The Barry Chamish Website
ISRAEL'S FINANCIAL ACHIEVEMENTS
by Barry Chamish
December 1, 2010
ago, M.S. wrote me asking for a way out of Israel after decades of
hyper-patriotic loyalty. He wrote simply, "Israel sucked out my
money and my life." What you should know about M.S. is that he sends
out a highly popular Hebrew newsletter with much anger at the
government of Israel and an equal balance of love for the Land of
Israel. I will only use initials for him and all quotes in this
piece to avoid complications, but if you're a Hebrew reading
internet communicator, you likely know him. So you know, I offered
to rent him a spare room in my Florida apartment if he needed an
The list of high-charged Jews who went broke in Israel, or
lived on the edge of financial nothing there and are now elsewhere,
is huge. I will offer but a few choice examples like my friend M.,
editor of the famous website
I met him at his home in Nevada and about the first thing he said to
me was, "How do you make a small fortune in Israel? Come with a big
fortune." That is his story and I'll spare you the details of the
criminal shenanigans that forced him from Israel to America.
Professor Jean Shaoul will do that with an article he published in
But watch out. I'm going to interrupt him from time to
Oligarchy and inequality in Israel
By Jean Shaoul
A number of high-profile economic
“successes” and technological achievements associated with Israel’s
economy conceal one of the most polarised societies in the world.
Last May, Israel was admitted to the Organisation for Economic
Cooperation and Development, underscoring its transformation into an
advanced economy. Israel’s per capita GDP, at $28,365, is the fourth
largest in the Middle East and larger than all its neighbours
Thanks in large part to immigration from the Soviet Union, Israel
currently has the highest per capita number of engineers and
scientists, scientific publications and registered patents in the
world. The Arrow, the world’s most advanced anti-missile missile,
unmanned drones, the Given Imaging’s diagnostic pillcam, MRI and CAT
scans, dental and medical imaging, drip irrigation and text
messaging were all invented in Israel. All of the major IT,
aerospace and aviation companies have subsidiaries in Israel. But
the technological successes and the new wealth, flowing from
Benyamin Netanyahu’s “free market” policies when he was finance
minister in previous governmentsmost recently under Ariel Sharon
from 2003 to 2005has benefited only a narrow social layer.
First interruption. If you are
not in the narrow layer, you'd better be adequately equipped to
tolerate torture if you try to open a business. Established
businesses do not tolerate upstarts fighting for a share of their
pie and they put impossible obstacles in your way. S.A., now of
Washington State, was bilked and bankrupted by her Israeli business
partner and tried to escape the country. But a lien was put on her
passport by the partner claiming she owed him money. She was stopped
from leaving at the airport and slung back to Hell. The worst case
of this was Zev A., a very talented and well published photographer,
who three decades ago had a lien put on his passport over a small
tax debt. His photographic equipment, including cameras, were
legally seized from him, so he couldn't work to cover the debt.
Interest was added to the principal of the small debt, quickly
turning it into a sum he could never return. I saw him in Jerusalem
6 years ago. He looked like a street crazy, endlessly
face-twitching, looking years older than his age, babbling nonsense.
A woman, who I will not identify even by initials at her request,
had a lien put on her passport 11 years before, escaping after a
year. After over a decade she felt the pull of Zion again and flew
back to Israel where the same story repeated itself. Her lesson; "If
you accidentally left even one bill unpaid, they keep adding
interest and demand you repay a gigantic amount. I learned, you can
never safely return to Israel."
According to the 2009 Merrill Lynch
World Wealth Report, Israel has 5,900 people with at least $1
million in liquid assets. Between 2005 and 2007, Israel produced
more millionaires per capita than any other country. The Marker,
Ha’aretz’s financial section, estimates that the wealth of the 500
richest people in Israel is $75 billion, equal to $150 million each.
To put this in perspective, last year, Israel’s total GDP was $205
billionmaking 500 people worth more than a third of this total.
Even this fails to fully show the concentrated nature of Israeli
wealth and power. The wealthiest 20 families control about half the
stock market and 25 percent of the top companies in Israel, notably
the newspapers, banks and high tech companies, through a vast
pyramid of companies that involve very little of their own money.
The families appoint their relations and close friends to manage
these companies. Such corporate structures and trusts were outlawed
in the United States more than a century ago. Even in Saudi Arabia,
the world’s largest family-run business, corporate control by 70
ruling princes is less concentrated than in Israel. Israel’s Central
Bank recently issued a report indicating its concerns about the
stranglehold these families have over the economy and their “close”a
euphemism for corruptrelations with Israeli politicians, likening
it to a developing country.
Ahem, I'm back.
Did you catch that? If you didn't, 20
families control half the Tel Aviv stock market. And they only hire
their relatives and friends to management positions in the companies
they own. Needless to say, they run the media with all its twists to
the Left. But they also run the banks and one of them, Israel
General Bank, just about got me to run out of Israel. I was one of
five people who signed a tiny housing loan for one Martha Rosenberg
of Italy. My risk was about $500. if she defaulted. What I didn't
know is that she and three other crooks went from bank to bank
co-signing loans for each other with the scheme of skipping the
country after stealing about $100,000. Besides me, two other honest
signers were charged with repaying all the gang stole. Never mind
that bank security was breached, we were all charged $36,000 each
for their theft. A thoroughly crooked lawyer, hired by the bank's
owners the Safra brothers, named Yossi Cohen turned stalker against
me, to the point of having me handcuffed and jailed so I'd give him
money he didn't deserve and which I couldn't possibly have. My
reaction was to investigate the bank. Oh, the crimes I discovered!
My bill was finally reduced by 400%. I stayed in Israel but who of
you wouldn't have taken the next flight to anywhere else?
The Kadima party, which former Prime
Minister Ariel Sharon formed as a splinter party from Likud and
Labour, is widely seen a political front for Israel’s oligarchs,
with Shimon Peres, Israel’s president, as their man. The former
Kadima leader and prime minister, Ehud Olmert, was forced to resign
over numerous corruption scandals.
Not only is there vast evidence
that Shimon Peres planned the murders of Rabin, Zeevi and brain-dead
Sharon, and these are just a few of his crimes, others are far
worse, according to Prof. Shaoul, he is the political leader of the
oligarchs. Needless to say, Peres in any clinical test would prove
to be a sociopath. He cares nothing for the Jewish people and is
allowed to continue his damage because the thieves robbing the
Israeli people blind depend on his leadership for their continued
larceny. Only in this larcenous mindset could the Jews of Gaza and
Northern Samaria have their homes bulldozed under their feet and be
forced off their property, only to find the government unwilling to
provide alternate housing and compensation. And just as insulting
and nutty, the banks demanded mortgage payments for the Palestinian
rubble their homes became.
Israel is one of the most socially
polarised societies in the developed world. According to the Adva
Institute, an Israeli equality and social justice NGO, top managers
earn $523,000 a month, nearly 500 times the average monthly salary
of $1,440. This is fives time the differential in the US. At the
same time, one and a half million people, or more than 20 percent of
the population, live in povertydefined as living on 50 percent or
less than the median income. Fully 34 percent of Israeli children
live in poverty.
Your top managers, appointed
through nepotism, earn over $2 million every 2 months while
34% of children are impoverished and
malnourished. And no trustbuster will
ever emerge to challenge the atrocity. The oligarchy is the state
and they don't take kindly to strangers busting up their scam. The
direct result is 31,000 Israelis left the country for good last
year, most settling in the US. Meanwhile only 3,000 Jews moved from
the US to Israel. In three years almost 100,000 Israelis moved out.
The number of Israelis living elsewhere is estimated to be 700,000.
Putting it another way, counting their families, if they had stayed,
there would be another two million Jews in Israel. The oligarch
mafia scares Jews out of Israel, and scares them from coming in.
Adva reported last April that in
2009, when GDP growth fell to less than one percent, employers’
share of GDP rose from 15 percent in 2008 to 17 percent, while
workers’ share of GDP fell from 62 to 60 percent. Over the decade as
a whole, when GDP rose by 30 percent, the employers’ share of
national income rose from 14 percent to 17 percent, while workers
saw their share fall from 66 percent to 60 percent, equivalent to a
loss of $250 a month, or about one sixth of their income. While the
economy has been growing at 5 percent a year, wages have been
falling by 3 to 4 percent a year. Public spending on anti-poverty
measures, education, health, transport and social security has been
cut, while the wealthy have gained from tax cuts and the protection
of capital gains.
And while the appointed
employers get richer far faster than in any first world country,
they don't have to pay taxes. Thanks to tax deductions the majority
of Israeli charity is "contributed" by the deviants who caused the
poverty. These greedy oligarchs are feasted by universities,
orchestras and museums while...
The impact of Israel’s free market policies have been felt
throughout Israeli society. The elderly have been particularly badly
affected. Even those who survived the Nazi extermination of European
Jewry, for whom Israel was supposed to provide a safe haven, have
not been spared. Support groups claim that 80,000 survivors, one
third of those living in Israel, do not have enough money to make
ends meet and are forced to turn to soup kitchens, charities or
...a third of the remaining
Holocaust survivors in Israel eat at their soup kitchens.
My subscription newslist is happy
and growing. For a modest fee, my subscribers, get the hidden real
news at least ten times a week. Like these, close to my heart. Read
to the end then write me to come aboard:
To help with our cause:
Saint Augustine, FL 32080 USA
Listen to my radio show:
BE SURE TO LISTEN TO BARRY CHAMISH
Live TUESDAYS at 3PM PT / 6PM ET ON:
My new book, THE conPROMISED LAND
can be ordered direct from the publisher
*** ~ A special note from Barry to
I have to change my work strategy or I'll be in trouble soon. This
is a query, nothing more for now.
Just know that my influence is increasing this year, while down
the line, my supporters' bank accounts are decreasing. Every major
Israeli media outlet is contacting me to be quoted for Rabin's 15th
year murder anniversary. I have been given my own radio show and
appear constantly on other shows. Barely anyone quits my newslist
and it has grown to over 3500 readers including dozens of sites.
But in the past half year or so, people don't have the money to
support my work. I called Joel Skousen of the subscription-based
WorldAffairsBrief and he told me his cancellation rate was 60% at
one point this year. BUT he advised me that his list costs $48/yr
and what he is suffering is a bad patch. His income will allow him
to recover. He insisted that I charge a fee or I will go under.
Look, I think $48/yr is inappropriate for me. I'd probably
charge half that. Even in a recession, people have $12.50 for a half
year of important news to them that they can't find anywhere else.
My problem is I'm a bit frightened of losing the influence that
comes with 3500 readers sending my work to their correspondents.
Will you stay with me if I switch to a subscription policy?
Let me know, please.