Tax avoidance and human rights


November 2017

Paradise Papers the latest to shine a light on the multi-billion pound avoidance industry

The publication of the Paradise Papers which have revealed yet more insights and names of those engaged in the murky world of massive tax avoidance, has so far stayed clear of discussing the human rights angle to this activity.  A letter in today’s Guardian newspaper, written jointly by Helena Kennedy and Hans Corel, draws attention to this particular aspect.  The huge outflow of resources from the developing world means governments are starved of the resources to tackle poverty, improve their health and education systems and to upgrade infrastructure generally.  A staggering $859bn was lost in 2010 and the cumulative loss between 2001 and 2010 amounted to $5.86trn *.  It often comes a surprise to people when it is pointed out for example that Africa, taken as a whole, is a net creditor to the rest of the world.  This is a combination of corruption, resource extraction and tax avoidance.  So while aid is paid into the country, more money flows out because of tax avoidance and criminal activity.

The Paradise Papers follows on from other leaks including the Panama Papers, Lux leaks and others which exposes the scale of the perfectly legal tax avoidance industry and names some of those involved.  These have included the Queen’s Duchy of Lancaster estate, Prince Charles and a slew of celebrities, media and sports people.  Several said they did not know this was being done in their name.

The letter draws attention to a report prepared by the International Bar Association in 2013.  This 262 page report examines exhaustively the nature of this activity and came before some of the recent revelations.  The key question for us is the link between this activity and human rights and the report discusses this in detail since it is not entirely direct.  In the report is says:

Most stakeholders tended to agree that there is an important distinction between labelling tax abuses as ‘legal violations of human rights’ versus stating that tax abuses have ‘negative impacts on human rights’.  Depending on the scope and scale of the tax abuses, they might have a significant impact on human rights.  As one tax authority expressed it: ‘What do we need to fulfill economic, social and cultural rights?  Resources including taxes.  Therefore, tax abuses are clearly a human rights issue when massive amounts are lost from State revenues.’ p96

To the extent that tax abuses have an impact on poverty and that poverty has an impact on human rights, as outlined above, it is possible to make a connection between tax abuses and human rights.  Most simply put, tax abuses deprive governments of the resources required to respect, promote and fulfil human rights. More dramatic examples of human rights impacts can be imagined when you juxtapose the billions of dollars that are said to be flowing out of developing countries with the comparatively small amounts that are required to lift individuals, families and communities out of the most extreme forms of poverty. p103

In a summary on p148  they say:

Human rights have not often been part of the global debate about tax matters. However, a human rights analysis can strengthen our understanding of poverty and development, as well as reinforce our determination to confront tax abuses.  In the recently adopted UN Guiding Principles on Extreme Poverty and Human Rights, the UN Special Rapporteur on Extreme Poverty and Human Rights describes how extreme poverty is connected as a cause or consequence of violations of numerous human rights, including all the key human rights principles − ranging from the right to life, the right to food, the right to health, the right to education, the right to social security and principles of non-discrimination, participation, transparency and accountability.

Simply put, tax abuses deprive governments of the resources required to provide the programmes that give effect to economic, social and cultural rights, and to create and strengthen the institutions that uphold civil and political rights.  Actions of states that encourage or facilitate tax abuses, or that deliberately frustrate the efforts of other states to counter tax abuses, could constitute a violation of their international human rights obligations, particularly with respect to economic, social and cultural rights.  p148  Our italics

It is important to recognise therefore that this is not a victimless activity.

The City of London is a key player in the avoidance industry and is surrounded by a worldwide network of islands which have secrecy in one form or another as part of their appeal to international corporations, rich individuals, criminals and despotic governments.  These include the Isle of Man, Jersey, British Virgin Islands, and several more.

The report also devotes space to non-state actors and in particular the international corporations such as Apple, Amazon, Starbucks and several others.  These are able to move funds between one jurisdiction and another employing various legal techniques such as ‘The Swiss Role’ ‘Going Dutch’ and Thinning on Top’.  Apple featured most strongly in the latest revelations.


For those who would like to read the report in full it can be accessed from this link.  Full report

*586 000 000 000 000 US dollars

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

November group minutes


Minutes for the November group meeting are attached thanks to group member for preparing them.  At the end of the minutes you will find a list of upcoming activities.  If you are interested in joining us, coming along to one of these events is the easiest thing to do.  It is free to join the local group.

November minutes (pdf)

Meeting tonight


Now taken place – minutes soon.

Our regular monthly meeting takes place tonight at 7:30 in Victoria Road as usual.  All supporters are welcome and we will discuss the usual range of activity and future events.

Stay of execution: Texas


Execution of Clinton Young in Texas stayed

Clinton Lee Young. Pic: Vebidoo.com

It is good news that the planned execution of Clinton Lee Young has been stayed by a Texas court due to doubts about the evidence.  It just shows that had the execution gone ahead, any mistakes cannot be undone.  Thanks to all those who wrote on this case.

Urgent action: Texas (pdf)

Read our monthly death penalty report.


If you live in the Salisbury UK area and would like to join us you would be very welcome.  It is free to join the Salisbury group but if you want the benefits of joining Amnesty International UK there is a joining fee for that.

The best thing is to come along to one of our events, which are listed at the end of our minutes, and make yourself known.  Or keep an eye on this site or Facebook and Twitter (salisburyai)


 

 

 

Minutes – October


Attached are the minutes for the group meeting held on Thursday 12 October 2017 thanks to group member Lesley for preparing them.  A full agenda covering the death penalty, North Korea, upcoming events such as the film at the Arts Centre, Citizenship day, an exhibition at the Library and the plans for the Celebration of Human Rights in 2018.

Anyone local reading this interested in taking part then go to the end of the minutes where future events are listed.  Come along to one and make yourself known.  You can follow us on Twitter or Facebook if you prefer – salisburyai.

October minutes (Word)

UN action on Yemen


The UN to send a team of experts to the Yemen
UK government tried to frustrate this

The United Nations has just announced in the last few days, that it is to send a team of ’eminent international and regional experts with knowledge of human rights law and the context Yemen for a period of at least one year’.  (HRC 36)  They will conduct a ‘comprehensive examination of all alleged violations and abuses of international human rights law.’

Readers of this blog and elsewhere will be aware by now of the dire situation in that country.  The latest figures, reported by the BBC, show that over 8,500 have been killed, mostly in air strikes, and around 48,000 injured.  A cholera epidemic has hit the country and over 700,000 are affected by that.  Matters are made worse because hospitals are bombed and there is a blockade hindering or preventing medical supplies getting through.  About 20 million citizens are in need of aid of some kind.

The crisis has come about because of Houthi rebels fighting government forces.  What has made matters worse is the aid the UK and other governments have provided to the Saudis.  In the past these have included cluster munitions – now banned but allegedly still being used – and Paveway bombs to replace them.  RAF personnel are involved in the control room but it is claimed they are not involved with the actual bombing.  The involvement of British military personnel was kept secret and was only known when it was revealed by the Saudis themselves.  Targets have included weddings, funerals, schools, markets and medical facilities.  Only recently, Amnesty reported on residential building hit by a US made bomb killing 16 civilians.  This was due to a ‘technical error’ it was claimed.

The establishment of a team to look into human rights violations is to be welcomed and in a statement, Amnesty International said:

A resolution passed by the UN Human Rights Council today, authorising the establishment of group of international experts to investigate abuses by all parties to the conflict in Yemen, is a momentous breakthrough that will pave the way for justice for countless victims of human rights abuses and grave violations of international law, including war crimes.

The resolution was passed in Geneva today by consensus, after intensive negotiations.  It is the result of years of campaigning and lobbying by Yemeni human rights organisations as well as Amnesty and other international human rights and humanitarian organisations.  30 September 2017

Negotiations have been intense reportedly and it was the Canadian and Netherlands governments holding firm which secured a result.  The US, UK and French governments were dragging their feet.  This is because these governments have significant and lucrative weapons sales to the Saudis.  Only a few days ago, success did not look promising with the Daily Mail reporting a stalemate.  The actions by our government, the US and France prevented a proper commission of enquiry.

The Guardian reported on 24 September the UK’s role in seeking to block the enquiry:

Foreign secretary Boris Johnson last week rejected the need for such an inquiry, arguing that the UK was “using a very, very wide variety of information sources about what is happening to acquaint ourselves with the details” about Yemen.

But the revelation that the UK neutered EU attempts to bring about such an investigation is likely to raise questions about its motives.  Since the conflict began, the UK has sold more than £3bn worth of weapons and military equipment to the Saudis and defence contractors hope more deals are in the pipeline.

“Blocking attempts to create an international inquiry is a betrayal of the people of Yemen who have suffered so much during this conflict,” said Polly Truscott of Amnesty International.  “It’s shocking. The UK ought to be standing up for justice and accountability, not acting as a cheerleader for arms companies.”

Human Rights Watch has also spoken out about the role of our arms sales in worsening the conflict.  With Brexit on the horizon, the need to secure such arms sales will only increase and indeed, the Trade Secretary Liam Fox is off to Saudi soon to try and secure more sales of aircraft.

UPDATE: 2 October

A number of stars wrote to the Observer on 1 October calling for a ban on arms sales to Saudi.  Names include: Ian McEwan; Bill Nighy; Phillip Pullman.

 

Sources: Amnesty; BBC; The Daily Mail; Human rights Watch; Middle East Monitor; UN; Observer; Guardian


Maybe you feel shocked at the shameful role our government has played in this war and would like to do something about it.  If you would like to join us you would be very welcome.  Come along to one of our events which are listed at the end of our minutes or keep an eye on Facebook and Twitter or this site (Salisburyai).  It is free to join the local group

 

 

 

 

 

National Crime Agency breaks law


NCA admits not seeking Ministerial consent before supplying information to the Thai police

In 2014 there two British backpackers, Hannah Witheridge and David Miller, were murdered on a beach in Thailand and for days the press was full of the story.  It was reported at the time that the Thai police were extremely slow to react and allowed crucial evidence to be lost and for likely suspects to escape.  It was further alleged that the Thai authorities were reluctant to take the matter sufficiently seriously because of the possible damage to their tourist trade.

Three years later the case has again hit the headlines as it now appears that the National Crime Agency has been accused of supplying information to the Thai Police.  The significance is that two Burmese individuals, Zaw Lin and Wai Pho have been convicted of the murders and are likely to face execution by lethal injection.  The High Court in the UK found against the NCA for providing information which contributed to the likelihood of execution.  The UK government opposes capital punishment and there are strict rules governing the provision of information in these cases.  Ministerial authority is needed and in this case the NCA did not get this.

Doubts have been raised about the convictions as there is evidence of corruption, incompetence and the use of fabricated evidence used to secure a conviction.  The use of torture is also alleged.

A spokesman for Reprieve said:

It is bad enough that the National Crime Agency secretly handed over evidence to help secure death sentences in a country known for unfair trials and torture.  But they now admit they did this illegally, without any proper thought that their actions could contribute to a grave miscarriage of justice with two men now facing execution.  UK cooperation with foreign police and security forces should be open and transparent.  Government agencies shouldn’t have to be dragged through the courts for the public to know what is being done with their money.


Sources: The News; Reprieve; The Guardian; Press Association

If you live in the Salisbury area and are interested in campaigning on human rights issues we would be glad to welcome.  It is free to join the local group.  Keep and eye on this site, on Twitter  or Facebook for events and come along and make yourself known.

 

Amnesty success


650 prisoners released last year

It sometimes seems like a forlorn battle being an Amnesty supporter.  The tide of executions, arrests for peacefully protesting, torture and other state crimes seems inexorable.  Despite countries signing solemn pledges in the UN, persecution by states of their own people and minorities continues on a grand scale around the world.

But a light sometimes does shine and in a recent report, Amnesty claims that 650 prisoners were released last year due in part to our

Albert Woodfox. Pic: Amnesty

campaigning.  Albert Woodfox was released from 44 years in solitary confinement in Louisiana, USA and he said:

Even when it feels like you are not going to win, when you grow disillusioned with politics which put geed before people’s human rights. when you don’t think you can make a difference – please remember that if you had not taken a stand and joined hundreds of thousands of activist around the world, I may not have been able to write this to you today.

 

 

Another 15 face execution in Saudi Arabia


A further 15 men face imminent execution in Saudi Arabia

Only a few days ago, we highlighted the case of fourteen men who face imminent execution.  Today we publish a further urgent action as Saudi is about to execute another 15 individuals.  The families of the accused have just discovered that the higher court has upheld the lower court’s ruling without the prisoners themselves or their lawyers knowing about it.

They were accused of high treason together with other unrecognisable offences including ‘supporting protests’ and ‘spreading the Shi’a faith.’  They were held incommunicado for nearly three months and denied access to lawyers.  Their families were threatened with arrest if they did not sign confessions.

The system in Saudi is contrary to all international norms and shows no sign of improvement.  Yet despite this we continue to supply the country with arms on a huge scale.

The Foreign and Colonial Office has just published its 2o16 report on human rights and on Saudi it says the following (extract)

… We also remain deeply concerned about the application of the death penalty.  Amnesty International reported that 153 people had been executed in 2016, compared to 158 people in 2015.  This included the simultaneous execution of 47 people on 2 January 2016.  On 5 January, the then FCO Minister for the Middle East and Africa, Tobias Ellwood, made a statement to Parliament reiterating our clear position on the death penalty.  As the principle of the death penalty is enshrined in Saudi Arabia’s Sharia law, total abolition in the near future is unlikely.  We continued to ensure that the Saudi authorities are aware of our strong opposition to the death penalty at the most senior levels.

… In 2017, we will continue to work to limit the application of the death penalty; and to ensure that, if it is applied, it is carried out in line with international minimum standards.  We will continue to monitor closely cases which relate to freedom of expression and of religion or belief.  We will also look for opportunities to promote greater participation by civil society and by women in Saudi public life.  (p 49)

Fine words but somewhat undermined by continuing high level contact, visits by members of the Royal Family and government ministers keen to promote the continued sale of weapons.

If you do get time to write that would be appreciated.  Alternatively, if you go to our Twitter page on this and click ‘like’ or ‘retweet’ that would help.

Urgent Action (pdf)


If you live in the Salisbury area and would like to join then the simplest thing is to come to one of our events and make yourself known.  These can be found here, on our Twitter or Facebook pages – salisburyai.

 

Fourteen at risk of execution in Saudi


Fourteen men are a risk of execution in Saudi Arabia

The families of the men discovered that these men are at risk of execution a few days ago as a result of the secretive nature of the Saudi justice system.  Due to the lack of information surrounding the judicial process in Saudi Arabia, it is only when the families of some of the men finally managed to get through to the Specialized Criminal Court (SCC), on 23 July by phone, that they learned the sentences of their relatives had been upheld.  This means that the 14 men could be executed as soon as the King ratifies the sentences.  The ratification process is secretive and could happen at any time.  On 15 July, the 14 men were transferred to the capital Riyadh without prior notice.

As is quite common in that country, torture may have been used to extract confessions.

Full details are below and we hope readers will find time to write or email to the Saudi authorities.

In previous posts we have drawn attention to the British government’s role in supporting this regime despite its horrific human rights record and its activities in bombing and blockading the Yemen.

Urgent Action: Saudi

Follow us on Twitter and Facebook, salisburyai

 

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