Tales from my Ukrainian maid

 

Most Westerners have no real conceptual understanding of what is happening in Ukraine beyond the Pro-EU, Pro-Russia surface story.

At the highest level this is just about pipelines, fracking and Gazprom ensuring thier monopoly on the european gas market. And these things are just pieces of an overall strategy on the part of the West (what i call the banking cartel countries) to encircle Russia with an eventual Empire vs Empire struggle in mind.

But here’s what it’s about for the people of Ukraine.

Say you own a business in Ukraine.. It can be a donut shop, factory, whatever..

One day a few guys come and tell you that it’s probably a good idea to sell it to them for $10,000. You protest and say that not only are you not interested in selling the business but that it’s worth 100x more and being that your family built it up over the past 50 years you would never think of selling it. The guys tell you they are from The Family ( the Viktor Yanukovych crime family). You now understand the severity of your situation and you go to the police to ask for help. At the police station the police see that you are in a bad spot and seize the opportunity to relieve you of any valuables you may have with you. They take your car and cash and throw you in jail until you can come up with $1000. The next day 10 guys come in to your place of business, break your arms and legs and insist you sign the sales contract now to avoid them further hassle in obtaining your profitable business.  This time the contract states that you will sell the business for $1. You sign. The police and entire judicial system are owned by the Yanukovych family so really that’s the end of the story.

The tactic above is how one extended family in just a few years has seized most of the assets in this country of 145 million people.

Viktor  Yanukovych has gone from pot bellied petty ex-con who couldn’t stay out of prison for more than a few years at a time to a respectable coiffed haired head of state maintaining some of the largest private residences in the world and currently constructing another pleasure palace that would even make Ceaușescu envious. The rest of the peices you can figure out for yourself. His son, the “dentist” lives in a $100,000,000 mansion and the rest of the 500 or so extended family members are living just as well. Not to mention the asset holders who are allowed to live the lavish life of a billionaire if they front the family’s stolen factories, mines, media empires.  In Ukraine you can go from obscurity to billionaire practically overnight.

See the case of this 27 year old who has somehow acquired many billion dollar mining companies and media empires in a 4 year time span. The guy must be pretty smart eh..

http://www.bloomberg.com/news/2013-06-24/ukrainian-tycoon-buys-magazine-that-investigated-him.html

What got me writing this article was a conversation i had with my Ukrainian maid and my general shock at her acceptance of the way things work there. She told me two quick stories just in passing that she had seen just in the past 2 years in her town.

Her neighbor’s son on his 18th birthday leaves the house and goes to the police station to get his license and in his pocket is the $100 bribe that is expected to be paid to get this done. He never returns home. A few months later his family learns that being his birthday the police suspected he had more money on him than the $100. So he was beaten to extract the rest. They beat a little too hard so the boy died. No body was found and the police involved in the beating are known to have committed this crime..and it’s not a big deal. There is no recourse for the victims family..that’s just the way it goes sometimes.

Another story..

The Yanukovych clan comes to her town which has an economy that is largely based upon the output and jobs of a certain factory. They are interested in acquring this factory and all it’s assets. The group that owns the factory and distribution network isnt interested in selling. A week later the owners and members of thier families have thier arms and legs broken, some barely surviving. The companies are sold for almost nothing (some saying no money actually changed hands at all) soon after. Guys from Donetsk are all brought in to fill the managerial positions and soon after only the lowest level jobs are filled by locals. Wages are then reduced to a point where many employees just stop going to work. Quality of the end products and consistency then suffered so much that the commercial clients bought elsewhere. This volume was then replaced by government contracts and this is what the factory subsists on today.

This is why you can see shirtless men walking into police bullet fire today in central Kiev. And why Yanukovych is now calling in the military to deal with them.

With the Olympics commencing Putin will not chance backing up Yanukovych. If the Ukrainians want to give this guy the boot then it needs to be now.

 

 

 

 

 

The best charting teacher I know:
The Morning Analysis Service by Paul Coghlan
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2 comments

  1. manny   •  

    Wow thats something else. Im from Colombia, I remember when the guerillas took over our peaceful town… When you’re a child these things dont matter as much, but boy is it discerning. They would leave land mines in front police officers homes, banks and businesses would be destroyed etc.

    My uncle just told us a story that happened to him a few weeks ago: police officer walking to the station at 5am in civilian attire, gets held up by robbers and they leave him in his underwear… Has to walk back home in his drawers.

    The world… Is an interesting place. Hope the best for the Ukrainians.

  2. M. Baptista   •  

    Dear Sir,

    While I’m sure there’s ‘plenty of corruption going on and Yukanovitch is no saint your article strikes me as very poorly constructed U.S. propaganda.
    Firstly, If the Mafia operation and Police corruption were as high as you indirectly try to persuade us it is, there would be virtually NO privately owned businesses in Ukraine. “Yours” included.
    I’m sure it’s bad. I’m sure it’s scandalous. But you, sir, take Joseph Goebbels axiom of telling a big lie a bit too far…

    Secondly, Is there a single piece of real estate (house, manor, cotage, estate…) worth 100 million USD in Ukraine? Let alone 500 for Yukanovitch’s “extended family” living “just as well”???
    In Malibu Beach or the Hamptons I’m sure, but in the Ukraine? You are writing for little children???

    Thirdly. I like the “stories of your maid”. I really do. It lends an air of authenticity to your…story… Maybe the story of the young kid is true. Who knows? They almost killed Rodney King in LA and they weren’t even tring to extract him so money…
    But even in the TV you can’t see ANY “shirtless Ukranians” fighting with the riot police.
    With 20º bellow zero or worse, they would be dead in minutes without warm cloths.
    Without Russian gas to keep them warm, millions of Ukranians would die too.

    Oh, BTW, it’s Russia that has 145 million inhabitants.The Ukraine has just 44 million.
    A Freudian lapse revealing the real target behind your “story” perhaps…

    May God bless all the Ukranian People.

    As for you sir, you may well go fly a kite

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