How East and Central Europeans Defraud the Gullible West

A common, guttural cry of "Eureka" echoed as the

peoples of East Europe and the Balkan emerged from the

Communist steam bath. It was at once an expression of

joy and disbelief. That the West should be willing to

bankroll the unravelling of a failed social experiment,

freely entered into, exceeded the wildest imaginings. That

it would do so indefinitely and with no strings attached

was a downright outlandish fortuity.

Transition in the post communist countries was coupled

with a hubristic and haughty conviction in the

transforming powers of the Western values, Western

technology, and Western economics. The natives - awe

struck and grateful - were supposed to assimilate these

endowments and thus become honorary Westerners

("white men"). Where osmosis and immitation failed -

bayonets and bombs were called upon. These were later

replaced by soft credits and economic micromanagement

by a host of multilateral institutions.

Accustomed to Pavolvian interactions, adept at

manipulating "the system", experts in all manner of make

belief - the shrewd denizens of the East exercised the

reflexive levers of the Great Democracies. They adopted

stratagems whose sole purpose was to extract additional

aid, to foster a dependency of giving, to emotionally

extort. In one sentence: they learned how to corrupt the

donors.

The most obvious subterfuge involved the mindless

repetition of imported mantras. Possessed of the same

glazed eyes and furled lips, the loyal members of a

perfidious nomenklatura uttered with the same seemingly

perfervid conviction the catechism of a new religion.

Yesterday communism - today capitalism, unblushingly,

unhesitatingly, cynically. Yesterday, a recondite

dictatorship of the proletariat or, more often, a personality

cult - today "democracy". Yesterday - brotherhood and

unity, today - genocidal "self determination". Yesterday -

genocidal inclinations, today - a "growth and stability

pact". If required to bark in the nude in order to secure the

flow of unsupervised funding (mainly to their pockets),

these besuited "gentlemen" would have done so with self-

sacrificial ardour, no doubt.

When it dawned upon them that the West is willing to pay

for every phase of self-betterment, for every stage of self-

improvement, for every functioning institution and law

passed - this venal class (the soi-disant "elite" in

government, in industry and academe) embarked on a

gargantuan blackmail plot. The inventors of the most

contorted and impervious bureaucracies ever, have

recreated them. They have transformed the simplest tasks

of reform into tortuous, hellish processes, mired in a

miasma of numerous committees and deluged by cavils,

captious "working" papers and memoranda of stupefying

trumpery. They have stalled and retraced, reversed and

regressed, opined and debated, refused and accepted

grudgingly. The very processes of transformation and

transition - a simulacrum to begin with - acquired an aura

of somnolent lassitude and the nightmarish quality of

ensnarement. And they made the West bribe them into

yielding that which was ostensibly in their very own

interest. Every act of legislation was preceded and

followed by dollops of foreign cash. Every ministry

abolished was conditioned upon more aid. Every court

established, every bloodletting firm privatized, every bank

sold, every system made more efficient, every procedure

simplified, every tender concluded and every foreign

investor spared - had a tariff. "Pay or else ..." was the

overt message - and the West preferred to pay and to

appease, as it has always done.

The money lavished on these "new democracies" was

routed rather conspicuously into the private bank accounts

of the thin layer of vituperable "leaders", "academics" and

"businessmen" (often the same people). One third

cigarette smugglers, one third uncommon criminals and

one third cynical con-artists, these people looted the

coffers of their states. The IMF - this sanctuary of fourth

rate economists from third world countries, as I am never

wont of mentioning - collaborated with the US

government, the European Union and the World Bank in

covering up this stark reality. They turned a common

blind eye to the diversion of billions in aid and credits to

mysterious bank accounts in dubious tax havens. They

ignored fake trading deals, itinerant investment houses,

shady investors and shoddy accounting. They expressed

merely polite concern over blatant cronyism and rampant

nepotism. They kept pouring money into the rapidly

growing black hole that Eastern Europe and the Balkan

have become. They pretended not to know and feigned

surprise when confronted with the facts. In their

complicity, they have encouraged the emergence of a

criminal class of unprecedented proportions, hold and

penetration in many of the countries within their remit.

To qualify to participate in this grand larceny, one needed

only to have a "sovereign" "state". Sovereign states are

entitled to hold shares in multilateral financial institutions

and to receive international aid and credits. In other

words: sovereignty is the key to instant riches. The

unregenerate skulks that pass for political parties in many

countries in East Europe and the Balkan (though not in all

of them - there are exceptions), carved up the territory.

This led to a suspicious proliferation of "republics", each

with its own access to international funds. It also led to

"wars" among these emergent entities.

Recent revelations regarding the close and cordial co-

operation between Croatia's late president, Franjo

Tudjman and Yugoslavia's current strongman, Slobodan

Milosevic - ostensibly, bitter enemies - expose the role

that warfare and instability played in increasing the flow

of aid (both civil and military) to belligerent countries.

The more unstable the region, the more ominous its

rhetoric, the more fractured its geopolitics - the more

money flowed in. It was the right kind of money:

multilateral - not multinational, public - not private,

deliberately ignorant - not judiciously cognizant. It was

the "quantum fund" - capable of "tunnelling" (as the

Czechs called it) - vanishing in one place (the public

purse) and appearing in another (the private wallet)

simultaneously. Even the exception - the never-enforced

sanctions against Yugoslavia - served to enrich its

cankerous ruling class by way of smuggling and

monopolies.

And why did the West collaborate in this charade? Why

did it compromise its goodwill, its carefully crafted

institutions, its principles and ethos? The short and the

long of it is: to get rid of a nuisance at a minimal cost. It is

much cheaper to grease the palms of a deciding few - than

to embark on the winding path of true and painful growth.

It is more convenient to co-opt a political leader than to

confront an angry mob. It is by far easier to throw money

at a problem than to solve it.

It was not a sinister conspiracy of the Great Powers as

many would have it. Nor was it the result of foresight,

insight, perspicacity, or planning. It was a typical

improvident European default, adopted by a succession of

lacklustre and lame American administrations. It enriched

the few and impoverished the many. It fostered anti-

Western sentiments. It provoked skirmishes that provoked

wars that led to massacres. To reverse it would require

more resources than should have been committed in the

first place. These are not forthcoming. The West is again

misleading and deceiving and collaborating to defraud the

peoples of these unfortunate netherlands. It again

promises prosperity it cannot deliver, growth it will not

guarantee and stability it cannot ensure. This

prestidigitation is bound to lead to ever larger bills and to

the attrition of good will of both donor and recipient.

Never before was such a unique historical opportunity so

thoroughly missed. The consequences may well be as

unprecedented.

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