***** Washington channelled funds to groups that opposed Chavez
By Christopher Marquis in Washington April 26 2002
In the past year the United States channelled hundreds of thousands of dollars to bodies opposed to the Venezuelan President, Hugo Chavez, including the labour group whose protests led to his brief removal this month.
The funds were provided by the National Endowment for Democracy, a non-profit agency created and financed by Congress. As conditions deteriorated in Venezuela and Mr Chavez clashed with various business, union and media groups, the endowment quadrupled its budget for the country to more than $US877,000 ($1.6million).
While the endowment's expressed goal is to promote democracy around the world, the US State Department's human rights bureau is examining whether any recipients of the money plotted against Mr Chavez. The bureau has put a $US1million grant to the endowment on hold pending that review, an official said.
A State Department spokesman, Philip Reeker, said he was unaware of the proposed grant.
Of particular concern is $US154,377 given by the endowment to the American Centre for International Labour Solidarity, the international arm of the AFL-CIO, the US union umbrella body, to help the main Venezuelan trade union advance labour rights.
The Venezuelan union, the Confederation of Venezuelan Workers, led the work stoppages that galvanised the opposition to Mr Chavez. The union's leader, Carlos Ortega, worked closely with Pedro Carmona Estanga, the businessman who briefly took over from Mr Chavez, in challenging the Government.
The endowment also provided significant resources to the foreign-policy wings of the Republican and Democratic parties for work in Venezuela, which sponsored trips to Washington by critics of Mr Chavez.
The National Democratic Institute for International Affairs was given a $US210,500 grant to promote the accountability of local government. The International Republican Institute, which has an office in Venezuela, received a $US339,998 grant for political party building. Two weeks ago, the day of the takeover, the group hailed Mr Chavez's removal.
"The Venezuelan people rose up to defend democracy in their country," the institute's president, George Folsom, said. "Venezuelans were provoked into action as a result of systematic repression by the government of Hugo Chavez."
The statement drew a sharp rebuke from the endowment president, Carl Gershman, for the openly political stance, which he said would undercut the institute's work in Venezuela.
The institute has close ties to the Bush Administration, which also embraced the short-lived takeover; Lorne Craner, the assistant secretary of state for democracy, human rights and labour, is a former president of the organisation.
The Bush Administration, which has made no secret of its disdain for Mr Chavez - and his relations with countries such as Cuba and Iraq - has turned to the endowment to help the opposition to Mr Chavez.
With an annual budget of $US33million, the endowment disburses hundreds of grants each year to pro-democracy groups from Africa to Asia. Advocates say the agency's independent status enables the US to support democracy where government aid might be cumbersome or unwelcome.
But critics say recipients of endowment aid do not have the same accountability that government programs require, which opens the door for rogue activities and freelancing. They say endowment funds were used to sway the outcomes of votes in Chile in Nicaragua in the late 1980s.
The New York Times
<http://www.smh.com.au/articles/2002/04/25/1019441285250.html> *****
Cf. Katherine Hoyt, "Concerns Over Possible AFL-CIO Involvement in Venezuela Coup Led to February Picket," May 2002, <http://www.labornotes.org/archives/2002/05/b.html> Bill Vann, "The AFL-CIO's Role in the Venezuelan Coup," 3 May 2002, <http://www.wsws.org/articles/2002/may2002/vene-m03.shtml> Kim Scipes, "AFL-CIO and Venezuela: Return of Labor Imperialism, or a Mistaken Reaction?" May 02, 2002, <http://www.zmag.org/content/Labor/sipesaflven.cfm> David Corn, "Our Gang in Venezuela?: The National Endowment for Democracy Has Been Busy -- and Far From Alone," August 5/12, 2002, <http://www.thirdworldtraveler.com/South_America/Our_Gang_Venezuela.html> -- Yoshie
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