Annotations for Countries: Canada

Two comments in the Latin America press seemed to sum up the general feeling on the continent in the wake of the recent organization of American States meeting in Washington DC. Mexico's President Echeverría, when asked by Rio de Janeiro's Opinião about his opinion of the organization was replied, "The OAS? Does it still exist? It is necessary to reconstruct it on different bases. It is necessary to establish a new regional organization which does not exclude anybody, including Canada and Cuba."

In Lima, a newspaper favoring the government, El Expreso, said that the Latin Americans now need a Declaration of independence equal to the one the North Americans gave to England in 1776, and concluded that the organization of American states will not survive if the United States continues to dominate it.

A more detailed view of the OAS (Organization of American States) meeting was given by the British Weekly, Latin America, which said that the general assembly of the OAS ended its meeting in Washington two weeks ago without voting on the question of Cuba's readmission, or the lifting of diplomatic and economic sanctions against the island. Although there was undoubtedly a majority in favor of ending Cuba's isolation, most delegates withdrew from the brink of an outright confrontation with the US, which continued to object to Havana's military links with Moscow, and maintained that despite certain changes, Cuba was still interfering in other countries' internal affairs. A working group was set up to find a compromised solution with both Chile and Brazil among its members representing the most extreme viewpoints on Cuba.

It was also agreed unanimously to form a commission to study the complete restructuring of the OAS, and there was a unanimous vote for ideological plurality in the hemisphere. A resolution approved by 21 votes to none, with only the United States and Honduras abstaining, called on Washington not to sell its strategic mineral reserves in a way that would harm Latin American economies.

Another resolution approved unanimously, except for the abstention of the US, called on Washington to prevent transnational companies from intervening in other countries internal affairs. This report from the weekly Latin America.

Chile Hoy carries a report by a North American correspondent who recently visited Nicaragua to see firsthand the aftermath of December's earthquake. His account of the corruption and misuse of the millions of dollars worth of goods donated from all over the hemisphere is harrowing. He was witness to the fact that the disaster relief destined for the victims of the earthquake never reached them. It was redirected instead to fill the bellies and line the pockets of Nicaragua's strong men, Tachito Samoza and his National Guard. 

The accounts tell of exclusive beaches and elegant residential neighborhoods lined with canvas tents from the United States, Canada, and Germany, while victims of the earthquake still homeless, huddle under trees are improvised cardboard lintos. It tells us stores operating out of private homes where the merchandise comes from cartons labeled, "Care. US Aid", "From the people of the Dominican Republic to the Nicaraguan People" and so on.

Canned goods, clothing, electric lanterns, water purifiers, tools, even blood transfusion units in Samsonite cases are for sale in such shops. The article notes that the transfusion units are generally valued only for the case which they come in. Other stores operate out of the residences of many members of the National Guard. These cell items sacked from the most elegant monogan doors after the guard had cordoned off a 400 block area. Anastasio Somoza III, son of the present dictator and grandson of Anastasio I, who was given control of the country by the US Marines in 1933, was in charge of this cleanup operation.

The article portrays US Ambassador Shelton as Samoza's personal counselor and most unwavering ally. As a close friend and former employee of Howard Hughes and the staunch Nixon man, Shelton has a lot to offer Samoza. For instance, the $2 million check he brought to Nicaragua from Washington after the quake has now made its way through a shady land deal to Tachito Samoza's personal bank account. This from the Santiago Weekly, Chile Hoy 

Excélsior of Mexico City reports that Henry Kissinger at the fourth session of the organization of American States stated that, "The seemingly paternalistic policy of the United States was not at all meant to be detrimental to Latin American countries. Rather, the policy was a concise effort planned by the United States government to give preferential treatment to Latin American countries over the rest of the world." However, our recent report issued by the United States Senate Committee on Foreign Affairs has brought into question the generosity of United States foreign policy. 

Latin America, the British news weekly reports that the main issue at the meeting of the executives of the Inter-American Development Bank will center on that report. The report examines the relationship of the United States and the multilateral development banks. In addition, it opens questions of political control over the lending policies of both the World Bank and the Inter-American Development Bank. 

The official report states that for the most part, the banks have channeled funds to countries in which the United States has strategic and diplomatic interest. They also have refrained from lending to countries with which the United States has had investment disputes. The official report prepared by the Senate Committee on Foreign Affairs further asserted that a major issue in contemporary United States diplomacy concerns relations with countries expropriating United States-owned investments.

The report states that there are considerable similarities between the United States and the bank's views regarding uncompensated expropriation of foreign investments. While the banks are not direct instruments of American policy, they nevertheless have pursued policies generally compatible with those of the United States government. 

Another interesting fact emerged from the report. It seems that the Inter-American Development Bank employs 41 Cuban exiles among its staff, even though Cuba has never been a member of the bank. There are no Canadians, for instance, on the Inter-American Development Bank staff, even though Canada has been a member since 1972. Perhaps the fact that the Inter-American Development Bank was created as part of the Alliance for Progress and as a part of the United States response to the Cuban Revolution has something to do with the strong Cuban Exile presence.

A report from the Mexican Daily Excélsior points out the United States use of international lending agencies as a virtual arm of the State Department. It has been revealed now that the Inter-American Development Bank, since its inception, has loaned one and a half billion dollars for economic development. In the year of 1973, Brazil alone obtained approximately $275 million from the bank. That loan given to Brazil constitutes the largest sum given to a country in Latin America in a single year. 

It is also worthwhile to note that because of Brazil's favorable policy towards United States business, the capital investments of United States corporations have increased tenfold in recent years. Total US corporate capital investments in Brazil, number many billions of dollars. There is a direct relationship to friendliness of Latin American countries to US capital and their access to loans from supposedly autonomous international lending agencies, according to Excélsior of Mexico City,