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DoJ tells NBI to give its PCSO probe top priority

JUSTICE SECRETARY Menardo I. Guevarra said the National Bureau of Investigation’s (NBI) investigation into the alleged “massive corruption” in the gaming-operations of the Philippine Charity Sweepstakes Office (PCSO) “will take a little time” due to the gravity of the issue.

Mr. Guevarra, however, said while he did not give the NBI agents a time frame for the investigation, the bureau has been instructed to make it a high priority.

“We have requested the NBI to give me progress reports every now and then, maybe… a status report after a week probably, baka may initial finding na (maybe there’s initial findings already),” he told reporters on Tuesday after the launch of infomercials against human trafficking in Pasay City.

“I’ll make sure the NBI gives priority to the investigation because we know that people are affected… people who rely on the charitable resources of the PCSO. ‘Yon ‘yung mahalaga, kaya hindi ito patatagalin ng NBI (That is what’s important, so the NBI will not prolong this),” he added.

President Rodrigo R. Duterte ordered the closure of all gaming operations under the PCSO, alleging widespread corruption.

Mr. Guevarra on Monday ordered the NBI to investigate and build a case in preparation for on filing appropriate charges against those found liable.

He also told reporters that the investigation will focus on allegations of non-remittance by small town lotteries and Peryahan ng Bayan of shares due to the government. — Vann Marlo M. Villegas

House resolution seeks PAGCOR funding for PSC, SEA Games, CHED

A LEGISLATOR filed a resolution at the House of Representatives Tuesday calling on President Rodrigo R. Duterte to fund the Philippine Sports Commission (PSC) and the Commission on Higher Education (CHED) from revenue generated by the Philippine Amusement and Gaming Corp. (PAGCOR), after the Palace suspended some operations of the sweepstakes office, their current funding source.

Ako Bicol Rep. Alfredo A. Garbin Jr. filed House Resolution No. 147 following the President’s order to close all lottery outlets of the Philippine Charity Sweepstakes Office (PCSO).

According to Republic Acts 6847 and 7722, PSC and CHED are PCSO-financed.

Mr. Garbin said: “President Duterte (must) exercise his executive powers and… Congress, which has the ‘power of the purse’ (needs to) authorize the President to cause PAGCOR to fund the PSC and CHED.”

The resolution also called on the PSC, CHED, and the Departments of Budget and Management and Finance to provide an estimate of the funding support needed from PAGCOR.

Iniiwasan natin ang anumang aberya sa PSC, SEA Games, at sa CHED dahil sa korapsyon sa PCSO. Ayaw natin na magambala ang athletes training, SEA Games hosting, pag-aaral ng mga kabataan sa kolehiyo, at research ng mga pamantasan (What we would like is to avoid disruption to the operations of the PSC and the Southeast Asian Games; as wll as those of CHED, because of he alleged corruption at PCSO. We don’t want to endanger athlete training, SEA Games hosting, college education and research activity),” Mr. Garbin said in the statement. — Vince Angelo C. Ferreras

Lotto agents seek dialogue with President to press resumption of operations

AN association of lottery agents is seeking a dialogue with President Rodrigo R. Duterte to press their appeal to be allowed to resume operations.

Philippine Online Lottery Agents Inc. (POLAI) chairman Nelson Santos, speaking by phone to BusinessWorld, said Lotto and Keno (Lotto Express) agents are “collateral damage” in the President’s anti-corruption cleanup at the PCSO.

He said agents have obligations in the form of rent and worker salaries

Ang apila namin sa presidente, as soon as possible sana maibalik na,” (our appeal to the President is to resume our operations),” he said.

He added beneficiaries currently funded by the PCSO may experience difficulties if they are funded by the gaming regulator PAGCOR because the latter has fewer offices.

“Right now, kahit sabihin mong tutulong ang Office of the President, tutulong ang PAGCOR, eh ang proseso kasi di naman ganun kadali yun, hindi katulad sa PCSO na maraming regional office pwdeng takbuhan agad (even if the Office of the President and PAGCOR help out, processing requests is not that simple. The PCSO who has many regional offices that beneficiaries could go to),” Mr. Santos said.

The Philippine National Police said that as of Monday, it had closed 30,284 PCSO gaming outlets.

The POLAI chief also said that the continuation of lotto operations will assure the continuous assistance to PCSO beneficiaries. — Beatrice M. Laforga

Palace orders BCDA inclusion in Cabinet infrastructure cluster

PRESIDENT Rodrigo R. Duterte has issued an executive order (EO) including the Bases Conversion and Development Authority (BCDA) in the Cabinet cluster on infrastructure.

Mr. Duterte signed EO 86 on July 25, which the Palace released to reporters on Tuesday, amending EO 24 (series of 2017). The order bears the title “Reorganizing the Cabinet Clusters System by integrating good governance and anti-corruption in the policy frameworks of all the clusters and creating the infrastructure cluster and participatory governance cluster.”

EO 24 created the infrastructure cluster to focus on infrastructure development as a means of realizing the government’s 10-point economic agenda.

EO 86 adds the BCDA to the cluster.

“The mandate of the BCDA in the conversion of the Clark and Subic military reservations and their extensions into alternative productive uses, its vital infrastructure projects such as tollways, railways, airports, seaports, and new economic growth corridor, and its role in the Build, Build, Build program, warrant its inclusion as a member of the infrastructure cluster,” the EO reads.

The infrastructure cluster is chaired by the Secretary of Public Works and Highways. Other members of the cluster, apart from the BCDA president, are the Executive Secretary, Cabinet Secretary, and heads of the Presidential Management Staff, and representatives from the Departments of Interior and Local Government, Budget, Transportation, Finance, Information and Communications Technology, Trade and Industry, Agriculture, Health, Social Welfare and Development, Education and Tourism, as well as the National Economic and Development Authority. — Arjay L. Balinbin

DTI hopes to bring 70 MSMEs to China expo

THE Department of Trade and Industry (DTI) hopes to bring about 70 micro, small, and medium enterprises (MSMEs) to the China-ASEAN Expo (CAEXPO) 2019 to help them tap these regional markets.

In a statement Tuesday, DTI said under the Center for International Trade Expositions and Missions (CITEM), the companies will be featured in the four-day expo from Sept. 20 to 23. Their products will include home goods, fashion and wearables, gifts, handicrafts, personal care, and food, as well as the cultural tourism sector and various businesses classified as investment priorities.

“We are forming a Philippine delegation composed of exporting companies and representatives from the public and private sectors at CAEXPO to promote the best of the Philippines and streamline efforts to strengthen the country’s economic ties with China, ASEAN nations and other partner regions,” CITEM Executive Director Pauline Suaco-Juan said in the statement.

The delegation includes the participating companies, the Philippine Trade and Investment Center (PTIC) in Guangzhou, the DTI’s Export Marketing Bureau (EMB), the DTI Regional Operations Group (ROG), the Board of Investments (BoI), the Tourism Promotions Board (TPB), and local government units.

CAEXPO, started in 2004, is intended to lay the groundwork for a China-ASEAN Free Trade Area). In 2018, 2,700 exhibitors attended the expo, with 96,000 buyers and visitors from across the world.

The Philippines has been participating since 2004. — Vincent Mariel P. Galang

Online hiring rises 16% in June — Monster.com

ONLINE recruitment site said hiring online grew 16% year-on-year in June, with all industries experiencing growth.

In a statement Tuesday, Monster said according to its Monster Employment Index (MEI), “Online hiring in the Philippines witnessed positive growth of 16% year-on-year for the month of June 2019.”

Monster added that all the industries monitored by the MEI, “experienced positive growth for the month, surpassing the year-ago level across the board.”

Leading the 12 job sectors monitored by Monster was the consumer goods/FMCG sector, which had a year-on-year growth of 29% in June. Next strngest was growth in advertising hiring at 23%.

IT, telecom/ISP hiring also grew 23%; education 20%; healthcare 19%; BPO/ITES 15%; hospitality 14%; logistics, courier/freight/transportation, import/export and shipping sector 23%; retail 7%; and engineering, construction and real estate 6%.

Occupations that were in the most demand, MEI reported, were HR & admin (34%); finance & accounts (25%); marketing & communications (24%); and hospitality & travel (16%). — Gillian M. Cortez

BoI, IPOPHL to push commercialization of IP rights

THE BOARD of Investments (BoI) and the Intellectual Property Office of the Philippines (IPOPHL) have agreed to promote the commercial use of registered intellectual properties by linking these to investors.

The two agencies signed a memorandum of agreement (MoA) on July 23, 2019 for the project, which is also in line with the objective of the BoI to attract more innovation-driven investment.

BoI Managing Head Ceferino S. Rodolfo said his office has been setting record investment approvals over more than 50 years.

“While we continue to outperform ourselves in promoting investments, we still need to attract new investments that are considered ‘innovation drivers’ under the 2017-2019 Investments Priorities Plan (IPP),” he said.

Mr. Rodolfo, who is also Trade undersecretary, enumerated these drivers to include research and development (R&D) activities, conduct of clinical trials, the creation of so-called “Centers of Excellence,” innovation centers, business incubation hubs, fabrication laboratories, and co-working spaces, and the commercialization of new and emerging technologies and products of the Department of Science and Technology or government funded R&D.

Through the MoA, the agency will be part of IPOPHL’s Mind2Market Network, which will tap the existing programs of BoI, such as the One Window Network (OWN) and the Trade and Industry Development (TID) Talks, to create stronger linkages between creators/inventors and investors.

BoI said it had also agreed to create communication channels with IPOPHL “to ease technical consultations on matters related to innovation, including on new and emerging technologies that are registrable with the BoI.”

It said the move would also facilitate the resolution of issues that industry stakeholders might face in the registration, recognition and enforcement of intellectual property rights.

The agency quoted IPOPHL Director General Josephine R. Santiago as saying that the partnership “should excite all creators and innovators.”

“This period is the sunrise of our intellectual property, especially now that we have partnered with formidable agencies such as the BoI. I hope that with the national innovation law that was recently passed and the creation of the national innovation council, we hope to put and enhance value to the innovation agenda of the President,” she said.

BoI said the “patent landscape reports” being prepared by IPOPHL would help the investment promotion agency to identify gaps that require foreign investments to bring technologies into the country. — Victor V. Saulon

Enabling energy efficient systems in the Philippines

All eyes and ears were on President Rodrigo R. Duterte as he delivered his fourth State of the Nation Address (SONA) last Monday, July 22. The speech was noteworthy as it came halfway into his term.

While it was anticipated that the president would tackle illegal drugs, national security, and corruption, his comments regarding the utilization of energy sources, particularly in addressing “the need to ensure the sustainability and availability of resources and the development of alternative sources,” came as a welcome surprise. This policy direction shifts its gaze from our dependence on traditional energy sources and toward the development of renewable energy sources.

While this pronouncement garnered a positive response from energy industry players, particularly those in the renewable energy sector, consumers are still haunted by other things, such as the the ill-timed implementation of the TRAIN law coupled by spiking inflation rates in 2018.

The issue of power cuts across the economy. Increasing sources of energy and making power affordable and stable will result in lower prices of basic goods

STABLE STATUS QUO SO FAR
The Filipino consumer seems to be in a better position this year. Inflation in June slowed down to 2.7% year-on-year, the slowest rate of increase in prices of basic goods in 22 months. This is the lowest since the 2.6% rate in August 2017 and almost half the 5.2% posted a year ago in June 2018.

Furthermore, inflation this July is projected to ease to 2.3%, potentially lowering the prices of basic commodities. According to an economist, “domestic prices of basic goods and services are expected to have felt the benefits of a strong peso throughout the month, which made imported raw materials cheaper to buy.”

The reduction in the prices of electricity this month likewise lifted a burden on consumers as Meralco decreased its rates for a third consecutive month, attributable to lower charges of Independent Power Producers (IPPs) and stable charges of Power Supply Agreements (PSAs).

FREEPIK

The price cut translates to a decrease in the July bill of about P21 for a typical residential customer using 200 kWh in a month. Households consuming 200 kWh, 300 kWh and 400 kWh, should see reductions of P32, P43, and P53, respectively.

PUSHING FOR PRONOUNCED POLICIES AND SMARTER SOLUTIONS
Despite being granted temporary relief, Filipino consumers cannot afford to be complacent as they continue to clamor and push for more pronounced policies and smarter solutions affecting their day to day lives, such as the cost and efficient delivery of electricity.

One way to have an efficient and environmentally friendly energy system is the establishment and operation of smart grids in the Philippines. This new technology controls various aspects of electricity delivery from source to end user, by way of smart meters and sensors which easily detect electrical faults and/or defects in the line, thereby preventing power outages and reducing energy losses.

More importantly, the smart grid gives the consumers more control over their electricity bills through the real-time monitoring and access of information, helping them in using electricity in an efficient way as they see fit.

In Southeast Asia, leading countries in smart grid technologies are Singapore and Malaysia. Following these regional innovators, the Philippines, together with Vietnam, and Indonesia, are taking steps in the right direction.

It is commendable that the Department of Energy recognizes the ultimate advantage of smart grids in the electricity network in terms of preventing power outages, increasing the level of competition, and empowering consumers. Fostering its smooth transition, however, requires prompt implementation in order to reach its maximum advantage and potential. Hence, the issuance of the Circular concerning the Smart Grid roadmap and policy framework, scheduled this third quarter, should be fast tracked.

As we embrace new technologies, we become drivers of innovation and development. The establishment of smart grid technology would not only meet the demands of the Filipino consumers today but over the longer term.

 

Hannah Viola is a Fellow at the Stratbase ADR Institute.

A culture of corruption

It was with mixed feelings of admiration and disgust, hope and despair, shock and resignation that I listened to DZBB broadcaster Mike Enriquez interview Manila’s new mayor, Isko Moreno.

The topic was Moreno’s remarkable first few weeks in office during which he launched a massive and no-nonsense drive to rid the city of vendors who for years had literally occupied the streets of the Divisoria, Blumentritt, and Quiapo areas.

Without mentioning his predecessor, former mayor and former president Joseph Estrada, Moreno described the lawlessness that had prevailed in the city due to the vendors alone. Apparently abetted by city authorities, this had been going on for years to the tune of P5 million a day in kickbacks.

The vendors, having taken over the sidewalks and the streets, left hapless pedestrians with no choice but to walk long distances, the jeepneys plying the route being unable to drive through and deliver passengers to the original drop-off and pick-up points.

Upon assuming office, Moreno launched his clean-up campaign to the applause of city dwellers and the wordless chagrin of city racketeers. The irony is that the same racketeers and their collectors have had no choice but to implement the clean-up.

Now, the streets have been cleared of vendors. They have, on the other hand, been consigned to legitimate, city-sanctioned areas from which to do business.

According to Moreno, this initial effort is like affecting the proverbial tip of the iceberg. He must plod on and clean up the rest of Manila, a huge area that could keep him occupied for the rest of his term of office.

Clearing the streets of vendors, needless to say, is just one part of Moreno’s campaign to restore order in the country’s premier city. Everyone is supposed to know about the rackets in City Hall encouraged by the infernal processes that require infernal signatures and approvals, each signature requiring infernal grease money. If the bribes collected from the vendors amounted to P5 million a day, one can hardly imagine how much the City Hall kickbacks yield.

But what was truly shocking, as revealed in the interview, was the fact that the premises of Manila’s main administrative quarters had become a literal shithole, with feces scattered all over.

The inevitable question had to be asked: How long can Moreno sustain his mission? Will he — can he — persist?

Moreno’s response was as sincere as it was naïve. He said that he could not clean up and restore order in the city alone. He needs the help of city residents. According to him, when — and if — the vendors take over the streets again, it means that he has succumbed to temptation and has also been corrupted.

Moreno’s sincerity has the whole city applauding him, as well as residents of the rest of graft-ridden Metro Manila and nearby provinces.

They’ve even begun to talk about drafting Moreno for president — another case of the Peter Principal where an otherwise competent person is promoted to his level of incompetence,

What is tragic is that the same city residents who have been applauding Moreno’s efforts have been responsible for the city’ filth — in the same manner that the city authorities helping Moreno in his campaign to rid Manila of corruption are also the principal bribe-takers and extortionists.

One can only surmise that these racketeers are just biding their time. They are surely reassuring each other that Moreno is just another ningas cogon (a trait of enthusiastically starting something then quickly losing enthusiasm) or a one-day wonder who will inevitably grow weary of his Quixotic quest and finally give up and “join the fun.”

Meanwhile the rackets will continue but at a more discreet pace. Bribe-takers and bribe-givers are two sides of the same coin. People who want to jump the line will always find someone willing to facilitate this for a fee. Scofflaws who want to avoid traffic penalties will always find an accommodating cop willing to forego the ticket in exchange for a few hundred pesos. And those who want a promotion, bypassing others, will always find an influential go-between who can persuade a senior person to persuade an even more senior person to persuade the ultimate decision-maker to cooperate and sign off on the promotion.

The culture of corruption is as old as Adam and Eve.

Former Malacañang resident Imee Marcos once described the palace as a “snake pit.” She could have applied that description to the rest of society. There are snakes all over. And not just in government.

Media and my lifelong industry, Advertising, are snake pits as well. Indeed, where there are folks who wield the pen of approval over millions and billions in contracts, there will always be “entrepreneurs” who will pay thousands and millions to land those contracts. The commission or finders’ fee or facilitators’ fee is simply rolled into the total cost.

And, in the case of Media, where there people who can build up or ruin political and business careers with choice reportage or exposes, there will always be ambitious or notorious individuals willing to pay the price of promotion or discretion.

According to an acquaintance who is familiar with the dynamics of kickbacks, if you were in the shoes of the potential bribe-taker, you can only resist the temptation of hundreds or even thousands but will invariably succumb to the siren song of millions or billions.

A classic exchange between a well-meaning corporate person and his pragmatic friend went this way:

“You are not rich because you refuse to be bribed.”

“Yes, but at least I can sleep well.”

“Oh yeah? The bribe-takers also sleep well — in air-conditioned rooms.”

Back to the inevitable question: How long can Mayor Isko Moreno keep up the campaign to clean up Manila?

Hopefully, “Yor-Me” (as Moreno likes to be called) will persist and resist and insist on achieving what most public servants in the Philippines consider an “Impossible Dream” (the theme song of The Man of La Mancha).

What could happen, on the other hand, is that some crusading reformists will become so impressed by Moreno’s dedication and nobility that they will draft him for higher office — or even the presidency.

In such a case, we could see the Peter Principal at work — or shall we call it the Duterte Principle?

 

Greg B. Macabenta is an advertising and communications man shuttling between San Francisco and Manila and providing unique insights on issues from both perspectives.

gregmacabenta@hotmail.com

The POGO Problem: Harmonizing immigration, gaming, and gambling

It is highly illegal to gamble in China save for a few state-run lotteries. To avoid this prohibition, gambling companies operate offshore so that they may continue catering to Chinese nationals who play casino and e-games online. These companies took a sharp interest in expanding their businesses to the Philippines, which led to the rise of Philippine Offshore Gaming Operators (POGOs). A POGO is an entity which offers and participates in offshore gaming services by providing an online platform where players may gamble with others over the internet.

The emergence of these industries led to a surge of foreign nationals coming to the Philippines for work, and prompted concerns over their disadvantageous effect on the supposed priority given to Filipino workers. Seeking to streamline immigration procedures and impose tighter restrictions on this matter, the Bureau of Immigration (BI) issued BI Operations Order No. JHM-2019-008 on June 27. This outlines the implementing rules and regulations (IRR) on the issuance of Special and Provisional Work Permits to foreign nationals. The said IRR, which makes effective the joint guidelines of the Department of Labor and Employment, the Department of Justice, the Bureau of Internal Revenue, and the BI, aims to “clarify and harmonize existing rules and regulations” affecting foreign workers and “establish systems for the joint monitoring thereof.”

The guidelines ensure that work permits are issued only to foreign nationals whose jobs cannot be performed by a Filipino. Following the mandate of the Labor Code of the Philippines, local companies may engage alien workers only after a determination that there is no Filipino who is competent, able, and willing to perform the services for which the alien is desired.

By way of a background, a Special Work Permit (SWP) is a document that allows an alien to work in the Philippines while on a temporary visitor (9[a]) visa. The Provisional Work Permit (PWP), on the other hand, is a document that enables a foreign national to work in the country while his application for an Alien Employment Permit (AEP) or a work visa is pending. Both the SWP and PWP are valid for a period of three months, and extendible only once for the same period.

Under the new guidelines, the SWP will be available only to foreign nationals who are working outside of an employment arrangement with a Philippine company. These aliens include, among others, those who are working as consultants, specialists, or service suppliers who do not receive any remuneration from a Philippine source. Unlike the previous rules where there was no such distinction, foreign workers who are actually employed by Philippine companies will now have to secure an AEP and the appropriate work visa, regardless of the duration of their employment.

As foreign employees are now required to secure an AEP and the appropriate work visa which takes several months to complete, those who only have short-term contracts such as probationary employees may be faced with a situation where their visa applications have yet to be approved even though their contracts have already lapsed.

Moreover, it is noteworthy that the BI now requires SWP applicants to secure a personal Tax Identification Number (TIN) before an application is filed. While the TIN has always been a requirement for AEP, PWP, and work visa applications, the new guidelines guarantee that even short-term assignees and consultants will be paying their taxes properly for the income they have derived from sources within the Philippines.

Is there a light at the end of the tunnel? Only through an effective implementation of the IRR will the BI achieve its desired objectives, and we can only wait and see how these guidelines may impact the regulation of foreign workers in the country.

The views and opinions expressed in this article are those of the author. This article is for general informational and educational purposes and not offered as, nor does not constitute, legal advice or legal opinion.

 

Napoleon L. Gonzales III is an Associate of the Immigration Department of the Angara Abello Concepcion Regala & Cruz Law Offices (ACCRALAW).

nlgonzales@accralaw.com

(632) 830-8000

Pulling strings to get ahead

By Tony Samson

LET’S NOT call it influence peddling. The practice of using connections, or “pulling strings” to get ahead is a cultural thing. Of course, know-who cannot replace know-how, but what if they come together in a package? Or if only one of them is available, which one is more important?

The value of connections is leveraged when it comes to occupations like banking, law, and political lobbying. The more neutral term for employing connections to increase sales (of services or ideas) is “relationship marketing.”

In his 1987 novel (Bonfire of the Vanities) dealing with bond trading and the law, Tom Wolfe coined the term “favor bank.” This social system of granting and receiving benefits is much like depositing and withdrawing from a bank, using favors as the currency. You cannot withdraw when you have not deposited — asking for too many favors and not being able to grant any in return is considered a socially unacceptable behavior, relegating the perpetual favor seeker as a pest.

Where do connections come from? How are the strings established?

Nothing beats the kinship system. The idea of nepotism (or dynasty politics) is dismissed as envy by outsiders bringing it up — get your own powerful relatives or in-laws. The kinship ties go beyond the nuclear family. They may even include long-time family retainers and distant relatives who lodged with a family for free during their student days.

Social networks embrace ties formed by shared histories. These include connections made from school (Why are fraternities so popular, with students dying to join?), professional associations, overlapping careers, and even neighborhoods — we lived a block away from each other in the province. Geography is enhanced by a common dialect, especially when spoken fluently to ask for favors.

Political affiliations, which are constantly shifting, tend to be less binding. Establishing such connections are often met with cynicism borne out of opportunism. Politicians anyway are on their guard with name droppers and influence peddlers wielding imaginary clout. Strangers trying to seek favors and presenting themselves as somehow connected are only too common in the patronage culture. Anyway, petitioners need to know what names to avoid mentioning at all and who the current allies and opponents are before bragging of supposed intimacy with them — Oh, so you know my mortal enemy?

Shared histories are a powerful bond. Strangers thrown together by chance in a disaster (we were rescued together after the earthquake) will relive the life-changing experiences that established their emotional links.

The previously acknowledged connections arising from “ritual kinship” in religious milestone events like baptisms, weddings, and other rites of passage have weakened. Opportunism is seen to play too big a role in the selection of wedding sponsors and godparents from among the already powerful.

In our culture, the direct approach from strangers, even in a business setting, is seldom effective. Unsolicited requests, even fantastic proposals (also called “no brainers”) end up in the circular file. An intermediary with strings attached needs to get into the picture, if only to make introductions and establish bona fides.

Pulling strings to get ahead or even just open doors is a cultural habit. It is based on reciprocal expectations. Someone who granted you a favor, or extended help in times of dire need, is owed a debt of gratitude. In Filipino, this is called utang na loob. The fact that it is not easy to translate (literally, debt from inside) means that it has a uniquely cultural resonance.

The expression “pulling strings” as a way of jumping the queue or securing a benefit by unfairly leveraging some hidden influence, comes from the metaphor of a marionette whose movements are determined by the manipulation of a flexible object by unseen hands.

Once a favor is secured or the endorsement for a position is gained, the tables may turn. The erstwhile puller of strings to secure advantage now owes the other who helped him get ahead.

Especially in high-profile lobbying, as in a tight race for an elevated position, the intervention of an arbiter who selects the winner to whom a favor may have been owed in the past then shifts the power balance. The ower is now owed.

So, when the puppet’s mouth seems to be moving, it is the ventriloquist who provides the voice. It is not hard to distinguish the puppet from the puppeteer, and which one is now pulling the strings.

 

Tony Samson is Chairman and CEO, TOUCH xda.

ar.samson@yahoo.com

Boris, Trump, Merkel and Putin: Walking clichés have taken power

By Leonid Bershidsky

ONE OF the most striking things about Boris Johnson, who became UK prime minister last week, is how precisely he fits the stereotype of the eccentric upper-class Brit. With his elevation, Britain joins several other major nations led by people who embody their national stereotypes, and not the best of them at that; it could be argued, however, that it’s leaders defying such clichés who take their countries forward.

In a paean to Johnson published on Quillette, his onetime Oxford schoolmate Toby Young recalled meeting the future prime minister: “It was as if I’d finally encountered the ‘real’ Oxford, the Platonic ideal. While the rest of us were works-in-progress, vainly trying on different personae, Boris was the finished article. He was an instantly recognizable character from the comic tradition in English letters: a pantomime toff.”

In other words, the likable decadent straight out of Evelyn Waugh and P.G. Wodehouse. But Johnson is also instantly recognizable to those who, unlike Young, despise the stereotypical toff, coming off as arrogant, airheaded, and unreliable.

In a similar way, Donald Trump fits an American, even a specifically New York stereotype: “the brash, vulgar-yet-successful businessman that so many imagine they might someday become,” as Anne Applebaum put it in a Washington Post column.

Obviously, there’s a flip side to that stereotype, too. I once asked Milton Glaser, the designer of the “I (heart) NY” logo, if he considered Trump a New York symbol. “His is a certain kind of personality that thrives in New York, which is narcissistic and self-absorbed, very aggressive, determined to exploit every opportunity, take advantage of every situation, and profoundly uninterested in other people,” replied Glaser, who once designed a vodka bottle for Trump. “Everybody is there to be taken, at their expense and to his benefit.”

Then there’s Vladimir Putin, who at times appears consciously to play to the cliché of the close-fisted, calculating KGB man — and at other times to the Russian macho mythology, fishing and riding horses naked to the waist, romping with his dog in the snow. Both these stereotypes have their negative sides, too: The KGB man is a habitual liar and double-crosser, the macho a thug who only understands superior force.

Angela Merkel, for her part, is the epitome of German moderation, caution, and precision. (The flip side? Humorlessness, lack of charisma, an aversion to leading.)

Significant numbers of Britons, Americans, Russians, and Germans (this is not a complete list, of course) appear to buy the stereotypes whole, with the positives and the negatives. It’s as if they’re comfortable with a cartoon image of their supposed national character at the top. The mechanism behind this is perhaps the same one that makes us instinctively trust a pizzeria where waiters speak with an Italian accent. Who better to defend the national interest than a typical [fill in the nationality blank]?

The opposite may be true, though. It’s worth recalling the same countries’ most recent transformative leaders; they didn’t fit any national stereotype at all.

Tony Blair has few fans in today’s UK, but he did bring the country into the 21st century, establishing it as a creative hub and — after two decades of fustiness — a fashionable place again. He also contributed significantly to making the UK a country of immigration, a country that, for a while, wasn’t institutionally hostile to foreigners. Regardless of what has followed, this was nevertheless a lasting change. The man who brought it about was a surprising character for the UK’s top echelons of power, a middle-class upstart and former rebellious youth who didn’t really fit any of the traditional political, social, or behavioral molds, who at times looked like an American import and who may have permanently broken Labor, the party that brought him to power, by abandoning its leftist roots.

Barack Obama, Trump’s predecessor, pulled the US out of the global financial crisis and its international image out of the tailspin caused by George W. Bush’s military adventures and backsliding on civil liberties. His eight scandal-free years at the White House and the way he treated people when he was president will keep many in the US pining for him for a long time to come. And yet he doesn’t fit any kind of US stereotype; black, wonkish, born and raised in Hawaii outside of any church, he was a rare bird throughout his career.

Mikhail Gorbachev, the man who did the impossible: Liberalizing Russia after 70 years of communism, then reluctantly overseeing the collapse of the Soviet empire. The transformation he brought about remains momentous, despite Putin’s efforts to revive the past. He, too, was a stereotype-defying figure. His obvious lack of interest in the oppressive kind of power, his easy gregariousness, his dyslexic torrents of unscripted speech, and his highly untypical worship of his intellectual wife made him a maverick in the eyes of the Russian elite and the Russian public alike. Many fail to understand to this day how he managed to get to the top and stay there for more than six years.

And in Germany, while some might argue that Merkel’s long rule has been transformative enough, it doesn’t rise to the high bar set by her mentor, Helmut Kohl, who unified the country 45 years after the last world war split it in two; he was also one of the masterminds behind the modern European Union. Margaret Thatcher famously, and unflatteringly, called him “so German” after he pulled one of his classic jokes on her, trying to feed her pig’s stomach. But Kohl didn’t quite fit many of the national stereotypes, especially those that apply to the country’s meritocratic elite. A known glutton with an ever-growing belly, he often irritated his intense, perfectionist fellow citizens; the first in his family to go to university, he was also known for a dislike of careful preparation — a German who rarely did his homework.

Great leadership, of course, doesn’t lend itself to clear rules and patterns. Somehow I doubt, though, that in these precarious times conforming to national stereotypes is the right answer to very unusual challenges. Only a truly unusual leader could pull the UK out of its Brexit nosedive, the US out of its exceptionalism trap, Russia out of its slide into irrelevance, and Germany out of its provincial complacency. As it is, we have to make do with the clichés.

 

BLOOMBERG OPINION