Homelessness: The Low Income Housing Scandal

Poverty in America

Frontline (2017)

Film Review

Poverty in America is about the massive corruption scandal behind homelessness and the dearth of affordable housing for low income Americans.

Despite the nearly ten years that have passed since the 2008 economic crisis, 2.5 million Americans are made homeless through home eviction every year. The limited stock of affordable housing has no way of absorbing this many new renters. This, in turn, drives up rents at a time when real wages are decreasing. In many cities, families are forced to pay over 50% of their income in rent – a precarious situation leaving them one family emergency away from the streets.

This documentary focuses on two grossly inadequate federal programs dedicated to increasing access to affordable housing. The first is the Section 8 voucher program enacted in 1968. Under this program, the Department of Housing and Urban Development (HUD) awards vouchers to low income renters that pay the different between the rent a landlord charges and the rent a tenant can afford based on income.

There are currently 2 million Americans on the waiting list for Section 8 vouchers and only 25 percent will ever receive vouchers. The filmmakers follow three women who have waited six years or longer to qualify for Section 8 vouchers. None of them can find a landlord willing to accept their voucher within the 90 day limit they are given.

The second federal program Frontline explores is one in which the IRS allocates tax credits to states to grant to developers – who, in turn, sell the credits to investors. An entire tax credit industry has grown up around this scheme. Owing to inadequate IRS monitoring (only seven companies have been audited in 29 years), the scheme has been plagued by bribery and kickback scandals.

In Florida, for example, developers routinely cheat the program by over inflating the cost of development projects and either pocketing the difference of siphoning it off to shell companies (including one in Costa Rico specifically created for this purpose).

Despite heroic efforts of a handful of Department of Justice attorneys and Senator (R) Charles Grassley from Iowa, there seems to be little interest on the part of federal or state authorities to end this corruption. The IRS and HUD declined to be interviewed for this program.

Chevron vs the Amazon

Chevron vs the Amazon

Abbey Martin (2016)

Film Review

 

Chevron vs the Amazon is an Abbey Martin documentary about Texaco-Chevron’s deliberate dumping of oil and toxic waste in Ecuador’s Amazon rain forest and the vicious dirty tricks they have engaged in to avoid responsibility for cleaning it up.

Texas began drilling for oil in Ecuador in 1964, under a US-installed dictatorship that agreed not to regulate their activities. The amount of oil they spilled into the Amazon was 1700 times the size of the 1989 Exxon Valdez oil spill and 140 times that of BP’s 2010 Deepwater Horizon spill. Indigenous groups filed suit for the extensive damage to their water, health and livelihoods in 1993, a year after Texaco abandoned their Ecuadoran well sites. Texaco settled this first suit by agreeing to a phony remediation scheme that never happened.

Part 1 consists of great footage of the vast amount of oil remaining in Ecuador’s Amazon rain forest and interviews with indigenous Ecuadorans whose entire families have been devastated by the health effects (cancer, leukemia, rashes, miscarriages, birth defects) of the contaminated water they are forced to drink.

Part 2 provides background to the second class action lawsuit brought against Texaco by 30,000 indigenous residents – the largest environmental lawsuit in history. Texaco has a really ugly human rights history, beginning with the bankrolling of Spain’s fascist dictator Francisco Franco and illegal provision of oil, financial support and secret intelligence to Hitler and Mussolini. After losing a series of punitive lawsuits over its environmental crimes, they were forced to merge with Chevron in 2000.

The latter has its own history of human rights and environmental crimes in Nigeria, Kazakhstan, Chad, Cameroons, Equatorial Guinea and Richmond California.

After fighting the suit for eight years in US courts, Chevron eventually won a court ruling that that the suit had to be tried in Ecuador instead. When it was re-filed in Ecuador, Chevron engaged in blackmail, extortion, bribery, illegal surveillance, “judicial terrorism” (bringing 30 lawsuits against oil spill victims for “racketeering”), and “financial terrorism” (suing all the non-profit groups supporting the indigenous plaintiffs).

In 2011 the Ecuadoran plaintiffs ultimately won their suit for $9.6 billion – a ruling confirmed by Ecuador’s supreme court. Instead of paying up, Chevron forced them to file suit in various countries where Chevron has financial assents (including Canada, Brazil and Argentina). A 2016 ruling in US court makes it illegal for Ecuador to file a claim against Chevron’s US holdings.

Part 3 explores the long history of US economic colonization in Latin America (on behalf of Wall Street corporations) via direct military intervention, the installation of puppet dictators and the paramilitary death squad terrorism carried out through Henry Kissinger’s notorious Operation Condor. All this has changed with the 2007 election of Rafael Correa (who granted Julian Assange asylum in London’s Ecuadoran embassy).

At present Chevron seek to perpetuate their economic imperialism via a secret World Bank tribunal in the Hague. There 20 hand picked corporate “judges” have found that the successful lawsuit against Chevron retroactively violates of the 1997 US-Ecuador Bilateral Investment Treaty (Texaco-Chevron left Ecuador in 1992) and ordered Ecuador to pay Chevron $112 million in damages.

2017 update: In March 2017 lawyers representing the Ecuadoran plaintiffs have petitioned the US Supreme Court to overturn the flawed (by bribery and corruption) racketeering conviction  against the Ecuadoran plaintiffs and their lawyers. (See Chevron in Ecuador )