Pirate stock exchange promotes Capitalism

Tue Dec 1, 2009 - HARADHEERE, Somalia Reuters - Somali sea gangs lure investors at pirate lair - In Somalia's main pirate lair of Haradheere, the sea gangs have set up a cooperative to fund their hijackings offshore, a sort of stock exchange meets criminal syndicate.

Financiers from other nations joined Somali pirates in organizing an exchange to manage investments in maritime companies. In 4 months it has become an important facility for pirates to finance their operations.

We started with 15 'maritime companies' and now we are hosting 72. Ten of them have so far been successful at hijacking," Mohammed said. "The shares are open to all and everybody can take part, whether personally at sea or on land by providing cash, weapons or useful materials ... we've made piracy a community activity. ... The shares are open to all and everybody can take part, whether personally at sea or on land by providing cash, weapons or useful materials ... we've made piracy a community activity."

Somalia's Western-backed government of President Sheikh Sharif Ahmed is battling hard-line Islamist rebels, and controls little more than a few streets of the capital. Haradheere, 250 miles northeast of Mogadishu, used to be a small fishing village. Now it is a bustling town where luxury 4x4s owned by pirates and their bankrollers create traffic jams along its streets.

Now that we know the Indian Ocean and Gulf of Aden pirates are on our side, does it make any more sense why their seizures and kidnappings have been somewhat tolerated by Western nations? Did not think so; the situation reminds one of the poppy fields flourishing in Afghanistan. Extortion is always extortion.

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As insurance costs for shippers rise and commodity prices for consumers escalate, remember how spineless our current governments have been.