Search This Blog

Monday 18 March 2013

Paulo Coelho on Jesus, Twitter and the difference between defeat and failure


P

One of the world's most popular writers, Coelho has survived being sent to an asylum by his parents and tortured by Brazil's ruling militia
Paulo Coelho
Paulo Coelho: 'Take pride in your scars.' Photograph: David Brabyn/Corbis
In pride of place in the living room of Paulo Coelho's apartment in Geneva is a fan's portrait of the author. A pointillist work, the huge image consists of the colour-coded coffee capsules George Clooney endorses. The background is composed of ristretto capsules (black), while Coelho's eyes seem to have been picked out in decaffeinato intenso (claret). Perhaps sadly, the artist has not used the new linizio lungo (apricot) capsule to perk up the colour scheme.
  1. Manuscript Found in Accra
  2. by Paulo Coelho
  1. Tell us what you think: Star-rate and review this book
This is not the strangest gift he has received, Coelho says. "I'm in my apartment in Rio in 2000 and the doorbell rings and there's a beautiful woman, very tall, very sexy, green eyes. She was carrying a small tree. I said: 'What is this?' She said: 'Don't speak Portuguese.' She said: 'I came from Slovenia because I want to plant this tree here and I want to have a son with you.'" Long story short – Coelho put her on a flight home and saw her only once more, with a boyfriend in Slovenia. And the tree? That's not important now, he laughs.
For the next hour and a half he laughs a lot. A genial funster has today replaced the solemn preacher-novelist damned by one critic for writing "something David Hasselhoff might spout after a particularly taxing Baywatch rescue".
This incarnation may not be what has made the 65-year-old Brazilian an international bestselling author with 9.8 million Facebook fans, 6.3 million Twitter followers, and a fanbase embracing readers in the Islamic republic of Iran and the socialist republic of Cuba. Personally speaking, Coelho in the flesh is more appealing than Coelho the writer.
"Do you want to see my bow?" he asks at one point. Coelho is a keen archer. He has seen The Hunger Games and can confirm that Jennifer Lawrence's archery technique is authentic. "The only thing that relaxes me is archery. That's why I have to have apartments with gardens."
His other favourite activity is walking around Geneva. "I walk every day and I look at the mountains and the fields and the small city and I say: 'Oh my God, what a blessing.' Then you realise it's important to put it in a context beyond this woman, this man, this city, this country, this universe. It goes beyond everything. It goes to the core of our reason for being here." What if there is no reason for being here and – there's no easy way to put this – nice walks around Geneva are as good as it gets? "It's still a blessing." Good comeback.
Back to the coffee portrait. For Coelho, it demonstrates one of the cardinal virtues he extols in his new book, Manuscript Found in Accra – elegance. Why is elegance important? "I don't know what I wrote in the book, but elegance goes to the basics." He points to his portrait. "This is very elegant because if you take an isolated Nespresso capsule, it would mean nothing but with three or four you can create anything. So for me elegance is this." Nespresso PR people who are liking the way this piece is going so far may want to excise the next sentence from their press pack: "I don't drink Nespresso by the way."
Coelho's colour scheme is as minimalist as his portrait. Today he looks like a BrazilianSweet Gene Vincent: white face, black coat, white beard, black trousers, white shirt over black T-shirt, white wisps of hair, trailing behind him as he struts through the apartment in Cuban heels sipping black coffee. He has a butterfly tattoo on his left wrist.
Paulo Coelho at home Paulo Coelho in his office in 1995. Photograph: Roger-Viollet
The other virtues set out in his new book are boldness, love and friendship. A pedant might note that elsewhere in his writings, Coelho has argued that friendship is a form of love so should not be considered a distinct virtue. Also courage rather than boldness is the virtue you need if you are to realise the the message, expressed in his 1988 novel, The Alchemist, that wherever your heart is you will find treasure. But nobody, least of all Coelho, would suggest the oeuvre of the writer, who has sold 145m books worldwide and been translated into 74 languages, is devoid of contradictions. "If I have to summarise this book in one sentence, which would be very difficult," he says, "it is this: accept your contradictions. Learn how to live with them. Because they aren't curses – they are blessings."
The Jesus of the gospels was, Coelho argues, similarly contradictory. "Jesus lived a life that was full of joy and contradictions and fights, you know?" says Coelho, his brown eyes sparkling. "If they were to paint a picture of Jesus without contradictions, the gospels would be fake, but the contradictions are a sign of authenticity. So Jesus says: 'Turn the other face,' and then he can get a whip and go woosh! The same man who says: 'Respect your father and mother' says: 'Who is my mother?' So this is what I love – he is a man for all seasons."
Like Jesus, he's not expressing a coherent doctrine that can be applied to life like a blueprint? "You can't have a blueprint for life. This is the problem if you're religious today. I am Catholic myself, I go to the mass. But I see you can have faith and be a coward. Sometimes people renounce living in the name of a faith which is a killer faith. I like this expression – killer faith."
Coelho proposes a faith based on joy. "The more in harmony with yourself you are, the more joyful you are, and the more faithful you are. Faith is not to disconnect you from reality, it connects you to reality."
In this view, he thinks he has Jesus on his side. "They [those who model their sacrifice on Christ's] remember three days in the life of Jesus when he was crucified. They forget that Jesus was politically incorrect from beginning to end. He was a bon vivant – travelling, drinking, socialising all his life. His first miracle was not to heal a poor blind person. It was changing water into wine and not wine into water."
Paulo Coelho insists he has led a joyful, fulfilling life. It could easily have been otherwise. Born in Rio de Janeiro in 1947, he longed from a young age to become a writer, an ambition his parents frowned upon so much that they sent him, aged 17, to an asylum. "My parents thought I was psychotic. Like now, I read a lot and I didn't socialise. They wanted to help me."
He was eventually released in 1967 and enrolled in law school – one of several attempts to become, as he puts it disdainfully, "normal". Later he dropped out, became a hippy and made a fortune writing lyrics for Raul Seixas, the Brazilian rock star. Brazil's ruling militia took exception to his lyrics (some of which were influenced by the satanist Aleister Crowley). As a result, he was repeatedly arrested for subversion and eventually tortured with electric shocks to his genitals. These experiences, incidentally, account for his scorn for the idea that Chilean dictator Augusto Pinochet, who was photographed with Coelho's books on his shelves, might have learned anything from the Brazilian's thought: "I think he had never read my books. It was PR. I wonder if he knew the story of the author he would have been proud of having this book on his shelves. I was part of these dreadful years in South America."
Why, given his history, didn't he choose the path of renunciation? "But I did! After the asylum and torture, I said: 'I am tired. Enough. Let me behave like a normal person. Let me be the person who my parents wanted me to be – or society or whatever.' So back in 1975 I married someone in church, got a job. I was normal for seven years. I could not stand to be normal. Then I divorced and married another person who is now my wife [the artist Christina Oiticica] and I said: 'Let's travel and try to find the meaning of life.' I had money because I had been a very successful songwriter, so I had five apartments in Brazil. I sold everything and I started travelling."
His epiphany came in 1986 when he walked the 500-mile road to the Galician pilgrimage site Santiago de Compostela. He described his spiritual awakening there in one of his earliest novels,The Pilgrimage. "Then I said: 'It's now or never.' I stopped everything and said: 'Now I am going to fulfil my dream. I may be defeated but I will not fail.'"
This distinction between defeats and failure is central to Coelho's new book. The former are incidental, chastening wounds risked by those who listen to their heart, the latter a lifelong abnegation of the responsibility to follow your dream. Or as the narrator of Manuscript Found in Accra puts it: "Take pride in your scars. Scars are medals branded on the flesh and your enemies will be frightened by them because they are proof of your long experience of battle." That advice is borne of his life experiences? "Absolutely. I am proud of my scars and they taught me to live better and not to be afraid of living."
He looks at me sharply: "They taught me also to be a cold-blooded killer." Beg your pardon? "When I see people trying to manipulate me, I kill. No regrets, no hatred, just an act of – " He makes a throat-cutting gesture. He's not the fluffy bunny his writings might indicate him to be? "Ha! No! I can be very tough. If people think you're naive, they discover in the next second that they don't have heads. So love your enemy, but keep your blacklist updated."
Coelho clearly thinks highly of his readers and online fans. Indeed, Manuscript Found in Accra could be considered the ultimate tribute to them – the collaboration of sage and his online disciples. Share your fears, Coelho tweeted his followers, that I might offer hope and comfort. The resultant book consists of Coelho's meditations on such themes as courage, solitude, loyalty, anxiety, loss, sex and victimhood suggested by followers. Manuscript Found in Accra might function as an aphoristic grab bag of his principal thoughts. The treacly narratives of such novels as The Alchemist and Eleven Minutes have been excised but the cliches remain. He actually does write stuff like this: "It is better to have loved and lost than never to have loved at all" and "Don't give up. Remember it's always the last key on the ring that opens the door." Those of you who may so far have resisted the endorsements of Madonna, Julia Roberts or Bill Clinton may now be tempted to read him if only to test the proposition that Paulo Coelho exists to make Alain de Botton look deep.
Paulo Coelho and his wife Christina Oiticica Paulo Coelho and his wife Christina at home in Rio in 1996. Photograph: Robert Van Der Hilst/Gamma/Gamma-Rapho via Getty Images
Coelho lightly fictionalises this collection of putative aphorisms: the conceit is that we're reading a manuscript lost for 700 years, based on the talk a mysterious scholar called the Copt gave to the citizens of Jerusalem on the eve of its invasion by French crusaders. "The great wisdom of life," the Copt says toward the end of the book, "is that we can be masters of the things that try to enslave us."
How? Coelho says: "By taking responsibility. Today people aren't encouraged to take responsibility. It's easy to obey because you can blame a wrong decision on the person who told you to do this or do that. From the moment you accept that you're the master of your destiny you have to accept responsibility for every single action of yours. So why bother to follow my dreams? Then I can avoid being a failure – which is not true of course: you are a failure from the moment you don't allow yourself to be defeated."
Coelho by contrast snatched victory from the jaws of his several defeats. "Am I hyper rich? Yes. Do I want to prove this? No. Go back to your essence – don't play this consumerism game. This is nonsense. At the end of the day, the day that you die, the last minute, you have to answer this question: Did I really enjoy my life?"
How will he answer this question? "On 30 November 2011 I did," he says enigmatically. In that month, he was prompted to go for a scan by his agent M̫nica Antunes, whose father had recently died of a heart attack. "She was worried that both her husband and I were smokers. I said: 'No way, Jose. Come on. I walk every day. I have a very healthy life. I don't smoke much Рsix cigarettes a day.'" But the day after his wife's 60th birthday he visited the cardiologist for tests. "He said: 'You're going to die.' I said: 'I don't believe you.' He said: 'You're going to die in 30 days. This part of your heart does not respond any more to electric impulses so probably it is blocked.'
"I was shocked of course. But I had time to answer this question that you just asked me. I remember I was in my bedroom and I said: 'If I die tomorrow, I would die very happy. First, I did everything I wanted to do in this life – sex, drugs, rock'n'roll. You name it I did it. Orgies and whatever." Orgies? "Oh yes. Orgies. Ha ha ha!
"Second, I had my share of losing but I did not quit. Third, I followed my road, my bliss, my personal life journey and I chose to be a writer. And I succeeded, which is more difficult, you know?
"Fourth, I've been married for 33 years to the love of my life. So what else can I ask? I will die with a smile on my face, with no fear, and I believe in God. So no problem if I die tomorrow. That is what I thought."
Paulo Coelho, you will have noticed, did not die when his doctor said he would. "But I pray that when I die I will die with the same state of mind I had on the 30th of November 2011."
How would he counsel his followers to die contented? "I can't tell them. I only know that the most important gift that you have is courage – be courageous." He lights a cigarette and smokes it in seeming defiance of what he calls the Unwanted Visitor, death.
In the January of every odd year since 1988, he has tried to find a white feather. Only if he succeeds does he write a book. Unfortunately for some of his critics, he found one earlier this year and so plans to write another book. It won't take long. "I write a book in 15 days. Then I go to social communities – I love social communities."
He means Twitter and Facebook. Why? "Twitter I think is an art. Because if you're connected to people you learn how to summarise. I used to do that when I used to write lyrics. It was always the tendency of my life to be clear without being superficial." He's not superficial? "No. Each sentence is dense, poetic."
Coelho signs a copy of his book for me: "Avoid those who say: 'I will go no further.' Love, Paulo Coelho."
As I walk from his apartment into a city of writers greater than Coelho (Rousseau was born and Borges died here), I wish, though not wanting to be ungrateful, he'd chosen a better quote from his book. For example: "Fate is never unfair to anyone. We are all free to hate or love what we do." That seems to me Coelho at his best, going beyond upbeat banalities and challenging those who make victimhood their identity.
At least he didn't write: "Cross me and you die." Though clearly he could have done.

I am beginning to dread Mumbai


.
Shantanu Bhagwat in The Times of India
My favourite city when I was growing up has today become a place that I try hard to avoid. The reasons are not hard to find. Lack of an efficient system of public transport tops the list. Add to this, the traffic snarls. To this, add a humid climate and uncontrolled, chaotic crowds that jostle for space with shops, scooters, buses & cars.
Don’t get me wrong. There are still many things that keep me hooked on Mumbai. The spirit of enterprise, the numerous eating joints, the real feel of a cosmopolis and the walk along Marine Drive – to name just a few. But all these are increasingly overshadowed by my dread of being stuck in an endless traffic snarl or missing my meeting (worse, a flight) or having nowhere to go for a walk if I feel like unwinding after a long day.
Mumbai’s problems are not unique. At their core is the utter failure of government and administration to deal with rapid urbanisation that is happening across the length and breadth of India.  This urbanisation is the reason for Guwahati losing its charm. This urbanisation is the reason Delhi is fast becoming a cold, ruthless city seething with rage. It is what long-term residents of Pune dread. And it is the reason Bengaluru’s distances are now calculated in “hours” rather than kilometres.
To get a sense of the magnitude of the challenge we face, sample this:
  • Over 32% of Indians living in major cities still live in single room homes. In most Tier-I cities, “Affordable Housing” remains a pipe dream.
  • Almost no Indian city has water coming through the pipes that is safe to drink. Waste disposal remains a common problem across towns and cities in India
  • Sometime between now and the next 10 years, 3 Indian cities will be among the fastest growing cities world-wide. These are Ghaziabad, Surat and Fardiabad. “Twenty-two other Indian cities (will) also find a place in the top 100”. 
  • In Delhi, over 350 kms of nullahs (storm water drains) built hundreds of years ago now carry untreated sewage posing a grave risk to public health & environment 
  • On an average, 10-12 people die every day on the tracks of Mumbai’s suburban rail system. That is almost 4000 people each year. This has been going on for several years 
And finally this statistic which I doubt would surprise any of you: almost 50% of the population in most cities live in slum-like conditions.
About 3 years ago, I visited one such area in Mumbai. Situated within minutes from the famous RK Studios in Chembur, this area is called Cheetah Camp. Cheeta Camp is unusual because it is a “planned slum”. But the planning does not extend to sewers or basic provisions.
recent study discovered that the 117,000 residents of Cheeta Camp have just 38 usable toilets among themselves. That means roughly one toilet per 170 people. To understand what this means, take about 30-40 families in your neighbourhood. Now imagine all of them coming to your home to use our one toilet.   I think you get the picture.
Believe it or not, we actually have a “Ministry of Urban Development” with a cabinet rank minister in charge. The minister in charge is the redoubtable Kamal Nath – a man tagged with the “15% label” by Tarun Das, former Chief Mentor, CII and alleged to  have offered “jet airplanes as enticements” to  get support from MPs for the India-US civilian nuclear deal in 2008. 
Sadly the Ministry appears to have achieved little.  The Minister himself has publicly said, “We are not building for the future, unlike Hong Kong and Singapore. We are still catching up with the past” 
And his own Ministry’s survey on the state of affairs in our cities has highlighted glaring failures, including the fact that, “more than half of India's cities have no piped water or sewerage systems, four in five had water for less than five hours per day and seventy per cent households across the states had no lavatory.”  Not only has the Ministry failed to achieve much, it has been dragged into the murky CommonWealth Games Scandal too.
Unfortunately urbanisation is a dull topic for prime time TV. It does not arouse the kind of passion that can get people out on the streets. For most well-read, educated Indians whose stomachs are full, urbanisation is an inevitable “evil” that is ruining their towns and cities. It is the “evil” that is making water scarce; making groceries expensive, commuting a nightmare and jeopardising the safety of their children.
There is little realisation of the long-term implications of this “problem”. It seems most of us assume the challenges of “urbanisation” will be resolved on their own.
But we ignore urbanisation at our own peril. I believe, more than anything, dealing with the effects & impact of rapid urbanisation will be India's biggest challenge in coming decades.

Why do we cosy up to these Wahhabi tyrants?



People are spied upon, foreign workers enslaved, and non-Muslims are treated with contempt



By Yasmin Alibhai Brown in The Independent

OMG, what was she thinking?
Camilla, wife of our future king, wore a flimsy, unsecured headscarf on her trip to Saudi Arabia. It rebelliously slipped off and almost uncovered all her hair! According to the strict, conservative Saudi Wahhabi practice of Islam, uncovered hidden female tresses, old and young, are as licentious as exposed pubic hair. (I was told this in earnest by a Saudi trained British imam.) The Duchess’s moment of shamelessness must have prompted diplomatic jitters. Did the British Embassy press a panic button and send officials to apologise profusely and genuflect even more abjectly in front of the rulers? Probably. Described as an “ally” and “friend” by the UK, US and other western nations, Saudi Arabia is a dominatrix, lashing the whip, inflicting humiliation on grateful, international partners.    
There has been some bother over this official visit by Charles and Camilla to a country which has just executed seven men. The protests are obtuse, silly and a distraction. World royals network, have strong common interests, understand and prop up one another, exchange bling and niceties and sometimes inter-breed. Charles is keen on Islamic thought and aesthetics and seriously so, but never dips his fingers into the messy business of Middle East politics.
To expect the Prince to stand up for human rights is about as hopeless as expecting him to be an equal-rights champion of his nation. He was not raised to do either, poor chap, so why waste all that outrage on him?  The real iniquity is the way our state sucks up, with others, to Saudi Arabia, while knowing its tyrannical governance and malevolent global influence. The official abuse and repression of its citizens is so embedded, most victims are inured to the violations, the ultimate debasement.
Iran, led by the abhorrent President Ahmadinejad, also executes and tortures its people, but its women can drive, work, go to university, initiate divorce and get custody of their children. Saudi women are denied all those choices and rights. Yet western observers incessantly slam Iran (rightly) but say much less about Saudi Arabia.
Yes, very slowly, some pitifully small rights are being handed to women. For the first time female politicians have been given an advisory role and smart young women are able to work under restrictive conditions, but at this pace, the world will end before Saudi women achieve full human status. Black cloaks render them invisible and, happily for the men, hide all unseemly marks of domestic abuse. The judicial system is unaccountable, and focuses on the cruellest of punishments. People are spied upon, foreign workers enslaved, non-Muslims and non-Sunni Muslims treated with contempt or worse. Islam’s holiest shrines are found in one of the unholiest of lands, where even these monuments are unsafe.   
Recently, as my colleague Jerome Taylor reported, bulldozers have been pulling down the oldest, most invaluable and precious structures in Medina, some going back to the birth of the faith. The men in charge have already destroyed most other physical remnants of history, ignoring the pleas of archaeologists and Islamic scholars. If it were happening here Charles would raise royal hell; there he fawns to the Philistines. Science isn’t safe either. We are seeing the first cases of a deadly, unknown virus which has killed over a dozen people. A man died in Jeddah and another in the UK after a trip to Mecca. Professor Ali Mohamed Zaki, an Egyptian doctor working in Saudi Arabia, was deported after he found this new strain and got it analyzed by Dutch virologists.    
Then there is the hushed and hushed up spread of Wahhabi Islam from north to south, east to west. Saudi funded Wahhabis are here, there and everywhere, successfully eradicating all diversity and ease in Islam, aggressively exporting their own brand. I have seen the results of this infiltration in Tanzania, India, Bangladesh, Kenya, Egypt and across western cities. The ideology leavens and raises intolerance, extremism and in some cases instigates violence. The 9/11 killers and original, prototype al-Qa’ida ideologues were Saudi led.
In 2002, the Washington Post leaked a report by a hawkish neocon defence consultant to the US government. It warned that the “Saudis are active at every level of the terror chain, from planners, to financiers, from cadre to foot soldiers, from ideologist to cheerleader.” The report’s hawkish recommendations to take over oil-producing desert lands were abominable, but the analysis was spot on. The White House and Blair’s lot took no notice and instead sold that regime arms. 
The oil’s the thing and I do understand that. But in December 2012, according to the US Energy Information Administration, which provides independent statistical analysis, Venezuela was the second largest supplier of crude oil to the US. Saudi Arabia was the third biggest. So, why did the American and British spokespeople and commentators fearlessly slag off the late Hugo Chavez? Some of the criticisms were justified, others ideological and grossly unfair, but they didn’t hold their tongues as they do with Saudi Arabia, an evil empire if ever there was one. By sending royals to court them, our government endorses this evil and ensures none of us is safe. We should be mobilizing against this collusion but don’t. So it is our fault too.
y.alibhai-brown@independent.co.uk 

You think the government is fighting tax avoidance? Think again



George Osborne has pulled off a stunning confidence trick: he has bamboozled people into thinking he is fighting tax dodgers
Chancellor George Osborne
‘Chancellor George Osborne's new rules – as KPMG makes clear – give “UK-based multinationals an opportunity to significantly reduce their tax rate”.’ Photograph: Carl Court/AFP/Getty Images
Chancellors of the exchequer have never been entirely straight about their tinkering with the tax system. With his penchant for "stealth taxes", Gordon Brown certainly didn't always come clean with the British public. But when it comes to the vexed subject of tax avoidance, his successor George Osborne has taken the deception to a new level and, after three years, pulled off a stunning confidence trick.
"The parties agree that tackling tax avoidance is essential for the new government, and that all efforts will be made to do so," declared the coalition agreement in May 2010. The commitment was a victory for the Lib Dems and for their pre-election shadow chancellor Vince Cable in particular. A year earlier, Cable had responded to the Guardian's Tax Gap series by writing: "Systematic tax avoidance by rich individuals and UK-based companies strikes a particularly ugly note in these straitened times."
Cable's prize was to be a "general anti-avoidance rule", and soon enough one of Britain's leading tax QCs, Graham Aaronson, was dispatched to work up the scheme that Osborne has promised to introduce in this week's budget. But it will be what Aaronson describes as "narrowly focused", and apply only to the "most egregious tax avoidance schemes". For which, read convoluted arrangements involving multiple transactions that circumvent the spirit of the law – of the sort deployed by comedian Jimmy Carr before he saw the light (or the headlights of career death hurtling towards him).
Scheming of this type is, however, a relative minority sport, and is generally defeated by judges increasingly intolerant of tax avoidance anyway. Worse still, the senior tax inspectors' union argues that, by hitting just "egregious" cases, the new law risks "actually facilitating avoidance".
By far the costliest tax avoidance takes the form of the corporate structuring that has repeatedly hit the front pages in the last couple of years, whether through Starbucks' payment of royalties to Amsterdam, Amazon's Luxembourg sales hub or Vodafone's multibillion-pound internal financing arrangements through the same grand duchy. And,as the Lords economic affairs committee pointed out last week: "There is a misconception that Gaar [general anti-abuse rules] will mean the likes of Starbucks and Amazon will be slapped with massive tax bills. This is wrong, and the government need to explain that to the public."
Such corporate manouevrings do not officially constitute tax avoidance even if, on any commonsense view, that is exactly what they are. When a couple of years ago the BBC commissioned a ComRes survey on attitudes to tax avoidance, it defined the practice as "where people or businesses arrange their financial affairs to minimise the amount of tax they pay while remaining within the law". Eighty four percent of people favoured a clampdown on the behaviour, which clearly encompasses multinational's offshore structures.
Yet this is where the great tax trick is played. Outside the official definition of tax avoidance, the offshore schemes of Britain's biggest multinationals have not just escaped any clampdown, they have been rewarded with a rewriting of corporate tax law that makes them more irresistible than ever. Working closely with the companies most affected, in his last two budgets Osborne has relaxed – almost to the point of obsolescence – the so-called controlled foreign companies laws that were introduced by Nigel Lawson in the early 1980s to prevent companies shifting profits into their tax-haven subsidiaries.
From this year offshore financing structures such as Vodafone's, for instance, will be taxed at no more than 5%, while companies' tax-haven branches will be exempt from tax. Incredibly, the British government is subsidising the largest companies to send billions of pounds into the world's tax havens. And in the absence of any opposition from the Labour party – compromised by its own record of offshore tax relaxations and now advised by Vodafone's tax consultant PricewaterhouseCoopers – the new laws have arrived on the statute book unchallenged.
The big four accountancy and tax consulting firms that were hauled before Margaret Hodge's public accounts committee a few weeks ago are probably licking their lips. KPMG touts for business in one of its pamphlets by pointing out: "For every £1m of finance income received in the UK, the finance company regime could save cash tax of £165,000." And even better: "As the new rules have been designed and enacted by the government, this should represent a low-risk tax-saving opportunity." What could be sweeter than state-endorsed tax avoidance?
This surreptitious slashing of corporate tax bills is not something the government is keen to dwell on. Indeed, the rhetoric can be very different. In Davos, David Cameron said that businesses are "setting up ever more complex tax arrangements abroad to squeeze their tax bills right down ... Well, they need to wake up and smell the coffee". Given low corporate tax rates, soon to be 21% and by far the lowest among G8 countries, the PM insists they "should pay that rate of tax rather than avoid it".
But Osborne's new rules – as KPMG makes clear – give "UK based multinationals an opportunity to significantly reduce their tax rate". In other words, using "tax arrangements abroad" the largest multinationals won't pay even the new all-time-low headline tax rates.
Through the "general anti-avoidance rule" and a regular stream of smaller specific anti-avoidance announcements, such as this weekend's move against a national insurance dodge, Osborne will sustain the illusion that tax avoidance is being fought on all fronts, confident that his bamboozled audience will never notice the abject surrender on the most important one of all.

Sunday 17 March 2013

Savers across Europe will look on in horror at the Troika's raid on Cyprus



It's now become clear: the threat to European savers and banks isn't anti-austerity parties but the Troika
People withdraw money from a cashpoint machine in the Cyprus capital, Nicosia
Account-holders withdraw money from a cash machine in the Cyprus capital, Nicosia. Photograph: Barbara Laborde/AFP/Getty Images
The imposition of a levy on savers in Cypriot banks marks a new turn in the European crisis. Savings of over €100,000 will be subject to a 10% tax, and those under €100,000 one of 6.7%. The raid has been instructed by the "Troika" – the European commission, the IMF and the European Central Bank – as part of a characteristic "take it or leave it" ultimatum to the Cypriot government. The parliament in Nicosia is being pressed to ratify the deal with the threat that without it there will be no bailout funds and the ECB will withdraw all liquidity support to the stricken banks.
The Troika and its supporters have justified the levy by arguing that the state could not support the debt burden of a bank bailout. But this simply means the debt burden has been transferred from the banks, where it properly belongs, to households, who had no part in their lending decisions.
As part of that propaganda campaign, the focus has been on Russian oligarchs and tax evaders who have been laundering funds through Cypriot banks. In fact, among those caught in the upper savings bracket are bound to be pensioners for whom this represents their entire life savings, and others who have recently borrowed enough money to buy a modest home. But even if only oligarchs were affectedE, this is surely an admission of guilt by the European and international authorities, who are responsible for the global regulation of banks and co-ordinating anti-money laundering activities. Their own failure can hardly be a justification for expropriating the small savers of Cyprus.
The irony is that all this is done in the name of promoting stability. When anti-austerity parties have made strong showings in elections – in Greece, Ireland, France and Portugal – the pro-austerity parties have warned that the cash machines would dry up because no bailout fund would be made available to an anti-austerity government, and banks would be given no liquidity support. It is now clear that it is not anti-austerity parties but the Troika that is the direct threat to the savers of Europe and their domestic banking systems.
The question arises as to why Cyprus has been treated so much worse than other countries – the contrast with the treatment of Spain is marked, despite all the prior bullying. This is partly because the savers of large EU countries will not be directly affected by what happens to Cyprus, although the British press is already focused on the potential losses to British pensioners and service personnel based there. More important, however, the big banks of the same large countries are not facing any losses. If Spain collapses, it will take a large portion of the major European banks with it; this is why the Troika backed off from forcing Spain into a bailout programme.
But it is foolish of the Troika to assume that its confiscation of Cypriot savings will have no international implications. Savers all across Europe will look on in horror, and are bound to wonder whether it could happen in their own countries. It is entirely possible they will respond by shifting their savings into state or postal savings banks at the very least, even if outright bank runs are avoided. If this happens on sufficient scale, it could further undermine the fragile banking system in a number of countries.
It also has implications for the anti-austerity parties of Europe, who have long argued for nationalisation of the banks. As British government ownership of RBS shows, such nationalisation achieves nothing without directing the banks towards increased investment. In the single currency area, the left is now faced with an additional risk of the Troika withdrawing funds, and organised capital flight.
To prevent Troika raids, deposits need to be put into protective custody to preserve both savings and the domestic banking sector. For anti-austerity governments, these funds could then be used to support state-led investment and reverse the European depression.

Saturday 16 March 2013

Metformin can help reduce cancer prospects!


Diabetes pill beats cancer...and costs just 2p a day

A DIABETES pill that costs just 2p a day could prevent thousands dying from Britain’s biggest cancer killers every year.

By: Jo Willey in The Express
Metformin-is-already-taken-by-millions-of-diabetes-patientsMetformin is already taken by millions of diabetes patients
The drug, already taken by millions of patients to control blood sugar levels, is thought to be capable of starving some cancer cells to death.
New research suggests it can slash the risk of developing liver cancer by an astonishing 78 per cent, breast cancer by a third, pancreatic cancer by 46 per cent and bowel cancer by nearly a quarter.
Together, these are the biggest cancer killers – and among the hardest to treat. They claim the lives of 39,336 people each year – a quarter of all UK cancer deaths.
The discovery raises the possibility that the drug – metformin – could be a potent weapon in the battle to find a cure for cancer. Scientists think the drug could prove to be cancer’s Achilles’ heel.

It works by reducing the amount of glucose – which feeds cancer cells – being produced. It helps cells mop up sugar circulating in the bloodstream, cutting off cancer’s energy supply.

Metformin has been safely used by millions of people with Type 2 diabetes for more than 50 years.

Now, researchers from the Department of Epidemiology and Health Statistics at Shandong University in China, have analysed 37 studies involving more than 1.5 million people. 

They found that diabetes patients who took metformin were far less likely to get cancer.

And even if they did get the disease, they were less likely to die from it.

They concluded: “Metformin can reduce the incidence of overall cancer, liver cancer, pancreatic cancer, colorectal cancer and breast cancer as well as the mortality of overall cancer, liver cancer and breast cancer.”

The researchers found no such benefit for men suffering from prostate cancer.

If the Chinese researchers are right the drug could be marketed for cancer treatment far more quickly than a newly discovered drug because it is already prescribed widely without ill-effects.

Previous studies have also shown metformin to be a powerful cancer buster, apparently seeking out an destroying the deadly cells which give birth to tumours and fuel their spread.

Recent studies highlighting the drug’s effects against a variety of tumours have generated considerable excitement among cancer researchers looking for powerful new treatments.

In 2011, scientists discovered it could slash the risk of ovarian cancer by around 40 per cent.

And Cancer Research UK is funding a major five-year study, involving nearly 5,000 British women with breast cancer, to see if the drug can stop the disease returning and boost survival rates.

Other research teams around the world are investigating metformin’s powers against skin, lung and pancreatic cancer – with promising early results.
cancerNew research suggests metformin could be a powerful weapon against cancer
Dr Martine Bomb, Cancer Research UK’s health information manager, said: “Some evidence analysed in this review shows that metformin may be able to lower diabetic people’s risk of developing and dying from some cancers.

“But other studies show metformin’s effect could be less powerful. Clinical trials are investigating whether this cheap, readily available drug could help save the lives of cancer patients.”

The new research is just the latest to hail this wonder drug to treat conditions other than diabetes.

Last year, research suggested that metformin could help beat the degenerative brain disease Alzheimer’s by triggering the growth of new brain cells.

A recent study at Dundee University showed it also interferes with the formation of toxic “tangles” of protein which clog the brain in Alzheimer’s patients, destroying memory cells.

Thursday 14 March 2013

Your five worst medical nightmares



From a doctor amputating the wrong leg, to a woman given the wrong baby, hospital treatment does not always go to plan. Luckily, though, mistakes are rare
Carry on Doctor
One unhappy patient … Kenneth Williams in the 1967 film Carry on Doctor. Photograph: ITV/Rex Features
It sounds like a classic nightmare – waking up during an operation to find you can't move. But that's what happened to one patient, Sarah Newton. "I was trying to scream. I tried to wiggle my toes desperately hard but I couldn't move anything." Thankfully, "accidental awareness", as it is known, is rare. A survey from the Royal College of Anaesthetists says it occurs once in every 15,000 operations under general anaesthetic, or 153 times in 2011 – and is usually brief and painless. But what of our other medical terrors?

Wrong site surgery

Usually the cause is a catastrophic series of administrative errors, such as when Dr Rolando Sanchez, a Florida surgeon, was told by a nurse that he was amputating the wrong leg of his patient just as he finished cutting through it. Luckily, with only 70 incidents recorded by the NHS in the year 2011-12, it is extremely unusual.

Wrong patient surgery

Never mind the wrong limb. How about operating on the wrong body? Sometimes there may be a mix-up over two people with the same name. Or similar procedures. The reality may not be as scary as it sounds – recently a patient in Cambridgeshire was given another patient's lens during eye surgery, although this was soon corrected. Plus there were fewer than 10 incidents reported in the UK during 2011-2.

Retained instruments

Leaving surgical instruments inside patients occurred 161 times in 2011-12. Often it's a sponge, which can lead to serious infections. The risk arises in emergency surgery, and in surgery on obese patients, but it is still very unlikely to happen to you.

Baby mix-ups

Despite being a common storyline in films or stories, there are few documented cases of mothers sent home with the wrong baby. But you have to ask: how would they know? In Romania in 2008, Cristina Zahariuc noticed because the daughter she was sent home with turned out to have a penis. Despite a few awful stories, the risk will be lower now that most babies stay with their parents immediately after birth.

Being treated by an impostor

Well, it has happened. In September 2011, 17-year-old Matthew Scheidt was convicted, of impersonating a physician's assistant in Florida. He dressed wounds, attended surgery, examined naked patients and even administered CPR. While New Zealander Richmal Oates-Whitehead treated victims of the 7 July 2005 bombings in London, despite not being medically qualified.
Ferdinand Waldo Demara managed fairly well when he conducted a series of major operations by speed-reading textbooks during the Korean war. And a man called Gerald Barnes even managed to impersonate a doctor, and be convicted of it, five times. Thankfully pretenders do tend to get caught.