How would you feel if someone told you that every one of your paycheques was being used to support war crimes and keep the companies accused of these atrocities rolling in lucrative business? And how would you feel if you lived off the avails of torture and bloodshed through the Canada Pension Plan (CPP), upon your long-awaited retirement after paying into it? This appears to be our dirty little secret, that Canadians enjoy prosperity at the unethical demise of others.
In a recent interview with Harry Fear we touched on CPP investments and how they contribute to the Israel-Palestine conflict; through complicity in drone warfare, an illegal wall, the death of children and suppression of human rights.
While this was enough to make anyone angry, it wasn't until I received mortified responses from baby boomers that I investigated further. The messages from this demographic were compelling and show that we're ready to take action to restore our reputation and the shame of these transgressions will not be tolerated.
It's claimed the amounts we contribute to CPP are not enough to cover the population's living expenses and as a result, the plan turns to the stock market in an effort to generate a sustainable future. We've done well enough that organizations are pushing for expansion, to allow Canadian retirees a degree of pride that sustains them above the poverty line. With the amount of privatization, downloading and user fees they will surely need it; but the Harper government says we can't afford to treat our own a little better.
It may indeed be a matter of priorities, but not as we are led to believe from a lack of funding. Instead it's the difference between humanitarian care for Canadians, versus the pursuit of power in a vicious, military-industrial complex. At the end of the day CPP relief is not available to seniors because the government wants a greater share to invest in pet projects of warfare.
Our domestic (PDF) and foreign portfolios (PDF) are available on the CPP Investment Board website. Scanning through the foreign list we come across L-3 Communications Holdings, where we invested $10 million in solidarity with a company held responsible for the Abu Ghraib prison scandal.
Everyone remembers the horrifically iconic photographs that circulated media from the darkest corners of Iraq. What Canadians may not have realized is that our holding, L-3 Communications, was the first private contractor to settle with victims for $5.8 million to account for their role in the torture and inhumanity.
Reprieve is a UK charity focused on the human rights of prisoners. They cite L-3 Communications as not just a violator in the Abu Ghraib case, but also as a"key drone component manufacturer" for the American-made predator. This is the weaponized, remote control aircraft responsible for increasing attacks on civilians in Pakistan and Yemen.
According to international law it's illegal to use armed drones in non-war zones, but no one from the company will acknowledge these concerns. In the meantime, as many as 885 innocents were killed, accounting for 176 children in Pakistan alone. That means every working person in Canada paid about $5 in CPP contributions to make it happen and we continue to perpetuate violence in this corner of the world.
But our unethical investments don't end there. We support Elbit Systems Ltd., on the forefront of miniature drone cars that also kill by remote control. They can take action of their own accord, without the need for human intervention to shoot whatever these Guardium models deem a threat in their computerized judgement. Automatic killing machines pose a challenge to human rights and yet the Canada Pension Plan is behind pushing them to market.
Canadians hold another $16 million in CAE, as a partner to Elbit for the purpose of developing Integrated Soldier Systems. Most information has been removed from public view by the Department of National Defence since the project was approved for a tendering process by the Canadian government. Earlier research (PDF) indicates the creation of veritable robo-cops like what we've seen in the movies, complimented by eyepieces with pop-up TV screens to feed intel to the troops. This is the military meets Xbox and CPP facilitates this development too.
With the presence of hacktivist groups like Anonymous watching over the battlefield and increased warnings from CSIS regarding digital espionage as the biggest threat to our security, a new industry of war games is birthed against conventional wisdom that places profit front of mind with little regard for human beings.
In fact, Chinese-based servers are responsible for hacking into Canada's defence research, treasury and finance departments in an unprecedented breach of our most classified information. Ironically, the Integrated Soldier System was housed in a compromised department and it may still come to pass that the government looks to Anonymous for protection at the rate we're going.
By no means are these the only examples of our financial stake in conflict, but they do represent some of the most heinous crimes and self-inflicted danger that our savings are used to promote. With every paycheque we're breaking human rights around the world. CPP has been manipulated to terrorize Palestinian children by the hundreds of thousands. Hundreds more are killed across the Middle East and a majority of countries where drones are hovering equipped with missiles. The ones that aren't weaponized perform surveillance to challenge North American civil liberties and we're so heavily invested in warfare that if peace occurred, our retirement fund would become bankrupt.
It's important to understand that CPP is not a tax and therefore doesn't qualify as government revenue (PDF) to do with as it pleases. Despite this, the investment board is a crown corporation that is directly responsible to the federal government and immediately after Prime Minister Stephen Harper was elected in 2006, they updated their policies to encourage aggressive tactics.
Dramatic changes followed quickly. In 2007, new legislation altered CPP practices through measures contained in Bill C-36. By April 2007, all CCP assets were transferred to control of the investment board (PDF, see pg. 18, New Investment Policy) and in 2012 they changed from passive management to active management techniques. Aggressive trading requires a team of involved experts and staff at the CPP ballooned from 70 to 811 in the same short period [LINK]. They've opened offices in Hong Kong and London, took on riskier markets, decreased Canadian equities in favour of foreign projects, hedged currency and shifted public holdings to private interests. Our hard-working dollars used to find their place in safer government bonds, but the lion's share was migrated to a war-centric market.
The investment board explains they're unique from other retirement funds and they're padded to take on the risk. They're only expected to share 25 per cent of profits to provide for CPP benefits and the working class pays the rest. With $170 billion in assets now and 18 million people to cover, the plan can already sustain itself for another 75 years. (PDF, see pgs. 1-21, CCPIB Annual Report 2012).
Since Conservative rule and the CPP makeover, we've borne the brunt of losses great as 18.6 per cent. We must divest from the war machine and put our money where it doesn't kill, if not for humanitarian grounds then because financially it doesn't make sense. As international diplomats have said, "Canada is not the good guys anymore -- we all have a bit of blood on our hands."
See Part II, CPP and the Conflicts of Interest....
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