Rekommunalisierung

“Recommunalization,” remunicipalization. A twenty-first-century response to the twentieth century’s privatization trend. After experimenting with water privatization for over a century, for example, many French towns are now reacquiring privatized, for-profit utilities and turning them back into not-for-profit services.

This accords with the ideas of the great groundbreaking French engineer Henry Darcy who experimented with pipe, sand filtration and spring sources to create a technologically and socially advanced water system for the town of Dijon in 1840, a project he then carefully documented in a beautiful book published in 1856. My Texas colleague Patricia Bobeck translated it into English, including the following:

“As much as possible, one should favor the free drawing of water because it is necessary for public health. A city that cares for the interest of the poor class should not limit their water, just as daytime and light are not limited.”

[The Public Fountains of the City of Dijon, 42.]

Austerity measures may be increasing pressure on governments of financially troubled EU countries to sell off their water and other utilities such as Greece’s recent sale of 33% of the Greek state lottery and gambling organizer OPAP to the Czech-led consortium Emma Delta for 712 million euros (of which 60 million was dividends on profits from 2012). Wikipedia says OPAP is Europe’s largest betting firm and as of 2008 the Greek government only owned 34% of it.

(RAY com you noll iz EAR oong.)

Generalsekretariat für Staatseinnahmen

“General Secretariat for Revenues,” a newly created department in the Greek government responsible for checking government income. Its head used to be in charge of the Greek General Secretariat for Information Systems (GSIS). In response to the “Offshore Leaks” data release last week, the Greek Revenues office will be investigating, among other things, a chain of offshore companies that have been providing military technology to Greece and the USA but whose actual ownership remains a mystery.

The Süddeutsche Zeitung reported: “Interoperability Systems International Hellas S.A. […] was co-awarded a 190-million euro order in 2003 for kitting out Greek F-16 fighter jets. The company also delivered hardware and software to the US Marines. In 2003, 33% of ISI belonged to Bounty Investments Ltd., which in turn owned part of another offshore company. Over that company there was a third veil as well. An attorney for ISI Hellas said Bounty Investments ‘fulfilled all requirements of the Greek tax authorities.’ Some experts think companies in the defense sector fundamentally ought not to be messing around in cloudy offshore waters.”

Update on 10 Apr 2013: This highly entertaining* SZ article about a British family that managed letterbox companies (Briefkastenfirmen) in New Zealand and includes Miami, Moscow, Pyongyang, Teheran and Vanuatu notes that it becomes impossible to trace ownership after only three to four “dummy companies” (Scheinfirmen). “After three, four dummy companies in a row the track gets lost in a thicket of commercial registers (Handelsregister, HRB).”

(Genn er OLL seck rett arr ee OTT   foor   SHTOTS eye nom men.)

 * highly entertaining until the deaths of two Russian reformers at the very end of the piece: Sergej Magnitskij (37) and Alexander Perepilitschnij (44).

 

Marmarameer

Sea of Marmara, called the Propontis in ancient times, connecting the Aegean to the Black Sea through Istanbul. Amid Istanbul’s thousands of mosques, fascinating bridges and the most imposing ancient stone defensive walls I’ve ever seen.

(Mar MAR ah mair.)

Betongold

“Concrete gold.” Signs of an incipient housing bubble in Germany in statistics from ZDF heute journal, which reports that many investors, especially Greeks and Spaniards, are buying urban German real estate. They frequently pay in cash. Apartment sale prices are up 26% in Düsseldorf, 28% in Frankfurt/Main, 28% in Nuremberg, 50% in Hamburg and 73% in Berlin, according to the chart at 22:35. Financial reporter Sina Mainitz said low interest rates and uncertainty about the euro are helping drive the “flight into tangible property.” Unlike in the USA’s recent housing bubble, the Germans expect the ROI will be not from resale but from raised rents.

(Bay TONE gold.)

Steuerabkommen

“Tax agreement.” Germany’s ruling CDU/CSU + FDP coalition negotiated an agreement with Switzerland that untaxed German money in Swiss bank accounts could be subjected to a one-time tax (21% to 41%) and repatriated to Germany with no prosecution for tax evasion. This agreement had to be ratified by German parliament but was not because the SPD and Green Party objected to the low rates, saying tax avoiders would be granted immunity yet pay a lower overall tax rate than people who had obeyed the laws. The matter will now undergo arbitration.

Update on 06 Dec 2012: A tax agreement between Greece and Switzerland is under discussion that it is hoped would return 9 billion euros to Greece. Again, the tax evaders would pay between 21% and 41% and remain anonymous. Negotiations have been ongoing for two years. Süddeutsche Zeitung reported that over 20 billion euros were moved from Greece to Swiss banks between 2009 and 2011.

Gerhard Schick, finance speaker for the Green Party in the Bundestag, said in a position paper quoted in this Süddeutsche Zeitung article about the constitutionally anchored tax-free status of Greek shipping families that the EU should be negotiating these tax agreements with Switzerland, that the Swiss tendency to negotiate separately with each EU country gives Switzerland disproportionately too much power. “Divide et impera.”

Update on 12 Dec 2012: Arbitration was unsuccessful.

(SHTOY err OBB come en.)

Sperrkonto

A blocked or frozen account. Before the troika’s report, Finance Minister Wolfgang Schäuble (CDU) suggested that rather than wait for the troika’s results Germany make its next tranche payment of aid to Greece anyway, putting it in a frozen account that will automatically pay off certain obligations but not be completely available, somehow. In its 17 Oct 2012 article, Spiegel-Online indicated that the French government too was getting tired of having to deal every few months with problems from Athens. A blocked account similar to the proposed one is currently in use, but it is under the auspices of the Greek finance agency. The new blocked account would be at an institution inaccessible to the Greek government. Spiegel-Online went on to report that additional proposals included giving the Greek minister of finance more powers to strengthen his position versus the other cabinet ministers, bringing in more bureaucrats from other countries to provide development aid in Greece, having Greece issue more “T-bills” and asking or demanding forgiveness of certain debt types.

(SHPARE con toe.)

Froschmäusekrieg

The Batrachomyomachia, the “Battle of Frogs and Mice,” is a humorous parody of the Iliad that was probably written two thousand years ago.

(Froh sh MOY zeh kreeg.)

Kröten schlucken

Swallowing toads. When you have to accept unpleasant things.

(CRUT en shlook en.)

über die Wupper gehen lassen

“Let something go down the Wupper river.” Let something break, die, go bankrupt.

(OO bur dee VOOP er gay hen loss en.)

schröpfen

Squeeze money out of someone. Also, a cupping treatment used in the Middle Ages.

(SHRUP fen.)

knausern

To scrimp, scant, stint and otherwise be stingy. Some say this is now “in.”

(C NOW zer n.)

Schuldenschnitt

Debt haircut.

(SHOOL den shnit.)

Kamakia

The “heroes of the Greek islands” who have been taking care of the special needs of blonde female tourists since the 1960’s.

(Komma kee yah.)

Wenn es dem Esel zu wohl wird, geht er aufs Eis tanzen

“When life gets too good for the donkey, he goes dancing on the ice.”

(Venn ess dame AY zel tsoo vole veered, gate er owfs ICE tant sen.)

Die Kuh ist noch auf dem Eis

“The cow is still on the ice,” i.e., a cow accidentally wandered onto thin ice and is in danger of drowning.

(Dee COO isst nock owf dame ICE.)

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