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FACTUAL SUMMARY OF THE LEBANESE SITUATION

INTRODUCTION
A - THE ECONOMY, A DISASTER
B - WHO CURRENTLY OWNS THE ASSETS OF THE MAJORITY OF THE LEBANESE COMPANIES
C - THE FIRST LANDLORD IN LEBANON
D - THE INTERNAL POLITICAL SITUATION
E - SYRIAN INTELLIGENCE AND THE INFILTRATION OF THE STATE INSTITUTIONS: THE JUDICIAL, THE LEBANESE ARMY, THE LEBANESE SECURITY NETWORKS…
F - THE SYRIAN REGIME DECIDES TO PARTICIPATE IN THE ELECTION OF THE NEXT MARONITE PATRIARCH
G - THE MINI STATES WITHIN THE SO CALLED LEBANESE STATE: HEZBOLLAH, THE PALESTINIAN CAMPS…
H - LEBANON AND THE REGIONAL SITUATION
I - TESTIMONY: HOW HAFEZ ASSAD NOMIMATED ELIAS HRAOUI AND EMILE LAHOUD

INTRODUCTION
This report has one definite objective: To present the real image of the catastrophic and dangerous situation prevailing in Lebanon at all levels, to allow the WLCU through its world meeting in Miami to adopt the right resolutions and to build the right tools to implement these resolutions.
A whole book would have been needed for this subject to be properly and entirely addressed, but for practical reasons we decided to limit our descriptions to few main points and facts.

A - THE ECONOMY, A DISASTER
In 1998 the UNDP (United Nations Development Program) published a report evaluating the amount of destruction of the so called hot war in Lebanon that took place between 1975 and 1990 for 25 to 30 billion dollars. Between 1992 and 2002, the Hariri governments raised the national debt of the country from 1.8 billion dollars to an average of 35 billion dollars. The destruction perpetrated by the chaotic behavior of Mr. Rafic Hariri and his teams was far greater than the destruction that resulted from 15 years of military war. Rafic Hariri used the following means:
Development and reconstruction of Lebanon as claimed by Mr Hariri meant only that a construction company like the one he owns in Saudi Arabia and Lebanon should build roads and bridges. These construction projects were meant to rebuild the country’s infrastructure. No real effort was made to boost the national economy neither in the industrial and agricultural fields, nor in the trading and services sectors.
Mr. Hariri did business in Lebanon the same way he did business in Arab counties. Main construction projects were granted to companies totally or partially owned by Hariri or to companies that paid him commissions. Projects were granted through mutual side agreements instead of going through an official and legal tendering process. Some of these projects were given to influential politicians in order to gain their support or their compliance with the whole Hariri political and economical conduct.
An important part of the investment went to Beirut’s downtown infrastructure projects and surrounding areas. The downtown area is mainly owned by Mr. Hariri through the Solidere project.
Financing these construction projects came at the expense of increasing the internal and external debts. Internal financing was raised through treasury bonds issued by the Central Bank at exaggerated interest rates that started in 1993 with a level reaching 45 percent. People in Lebanon preferred to invest in Treasury bonds instead of investing in productive economical sectors.
The Hariri teams never put together any programs or means to pay off these internal and external debts. A big part of the present national debt is due to the cumulative costs of servicing these debts for the past ten years.
Public money was heavily used to artificially maintain the value of the Lebanese pound in relation to the American dollar.
Dilapidation and looting of public money became well known characteristics of most of Hariri’s governing teams. Scandals were reported in the media and the judicial system attempted to deal with many such cases, but was impeded by the intervention of the political and intelligence networks.
Huge amounts of unneeded employees (loyal to well known politicians) were hired for different public administrations. Massive amounts of money for indemnity were granted to a particular group of displaced people loyal to particular political or religious parties. Money was given to the displaced people of Wadi Abou Jmil called Gold Wadi, a costly operation that benefited members of the Chiia community, most of them loyal to Hezbollah. Wadi Abou Jmil is part of Hariri’s Solidere project.

B - WHO CURRENTLY OWNS THE ASSETS OF THE MAJORITY OF THE LEBANESE COMPANIES
Due to this catastrophic economical and political situation, the country is being pauperized. Sixty per cent of the Lebanese people are living under the poverty level. Most of the companies and businessmen have accumulated huge debts and have their main assets mortgaged to the banks. Who is behind these banks? Is there any financial Mafia trying to monopolize the Lebanese economy?
The governing team is acting in Lebanon as if the economical and social situations were very normal. Law is applied normally and banks are taking advantage of the situation by recuperating all mortgages to their own benefit. Companies and businessmen are loosing while banks are accumulating wealth.

C - THE FIRST LANDLORD IN LEBANON
A client went in November 1999 to a bank director asking for his help in selling a piece of land, the answer of the banker was: I have 2000 two thousand pieces of land for sale. That was in 1999, what would the present situation be?
A village in the Kesrouan area is said to have 37 percent of its land mortgaged to the banks. These banks have to sell these lands in a period of two years after the bankruptcy of their original owners and a gang of buyers is orchestrating a way to lower the prices before buying these prizes pieces of real estate. Such a situation could not go on indefinitely.
The banks and the people behind them are becoming the first landlord in Lebanon, far in front of Mr. Hariri who is using his political position to acquire State owned property. 

D - THE INTERNAL POLITICAL SITUATION
All the main political positions in the Lebanese government are filled by people nominated by the Syrian regime.
The late Hariri governing team resigned on the 15th of April. On the 16th of April, the headlines of an-Nahar stated that the new governing team was born in Damascus and that the names will be announced in three days. The majority of parliament members are indirectly named by the Syrian authorities who intervene in setting up the electoral lists as well as the declaration of the winners.
Lebanon is occupied by 30.000 Syrian soldiers as well as a huge intelligence network infiltrating all the Lebanese public sectors. All important decisions are made in Damascus.

E - SYRIAN INTELLIGENCE AND THE INFILTRATION OF THE STATE INSTITUTIONS: THE JUDICIAL, THE LEBANESE ARMY, THE LEBANESE SECURITY NETWORKS…
The Syrian operating machine is still headed by the Syrian general Ghazi Kanaan despite his nomination in the beginning of 2003 to a higher security position in Damascus. In order to operate efficiently inside the Lebanese institutions, Ghazi Kanaan relies on two men: General Jamil es Sayed presently head of the General Security, and attorney general Adnan Addoum to manipulate the Justice system. Ghazi Kanaan is playing the roles of Egyptian ambassador Abdel Hamid Ghaleb and Syrian security man Abdel Hamid al Sarraj in the Lebanese events of 1958.
Syria exploits the confessional differences of the Lebanese people to justify its occupation of the country through the fabrication of confessional groups with the purpose of undermining the Lebanese opposition. The latter, predominantly Christian, is demanding the immediate withdrawal of the Syrian army and its intelligence networks from Lebanon.
Syria is responsible for many crimes and assassinations. The explosion of Notre Dame de la Délivrande in February 1994 was orchestrated to frame a Lebanese Christian leader and incarcerate him. The investigations in the assassination of Engineer Ramzi Irani in May 2002 was stopped because the Syrian intelligence networks are thought to be involved in it. Arbitrary arrests and kidnapping of citizens is a common behavior under the present pro Syrian regime and intelligence networks. While the assassins of four judges and a horde of other criminals find a sanctuary in lawless Palestinian camps, peaceful demonstrators are violently oppressed, imprisoned and jailed as is the case on the 7th of August 2001.
Ghazi Kanaan is a partner in many Lebanese companies. He is paid for using his own power and position to facilitate some legal and illegal business and financial operations. Syrian authorities are forbidding new industries to be established in Lebanon. They discourage investors from investing in Lebanon and promote Syria instead. The sons of high ranking Syrian politicians are partners in the mobile telephone companies hidden under well known Lebanese names.

F - THE SYRIAN REGIME DECIDES TO PARTICIPATE IN THE ELECTION OF THE NEXT MARONITE PATRIARCH
Taking into consideration that the main opponents to the Syrian occupation of Lebanon comes from the Christian community and especially from the Maronite Church, the Syrian regime decided after the 20th of September 2000 declaration of the Maronite Episcopal Assembly to pass to confrontation. General Ghazi Kanaan gave General Jamil es-Sayed the order to build personal files on each Maronite Bishop in order to blackmail them and to allow the Syrian regime to indirectly participate in the nomination of the Maronite Patriarch. May God grant His Eminence Cardinal Sfeir a long life for the sake and benefit of all the Lebanese people. 

G – THE MINI STATES WITHIN THE SO CALLED LEBANESE STATE: HEZBOLLAH, THE PALESTINIAN CAMPS…
1- The Mini State of Hezbollah:
Aiming to build an Iranian type Islamic State, the Hezbollah has already implemented a partition of Lebanon.
On the 30th of January 1986 a convention took place in Teheran regrouping Iranian and Lebanese religious men at the North of the city near the residence of Imam Khomeyni. Together they set up the “Islamic Constitution for Lebanon”. The text was inspired by the Iranian Constitution and undersigned by 63 Islamic religious figures. The introduction of the text announced: “ Moslems constitute the majority of the Lebanese people, so the rise of an Islamic state would be for the benefit of all Lebanese”. (Quoted by : Gilles Ménage, L’oeil du pouvoir, Fayard Edition, p. 528)
Having started his public activities in the eighties, the Hezbollah was behind the suicide bombing of the American Marines barracks as well as the French Para Drakkar barracks. The Hezbollah then turned its attention to the Israeli occupation when it launched a Liberation fight under Islamist slogans and titles. This Liberation war is considered as a step towards the implementation of an Isalmist state.
Hezbollah was responsible, with other Islamists extremists, for the kidnapping of foreign nationals during the eighties. The groups behavior at all levels helped the vicious ambitions and politics of late Hafez Assad who became the savior of the hostages while covering if not encouraging their kidnapping by various Islamists groups. Hafez Assad and his regime played the role of the military bridge between Iran and the Hezbollah. The late Syrian ruler used this intermediary position to impose his authority on all military decisions of the extremist Shiia organization.
The Islamist mini-State is already under construction. Hezbollah in Lebanon is an independent mini State on the Lebanese territory. It enjoys a freedom of decision when it comes to conducting military operations, despite a forced coordination with the Syrian regime. Beside it’s “Defense Ministry”, the Hezbollah has it’s own “Ministry of Finance” since it receives monthly transfers from Teheran in the range of 20 million American dollars.
The Hezbollah “Information Ministry” owns its own Radio and satellite TV channel, al-Manar.
The “Ministry of Education” runs a number of schools where the Hezbollah Islamist ideology is taught. The Iranian language is also taught in a number of these schools.
The “Ministry of Health and Social welfare” owns and manages its own hospitals and dispensaries.
The Lebanese area managed by this mini-State is mainly located in the South of Lebanon, an area off limits for the Lebanese army. Baalbeck is the second area, but in this part of the Bekaa, Hezbollah’s authority is shared with the Syrian occupation forces.
Regarding Hezbollah’s deputies, they limit their discussions to subjects involving their own min-state concerns. They refuse to share power and to enter the governing teams. They behave exactly like ambassadors of their mini-state to the Syrian occupied Lebanese State.

2- The Palestinian camps.
It is obvious to all Lebanese and foreign observers that the Palestinian camps in Lebanon have the status of an independent mini-State serving as a haven for all types of Islamist extremist organizations (Osbat el-Ansar, Osbat el-Nour…). Criminals, mentioned above, find refuge in these camps. Wars are declared from time to time among competing organizations as well as among various Palestinian factions.  

H LEBANON AND THE REGIONAL SITUATION
Despite the recent tensions between the American Administration and the Syrian regime, the situation has not mature enough yet to expect a drastic change in Syria.
A diabolic equation set up by late Hafez Assad allowed him the control of the American foreign policy towards his country. The bloody fights against Sunni Moslems in Syria (mainly in Hama and Palmyra) launched by the Alawite (non Muslim) governing team will lead back to an internal fight and civil war between the two communities whenever the Syrian Alawite regime weakens or collapses. This situation results from the wrong political behavior of the State Department who, despite officially classifying Assad’s regime as terrorist, backed him up discreetly and efficiently at all levels since the big mutual understanding between Henry Kissinger and his friend Hafez Assad in May 1974.
Fearing the mess that could follow the collapse of the regime (internal Syrian civil war, appearance of Sunni Islamists groups such as Moslem Brotherhood organization, freedom of behavior of Palestinian militias in Palestinian camps in Syria as well as in Lebanon, freedom of action to Hezbollah in Lebanon…) the American State Department as well as the Israeli government found no interest in that eventual chaos. Such a chaos would overflow to the Israeli-Palestinian problem crossing the common Lebanese and Golan borders.
In that respect, all withdrawal of the Syrian occupying troops from Lebanon is capable of weakening the alawite regime and could provoke its collapse. Lebanon and the Lebanese people are paying through their own freedom the American and Israeli decision to back up, until further notice, the consolidation of the dictatorship governing Syria and Lebanon.

I TESTIMONY : HOW HAFEZ ASSAD NOMIMATED ELIAS HRAOUI AND EMILE LAHOUD
In his book published in 2002 by Dar an-Nahar (editors) and written by Mr. Camille Menassa, Elias Hraoui tells the whole story :
Nomination of Elias Hraoui by Hafez Assad. Quote :
“… We heard at that time that the Syrian leaders asked (Jean) Obeid whether he was ready, in case he is elected president, to take the immediate decision to send the Syrian army all over the different Lebanese regions, Kesrouan and Jbeil included. He asked for some time to think it over. He was immediately removed from the list…
…after that, (Hussein Husseini) went to meet with president Assad to whom he proposed the name of Pierre Helou (deputy). President (Assad) sharply asked “another one”. (Husseini) named another one, then Assad said : “ Go, gather the deputies and elect Elias Hraoui”. (page 114)

Nomination of Emile Lahoud, quote :
“…I (Hraoui) left Damascus in the evening coming back to Beirut after agreeing (with Hafez Assad) on the choice of general (Emile) Lahoud as President.
… reaching the area of Dahr el-Wahch, I called the commander in chief of the army (general Lahoud) from my car phone and told him : congratulations, I want to greet you with the good news before anybody else, we are going to modify the Constitution and you are the candidate for the presidency.” (pp. 604-605)

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