aug. 2, 2017).

New Cuban Limits on Private Enterprises

On August 1, the Cuban government announced suspensions in the issuance of permits for a large number of private occupations and ventures, including restaurants, bed-and-breakfasts, teachers, street vendors of agricultural products, dressmakers and the relatively recent profession of real estate broker.[1]

The announcement said those already engaged in these private occupations and ventures could continue to operate, but it did not say when the suspensions would end.

In addition, there will be no additional authorizations for “wholesale agricultural product salesman, agricultural retailer, ambulant operator or seller of agricultural products, seller/buyer of discs and operator of equipment of recreation for the rustic equipment.”

This announcement had been preceded by the government’s seizing and closing some private restaurants.[2] In June, for example, the government’s Technical Department of Investigations raided El Litoral, a popular Havana paladar known for its high-end cuisine and customers, and removed all of its fixtures, and others speculated it allegedly was engaged in money-laundering, buying liquor from unlawful suppliers and paying some employees off the books. Two other Havana private restaurants suffered the same fate in June.

These governmental measures were mentioned  by President Raúl Castro in his July speech to Cuba’s National Assembly that was discussed in an earlier post.

He said that rules regarding private enterprises would be enforced and that Cubans would not be permitted to start mini-empires with multiple businesses. Thereafter the National Assembly said a “concentration of property and financial and material wealth would not be permitted.”

Raúl’s message essentially was repeated by Marta Elena Feitó Cabrera, the first deputy minister of Labor and Social Security, in discussing the new suspensions: the decision for suspensions “is part of a systematic process of review and improvement, aimed at correcting deficiencies, so that no action Is outside the legality. The most recent evaluation of the performance of this sector has shown . . . that raw materials, and equipment of illicit origin are used; non-compliance with tax obligations persists and income is under-declared; [there is] lack of confrontation and timely resolution of problems; there are uncertainties and inadequacies in control as well as deficiencies in economic contracting for the provision of services or supply of products between legal persons and natural persons.”

Nevertheless, Cuba is not closing down the private sector with 567,982 outstanding licenses for self-employed workers (12% of the total work force), 2,000 private restaurants and 22,000 rooms in casas particulares (private bed-and-breakfasts). As the CubaDebate article states, “the validity of this form of management as an employment option is unquestionable. Not only has it facilitated the labor reorganization process, it has also succeeded in increasing the supply of goods and services with acceptable levels of quality, as well as gradually lightening the state’s burden to allow it to concentrate on transcendental activities for Cuban economic development.”

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[1] Puig,  Announce new measures for self-employment in Cuba, CubaDebate (Aug. 1, 2017); Assoc. Press, Cuba Stops Issuing New Permits for Some Private Enterprises, N.Y. Times (Aug. 1, 2017).

[2]  Whitefield, Cuba reins in entrepreneurs who take free enterprise too far, Miami Herald (July 31, 2017).

Another Perspective on the Parable of the Good Samaritan

Another perspective on the famous Parable of the Good Samaritan was offered by Associate Pastor Brennan Blue in his July 23rd sermon at Minneapolis’ Westminster Presbyterian Church.[1]

Rev. Brennan Blue
Westminster Presbyterian Church

 

 

 

The Holy Scripture

The Parable itself is expressed in Luke 10: 25-37 (NRSV) as follows:

  • “Just then a lawyer stood up to test Jesus. ‘Teacher,’ he said, ‘what must I do to inherit eternal life?’ [Jesus] said to him, ‘What is written in the law? What do you read there?’ [The lawyer] answered, ‘You shall love the Lord your God with all your heart, and with all your soul, and with all your strength, and with all your mind; and your neighbor as yourself.’ And [Jesus] said to [the lawyer], ‘You have given the right answer; do this, and you will live.’”
  • “But wanting to justify himself, [the lawyer] asked Jesus, ‘And who is my neighbor?’ Jesus replied, ‘A man was going down from Jerusalem to Jericho, and fell into the hands of robbers, who stripped him, beat him, and went away, leaving him half dead. Now by chance a priest was going down that road; and when he saw him, he passed by on the other side. So likewise a Levite, when he came to the place and saw him, passed by on the other side. But a Samaritan while traveling came near him; and when he saw him, he was moved with pity. He went to him and bandaged his wounds, having poured oil and wine on them. Then he put him on his own animal, brought him to an inn, and took care of him. The next day he took out two denarii, gave them to the innkeeper, and said, ‘Take care of him; and when I come back, I will repay you whatever more you spend.’ Which of these three, do you think, was a neighbor to the man who fell into the hands of the robbers?’” [The lawyer] said, ‘The one who showed him mercy.’ Jesus said to him, ‘Go and do likewise.’”

The Sermon

 In “the parable of the Good Samaritan, why it is that even the most well-trained priest or Levite may walk on by a neighbor in need?”

“On the one hand, this parable reminds us that we are called to put our faith and love into action, plain and simple. Yet this parable occurs in a vacuum. There is one person of need, one act of love to counter the one great injustice at hand.” (Emphasis added.)

 “But what happens when there’s another neighbor in need along the way? Do you set aside the first to help the second? What if each step brings another worry or need, bigger and more complex than the one before it?”

“Perhaps you know the feeling. Confronted with a complex constellation of needs and problems surrounding our lives and communities, it’s easy to become overwhelmed. Another election argument, another policy change, another broken relationship. Another act of hate and discrimination, another single parent facing another night on the street with her family, another police shooting in our city. Another setback, another neighbor in need.”

“How can you or I keep up with it all, let alone make a difference? Maybe it’s best to just take a break from the headlines, find a new game on our smartphone and just sort of take our mind off of things.”

Apathy subdues our action. Despair clouds our hope. Distraction does exactly what it describes – it dis-tractions us and robs us of a way forward. These invasive influences make it easier to check out than dig in.” (Emphasis added.)

“I’ve always sort of assumed that the young lawyer in this parable is asking the question ‘who is my neighbor’ from a relatively blank slate. But it’s clear that this young lawyer knows his stuff. Remember, Jesus asks him what is written in the Scriptures regarding eternal life, and that beautifully succinct response of ‘you shall all love God, and love your neighbor as yourself’ comes from him.”

“So what if his follow-up question – who is my neighbor? – is coming less from a place of innocence or ignorance and more from a place of knowing exhaustion? What if this young lawyer has eyes to see the many people around him who represent his neighbor and with a dizzying head is simply trying to figure out where to even begin?” [2]

“I found help and hope for this very question on the second workday of our high school ]mission] trip while building new trails at Young Gulch, a beloved national forest area now closed to the public due to past fire and flooding damage. With hardhats, picks, shovels, ropes and rock bars, we hiked a mile and half up and into our new worksite carrying the hope of a new day. It was there, while shoveling, sawing, lifting and hauling, that we were introduced to the art of trail building and the important work of finding the critical edge.” (Emphasis added.)

“In terms of trail building, the critical edge forms the crucial guiding line from which you begin and orient your work. It is the marker between path and planet, trail and wilderness. Your footing and direction are both determined from there, and though countless shrubs and boulders may lie ahead and around, the critical edge marks where you will carve out your 30” wide path, and that is what makes the work doable. So for our team of 30 students and 6 adults, this critical edge became our path by which to walk and work. And work we did! It was like being blessed with the gift of traction. Our critical edge to guide us, we literally dug in and blazed new trails that others, we hope, may follow and enjoy for years to come.” (Emphases added.)

“This process of finding traction for our work was brought home in a new workshop that we incorporated into our mission trips this year. A workshop called ‘Mission Possible.’

“Essentially, Mission Possible is an exercise that challenges multiple groups to take on a complex and often overwhelming social problem using a very limited set of ‘dealt resources.’ The creative challenge is to find which crucial slice of the problem your team wants to focus on and then leverage your limited resources to make the greatest possible impact.” (Emphases added.)

“Middle schoolers using glass jars to build empathy. High school students using wooden baskets to raise awareness via social media. Neither of these ideas will knock out the layered, complex problems of bullying and climate change, but they do provide a way forward, a critical edge to ward off apathy and dig into action. The goal here is to root out those invasive influences of distraction and despair, and then live out our calling by putting our faith into action. We don’t have to move every boulder, but we do need to discern and then do our part.” (Emphasis added.)

“That, I believe, is what Jesus is getting at in this parable: connecting exposed belief to explicit action. Even if this young lawyer is asking ‘who is my neighbor’  from a place of overwhelming apathy and despair, there is hope is Jesus’ simple response. Know who you are and who your neighbors are, and even if can only reach out to one, do it. Put your faith into action, even if others are walking by. Be that very inspiration. Host a book read; plant a rain garden; start a justice choir; advocate for mental health programs. Find your critical edge and dig in.” (Emphases added.)

“Friends, this is the work we have been doing together as a community throughout the entire Open Doors, Open Futures process. . . . In fact, in seeking to find our own critical edge, Westminster has set aside serious time . . . to ask of God and one another this young lawyer’s question – “who is our neighbor?” In the midst of our work and worship, we’ve [been] wrestling and discerning questions about our gifts, resources, and partnerships, seeking to understand where God is calling us as a community. “

“By engaging these very questions, we are finding action in place of apathy, hope in the midst of despair, and the blessing of traction for our ministry even in our changing downtown context.”

“That’s what the love of God and neighbor demands of us: find your place of calling, your critical edge, and dig in. It’s as simple as that and as hard as that.” (Emphasis added.)

“In the continuum of apathy and action, where do you fall today? What are your gifts? Who is your neighbor? Have you found your critical edge? May God bless us with traction for lives and ministries.” (Emphasis added.)

The Prayer of Confession

Before the reading of the Holy Scripture and the sermon, the congregation joined in the following prayer of confession:

  • “Gracious God, our sins and sorrows are too heavy to carry, too real to hide, and too deep to undo. Forgive what our lips tremble to name and what our hearts can no longer bear. Set us free from a past that we cannot change and open to us a future in which we can be changed. May the light of your love open our eyes to the grace that is already calling us home. By your grace, may we grow ever more in your way of justice, mercy, and peace.”

Conclusion

Another frequent, and appropriate, interpretation of this parable emphasizes that the Levite and the priest who passed by the injured man were of higher status in Israel at the time whereas the Samaritans were not well-regarded. Thus, one’s status in the community is not the mark of a good neighbor. Instead, what counts is what one does to help the injured man. In this instance, the Samaritan is clearly a good neighbor.

However, the overall message of Jesus, for me, is that anyone and everyone is my neighbor. Thus, the question arises as to whether and how any individual can help everyone. The answer to this question is clearly “No,” and the result of such reflection, as the sermon suggests, can be incapacitation of the individual and failure to be kind to a neighbor, failure to provide help to a neighbor.

That leads to the second foundation of my Christian faith. God knows that we fail and yet forgives us. The most powerful statement of God’s forgiveness comes in another story by Jesus, The Parable of the Prodigal Son (Luke 15: 11-31).

But Jesus is not calling each of us to try to do everything that needs doing in the world.

Important in my own struggles with this dilemma is the following homily often attributed to my personal saint, Archbishop Oscar Romero, but actually written in November 1979 by Kenneth Edward Untener, the Roman Catholic Bishop of Saginaw, Michigan, for a memorial mass for deceased priests:[3]

  • “The kingdom is not only beyond our efforts, it is beyond our vision.”
  • “We accomplish in our lifetime only a tiny fraction of the magnificent enterprise that is God’s work. Nothing we do is complete, which is another way of saying that the Kingdom always lies beyond us.”
  • “No statement says all that could be said. No prayer fully expresses our faith. No confession brings perfection. No pastoral visit brings wholeness. No program accomplishes the church’s mission. No set of goals and objectives includes everything.”
  • “That is what we are all about. We plant seeds that one day will grow. We water seeds already planted, knowing that they hold future promise. We lay foundations that will need further development. We provide yeast that produces effects beyond our capabilities.”
  • “We cannot do everything, and there is a sense of liberation in realizing that. This enables us to do something, and to do it very well. It may be incomplete, but it is a beginning, a step along the way, an opportunity for the Lord’s grace to enter and do the rest.”
  • “We may never see the end results, but that is the difference between the master builder and the worker. We are workers, not master builders; ministers, not messiahs. We are prophets of a  future that is not our own.”

Rev. Blue’s questions at the end of his sermon are very helpful. Find your place of calling or critical edge. Then, dig in and do what you can to help your neighbor, knowing and accepting that it may not be perfect or complete.

Another Presbyterian pastor and author, Frederick Buechner, puts it this way. Each of us needs to find his or her vocation which “comes from the Latin vocare, to call, and means the work a man is called to by God. . . . The kind of work God usually calls you to is the kind of work (a) that you need most to do and (b) that the world most needs to have done. . . . The place God calls you to is the place where your deep gladness and the world’s deep hunger meet.”[4]

Vocation, for me, implies a dedication to a certain kind of work or service over a period of time. A one-time effort probably does not count. On the other hand, in my opinion, vocation does not necessarily require a lifetime commitment to doing a certain thing. Indeed, an individual’s circumstances change over time, and what was a vocation for one period may not be appropriate for another period. Thus, an individual may have several vocations over time, some of which might be simultaneous. This at least has been true for me.

Some people may decide that they shall start engaging in a particular vocation. They know from the start that a certain course of action shall be their vocation, perhaps inspired by what they believe to be the word of God. Others discover after the fact that what they have been doing for a period of time has been and is their vocation. I am a member of the latter group.

Deciding on what shall be or is a vocation should be, in my opinion, a matter of reflection, meditation and prayer and in some cases discussion with others to assist in discerning a true vocation.[5]

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[1] The bulletin for the service and the text of the sermon are available on the church’s website.

[2] Another interpretation of this Parable does not see the lawyer as honestly seeking guidance from Jesus. Instead the lawyer is seen as cleverly asking trick questions to elicit answers from Jesus that could be twisted to incriminate him. Jesus, however, more cleverly declines to answer the questions and instead induces the lawyer to answer his own questions, the second  after Jesus tells a story. (My Christian Faith, dwkcommentaries.com (April 6, 2011).)

[3] Ken Untener, The Practical Prophet : Pastoral Writings at iii (Paulist Press; New York 2007) (Untener called this prayer “Reflection on Ministry”).

[4] See My General Thoughts on Vocation, dwkcommentaries.com (Feb. 6, 2014).

[5] See My Vocations, dwkcommentaries.com (Feb. 23, 2014).

 

President Eisenhower’s Secret Campaign Against Senator Joe McCarthy

During the first two years of President Eisenhower’s first term (1953-1954), U.S. Senator Joseph McCarthy (Rep., WI), was garnering national attention with his reckless charges of communist infiltration of the U.S. government, including the President’s beloved U.S. Army, which he had brilliantly served during World War II. Yet Ike, as the President was known, did not publicly confront McCarthy.

Now David A. Nichols, a retired history professor at Kansas’ Southwestern College and an authority on the Eisenhower presidency, has provided great details on Ike’s behind-the-scenes campaign against McCarthy in Ike and McCarthy: Dwight Eisenhower’s Secret Campaign Against Joseph McCarthy (Simon & Schuster, New York, 2017).

According to Nichols, Ike drew upon his experience in strategic deception as Supreme Allied Commander of the Allied Expeditionary Force in Europe in World War II to orchestrate the campaign against McCarthy. Keys to this strategy were the President’s avoiding public criticism of McCarthy and deflecting journalists’ questions about the Senator at presidential press conferences and instead having presidential subordinates issue statements and take actions against McCarthy. Those “subordinates” included Sherman Adams, White House Chief of Staff; James Hagerty, White House Press Secretary; Fred Seaton, Assistant Secretary of Defense; Herbert Brownell, Jr., Attorney General; William Rogers, Deputy Attorney General; John Foster Dulles, Secretary of State; and Henry Cabot Lodge, Jr., Ambassador to the United Nations.

An important part of this history was the relationship between Roy Cohn, who was McCarthy’s chief counsel, and a handsome young staffer on McCarthy’s committee, G. David Schine, who after being drafted as a private into the U.S. Army obtained preferential treatment by the Army as a result of pressure from Cohn and McCarthy. Below are photographs of the two men.

Roy Cohn
G. David Schine

When President Eisenhower learned of the special treatment and the reasons therefor, he instigated a secret Army investigation of these matters. The subsequent report of that investigation was publicly released and prompted fiery denunciations of the Army by McCarthy and Cohn, resulting in the now infamous Army-McCarthy hearings of 1954.

The implicit message of this report was Cohn and Schine’s having a homosexual relationship, which at the time was widely condemned. At the subsequent Army-McCarthy hearing, Army counsel, Joseph Welch, alluded to this relationship when he questioned another McCarthy aide, James Juliana, about the origins of a photograph that had been altered. The question: “Did you think it came from a pixie?,” which Nichols says was a sly allusion to the alteration’s having been made at the direction of Cohn, who was believed to be gay. McCarthy interrupted: “Will the counsel for my benefit define—I think he may be an expert on that—what is a pixie?” Welch’s response: “Yes, I should say, Mr. Senator, that a pixie is a close relative of a fairy [a widely used term for a homosexual at the time]. Shall I proceed, sir? Have I enlightened you?” The room erupted in laughter. (Nichols at 239.)[1]

The hearing’s climax occurred on June 9, 1954, when Welch sarcastically asked Cohn about the important committee work that he and Schine purportedly had done on their weekends together and taunted him to “hurry” to “act before sundown” to discover communists anywhere. McCarthy sought to counter this attack on Cohn and McCarthy by interrupting to say that Welch’s law firm had “a young man named Fisher . . . who has been for a number of years a member of an organization which was named, oh years and years ago, as the legal bulwark of the Communist party.” (Nichols at 280.)

Welch, after finally getting McCarthy’s attention, said, “Senator, I never really gauged your cruelty or your recklessness. Fred Fisher is a young man who went to the Harvard Law School and came into my firm and is starting what looks to be a brilliant career with us. Little did I dream that you would be so reckless and cruel as to do an injury to that lad. . . . If it were in my power to forgive you for your reckless cruelty I would do so. I like to think I am a gentle man, but your forgiveness will have to come from someone other than me.” (Nichols at 280-81.)

McCarthy, ignoring this plea, resumed his attack on Fisher. Welch responded, “Let us not assassinate this lad further, Senator. You have done enough. Have you no sense of decency, sir, at long last? Have you no sense of decency?” (Id.)

At the time, many thought that Welch was surprised by this attack on Fisher, but there was no such surprise. Indeed, some thought that Welch’s cross examination of Cohn was taunting McCarthy so that he would attack Fisher and that Welch’s “no sense of decency” speech was rehearsed. (Nichols at 280-82.)[2]

Six months later, on December 2, 1954, the U.S. Senate by a vote of 67 to 22 passed a resolution condemning McCarthy for certain of his actions as a U.S. Senator. Thereafter he had virtually no influence in the Senate or the country at large. He died on May 2, 1957. (Nichols at 292-97.)

Postscript

In 2012, I met author Nichols when he gave a lecture at the Minnesota Historical Society on President Abraham Lincoln’s involvement in issues related to the U.S.-Dakota War of 1862,[3] a subject in which I had an interest and about which have written blog posts.[4] Later when I had written blog posts about Joseph Welch and his representing the Army in the McCarthy hearings,[5] Nichols told me he was writing a book about Eisenhower and McCarthy, and I provided him with materials I had collected. I was surprised and pleased when Nichols included this kind acknowledgement at the end of his just published book:

  • Nichols was “particularly indebted to Duane Krohnke, a retired Minneapolis attorney and authority on Joseph Welch, his fellow alumnus at Grinnell College in Iowa. Duane provided me with documents unavailable elsewhere, especially Fred Fisher’s account of the hiring of Welch as counsel for the Army-McCarthy hearings. Duane also connected me with Ann M. Lousin [Grinnell, 1964] and Nancy Welch [not Grinnell’s 1961 Nancy Welch], Welch’s granddaughter, both of whom provided important information about Welch and McCarthy.” (Nichols at 300.)

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[1] After Cohn died of AIDS in 1986, public speculation about his sexual orientation intensified. Some say that his relationship with Schine was platonic while others assert it was homosexual. In the HBO film of Tony Kushner’s “Angels in America: A Gay Fantasia on National Themes,” Al Pacino plays Cohn as a closeted, power-hungry hypocrite who is haunted by the ghost of Ethel Rosenberg as he lies dying of AIDS. It should also be noted that in 1973 Cohn was hired by Donald Trump to defend the Trump Management Corporation against charges of racial discrimination and Cohn thereby became a close friend and mentor to Mr.Trump.

[2]  See also U.S. Senator Joseph McCarthy’s Nemesis: Attorney Joseph Welch (June 4, 2012);  of “Good Night, and Good Luck: The Movie’s Offstage Hero, Joseph Welch,” Grinnell Magazine (Summer 2006).

[3] Nichols has written a fascinating book on this subject: Lincoln and the Indians: Civil War Policy and Politics (Minnesota Historical Society Press, 1978, 2000, 2012).

[4] Here are blog posts on this subject to dwkcommentaries.com: The U.S.-Dakota War of 1862 (Nov. 3, 2012); White Settler’s Contemporaneous Reaction to the U.S.-Dakota War of 1862 (Nov. 6, 2012); Abraham Lincoln’s Involvement in the U.S.-Dakota War of 1862 (May 21, 2013); U.S. Military Commission Trials of Dakota Indians After the U.S.-Dakota War of 1862 (June 11, 2013); President Abraham Lincoln’s Involvement in the Military Commission’s Convictions and Sentences of the Dakota Indians (June 24, 2013); The Sesquicentennial Commemoration of the U.S.-Dakota War of 1862 (Nov. 9, 2012); Commemoration of the 150th Anniversary of the Hanging of the “Dakota 38” (Dec. 26, 2012); Minneapolis and St. Paul Declare U.S.-Dakota War of 1862 “Genocide” (Jan. 12, 2013); Remembering the U.S.-Dakota War at Minneapolis’ Westminster Presbyterian Church (Part I) (Nov. 18, 2012); Remembering the U.S.-Dakota War at Minneapolis’ Westminster Presbyterian Church (Part II) (Nov. 25, 2012); Remembering the U.S.-Dakota War at Minneapolis’ Westminster Presbyterian Church (Part III) (Nov. 29, 2012); Personal Reflections on the U.S.-Dakota War of 1862 (Dec. 10, 2012).

[5] I am the author of “Good Night, and Good Luck: The Movie’s Offstage Hero, Joseph Welch,” Grinnell Magazine (Summer 2006); the biography of Welch in Newman (ed.), The Yale Biographical Dictionary of American Law (Yale Univ. Press, 2009); and the following posts on my blog (https://dwkcommentaries.com): Joseph Welch Before the Army-McCarthy Hearings (06/14/12); The U.S. Army’s Hiring of Joseph Welch for the Army-McCarthy Hearings (06/08/12); U.S. Senator Joseph McCarthy’s Nemesis: Attorney Joseph Welch (06/04/12); Attorney Joseph Welch’s Performance at the Army-McCarthy Hearings (06/06/12); President Dwight D. Eisenhower’s Involvement in the Army-McCarthy Hearings (06/10/12); Joseph Welch After the Army-McCarthy Hearings (06/12/12); and Legal Ethics Issues in the “Anatomy of a Murder Movie [in which Welch played the judge]” (06/27/12).  The joys of researching about Welch and other subjects are celebrated in Adventures of a History Detective, dwkcommentaries.com (April 5, 2011).

 

 

 

 

No Mention of Cuba in U.S. State Department’s Latest Report on Terrorism

On July 19, 2017, the U.S. State Department released its Country Reports on Terrorism 2016. One of its chapters lists these three countries as “state sponsors of terrorism:” Iran, Sudan and Syria. Other chapters discuss the terrorism records of most countries in the world.[1]

This Reports document, however, made no mention of Cuba or statement as to the reasons for this omission.[2] This was in sharp contrast to previous reports for the years 1981-2013, that listed Cuba as a “state sponsor of terrorism” (i.e., the government of a country that has “repeatedly provided support for acts of international terrorism”) and the removal of Cuba from that category for 2014 and 2015.

At the press briefing on the latest Reports, a journalist asked whether Secretary of State Tillerson himself had made the decision not to put Cuba back on the list of state sponsors since at his Senate confirmation hearing he had testified that he “wanted to examine the criteria under which Cuba was removed from the list” in 2015 for the year 2014.[3]

The State Department official responded: “Cuba was removed, and there is no requirement within the report for an individual chapter on every single country around the world. We produce chapters in the Country Reports based upon material, frankly, to include in the report. So it was assessed that there was not sufficient information there to provide a report this year on Cuba, but it was removed from the state sponsor list previously.”

Conclusion

The non-inclusion of Cuba as a “state sponsor of terrorism” in this latest report, in this blogger’s opinion, is the proper conclusion and perhaps is a sign that the Trump Administration’s rhetoric about Cuba is louder and stronger than its bite. Let us hope.

Moreover, the statement that the State Department did not have sufficient information about Cuban counterterrorism efforts to include Cuba in the latest report is disingenuous. From December 2014 through January 19, 2017 (the last full day of the Obama Administration), the U.S. and Cuba held discussions about their respective counterterrorism efforts, and on January 16, 2017 the two countries signed a Memorandum of Understanding on Law Enforcement that provided for cooperation on various matters, including “the fight against terrorism.” These discussions, although not a matter of public information, must have provided the U.S. with significant information about Cuba’s counterterrorism efforts.[4]]

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[1] U.S. State Dep’t, Country Reports on Terrorism 2016 (July 19, 2017); U.S. State Dep’t, Press Release: State Department Releases Country Reports on Terrorism 2016 (July 19, 2017); U.S. State Dep’t, Press Briefing: Acting Coordinator for Counterterrorism Justin Siberell on the Release of Country Reports on Terrorism 2016 (July 19, 2017).

[2] Welsh, State Department drops Cuba entirely from annual detail of terrorist activity, McClatchy (July 19, 2017).

[3] Previous State Department reports about Cuba and terrorism have been discussed in posts to this blog. See posts listed in the “Cuba: State Sponsor of Terrorism?” section of List of Posts to dwkcommentaries—Topical: Cuba.

[4]  See these posts to dwkcommentaries: United States and Cuba Hold Second Law Enforcement Dialogue (May 19, 2016); U.S. and Cuba Discuss Counterterrorism Cooperation (June 10, 2016); President Obama Issues Presidential Policy Directive—United States-Cuba Normalization (Oct. 14, 2016); U.S. and Cuba Continue to Implement Normalization of Relations (Jan. 17, 2017).

 

 

U.S. Continues To Suspend Part of Its Embargo of Cuba 

On July 14 U.S. Under Secretary of State for Political Affairs Thomas Shannon notified appropriate Congressional committees that the Trump Administration would suspend Title III of the Helms-Burton Act (a/k/a the Cuban Liberty and Democratic Solidarity (LIBERTAD) Act) for a six-month period beyond August 1. The law requires Congressional notification at least 15 days before a suspension is to begin.[1]

Title III allows former owners of commercial property expropriated by Cuba to sue foreign companies and the Cuban government for using or “trafficking” in those confiscated holdings.

But ever since the enactment of the Helms-Burton Act, every president has routinely suspended Title III at six-month intervals. Such suspensions have been prompted by U.S. fear of alienating important U.S. trading partners such as Canada, Mexico, and EU countries from the filing of a potential tidal wave of lawsuits in U.S. federal courts brought by persons whose Cuban properties had been expropriated against companies from those U.S. trading partners that use Cuban tourism properties, mining operations, or seaports.[2]

This suspension by the Trump Administration is the first action on Cuba since President Trump announced his new direction on U.S.-Cuba relations during a June 16 speech in Miami. It is the latest sign that President Trump is not fully reversing President Barack Obama’s opening of relations with Cuba.[3]

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[1] U.S. State Dep’t, U.S. Determination of Six-Month Suspension Under Title III of LIBERTAD (July 14, 2017); Whitefield, Trump to suspend lawsuit provision of Helms-Burton in August, Miami Herald (July 17, 2017); Assoc. Press, Trump Administration Again Suspends a Part of Cuba Embargo, N.Y. Times (July 14, 2017).

[2] After the December 17, 2014, announcement by President Obama and Castro that the two countries were embarking on a path of normalization, they have engaged in discussions or negotiations about obtaining Cuban payment of U.S. persons’ claims for expropriation, now believed, with interest, to total at least $ 8 billion. Although Cuba has recognized that it has an international legal obligation to pay such claims and has paid expropriation claims from other countries and although Cuba has an economic and political interest in paying these U.S. claims, Cuba does not have the cash to do so and instead has asserted claims against the U.S. for alleged damage from the U.S. embargo and other acts. See these posts to this blog: Resolution of U.S. and Cuba’s Damage Claims (April 4, 2015); Resolving U.S. and Cuba’s Damage Claims (Dec. 13, 2015); U.S. and Cuba Discuss Their Claims Against Each Other (July 30, 2016).

 

[3] President Trump Announces Reversal of Some U.S.-Cuba Normalization Policies, dwkcommentaries.com (June 19, 2017).

 

Cuban Entrepreneurs Issue Policy Recommendations to Trump Administration  

On July 18, a group of eight Cuban entrepreneurs held a press conference in Washington, D.C. to announce that they had written to the U.S. Secretaries of State, Treasury and Commerce saying that they were “encouraged to read in President Trump’s June 16 National Security Memorandum on Strengthening the Policy of the United States Toward Cuba that the President wishes to encourage the growth of the Cuban private sector.” Therefore, these entrepreneurs asked the Trump Administration to consider and adopt recommendations regarding U.S. travel to the island, U.S. remittances to Cubans, U.S. banking services for such Cuban enterprises and continued U.S.-Cuba discussions and negotiations.[1]

U.S. Travel to Cuba

The group first asserted: “U.S. travel to Cuba directly benefits private entrepreneurs. The vast majority of U.S. individual travelers (vs. groups) frequent private restaurants and lodging. Fewer travelers will have a direct negative impact on businesses in the hospitality sector as well an indirect negative impact on both forward and backward linkage enterprises.” Therefore, the group recommended the following:

  • “Restore the ability of individuals to engage in self-directed People-to-People educational travel.”
  • “Issue guidance to clarify that individuals who support the Cuban private sector by using private lodging or restaurants are eligible, by general license, for individual travel under the Support for the Cuban People category by virtue of supporting civil society.”
  • “Clearly define new regulations so as not to deter would-be travelers; produce informational materials for public.”

U.S. Remittances to Cubans

Again the group started with a factual background: “Remittances are essential to Cuba’s private sector, providing the financing to begin, and the working capital to sustain, businesses. Remittances also provide Cuban consumers with the ability to patronize private businesses. A U.S. policy of not restricting remittances is therefore critical to the health of the private sector.” The following were the recommendations:

  • “The Department of Commerce should adopt a favorable disposition to approving those exports to Cuba likely to benefit Cuban private sector individuals and/or companies
  • “Allow maximum remittance flows to increase liquidity for private sector and Cuban families; exempt remittance from the prohibition on payments to ‘prohibited officials’ of the Cuban government.”

Banking

The following was the factual background: “Many Cuban entrepreneurs purchase goods and services in the [U.S.] to help run their businesses. Cubans are legally permitted to open bank accounts in the U.S., but there are restrictions on the allowable transactions, and limited and uncertain account services, impairing businesses in both countries.” Therefore, these were the recommendations:

  • “Expand the allowable transactions for Cubans holding bank accounts in the U.S. to include business-related transactions including the acquisition of goods for business use.”
  • “Do not close, and allow access to, U.S. bank accounts held by Cubans when the Cuban individual is not present in the U.S.”
  • “Make public statements clarifying the intent of the Administration to allow Cubans to open bank accounts in the U.S. (limiting risk for banks).”

Bilateral Dialogue and Cooperation

 “Most Cuban entrepreneurs view improved relations between the U.S. and Cuba as a net positive for their businesses, and many developed their business model on this premise.” Therefore, the following recommendations were made:

  • “Continue bilateral engagement on issues of mutual interest to build respect and confidence.”
  • “Continue outreach to U.S. banks and businesses to clarify regulations so allowable engagement continues and expands.”
  • “Engage directly with the Cuban private sector; [Cuban sector] leaders have written two letters to the Administration (one to the President-elect, another to Ivanka Trump Kushner) with no response.”

Conclusion

This letter and its recommendations are wholeheartedly endorsed by this blogger. Cuba’s private sector is a positive development for the Cubans directly involved in that sector, all other Cubans and the U.S., and President Trump’s June 16 announcement already is having negative effects on that sector and needs to be reversed.[2]

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[1] Letter, Acosta, et al. to Secretaries Tillerson, Ross and Minuchin (July 18, 2017); Policy Recommendations [to Trump Administration]: Support to Cuba’s Private Sector (July 18, 2017).

[2] Here is another report of those negative effects: Zanona, In Cuba, Trump’s policy shift casts dark shadow, The Hill (July 19, 2017).