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EIR Founder and Contributing Editor: Lyndon H EIR Founder and Contributing Editor: Lyndon H. LaRouche, Jr. Editorial Board: Melvin Klenetsky, Lyndon H. LaRouche, Jr., Antony Papert, Gerald Rose, From the Associate Editor Dennis Small, Edward Spannaus, Nancy Spannaus, Jeffrey Steinberg, Webster Tarpley, William Wertz Associate Editor: Susan Welsh he exciting events reported in this issue, concerning Lyndon Managing Editors: John Sigerson, T Ronald Kokinda LaRouche’s intervention in Mexico and his role in the policy fight at Science Editor: Marjorie Mazel Hecht the Hongkong IMF meeting, have a long history, unknown to many Special Projects: Mark Burdman Book Editor: Katherine Notley of our readers. Not since the Colombo, Sri Lanka summit of the Advertising Director: Marsha Freeman Non-Aligned Nations in 1976, has there been such a demand for Circulation Manager: Stanley Ezrol LaRouche’s policies from the leadership of the developing sector— INTELLIGENCE DIRECTORS: and such a willingness to stand up publicly and challenge the bankers’ Asia and Africa: Linda de Hoyos Counterintelligence: Jeffrey Steinberg, destruction of national sovereignty and economic development. Paul Goldstein Economics: Marcia Merry Baker, Those with a long memory, will recall that on April 24, 1975, William Engdahl LaRouche gave a press conference in Bonn, Germany, calling for the History: Anton Chaitkin Ibero-America: Robyn Quijano, Dennis Small creation of an International Development Bank, to foster cooperation Law: Edward Spannaus between the industrialized capitalist sector and the socialist sector, in Russia and Eastern Europe: Rachel Douglas, Konstantin George developing the so-called Third World. United States: Kathleen Klenetsky Key features of this program were incorporated in the Colombo INTERNATIONAL BUREAUS: Resolution of Aug. 16, 1976, to the extreme distress of U.S. Secretary Bogota´: Jose´ Restrepo Bonn: George Gregory, Rainer Apel of State Henry Kissinger. The heads of state called for “the establish- Buenos Aires: Gerardo Tera´n ment of the new world economic order, and in particular, this essential Caracas: David Ramonet Copenhagen: Poul Rasmussen element of such a new order, a new monetary and financial system.” Houston: Harley Schlanger The new order would require “a satisfactory solution to the problem Lima: Sara Maduen˜o Mexico City: Hugo Lo´pez Ochoa of public debt” and would guarantee “the right of every country to Milan: Leonardo Servadio exert its sovereignty.” It would abolish “the anarchy of floating [cur- New Delhi: Susan Maitra Paris: Christine Bierre rencies] . and the dominant role of international currencies in deci- Rio de Janeiro: Silvia Palacios sion-making.” Stockholm: Michael Ericson Washington, D.C.: William Jones On Sept. 27, 1976, Guyana’s Foreign Minister Frederick Wills Wiesbaden: Go¨ran Haglund brought the Colombo Resolution before the United Nations General EIR (ISSN 0273-6314) is published weekly (50 issues) Assembly, saying that the IMF monetary system “must give way to except for the second week of July, and the last week of alternative structures like international development banks....The December by EIR News Service Inc., 317 Pennsylvania Ave., S.E., 2nd Floor, Washington, DC 20003. (202) time has come for a debt moratorium.” 544-7010. For subscriptions: (703) 777-9451. World Wide Web site: http://www.larouchepub.com On Aug. 2, 1982, LaRouche, after meeting Mexican President e-mail: [email protected] European Headquarters: Executive Intelligence Review Jose´ Lo´pez Portillo, released a book-length program for Ibero- Nachrichtenagentur GmbH, Postfach 2308, D-65013 Wiesbaden, Otto von Guericke Ring 3, D-65205 America, Operation Jua´rez, which created an international uproar Wiesbaden, Federal Republic of Germany Tel: (6122) 9160. Homepage: http://www.eirna.com about the likely detonation of “the debt bomb.” E-mail: [email protected] Executive Directors: Anno Hellenbroich, Michael Liebig Today, as you will read in this issue, the LaRouche plan is back In Denmark: EIR, Post Box 2613, 2100 Copenhagen ØE, on the agenda, and it has the backing of Asian leaders representing Tel. 35-43 60 40 In Mexico: EIR, R´ıo Tiber No. 87, 5o piso. Colonia some 2 billion people. Cuauhte´moc. Me´xico, DF, CP 06500. Tel: 208-3016 y 533- 26-43. Japan subscription sales: O.T.O. Research Corporation, Takeuchi Bldg., 1-34-12 Takatanobaba, Shinjuku-Ku, Tokyo 160. Tel: (03) 3208-7821. Copyright © 1997 EIR News Service. All rights reserved. Reproduction in whole or in part without permission strictly prohibited. Periodicals postage paid at Washington D.C., and at an additional mailing offices. Domestic subscriptions: 3 months—$125, 6 months—$225, 1 year—$396, Single issue—$10 Postmaster: Send all address changes to EIR, P.O. Box 17390, Washington, D.C. 20041-0390. EIRContents Departments Economics 25 From New Delhi 4 At the IMF meeting: Soros Photo and graphics credits: Nepal-Bangladesh transit—a new battles LaRouche Cover, page 53 (Arafat), EIRNS/ chapter. The knives were out at the annual Stuart Lewis. Page 11, UN Photo/ meeting of the IMF and World M. Grant. Page 13, EIRNS/John 57 Report from Bonn Bank, held in Hongkong. Lyndon Sigerson. Page 29, EIRNS/Carlos A “virtual” Social Democracy. LaRouche, who has a 25-year de Hoyos. Page 31, EIRNS/George history of opposition to the IMF’s Hollis. Page 37, UNICEF/Didier 72 Editorial destruction of nations, emerged Brenard. Page 40, United Nations. High stakes at the U.S.-China publicly at the center of the policy Page 47, Office of the Presidency of summit. fight. the Republic of Mexico. Page 53, Documentation: International EIRNS/Guggenbuhl Archive. Pages press coverage of LaRouche’s role. 61, 63, EIRNS/Marianna Wertz. Page 64, Courtesy of Jim Harwood. 7 Soros robs the poor, gives Page 67, White House photo. to the rich 10 The challenges and opportunities we face The speech by Malaysian Prime Minister Dr. Mahathir Bin Mohamad at the IMF-World Bank meeting. 16 Soros to Mahathir: I am not a moron From George Soros’s speech at the IMF meeting. 18 Economics takes center stage in Manila By Our Manila Correspondents. 19 Currency Rates 20 The Norwegian elections: Monetarists demand more austerity—because of too much money 23 Shuttle-Mir program is under threat from Congress 26 Business Briefs Volume 24, Number 40, October 3, 1997 Feature International National 44 The ‘LaRouche Effect’ 60 AFL-CIO convention takes Mexico by storm launches organizing drive Lyndon LaRouche’s enemies are Vowing to take back the U.S. undoubtedly kicking themselves for Congress in 1998 for a pro-labor their mishandling of his planned agenda, the AFL-CIO met in visit to Mexico. Although unable to Pittsburgh, Pennsylvania on Sept. travel to Mexico, LaRouche has 22-25. It’s clear that the Democrats taken the country by storm. are hoping that the reenergized labor movement, under John Lyndon LaRouche, with international press coverage 48 Internet fraud alert! Sweeney’s leadership, can deliver of his intervention in Mexico and his fight against on that pledge. the IMF. 49 Congo’s dictator Laurent 64 Harwood wins mayoral 28 An alternative to neo- Kabila is sitting on a time- bomb primary in Charlotte liberalism: the LaRouche- LaRouche Democrat Jim Harwood Riemann method is the Democratic nominee for “Presently, the entirety of this 52 Israeli-Palestinian tensions mayor. planet is gripped by a great rise as Netanyahu financial, monetary, and economic undermines peace efforts 65 Reno gives in, opens probe crisis,” Lyndon LaRouche said, in a of President speech delivered on his behalf in 54 New evidence that Diana Attorney General Janet Reno has Guadalajara, Mexico. “In today’s was murdered opened an initial investigation into economic policy, the only important fundraising by President Clinton, question is: Can, and will some 55 Alarm grows over North which could ultimately result in the leading governments put the old, Korea famine appointment of a second special bankrupt financial and monetary prosecutor against him. systems into government- supervised reorganization? Can, and 56 U.S. puts on pressure for will this be done, in time to prevent Sudan peace 66 Lindy Boggs ready to take a world-wide repetition of the kind The government of Sudan and the up Vatican post of ‘New Dark Age’ which Europe Sudanese Peoples Liberation Army suffered during the Fourteenth signed a joint communique´ on Sept. 68 Congressional Closeup Century?” 22, announcing negotiations to take place in Kenya. 70 National News 58 International Intelligence EIREconomics At the IMF meeting: Soros battles LaRouche by Richard Freeman While the International Monetary Fund and World Bank held editor is Lyndon LaRouche. Specifically cited is “The True their annual meeting in Hongkong on Sept. 20-25, planning Story of George Soros the Golem,” a Special Report which to further push the deadly globalization and deregulation of EIR published in April 1997. The Journal perhaps thought the world financial system, economist Lyndon LaRouche, that presenting the Mahathir-LaRouche relationship would who has a 25-year history of opposition to IMF-steered geno- be damaging to Mahathir and a “shocking revelation.” But, cide and the IMF-created financial bubble, emerged publicly few of the world’s leaders would be shocked, since it is recog- at the center of the policy fight against speculator George nized that LaRouche would put the bankrupt IMF-centered Soros and the IMF. world financial system through Chapter 11 bankruptcy, and A signal of this was the Wall Street Journal article on replace it with a development-vectored, fixed exchange rate- Sept. 19 (Asian and Europen editions, and on the Internet), based New Bretton Woods monetary system. This represents which circulated at the IMF conference, and cited LaRouche the only sane alternative to the IMF and Soros. as the source of attacks on Soros. To understand “the The Wall Street Journal Asia ran the same article on its LaRouche Effect” in Hongkong, think of LaRouche playing front page on Sept.
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