An excellent article on Counterpunch by Montreal activist and author Yves Engler.
Enabling Crimes Against Palestinians
How Canada Subsidizes Illegal Israeli Settlements
By Yves Engler
Canada’s tax system currently subsidizes Israeli settlements that Ottawa deems illegal. However, the Conservative government says there’s nothing that can be done about it.
In June of last year, Guelph activist Dan Maitland emailed Foreign Affairs Minister Lawrence Cannon concerning Canada Park, a Jewish National Fund of Canada initiative built on land Israel occupied after the June 1967 War. Three Palestinian villages (Beit Nuba, Imwas and Yalu) were demolished to make way for the park.
A few weeks ago Maitland received a reply from Keith Ashfield, Minister of National Revenue, who refused to discuss the particulars of the case but provided “general information about registered charities and the occupied territories.” Ashfield wrote that “the fact that charitable activities take place in the occupied territories is not a barrier to acquiring or maintaining charitable status.”
This means Canadian organizations can openly fundraise for settlements Ottawa (officially) deems illegal under international law and get the government to pay up to a third of the cost through tax credits for donations. To justify the government’s position, Ashfield cited a September 2002 Federal Court of Appeal case (Canadian Magen David Adom for Israel v. Minister of National Revenue), which reversed the Canadian Revenue Agency’s previous position.
The exact amount is not known but it’s safe to assume that millions of Canadian dollars make their way to Israeli settlements every year. In 1997, when it was more of a legal grey area, tax lawyer David Drache claimed that “there are hundreds of [Canadian] organizations … supporting organizations directly or indirectly beyond the Green Line,” referring to the internationally-recognized armistice line between Israel and the occupied West Bank.
In the late 1990s, Israel’s largest settler group, Yesha, raised more than $700,000 a year in Canada. When former Israeli Prime Minister Ariel Sharon visited in the mid-1990s, the Canadian Arab Federation’s Jehad Aliweiwi said he “left with more than $1 million in tax-deductible funds, with no secret as to the destination.” Through the 1990s the Press Foundation was probably the largest known source of funds for settlements, raising as much as $5 million annually for settlers in the occupied West Bank town of Hebron and in the occupied Golan Heights, which was captured from Syria in 1967.
Illegal settlements are not the only questionable activities in Israel that Canadians subsidize through their tax system. A mid-1990s survey found more than 300 registered Canadian charities with ties to Israel, a relatively wealthy country. Every year Canadians send a few hundred million dollars worth of tax-deductible donations to Israeli universities, parks, immigration initiatives and, more controversially, “charities” that aid the Israeli army in one way or another.
One example is Aid to Disabled Veterans of Israel or Beit Halochem (Canada), which brings soldiers singled out as heroes by the Israeli military on trips to Canada. Many Canadians, including the Charles R. Bronfman Foundation, support the Libi Fund — “The Fund For Strengthening Israel’s Defense.” In early 2008, Major Gil Chemke, a member of Israel’s elite search and rescue team, toured the country on behalf of the Canadian Magen David Adom for Israel (CMDAI), which operates in the occupied West Bank. Established to assist wounded soldiers and the population during disasters, CMDAI has raised millions of dollars. Chemke drummed up financial contributions for CMDAI by showing “behind-the-scenes video footage of a rescue operation in Lebanon for a female air crew member whose helicopter was shot down by Hizballah” during Israel’s 2006 invasion of Lebanon.
Established in 1971, the Association for the Soldiers of Israel in Canada (ASI) provides financial and moral support to active duty soldiers. In 2009, ASI (Canada) — which provides tax receipts through the Canadian Zionist Cultural Association — and El Al airlines granted a 50 percent discount on flights to Israel from Canada for families of “lone soldiers” who join the Israeli military.
While it’s legal — and government will foot part of the bill — to finance charities linked to a foreign army responsible for numerous war crimes and settlements that contravene international law, Ottawa has made it illegal for Canadians to aid a hospital operated by the elected Hamas government.
Ottawa’s post-11 September 2001 terrorist list makes it illegal to financially assist Hamas, the Popular Front for the Liberation of Palestine, the al-Aqsa Martyrs’ Brigade, the Abu Nidal Organization, the Popular Front for the Liberation of Palestine-General Command, the Palestine Liberation Front, the Palestinian Islamic Jihad and groups associated with these organizations. Only one Israeli group, the marginal Kahane Chai, is on the list.
On 25 December, Hamas criticized Canada for re-listing it a “terrorist” entity. “The decision is a clear bias to Israel,” Hamas spokesman Fawzi Barhoum told Xinhua. “This encourages Israel to commit more crimes against the Palestinian people.”
Ottawa makes it difficult for Canadians to support many Palestinian groups all the while subsidizing expansionist and militaristic Israeli institutions. Canadians of good conscience should protest and demand change.
Yves Engler is the author of Canada and Israel: Building Apartheid and the Black Book of Canadian Foreign Policy. For more info: http://yvesengler.com
Posted by psnedmonton 
Ahava and the Bay: a BDS Victory
January 31, 2011An analysis for rabble.ca by Coalition Against Israeli Apartheid (CAIA) and Faculty 4 Palestine member Mary-Jo Nadeau on the meaning of the recent removal of Ahava products by the Hudson’s Bay Company and whether it should be considered a victory.
The Bay drops Ahava
A victory for the Boycott, Divestment and Sanctions movement in Canada
This month, the Hudson Bay Company (HBC) have discontinued sales of Ahava cosmetic products. Ahava is an Israeli company that has been a target of the Palestinian campaign for Boycott, Divestment and Sanctions (BDS) against Israel.
HBC was the main retailer in Canada that carries Ahava’s line, and has been targeted by a number of Palestine solidarity group over the past 18 months. Many participated in the campaign across the country, including Tadamon in Montreal, the Coalition Against Israeli Apartheid in Toronto, with Canadians for Peace and Justice in the Middle East being the latest group to join in.
HBC’s decision was seen as a major BDS victory, and is being widely celebrated by BDS activists. After receiving a deluge of angry pro-Israeli e-mails and supportive pro-Palestinian e-mails, HBC partnered up with the Canada-Israeli Committee (CIC) to issue a joint statement announcing that the discontinuation of Ahava was a business decision, not a political one.
In addition to revealing that Ahava sales have been declining for some time, and admitting that it was not profitable to carry their products, HBC also affirmed their support for Israel and promised to launch a reformulated Ahava line the spring. Pro-Israel groups quickly declared victory and proclaimed that HBC made a business decision that had nothing to do with BDS.
A debate is now taking place within the BDS movement about whether the HBC decision is a victory. We believe that it is, and here’s why.
Ahava: a major international boycott target
In 2005, over 170 Palestinian civil society organizations endorsed a call for Boycott, Divestment and Sanctions against Israel until it complies with international law. All Israeli companies profit from and contribute to Israeli apartheid and are therefore targets of the BDS campaign.
Ahava became a focus of BDS activists because of its particularly egregious role in the occupation of the West Bank. The company is majority-owned by two West Bank settlements, has manufacturing facilities in those settlements and its entire product line is manufactured from materials stolen from the Dead Sea, which is located in the occupied West Bank. Building settlements in and extracting resources from occupied territories is illegal under international law. Ahava’s entire operation is therefore in contravention of the Geneva Conventions. Companies that sell Ahava products are also in violation of international law.
HBC decision: Apolitical business decision or BDS victory?
The ultimate goal of the BDS campaign is to put economic and political pressure on Israel, but a key step in achieving this goal is education and raising awareness about Israeli apartheid. Every time a BDS story makes headlines, we achieve a victory because it engages the public in a debate about Israel, Palestine and the BDS campaign. When these debates happen, people around the world increasingly side with Palestinians precisely because the facts emerging from a 60-year history of Palestinian dispossession, displacement and ethnic cleansing by Israel are undeniable.
Moreover, the Ahava debate is taking place as we mark the two-year anniversary of Operation Cast Lead, Israel’s massacre in Gaza, which left over 1,400 Palestinians dead, over 5,000 injured and at least 6,000 homes destroyed or severely damaged. After five years of the growing BDS campaign and in the wake of atrocities like Cast Lead, the on-going siege on Gaza, home demolitions and the continued construction of the apartheid wall, the Israeli narrative is rapidly losing ground. The Zionist outcry about HBC’s decision shows their increasing fear of BDS.
Beyond their educational value, the purpose of consumer boycotts is to hit Israeli companies where it hurts — their bottom-line. By HBC’s own admission, Ahava sales have been declining for some time now. Ahava is reformulating and rebranding because their image has been so badly damaged by the BDS campaign. This is all good news — the BDS campaign is affecting this company’s profits.
Significantly, these declining sales have happened despite efforts by the CIC’s Buycott campaign, which has urged supporters to buy Israeli goods, including Ahava products. Their strategy is clearly failing to stop BDS and apparently is not even effective enough to keep Ahava profitable in Canada. This is more good news.
BDS and big business
The BDS campaign is not built on the naive assumption that corporations will drop Israeli products out of some moral imperative. HBC is Canada’s oldest corporation and has been profiting off of colonialism and genocide here in Canada for generations. We do not expect HBC or any other big business to take a courageous stand against Israeli apartheid. Our goal is to apply intense public pressure so that carrying Israeli goods ceases to be profitable. It will take time to build the kind of momentum needed to make that a reality, but we are well on our way. Ahava is no longer profitable to HBC and the BDS movement will continue to educate and agitate until this true of all Israeli goods sold in Canada.
Mary-Jo Nadeau is a member of the Coalition Against Israeli Apartheid (CAIA) and Faculty 4 Palestine.
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