Until a few years ago, it was common for extortion agencies to target business houses and demand ransom in exchange for letting them continue with their operations. The businesses were accused of having a harmful effect on the civic system and were told that they needed to pay money to function as a part of society. While such extortionists have been eliminated for the most part, their activities have resurfaced in another form and are carried out by groups that call themselves human rights organisations.

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These new extortionists come armed with MBAs, wear business suits, and speak in a polished language, but their actions are not very different from those of the traditional crime syndicates. They identify a profitable sector of the industry, accuse businesses in that sector of destroying the environment or harming the poor, use their political clout to pass dubious laws that criminalise the business operations, and then demand hefty fees to certify the businesses as compliant with the new laws.

These so-called human rights groups have politicians on their rosters and lobby for laws that impose restrictions on businesses knowing they will reap a windfall. The laws are at the national and international levels and typically authorise the self-appointed human rights groups to either distribute certificates or participate in the scheme in some other capacity. The certificates mean nothing except that their issuers have been paid a ransom. Many harassed businesses even end up hiring these groups as advisors to ensure that they are not denied the certificates. These groups, listed as ‘non-profit’ entities, are tax-exempt, collect money in the form of grants, and use governments to intimidate businesses.

One such group, Rainforest Alliance, issues certificates to coffee farmers for growing something called ‘sustainable coffee.’ Like other such entities, this organisation too claims to alleviate poverty and uses images of poor people in Africa and Asia to justify its existence. However, neither poor people nor farmers get any money. Instead, the New York-based organisation, which is supported by UNDP, receives large amounts of money as grants. Other beneficiaries of the program are corporations like McDonald’s and British Airways, which are partners of Rainforest Alliance.

This scheme is backed by the International Coffee Agreement, which stipulates that only qualified agencies can issue certificates. Many countries have been arm-twisted into signing the agreement, thus bringing farmers in those countries under the control of a few people in Western nations.

There are many such programs designed to squeeze money out of businesses. One scheme issues certificates for not using child labor and another supposedly keeps out ‘blood diamonds’ from the market by certifying that diamond miners and traders do not help warlords. The diamond certification program, known as the Kimberley process certification scheme, has been criticised by libertarians as a ‘giant hoax’ and a ‘farce.’

The cynical nature of these schemes is further highlighted by the fact that Britain is not a producer of coffee, but benefits greatly as the International Coffee Organisation is headquartered in London. Likewise, diamonds are produced mainly in Africa, and the cutting and polishing industries are dominated by Gujaratis in India and Belgium, but the idea of controlling the diamond trade originated from a Canadian politician who has earned the nickname ‘Teflon Bob’ for repeatedly evading corruption charges by using political machinations.

Corruption is rampant in the so-called human rights organisations and they routinely make false charges against weaker countries. These charges are used either to justify some aggressive action of the governments in Europe and the US or to bully the weaker countries into joining their certification schemes. Those who do not cooperate are blackballed as violators of human rights and trumped up charges are made against them. Leaders are accused of oppressing the people, riots are described as pogroms, and the employees in the human rights industry write articles in the media against their targets without revealing their affiliations.

The human rights industry naturally attracts and employs those who feed off the system — the leftists, the centrists and the socialists. Many organisations like Amnesty International push the leftist agenda and are guilty of participating in extortion schemes. There is no reason to let the human rights industry harass businesses and live off the hard work of other people. They must be given the same treatment as extortion gangs and must be put out of business.

arvind@classical-liberal.net