NAIROBI: Last week a man walked into a Nairobi car yard and paid for a luxury Mercedes with a mountain of 1,000-shilling ($10) banknotes, desperate to offload cash that within days would be worthless.
With a deadline looming before the Central Bank of Kenya bans all old edition 1,000-shilling notes, big fish with their fortunes stashed in cash are under pressure to find ways to jettison their money.
A new print of the 1,000-shilling banknote, the largest denomination, was rolled out in June, with Kenyans given to September 30 to exchange their old bills at the bank or be stuck with bundles of useless cash.
The operation is aimed at flushing out dirty money being hoarded by tax evaders, crooked businessmen and criminal groups.
Large deposits of the old notes, embossed with the image of Kenya’s founding father Jomo Kenyatta, raise alarm bells at banks and require paperwork to prove their origin.
The central bank in June said there were roughly 218 million 1,000-shilling notes in circulation, but declined to say what proportion was being stashed as black money.
Kenyan economist Aly-Khan Satchu said devaluing these bills works by “taking its owners by surprise.”
“Four months is a short period of time when you want to launder big sums of money,” he said.
“People who have that money will definitely try to save what they can.”
So, people are getting creative, devising schemes to quickly unload small amounts of their cash while avoiding detection by the authorities.
John, a car dealer in Nairobi, recalled his customer last week counting out thousands upon thousands of banknotes to purchase a luxury car worth $74,000.
“People want to get rid of their old notes, but they know very well that questions will be asked if they go put the money themselves in the bank,” said John, who declined to offer his real name due to the nature of his business.
“When I go to the bank to deposit money from a car sale, people ask for the papers from the sale, sometimes even copies of emails, but it never goes further.”
Other businesses are finding a lucrative side trade in washing 1,000-shilling notes through their tills — for a bit in return.
“I was approached by a friend through another friend and we struck a deal. I get around 500,000 shillings every day to bank together with my daily sales,” said a liquor shop owner who declined to be named in Hurlingham, a district near downtown Nairobi.
“In return I get between five and 10 percent, depending on the amount.”
The amounts being deposited are below one million shillings, the threshold at which banks required detailed paperwork under a new transparency policy imposed by the central bank in June 2018.
One canny businessman in western Kenya dished out his cash in the form of small, interest-free loans of around 50,000 shillings.
The amounts are low, so those exchanging the old bills avoid detection, and upon returning the debt his money is cleaned into new bills.
“Nothing is written down, it is a gentleman’s agreement,” he said, declining to be named.
Other methods involve sinking cash into real estate or investment funds, or businesses moving large volumes of money, several businesspeople said.
But it’s not all underhanded and hush-hush.
One bar in the coastal city of Mombasa is offering to swap banknotes on behalf of drinkers, encouraging punters to spend big at their “Old Notes Send Off Party” being held the eve of demonetization.
Kenyans rush to swap banknotes as cash ban looms
Kenyans rush to swap banknotes as cash ban looms
- People with their fortunes stashed in cash are under pressure to find ways to jettison their money
- ‘Four months is a short period of time when you want to launder big sums of money’
Strong earthquake strikes in China’s Tibet region near border with Nepal
- The CCTV online report said there were a handful of communities within 5 kilometers (3 miles) of the epicenter, which was 380 kilometers (240 miles) from Lhasa, the capital of Tibet
- A 7.8 magnitude earthquake killed some 9,000 people and damaged about 1 million structures in Nepal in 2015
BEIJING: A strong earthquake shook a mountainous region in western China near Nepal on Tuesday morning, but there were no immediate reports of damage or casualties.
The magnitude 7.1 earthquake was centered in China’s Tibet region at a depth of about 10 kilometers (6 miles), the US Geological Survey said.
China’s earthquake monitoring agency recorded the magnitude as 6.8. The average altitude in the area around the epicenter is about 4,200 meters (13,800 feet), according to Chinese state broadcaster CCTV.
The CCTV online report said there were a handful of communities within 5 kilometers (3 miles) of the epicenter, which was 380 kilometers (240 miles) from Lhasa, the capital of Tibet.
In Nepal, the earthquake sent residents running out of their homes in the capital, Katmandu. Streets were filled with people woken up by the tremor.
A 7.8 magnitude earthquake killed some 9,000 people and damaged about 1 million structures in Nepal in 2015.
US records first human bird flu death: health authorities
- The patient, aged over 65, had been hospitalized for a respiratory ailment, and was the first serious case of human infection of the H5N1 virus to be detected in the United States
WASHINGTON: The first human death linked to bird flu has been reported in the United States, health authorities in the state of Louisiana said Monday, adding that the patient was elderly and suffered from other pathologies.
The patient, aged over 65, had been hospitalized for a respiratory ailment, and was the first serious case of human infection of the H5N1 virus to be detected in the United States. Despite this death, the public health risk posed by bird flu remains “low,” the statement said.
Biden visits makeshift memorial in New Orleans where attack began that killed 14 and injured 30
NEW ORLEANS: President Joe Biden on Monday visited a makeshift memorial at the site of the deadly New Year’s attack in New Orleans, holding a moment of silence before meeting with grieving families and attending a prayer service.
Biden and first lady Jill Biden made their first stop in the city Monday evening at a memorial that sprung up on city’s famous Bourbon Street, where the attack began last week when an Army veteran drove a truck into revelers, killing 14 and injuring 30 more.
Flowers and messages had been left at the base of more than 14 crosses erected on the sidewalk in the French Quarter. After Jill Biden placed white flowers at the memorial, she and the president stood in silence and bowed their heads.
Joe Biden crossed himself, and the the couple headed to the historic St. Louis Cathedral nearby, where the president and first lady met privately with the families of those killed, survivors and local law enforcement. Afterward, they were expected to attend an interfaith prayer service.
The visit is likely to be the last time Biden travels to the scene of a horrific crime as president to console families of victims. He has less than two weeks left in office.
“I think what you’re going to see this president do today is show up for the community, be there for the community in the hardest time,” White House press secretary Karine Jean-Pierre told reporters aboard Air Force One on the way to Louisiana.
She went on, speaking about Biden’s own understanding of loss, and said, “He believes this is also an important part of the job that he believes he needs to do as president.”
It’s a grim task that presidents perform, though not every leader has embraced the role with such intimacy as the 82-year-old Biden, who has experienced a lot of personal tragedy in his own life. His first wife and baby daughter died in a car accident in the early 1970s, and his eldest son, Beau, died of cancer in 2015.
“I’ve been there. There’s nothing you can really say to somebody that’s just had such a tragic loss,” Biden told reporters Sunday in a preview of his visit. “My message is going to be personal if I get to get them alone.”
Biden often takes the opportunity at such bleak occasions to speak behind closed doors with the families, offer up his personal phone number in case people want to talk later on and talk about grief in stark, personal terms.
In addition to the meeting with families, Biden hoped to visit with first responders in New Orleans, according to Jean-Pierre.
The Democratic president will continue on to California following his stop in New Orleans. With a snowstorm hitting the Washington region on Monday, Biden’s trip began with Air Force One starting its takeoff from inside a large hangar instead of on the tarmac as thick snow covered the ground at Joint Base Andrews and snowplows worked to clear the runway.
In New Orleans on Jan. 1, the driver plowed into a crowd on Bourbon Street. Fourteen revelers were killed along with the driver. Shamsud-Din Jabbar, who steered his speeding truck around a barricade and plowed into the crowd, later was fatally shot in a firefight with police.
Jabbar, an American citizen from Texas, had posted five videos on his Facebook account in the hours before the attack in which he proclaimed his support for the Islamic State militant group and previewed the violence that he would soon unleash in the French Quarter.
Biden on Sunday pushed back against conspiracy theories surrounding the attack, and he urged New Orleans residents to ignore them.
“I spent literally 17, 18 hours with the intelligence community from the time this happened to establish exactly what happened, to establish beyond any reasonable doubt that New Orleans was the act of a single man who acted alone,” he said. “All this talk about conspiracies with other people, there’s not evidence of that — zero.”
The youngest victim was 18 years old, and the oldest was 63. Most victims were in their 20s. They came from Alabama, Louisiana, Mississippi, New York, New Jersey and Great Britain.
Louisiana Sen. Bill Cassidy, a Republican, was asked on “Fox News Sunday” what the city was hoping for from Biden’s visit.
“How can we not feel for both the families of those who die but also those who’ve been injured in their families?” he asked.
“The best thing that the city, the state, and the federal government can do is do their best to make sure that this does not happen again. And what we can do as a people is to make sure that we don’t live our lives in fear or in terror — but live our lives bravely and with liberty, and then support those families however they need support.”
Jean-Pierre said Monday that Biden was directing additional resources to help New Orleans with major upcoming events, including Mardi Gras and the Super Bowl, with both events being assigned the highest level of federal support for security measures.
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Associated Press writers Fatima Hussein in Washington and Michelle L. Price in New York contributed to this report.
UK leader Starmer slams ‘lies and misinformation’ after attacks from Elon Musk
- Tesla CEO has taken an intense and erratic interest in British politics since the center-left Labour Party was elected in July
- Musk has accused Starmer of failing to bring perpetrators to justice when he was England’s director of public prosecutions between 2008 and 2013
LONDON: British Prime Minister Keir Starmer on Monday condemned “lies and misinformation” that he said are undermining UK democracy, in response to a barrage of attacks on his government from Elon Musk.
The billionaire Tesla CEO has taken an intense and erratic interest in British politics since the center-left Labour Party was elected in July. Musk has used his social network, X, to call for a new election and demand Starmer be imprisoned. On Monday he posted an online poll for his 210 million followers on the proposition: “America should liberate the people of Britain from their tyrannical government.”
Asked about Musk’s comments during a question session at a hospital near London, Starmer criticized “those that are spreading lies and misinformation as far and as wide as possible,” particularly opposition Conservative politicians in Britain who have echoed some of Musk’s claims.
Musk often posts on X about the UK, retweeting criticism of Starmer and the hashtag TwoTierKeir -– shorthand for an unsubstantiated claim that Britain has “two-tier policing” with far-right protesters treated more harshly than pro-Palestinian or Black Lives Matter demonstrators. During summer anti-immigrant violence across the UK he tweeted that “civil war is inevitable.”
Recently Musk has focused on child sexual abuse, particularly a series of cases that rocked northern England towns in which groups of men, largely from Pakistani backgrounds, were tried for grooming and abusing dozens of girls. The cases have been used by far-right activists to link child abuse to immigration, and to accuse politicians of covering up the “grooming gangs” out of a fear of appearing racist.
Musk has posted a demand for a new public inquiry into the cases. A huge, seven-year inquiry was held under the previous Conservative government, though many of the 20 recommendations it made in 2022 — including compensation for abuse victims — have yet to be implemented. Starmer’s government said it would act on them as quickly as possible.
Musk also has accused Starmer of failing to bring perpetrators to justice when he was England’s director of public prosecutions between 2008 and 2013.
Starmer defended his record as chief prosecutor, saying he had reopened closed cases and “changed the whole prosecution approach” to child sexual exploitation.
He also condemned language used by Musk about Jess Phillips, a government minister responsible for combating violence against women and girls. Musk called Phillips a “rape genocide apologist” and said she deserved to be in prison.
“When the poison of the far-right leads to serious threats to Jess Phillips and others, then in my book, a line has been crossed,” Starmer said. “I enjoy the cut and thrust of politics, the robust debate that we must have, but that’s got to be based on facts and truth, not on lies.”
Musk has also called for the release of Stephen Yaxley-Lennon, a far-right activist who goes by the name Tommy Robinson and is serving a prison sentence for contempt of court.
Starmer said people “cheerleading Tommy Robinson … are trying to get some vicarious thrill from street violence that people like Tommy Robinson promote.”
Starmer largely avoided mentioning Musk by name in his responses, likely wary of giving him more of a spotlight — or of angering Musk ally Donald Trump, who is due to be inaugurated as US president on Jan. 20.
Musk’s incendiary interventions are a growing worry for governments elsewhere in Europe, too. German Chancellor Olaf Scholz, another target of the X owner’s ire, said he is staying “cool” over critical personal comments made by Musk, but finds it worrying that the US billionaire makes the effort to get involved in Germany’s election by endorsing the far-right Alternative for Germany (AfD) party.
Starmer said the main issue was not Musk’s posts on X, but “what are politicians here doing to stand up for our democracy?”
He said he was concerned about Conservative politicians in Britain “so desperate for attention they are amplifying what the far right are saying.”
“Once we lose the anchor that truth matters … then we are on a very slippery slope,” he said.
While some Conservatives, including party leader Kemi Badenoch, have echoed Musk’s points, the main UK beneficiary of his interest has been Reform UK, the hard-right party led by Nigel Farage that has just five seats in the 650-seat House of Commons but big expansion plans. Farage said last month that Musk was considering making a multimillion-dollar donation to the party.
But Farage is critical of Tommy Robinson, refusing to let him join Reform, and on Sunday Musk posted: “The Reform Party needs a new leader. Farage doesn’t have what it takes.”
Farage tweeted in response: “Well, this is a surprise! Elon is a remarkable individual but on this I am afraid I disagree.”
Emergency demonstration outside UK Parliament calls for action to protect Palestinian health workers
Emergency demonstration outside UK Parliament calls for action to protect Palestinian health workers
- Event in wake of reports of intensified assaults on Gaza’s healthcare system
LONDON: An emergency demonstration organized by the Palestine Solidarity Campaign and its partners took place opposite the UK Parliament buildings in London on Monday.
Thousands attended the rally, demanding immediate action from MPs to safeguard Gaza’s health workers and medical infrastructure amid escalating attacks by Israel, according to organizers.
Prominent speakers expected at the rally included MPs Jeremy Corbyn and John McDonnell, alongside healthcare professionals and civil society representatives.
The demonstration followed recent reports of intensified assaults on Gaza’s healthcare system.
Kamal Adwan Hospital, including its neonatal unit, was recently destroyed in northern Gaza, and the Indonesian Hospital is under siege amid a forced evacuation.
Palestinian healthcare workers have been allegedly targeted, with scores killed and hundreds detained — including Dr. Hussam Abu Safiya, the director of Kamal Adwan — amid accusations of inhumane treatment and the torture of detainees.
The International Court of Justice has identified Israel’s actions as a plausible case of genocide.
Under international humanitarian law, hospitals are especially protected, and attacks on healthcare facilities may constitute war crimes, with activists critical of the UK government for continuing to supply arms and extend political, diplomatic, and economic support to Israel.
Ben Jamal, director of the PSC, has condemned the British government’s stance.
He said: “Israel has been given impunity by the UK government to commit war crime after war crime over the last 15 months. We hoped this barbarity and the government’s support for it had a limit, a red line which could not be crossed, but we have not seen it yet.
“To attack and destroy hospitals, to target and kill medical staff and patients within them, has no possible justification and is completely unacceptable.
“These are crimes for which Israel will have to answer in world courts, but the UK government must also face its own reckoning for shamefully aiding and abetting Israel’s carnage.”
