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ISIS and the Crisis in American Statecraft

Tuesday, December 30th, 2014

[by Mark Safranski, a.k.a. “zen“]

A Facebook friend with an astute comment pointed me toward this Wall Street Journal article by Joe Rago on the mission of General John Allen, USMC  as “Special Presidential Envoy for the Global Coalition to Counter ISIL”. What is a “Special Presidential Envoy” ?

In diplomatic parlance, a special envoy is an official with full powers (a “plenipotentiary”) to conduct negotiations and conclude agreements, but without the protocol rank of ambassador and the ceremonial duties and customary courtesies. A special envoy could get right down to business without wasting time and were often technical experts or seasoned diplomatic “old hands” whom the foreign interlocuter could trust, or at least respect. These were once common appointments but today less so. A “Special Presidential Envoy” is typically something grander – in theory, a trusted fixer or VIP to act as superambassador , a deal-maker or reader of riot acts on behalf of the POTUS. Think FDR sending Harry Hopkins to Stalin or Nixon sending Kissinger secretly to Mao; more recent and less dramatic examples would be General Anthony Zinni, USMC and former Senate Majority Leader George Mitchell.  

In practice, a presidential special envoy could also be much less, the foreign policy equivalent of a national commission in domestic politics; a place to park thorny, no-win, political headaches the POTUS wants to ignore by creating the illusion of action and get them off the front pages. The position is really whatever the President wishes to make of it and how much power and autonomy he cares to delegate and what, if anything, he wishes the Special Envoy to achieve. Finally, these appointments are also a sign the President does not have much confidence or trust in the bureaucracy of the State Department or DoD, or their respective Secretaries, to carry out the administration’s policy. I wager that this is one of the reasons for General Allen’s appointment.

This means that General Allen is more or less stuck with whatever brief he was given, to color within the lines and make the best uses of any carrots or sticks he was allotted ( in this micromanaging administration, probably very little of either). Why was he chosen? Most likely because the United States sending a warfighting Marine general like Allen ( or a high CIA official) will always concentrate the minds of foreigners, particularly in a region where the US has launched three major wars in a quarter century. If not Allen, it would have been someone similar with similar results because the policy and civilian officials to whom they would report would remain the same.

So if things with ISIS and Iraq/Syria  are going poorly – and my take from the article is that they are – the onus is on a pay grade much higher than General Allen’s.

I will comment on a few sections of the interview, but I suggest reading the article in full:

Inside the War Against Islamic State 

Those calamities were interrupted, and now the first beginnings of a comeback may be emerging against the disorder. Among the architects of the progress so far is John Allen, a four-star Marine Corps general who came out of retirement to lead the global campaign against what he calls “one of the darkest forces that any country has ever had to deal with.”

ISIS are definitely an bunch of evil bastards, and letting them take root unmolested is probably a bad idea. That said, they are not ten feet tall. Does anyone imagine ISIS can beat in a stand-up fight, say, the Iranian Army or the Egyptian Army, much less the IDF or (if we dropped the goofy ROE and micromanaging of company and battalion commanders) the USMC? I don’t. And if we really want Allen as an “architect” , make Allen Combatant Commander of CENTCOM.

Gen. Allen is President Obama ’s “special envoy” to the more than 60 nations and groups that have joined a coalition to defeat Islamic State, and there is now reason for optimism, even if not “wild-eyed optimism,” he said in an interview this month in his austere offices somewhere in the corridors of the State Department

Well, in DC where proximity to power is power, sticking General Allen in some broom closet at State instead of, say, in the White House, in the EOB or at least an office near the Secretary of State is how State Department mandarins and the White House staff signal to foreign partners that the Presidential Special Envoy should not be taken too seriously. It’s an intentional slight to General Allen. Not a good sign.

At the Brussels conference, the 60 international partners dedicated themselves to the defeat of Islamic State—also known as ISIS or ISIL, though Gen. Allen prefers the loose Arabic vernacular, Daesh. They formalized a strategy around five common purposes—the military campaign, disrupting the flow of foreign fighters, counterfinance, humanitarian relief and ideological delegitimization.

The fact that there are sixty (!) “partners” (whatever the hell that means) and ISIS is still running slave markets and beheading children denotes an incredible lack of seriousness here when you consider we beat Nazi Germany, Imperial Japan and Fascist Italy into utter submission in the largest war in the history of the world with barely a third that number.  The best that can be said here is that Allen, in trying to be a herder of cats, got them to graciously agree on letting the US set a reasonable list of open-ended operations and policy priorities.

Gen. Allen cautions that there is hard fighting ahead and victory is difficult to define….

I think my head is going to explode. I’m sure General Allen’s head is too because this means that President Obama and his chief advisers are refusing to define victory by setting a coherent policy and consequently, few of our sixty partners are anxious to do much fighting against ISIS. When you don’t know what victory is and won’t fight, then victory is not hard to define, its impossible to achieve.

At least we are not sending large numbers of troops to fight without defining victory. That would be worse.

Gen. Allen’s assignment is diplomatic; “I just happen to be a general,” he says. He acts as strategist, broker, mediator, fixer and deal-maker across the large and often fractious coalition, managing relationships and organizing the multi-front campaign. “As you can imagine,” he says, “it’s like three-dimensional chess sometimes.”

Or its a sign that our civilian leaders and the bureaucracies they manage are dysfunctional, cynical and incompetent at foreign policy and strategy. But perhaps General Allen will pull off a miracle without armies, authorities or resources.

Unlike its antecedent al Qaeda in Iraq, Islamic State is something new, “a truly unparalleled threat to the region that we have not seen before.” Al Qaeda in Iraq “did not have the organizational depth, they didn’t have the cohesion that Daesh has exhibited in so many places.” The group has seized territory, dominated population centers and become self-financing—“they’re even talking about generating their own currency.”

But the major difference is that “we’re not just fighting a force, you know, we’re fighting an idea,” Gen. Allen says. Islamic State has created an “image that it is not just an extremist organization, not just a violent terrorist organization, but an image that it is an Islamic proto-state, in essence, the Islamic caliphate.” It is an “image of invincibility and image of an advocate on behalf of the faith of Islam.”

This ideology has proved to be a powerful recruiting engine, especially internationally. About 18,000 foreign nationals have traveled to fight in Iraq or the Syria war, some of them Uighurs or Chechens but many from Western countries like the U.K., Belgium, Australia and the U.S. About 10,000 have joined Islamic State, Gen. Allen says.

“Often these guys have got no military qualifications whatsoever,” he continues. “They just came to the battlefield to be part of something that they found attractive or interesting. So they’re most often the suicide bombers. They are the ones who have undertaken the most horrendous depredations against the local populations. They don’t come out of the Arab world. . . . They don’t have an association with a local population. So doing what people have done to those populations is easier for a foreign fighter.”

Except for the “never seen before” part – we have in fact seen this phenomena in the Islamic world many times before, starting with the Khawarijites, of whom ISIS are just the most recent iteration – this is all largely true.

ISIS, for all its foul brigandage, religious mummery and crypto-Mahdist nonsense is a competent adversary that understands how to connect  in strategy its military operations on the ground with symbolic actions at the moral level of war. Fighting at the moral level of war does not always imply (though it often does) that your side is morally good. Sadly, terror and atrocities under some circumstances can be morally compelling to onlookers and not merely repellent. In a twisted way, there’s a “burning the boats” effect in openly and gleefully committing horrific crimes that will unify and reinforce your own side while daunting your enemies and impressing onlookers with your strength and ruthlessness. Men flocked to Spain to fight for Fascism and Communism. A remarkable 60% of the Nazi Waffen-SS were foreigners, most of whom were volunteers. Ample numbers of Western left-wing intellectuals were abject apologists not only for Stalin and Mao but the Khmer Rouge during the height of its genocide. ISIS atrocities and horror are likewise political crack for certain kinds of minds.

The problem is that none of this should be a surprise to American leaders, if they took their responsibilities seriously.

William Lind and Martin van Creveld were writing about state decline and fourth generation warfare twenty five years ago. We have debated 4Gw, hybrid war, complex war, LIC, terrorism, insurgency, failed states, criminal insurgency and terms more obscure in earnest for over a decade and have wrestled with irregular warfare since John F. Kennedy was president. Yet the USG is no closer to effective policy solutions for irregular threats in 2014 than we were in 1964.

A more hopeful sign is that the new Iraqi government is more stable and multiconfessional after the autocratic sectarian rule of Prime Minister Nouri al-Maliki. His replacement, Haider al-Abadi, has been “very clear that the future of Iraq is for all Iraqis,” Sunni, Shiite and Kurd. He has restored relations with Middle Eastern neighbors and believes in the “devolution of power” across Iraq’s regions, Gen. Allen says. “Maliki believed in the centralization of power.”

So did we. Maliki and Hamid Karzai were originally our creatures. There was at least a bad tradition of centralization in Iraq, but we imposed it in Afghanistan ex nihilo because it suited our bureaucratic convenience and, to be frank, the big government technocratic political beliefs of the kinds of people who become foreign service officers, national security wonks, military officers and NGO workers. Unfortunately, centralization didn’t much suit the Afghans.

Critics of the Obama administration’s Islamic State response argue that the campaign has been too slow and improvisational. In particular, they argue that there is one Iraqi-Syrian theater and thus that Islamic State cannot be contained or defeated in Iraq alone. Without a coherent answer to the Bashar Assad regime, the contagion from this terror haven will continue to spill over.

Gen. Allen argues that the rebels cannot remove Assad from power, and coalition members are “broadly in agreement that Syria cannot be solved by military means. . . . The only rational way to do this is a political outcome, the process of which should be developed through a political-diplomatic track. And at the end of that process, as far as the U.S. is concerned, there is no Bashar al-Assad, he is gone.”

Except without brute force or a willingness to make any significant concessions to the states that back the Assad regime this will never happen. What possible incentive would Assad have to cooperate in his own political (followed by physical) demise?  Our Washington insiders believe that you can refuse to both bargain or fight but still get your way because most of them are originally lawyers and MBAs who are used to prevailing at home by manipulation, deception, secret back room deals and rigged procedures. That works less well in the wider world which rests, under a thin veneer of international law, on the dynamic of Hobbesian political violence.

As ISIS has demonstrated, I might add.

The war against Islamic State will go on long after he returns to private life, Gen. Allen predicts. “We can attack Daesh kinetically, we can constrain it financially, we can solve the human suffering associated with the refugees, but as long as the idea of Daesh remains intact, they have yet to be defeated,” he says. The “conflict-termination aspect of the strategy,” as he puts it, is to “delegitimize Daesh, expose it for what it really is.”

This specific campaign, against this specific enemy, he continues, belongs to a larger intellectual, religious and political movement, what he describes as “the rescue of Islam.” He explains that “I understand the challenges that the Arabs face now in trying to deal with Daesh as an entity, as a clear threat to their states and to their people, but also the threat that Daesh is to their faith.”

While Iraqi and Iranian Shia have ample existentiall motive to fight ISIS. Sunni Muslims find ISIS brutality pretty tolerable, so long as it is far away from them personally and furthermore ISIS religious-theological lunacy is not terribly far removed from the extreme Salafi-Wahhabi version preached and globally proselytized by our good friends, the House of Saud – or exported violently by our other good friends, the Pakistani Army.  Or at least Sunni Muslims are not bothered enough yet by ISIS to pick up arms and fight.

General Allen is doing his best at a herculean task, but American statecraft is broken and seduced by a political culture vested in magical thinking.

Making Historical Analogies about 1914

Friday, January 10th, 2014

[by Mark Safranski, a.k.a. “zen“]

The Independent has a short, quasi-sensationalist, article featuring historian Margaret MacMillan discussing what is likely to become the first pop academic cottage industry of 2014….making historical analogies about 1914 and World War I! MacMillan is a senior scholar of international relations and administrator at Oxford ( where she is Warden of St Antony’s College)  with a wide range of research interests, including the First World War on which she has published two books.  I am just going to excerpt and comment on the historical analogies MacMillan made – or at least the ones filtered by the reporter and editor – she’s more eloquent in her own writing where each of these points are treated at greater length:

Is it 1914 all over again? We are in danger of repeating the mistakes that started WWI, says a leading historian 

Professor Margaret MacMillan, of the University of Cambridge, argues that the Middle East could be viewed as the modern-day equivalent of this turbulent region. A nuclear arms race that would be likely to start if Iran developed a bomb “would make for a very dangerous world indeed, which could lead to a recreation of the kind of tinderbox that exploded in the Balkans 100 years ago – only this time with mushroom clouds,”

…..While history does not repeat itself precisely, the Middle East today bears a worrying resemblance to the Balkans then,” she says. “A similar mix of toxic nationalisms threatens to draw in outside powers as the US, Turkey, Russia, and Iran look to protect their interests and clients. 

Several comments here. There is a similarity in that like the unstable Balkan states of the early 20th century, many of the Mideastern countries are young, autocratic, states with ancient cultures that are relatively weak  and measure their full independence from imperial rule only in decades.  The Mideast is also like the Balkans, divided internally along ethnic, tribal, religious, sectarian and linguistic lines.

The differences though, are substantial. The world may be more polycentric now than in 1954 or 1994 but the relative and absolute preponderance of American power versus all possible rivals, even while war-weary and economically dolorous, is not comparable to Great Britain’s position in 1914.  The outside great powers MacMillan points to are far from co-equal and there is no alliance system today that would guarantee escalation of a local conflict to a general war. Unlike Russia facing Austria-Hungary over Serbia there is no chance that Iran or Russia would court a full-scale war with the United States over Syria.

On the negative side of the ledger, the real problem  is not possible imperial conquest but the danger of regional collapse. “Toxic nationalism” is less the problem than the fact that the scale of a Mideastern Sunni-Shia sectarian conflict is so enormous, as are the implications . Nothing in the Balkans after the turn of the century compares to Syria, then Iraq and then other states sliding into a Muslim version of the Thirty Year’s War. An arc of failed states from Beirut to Islamabad is likelier than, say, a new Persian empire run by Tehran’s mullahs.

Modern-day Islamist terrorists mirror the revolutionary communists and anarchists who carried out a string of assassinations in the name of a philosophy that sanctioned murder to achieve their vision of a better world

Agree here. The analogy between 21st revolutionary Islamists and the 19th century revolutionary anarchists is sound.

And in 1914, Germany was a rising force that sought to challenge the pre-eminent power of the time, the UK. Today, the growing power of China is perceived as a threat by some in the US.

Transitions from one world power to another are always seen as dangerous times. In the late 1920s, the US drew up plans for a war with the British Empire that would have seen the invasion of Canada, partly because it was assumed conflict would break out as America took over as the world’s main superpower.

Imperial Germany’s growing power was less troublesome to Edwardian British statesmen than the strategic error of the Kaiser and von Tirpitz to pursue a naval arms race with Great Britain that did not give Germany’even the ability to break a naval blockade but needlessly antagonized the British with an existential threat that pushed London into the French camp.

As to military plans for invading Canada (or anywhere else), the job of military planning staffs are to create war plans to cover hypothetical contingencies so that if a crisis breaks out, there is at least a feasible starting point on the drawing board from which to begin organizing a campaign. This is what staff officers do be they American, French, Russian, German, Chinese and even British. This is not to be taken as serious evidence that the Coolidge or Hoover administrations were hatching schemes to occupy Quebec.

More importantly, nuclear weapons create an impediment to Sino-American rivalry ending in an “August 1914” moment ( though not, arguably, an accidental or peripheral clash at sea or a nasty proxy conflict). Even bullying Japan ultimately carries a risk that at a certain point, the Japanese will get fed-up with Beijing, decide they need parity with China, and become a nuclear weapons state.

Professor MacMillan, whose book The War That Ended Peace was published last year, said right-wing and nationalist sentiments were rising across the world and had also been a factor before the First World War

In China and Japan, patriotic passions have been inflamed by the dispute over a string of islands in the East China Sea, known as the Senkakus in Japan and Diaoyus in China. “Increased Chinese military spending and the build-up of its naval capacity suggest to many American strategists that China intends to challenge the US as a Pacific power, and we are now seeing an arms race between the two countries in that region,” she writes in her essay. “The Wall Street Journal has authoritative reports that the Pentagon is preparing war plans against China – just in case.” 

“It is tempting – and sobering –to compare today’s relationship between China and the US with that between Germany and England a century ago,” Professor MacMillan writes. She points to the growing disquiet in the US over Chinese investment in America while “the Chinese complain that the US treats them as a second-rate power”.

The “dispute” of the Senkakus has been intentionally and wholly created by Beijing in much the same way Chinese leaders had PLA troops provocatively infringe on Indian territory, claim the South China Sea as sovereign territory and bully ships of all nearby nations other than Russia in international or foreign national waters. This is, as Edward Luttwak recently pointed out, not an especially smart execution of strategy. China’s recent burst of nationalistic bluffing, intimidation and paranoia about encirclement are working along the path of self-fulfilling prophecy.

Another similarity highlighted by the historian is the belief that a full-scale war between the major powers is unthinkable after such a prolonged period of peace. “Now, as then, the march of globalisation has lulled us into a false sense of safety,” she says. “The 100th anniversary of 1914 should make us reflect anew on our vulnerability to human error, sudden catastrophes, and sheer accident.

Agree that globalization is no guarantee against human folly, ambition or the caprice of chance.

What are your thoughts?

Peter O’Toole, RIP — & that goes for TE Lawrence and OB Laden, too

Monday, December 16th, 2013

[ by Charles Cameron — farewell to a great actor, also some curious related videos ]
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So Peter O’Toole is no longer among us. Film-makers and actors routinely bring three dimensions out of the two-dimensional silver screen, but O’Toole had the gift to show us more dimensions than most, so I thought a small tribute might be in place.

As a Brit with an interest in the local strain of theology, O’Toole’s role as King Henry II in Peter Glenville‘s film adaptation of Jean Anouilh‘s Becket was an obvious choice…

But then, you know, there’s also TE Lawrence, who ties into the fascination hereabouts with strategy, and with the Middle East, and my being a Brit again — so I went looking for a decent clip from David Lean’s “Lawrence of Arabia”, and found…

I mean, why?

Lawrence of Arabia didn’t look at all like that, we all know what he looked like, he looked like this:

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I’ve been posting about these exceedingly curious YouTube videos meshing bin Laden imagery with great classical music for a while now [see here and here], and wondering what on earth they might mean. I ran across some more of them recently — if the topic is still of interest, let me know, and I’ll post something on my more recent finds.

Furnish: the Dome of the Rock or the Iron Dome?

Monday, December 16th, 2013

[ by Charles Cameron — introducing a significant post by Tim Furnish re Israel’s safety, Iran and more ]
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The Dome of the Rock in Jerusalem (Picturesque Palestine, 1881, left) and the Israeli Iron Dome missile defence system (contemporary, right)

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Our occasional guest-blogger and friend Dr Timothy Furnish has a new post up at his MahdiWatch blog that I’d like to bring to your attention.

Here’s his closing paragraph, containing (a) an observation comparing the “end times” significance of Syria and Jerusalem vs Mecca and Medina, (b) a corresponding hint to security analysts, and (c) the implication that Iranian nukes would likely not be used against Jerusalem, since the Noble Sanctuary / Temple Mount with its two great mosques is altogether too important in Islamic eschatological terms to be put at risk…

Muslim eschatological fervor is boiling over in nearby Syria, as I analyzed on this site in September, 2013. The extent to which Muslims in Israel are aware of, and inflamed by, this is unknown; what is known is that Damascus and Jersualem are much more prominent in Islamic traditions (both Sunni and Shi`i) about the coming of the Mahdi and the subsequent eschatological events than are Mecca and Medina. Therefore, it would behoove Western geopolitical and intelligence analysts—both in and out of government—to put some effort into studying this topic, rather than relegating it to the theater of the absurd or myopically obsessing over what Evangelical Christians think about the end of the world. I would also add that the historical eschatological significance of Jersualem to Muslims is a major argument against the thesis that the Iranian regime wants nuclear weapons in order to destroy Israel (I have already argued at length elsewhere that this charge little accords with Twelver Shi`i doctrines): Islam’s third-holiest site is that religion’s most important eschatological locale, and no one is more respectful of such traditions than the ayatollahs in Qom and Tehran. Thus, if al-Quds is nuked or even contaminated with fall-out from a bomb on Tel Aviv, the Mahdi and Allah will not only be displeased but unable to stage the eschatological denouement. The presence of the Domes of the Rock and Chain in Jerusalem is thus, in my studied opinion, an even greater deterrent to Islamic nuclear attack on that city than is Israel’s more prosaic Iron Dome anti-missile system.

To read the whole thing, go to Domes of the Rock and Chain v. A Dome of Iron: Which Best Protects Israel from Islamic Attack?

Clever title, that — and a must-read post.

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As a mild reinforcement to Tim Furnish’s point, I’m going to drop in here a part of an earlier ZP post of mine, including two quotes on the close kinship between the Kaaba in Mecca and the Dome of the Rock in Jerusalem, as constituting in some sense the book-ends both of world history and of the history of Islam considered as the final revelation.

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As I’ve noted before, al-Aqsa isn’t just the focal point of the Palestinian / Israeli question, nor it is only the place at which the Prophet alighted from his steed, Buraq, and ascended to receive the divine instructions for prayer in the Miraj — it is also the destination of the Mahdi‘s victorious army in the Khorasan strand of ahadith.

Indeed, it has been suggested that the Pierced Rock of the Dome of the Rock in al-Aqsa is closely related to the Black Stone of the Kaaba. Kanan Makiya, in his part-fictional part-documentary book, The Rock, quotes Charles Matthews‘ translation of Burhan al-Din ibn Firka al-Fazari‘s Kitab Ba’ith al-Nufus ila Ziyarat al-Quds al-Mahrus (The Book of Arousing Souls to Visit Jerusalem’s Holy Walls) from Matthews’ Palestine: Mohammedan Holy Land:

Verily, the Kaaba is in an equivalent position to the Frequented House in the Seventh Heaven, to which the angels of Allah make pilgrimage. And if rocks fell from it, they would have fallen on the place of the Rock of the Temple of Mecca [i.e. the Black Stone]. And indeed, Paradise is in the Seventh Heaven in an equivalent position to the Holy Temple (in Jerusalem) and the Rock; and if a rock had fallen from it, it would have fallen upon the place of the Rock there. And for this case the city is called Urushalim, and Paradise is called Dar al-Salam, the House of Peace.

Indeed, David Roxburgh mentions all these matters, writing in Salma Khadra Jayyusi et al., The city in the Islamic world, vol. 1. p 756:

This movement corresponded to other efforts — before, during, and after the Crusades — to establish “geo-theological” connections between Jerusalem and Mecca, whose preeminent sanctity was inviolable up until the end of days. Examples linking Mecca to Jerusalem include the Prophet Muhammad’s nocturnal journey from Mecca to Jerusalem (isra) and his ascension from Jerusalem to the throne of God (miraj); the underground joining of the waters of Zamzam to Silwan (var. Siloam) during the “feast of the sacrifice” (id al-adha); and the transfer of the Kaba and its black stone from Mecca to Jerusalem during the last days. these various traditions linked Jerusalem to Mecca, sometimes by sets of doubled features, in a near symmetry and in a calendar that will culminate during the end of days.

So there’s an eschatological dimension to all these parallelisms, too…

Ayatollah Khameini: Crony Capitalist and Slumlord

Wednesday, November 13th, 2013

[by Mark Safranski, a.k.a. “zen“]

Reuters has begun a remarkable series on the economic dealings of Iran’s Supreme Leader, Ayatollah Khameini who controls a staggering fortune of $ 95 billion dollars through a secretive fund Setad that expropriates the property of poor Iranians and religious minorities. This would put the venerable theocrat in the same superclass as Bill Gates, Carlos Slim, Warren Buffet and the Sultan of Brunei .

Up until now, former Iranian president Rafsanjani has always been the face of financial corruption in Iran’s clerical hierarchy, but to paraphrase John D. Rockefeller’s comment about J.P. Morgan, compared to Khameini ” he’s not even a rich man”:

Khamenei controls massive financial empire built on property seizures 

The 82-year-old Iranian woman keeps the documents that upended her life in an old suitcase near her bed. She removes them carefully and peers at the tiny Persian script.

There’s the court order authorizing the takeover of her children’s three Tehran apartments in a multi-story building the family had owned for years. There’s the letter announcing the sale of one of the units. And there’s the notice demanding she pay rent on her own apartment on the top floor.

Pari Vahdat-e-Hagh ultimately lost her property. It was taken by an organization that is controlled by the most powerful man in Iran: Supreme LeaderAyatollah Ali Khamenei. She now lives alone in a cramped, three-room apartment in Europe, thousands of miles from Tehran.

….But Setad has empowered him. Through Setad,Khamenei has at his disposal financial resources whose value rivals the holdings of the shah, the Western-backed monarch who was overthrown in 1979.

How Setad came into those assets also mirrors how the deposed monarchy obtained much of its fortune – by confiscating real estate. A six-month Reuters investigation has found that Setad built its empire on the systematic seizure of thousands of properties belonging to ordinary Iranians: members of religious minorities like Vahdat-e-Hagh, who is Baha’i, as well as Shi’ite Muslims, business people and Iranians living abroad.

Setad has amassed a giant portfolio of real estate by claiming in Iranian courts, sometimes falsely, that the properties are abandoned. The organization now holds a court-ordered monopoly on taking property in the name of the supreme leader, and regularly sells the seized properties at auction or seeks to extract payments from the original owners.

The supreme leader also oversaw the creation of a body of legal rulings and executive orders that enabled and safeguarded Setad’s asset acquisitions. “No supervisory organization can question its property,” said Naghi Mahmoudi, an Iranian lawyer who left Iran in 2010 and now lives in Germany.

The Persian name of the organization that hounded her for years is “Setad Ejraiye Farmane Hazrate Emam” – Headquarters for Executing the Order of the Imam. The name refers to an edict signed by the Islamic Republic’s first leader, Ayatollah Ruhollah Khomeini, shortly before his death in 1989. His order spawned a new entity to manage and sell properties abandoned in the chaotic years after the 1979 Islamic Revolution.

It used to be said back in the 70’s by Western intellectuals of the tweedy, social democratic, Left variety that the future would be a merging of Communism and Capitalism into a “Third Way”, perhaps, it was optimistically suggested, of the gentle Scandinavian variety with, democracy, universal free child care and quaint, bicycle-riding, constitutional monarchs. I doubt anyone thinks that today. If there is any emerging universal model at all it is that of nasty authoritarian governments being run, sometimes under a facade of elections, by a bareknuckle, crony capitalist Oligarchy that hollowed out the state.

Sometimes,the crony capitalists are merely the junior partners to the mandarins, siloviki and mullahs and at other times you could look “….from pig to man, and from man to pig, and from pig to man again” and be hard pressed to tell the difference.

Khamenei’s conglomerate thrived as sanctions squeezed Iran 

….The ayatollah’s organization would go on to acquire stakes in a major bank by 2007 and in Iran’s largest telecommunications company in 2009. Among dozens of other investments, it took over a giant holding company in 2010.

An organizational chart labeled “SETAD at a Glance,” prepared in 2010 by one of Setad’s companies and seen by Reuters, illustrates how big it had grown. The document shows holdings in major banks, a brokerage, an insurance company, power plants, energy and construction firms, a refinery, a cement company and soft drinks manufacturing.

Today, Setad’s vast operations provide an independent source of revenue and patronage for Supreme Leader Khamenei, even as the West squeezes the Iranian economy harder with sanctions in an attempt to end the nuclear-development program he controls.

“He has a huge sum at his disposal that he can spend,” says Mohsen Sazegara, a co-founder of the powerful Islamic Revolutionary Guard Corps military force, who is now living in exile in the United States. “When you have this much money, that’s power itself.” 

Indeed. It insulates Khameini’s core supporters from external financial pressure and allows Khameini to have an arsenal of carrots, not just sticks in dealing with other members of the Iranian ruling elite.

It is often overlooked how frequently dictators, even those who were known for ruling through terror like Hitler, Stalin and Mao, could be lavishly generous with gifts and financial rewards or indulged the blatant corruption of powerful subordinates like Goering, Abukumov or Kang Sheng. Every Grand Ayatollah and Marja in Shia Islam maintains a charitable trust to which their pious followers donate. I would be extremely surprised if Khameini, whose scholarly credentials share similarities with Leonid Brezhnev’s military decorations, had not made arrangements for substantial contributions over the years from Setad to the trusts of Iran’s most respected senior clerics.

Baksheesh is an older faith in Iran than is Islam.


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