Russia's privatization was the crown jewel for the communist to capitalist transition in eastern Europe. Russia was and is a commodities horse that in 1991, outside of the US-EU bloc, had a nice industrial base. No one knew valuations for the businesses. Harvard said they could help, and use their Institute for International Development to assist in the privatization planning and execution. Familiar names like Jeffrey Sachs, Lawrence Summers (via US Treasury) and global board on the CFR member Anatoly Chubais tag teamed to loot the Russians and sell off public assets at low valuations. The key thing was shock therapy, which would quickly switch things from public to private management to improve efficiency and productivity. This shock therapy sent many assets into the hands of a few billionaires. The racket was hard to stop with Yeltsin in power as Chubais was Yeltsin's guy. Harvard, Wall St, George Soros and privileged insiders connected to Chubais clique profited.
Why was it hard to stop? In the book Collision and Collusion, Janine Wedel writes of a way the West and their pals in Russia looted the nation: transidentities.
Key Harvard-Chubais transactors could change their national identity back and forth as convenient: sometimes as American representatives, sometimes as Russian ones, regardless of which side they came from. To suit the transactors' purposes, the same individual could represent the United States in one meeting and Russia in the next - and perhaps himself at a third - regardless of national origin.In sports terms, it would be like an NFL player switching teams not at halftime but in between plays. Harvard Institute members were running point on the privatization but also possibly on the receiving end of contracts and aid. How could this lead to corruption and benefiting the globalist few at the expense of the many in Russia? Wedel explains with Harvard institute general director Jonathan Hay.
As an American, Hay not only acted as Harvard's chief representative in Russia, but also exercised formal management authority over other US contractors... Hay was also appointed by members of the Chubais Clan to be a Russian. As a Russian, Hay was empowered to sign off on pivotal, high-level privatization decisions of the Russian government.Once let into the club, a person could slide whatever they wanted their way or to preferred partners. The other murky issue of identity and loyalty was with advising sides. Jeffrey Sachs was an advisor to the IMF. He also claimed to be an advisor to the Russians. What is clear is white papers and memos were written to both sides by Sachs and others that could influence negotiations and plans. All of this is suppressed and forgotten as Harvard has a multi-billion dollar endowment that was not clawed back for any fees they earned from the US or odd profits from Russian trading and privatization. How could the US government do that after 2000? Former Treasury Secretary Robert Rubin had moved onto the Harvard Board, and Lawrence Summers was then the president of Harvard. Harvard's name could not be tarnished. Russian corruption is mocked, yet no one bats an eye at US Treasury officials working with Harvard to rig a game for Wall Street and Harvard's benefit to then head up Harvard right after the event. That is formalized, legit looking corruption.
Russia's looting was asset stripping. Insiders were paid off. Those connected to the insiders earned outsized returns. The US federal government decreed a private institution with a brilliant public name to oversee the transition due to their genius and intelligence. That institution, Harvard, ended up paying off its friends and those who would play ball. Chubais is now at the CFR, under Robert Rubin, not in a Russian jail. Peasants were crushed. A mass of wealth was usurped by a few Russians, and when the hammer dropped on those billionaires, the wealth was not broken up but shifted to new oligarchs. At least the new oligarchs allow the Russians more than a few crumbs. Considering the financial literacy of the average American and the corrupt behavior of our mainstream media, just how easy will public asset looting be in America with the same cronies advising our selfish politicians?