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- Synced and corrected by chamallow -
- www.addic7ed.com -
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This week on Vice:
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the rise of a dictator in Venezuela.
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- That's a member of parliament?
- Yeah.
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There is no fear anymore.
This is a citizens' revolution.
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And you can feel it on the streets.
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Today the instructions
are for all the protesters
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to stay in separate
groups across the city,
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to make it harder for the
National Guard to break them up.
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Go, go, go!
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We are not animals!
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In recent weeks, the crisis in Venezuela
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has frequently been in the news.
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This resource-rich nation,
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with the largest proven
oil reserves on Earth,
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is on the verge of total collapse.
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Hyperinflation,
widespread food shortages,
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and one of the highest
murder rates in the world,
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has fueled almost continuous
daily protests across the country.
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Much of the anger is directed
at President Nicolás Maduro
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and his ruling socialist party.
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Critics say Maduro's
authoritarian regime
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is guilty of large-scale corruption
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and involvement in narcotrafficking.
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Earlier this year,
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President Maduro announced his intention
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to rewrite the nation's constitution,
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in what is widely seen
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as an attempt to consolidate power.
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With tensions escalating,
Vice sent both Suroosh Alvi
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and Ben Anderson to
Caracas to cover the crisis.
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So, in Caracas now, they're protesting
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four out of the seven days of the week.
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There is no fear anymore.
This is a citizens' revolution.
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And you can feel it out in the streets.
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People aren't afraid.
They're ready to fight.
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Since the anti-government uprisings
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exploded this past spring,
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Venezuelans have been
demonstrating in the streets
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for over a hundred days.
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More than 100 have been killed
and thousands more injured.
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And the more the protesters
defy the authorities,
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the more aggressive the police
get trying to break them.
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I don't know what's happening.
I don't know what's happening.
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Wait, wait, wait!
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Venezuela is on the brink
of becoming a failed state.
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The economy has been
destroyed by hyperinflation.
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In the last 12 months alone,
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the inflation rate
rose over 1,000 percent.
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And it's projected by the IMF
to rise more than 2,000 percent
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in 2018.
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As Venezuela's currency
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has cratered in value,
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the cost of importing the
most basic goods has soared,
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making food and other essentials
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both scarce and unaffordable.
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Ordinary people are really suffering.
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Um, and they're fighting back...
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Veteran journalist Phil Gunson,
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who's been covering the
region for almost 40 years,
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has witnessed firsthand the events
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that have brought
Venezuela to the brink.
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What caused the current situation
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with chaos reigning in the streets?
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Now that the economy has collapsed,
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the issue on the streets
is not an issue of ideology.
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It's not people out
on the streets saying,
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"We want capitalism
instead of socialism."
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It's people out on the streets
saying, "We want to eat."
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This food shortage is widespread.
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Over the last year,
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three-quarters of the population
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has lost an average of almost 20 pounds.
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People are genuinely...
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dying of hunger, in some cases.
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Twelve percent of children
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are suffering from acute
malnutrition in Venezuela.
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This is the country with the
biggest oil reserves in the world.
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It's absolutely unforgivable.
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Oil is the foundation
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of the Venezuelan economy,
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accounting for half the
government's revenue.
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So, the nation's economy, and fortunes,
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rise and fall with
the price of crude oil
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on international markets.
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Venezuela is well over
90 percent dependent
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on oil income for its foreign earnings.
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The society has come to rely
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on this economic cycle of boom and bust
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that's inherent in oil.
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And it's created a society in which, um,
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there's very little
planning for the future,
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corruption is kind of...
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at least to a large extent, tolerated.
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By the late 1970s,
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oil had made Venezuela the
richest country in South America.
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But over the coming decades,
persistent corruption
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funneled the nation's wealth
into the hands of the elite.
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The result was profound
income inequality
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that set the stage for
a socialist revolution
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led by Hugo Chávez.
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Chavez was a larger-than-life figure,
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messianic, a figure who was loved,
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not just as a politician,
but revered as a saint
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by millions of people in Venezuela.
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Chavez made government a spectacle.
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Every Sunday, he staged
marathon TV broadcasts
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that sometimes ran up to eight hours,
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on his show, Aló Presidente.
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On top of announcing
government business,
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such as nationalizing agriculture
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and telecom industries,
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the show featured special guests,
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dance numbers, and prize giveaways.
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But while he was giving away appliances,
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the economy, and specifically
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the oil industry, was crumbling.
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The problem is that, the economic
underpinnings of what he was about,
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um, were not really viable.
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The legacy of Chavez's
disastrous economic strategy
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is the heart of today's crisis.
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We flew to Lake Maracaibo,
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epicenter of the country's
boom-and-bust economy.
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This is one of the largest
oil basins in the world.
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Over 30 billion barrels of oil
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have been pulled out of this lake
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and the estimates range
that there are still
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somewhere between 19 and
another 40 billion barrels of oil
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still left down there.
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Ulises Albornoz worked for
the state-run oil company,
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Petroleum of Venezuela, or PDVSA,
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and experienced the effect of
Chavez's policies firsthand.
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One of Chavez's first moves
to change the oil industry
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was replacing the
PDVSA board of directors
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with political allies.
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Much of the PDVSA workforce was outraged
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and took to the streets.
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In response, Chavez fired seven
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of the company's top
executives live on TV.
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In the end, Chavez fired
18,000 PDVSA employees
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and replaced them with more
politically loyal workers
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who knew next to nothing
about oil production.
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So, basically, Chavez
fired half of the...
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almost half of the 40,000 employees
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of the state oil company.
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18,000 people. And you were one of them?
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Yeah.
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Got it.
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In addition to the incompetence
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of the Chavez loyalists who run PDVSA,
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corruption has been a major factor
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in the decline of the oil industry.
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Billions have been
stolen in recent years,
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creating a new and very
rich socialist elite.
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With oil production at all-time lows,
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Venezuela's economy is
now much more vulnerable
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to the ups and downs
of the global market.
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Venezuela is acutely vulnerable
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to a fall in the price of oil,
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which, as we know, tends to be cyclical,
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and it tends to be
severe when it happens.
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And essentially,
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what Venezuela's living on now
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is less than half of the oil price
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that it had a few years back.
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The oil money ran out more or less
at the same time as Chavez died.
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So, simultaneously, they
lost a large amount of income,
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plus, the guy that held
the whole thing together.
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And it's been downhill ever since.
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A month after Chavez's death in 2013,
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a bitterly divided
nation went to the polls.
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Vice President Nicolás Maduro,
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a former bus driver,
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narrowly won the presidential election
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over opposition leader
Henrique Capriles.
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Since then, Maduro has stuck
with many of Chavez's policies,
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and for the most part
has ruled by decree.
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Meanwhile, the economy, hunger,
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narcotrafficking, and violent crime,
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have continued to spiral out of control,
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and the opposition to his
government intensified.
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By December of 2015,
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Venezuelans had voted to give
control of Venezuela's congress
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and national assembly,
to the opposition parties.
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In response, Maduro
called a special election
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to create a constituent assembly,
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a unique institution with the power
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to change the nation's constitution.
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Many believe he will use
this governmental body
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to consolidate his power.
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It is this move that has sparked
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the intensified protests
of the past three months.
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Maduro's forces have responded
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with mass arrests and violence
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that also frequently target
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elected officials from the opposition,
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including Capriles, his
presidential opponent in 2013,
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who, with 49 percent of the vote,
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lost by less than two percentage points.
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We're outside the Justice First office.
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The head of the party,
Henrique Capriles,
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uh, just got beat down by
the National Guard here.
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And there's still tear
gas and clashing going on.
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They're about to do a press conference.
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Hello, Governor. How are you?
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Nice to meet you. Mucho gusto.
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Yeah, it's shocking.
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After this violence,
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what's gonna happen tomorrow?
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In the two months after we filmed,
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and as the date of Maduro's
constituent assembly approached,
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the crisis has escalated.
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On June 27th, a police
officer hijacked a helicopter
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and attacked the
Maduro-controlled supreme court
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with grenades and gunfire.
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Only days later, Maduro loyalists
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stormed the national assembly,
attacking security guards,
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journalists, and the
lawmakers themselves.
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On July 16th, in a
show of mass defiance,
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more than seven million
Venezuelans voted to recall Maduro
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in a symbolic, nationwide referendum.
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On the eve of this historic vote,
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that looked set to transform Venezuela,
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VICE went back to
Caracas with Ben Anderson.
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This is the national
assembly, Venezuela's congress,
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four weeks after Maduro loyalists
attacked the politicians.
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Congressman Armando Armas
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was one of the lawmakers
badly beaten that day.
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That's definitely my blood.
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I was... my head and this is my hand.
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And the risk of physical
danger continues.
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First vice president of the
national assembly, Freddy Guevara,
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00:15:53,099 --> 00:15:56,333
showed us the death threats he's
been receiving on a daily basis.
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"Save your money for...
to pay the funeral...
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of every member of your family."
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This is not normal
business for a politician.
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And there will be a big
protest this afternoon.
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I'm sure that the protest will increase.
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We are not going to step down.
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Today the instructions
are for all the protesters
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to stay in separate
groups across the city,
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to make it harder for the
National Guard to break them up.
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Protests have been outlawed
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with tough sentences
for those who disobeyed.
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We've just left the second area,
where there's a small protest.
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00:16:31,269 --> 00:16:34,003
There's hundreds of
National Guard on motorbikes.
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The National Guard
maintained rigid control
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of the Caracas streets.
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00:16:38,577 --> 00:16:40,710
We caught up with Freddy Guevara again,
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who said that the upcoming
vote was just rubber-stamping
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Maduro's drive towards
authoritarian rule.
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Do you think it's a dictatorship now,
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or do you think it will
become one on Sunday?
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Do you think you might
all be in jail on Monday?
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President Maduro called this election
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to create a constituent assembly,
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a 545-seat governmental body
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that can override and likely
replace the elected congress.
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It would also have the power to
rewrite the country's constitution
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and extend Maduro's reign.
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If that weren't enough,
the majority of candidates
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were hand-picked supporters of Maduro,
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including his wife and son.
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And there was no option
to oppose the move.
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With no possible way to vote against
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the government's proposed action,
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the opposition boycotted the election,
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hoping a low turnout
at many polling places
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would expose the vote as a sham.
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Instead, people again
gathered on the streets
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in the only way they could,
to make their voices heard.
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But just as demonstrations
began to form,
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the National Guard followed through
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on threats to crush any dissent.
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By midday, opposition
leaders were regrouping,
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trying to decide what to do next.
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One motorcycle unit
of the National Guard
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was attacked with a
homemade petrol bomb.
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Seven guards were injured.
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Intense clashes across
the country made this day
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the most violent since the crisis began.
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By the time the results were announced,
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16 people had been killed
and dozens more injured.
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But Maduro had succeeded
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in creating his constituent assembly.
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At the opposition headquarters,
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Governor Henrique Capriles,
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Maduro's presidential rival,
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made a statement to the local press.
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I'm sure you know what
the final result will be.
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What will be your response?
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Later that night, we headed
over to Bolivar Plaza,
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in the city center, where
Maduro supporters had gathered.
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It was predictable
that the United States
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would cast doubt on this vote.
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Much harder to refute
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was a claim from the
London-based technology firm
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that supplied the voting
machines used for this election.
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The turnout numbers on
Sunday, 30th of July,
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for the constituent
assembly in Venezuela,
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were tampered with.
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The difference between
the actual participation
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and the one announced by the authorities
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is at least one million votes.
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An independent exit poll
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suggested the actual
turnout was even lower,
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with just over 3.5
million people voting.
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Less than 20 percent of Venezuela's
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19.8 million eligible voters.
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The congress met in a last-ditch effort
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to stop what looked to be inevitable.
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They're calling on
the people of Venezuela
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to come and defend
this national assembly.
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The United States imposed
additional sanctions
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aimed directly at Maduro himself.
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Maduro is not just a bad leader,
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he is now a dictator.
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Maduro immediately played the part
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of a typical dictator,
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snatching two leading
opposition figures...
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Leopoldo López, the leader
of the Popular Will party,
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and Antonia Ledezma, the
former mayor of Caracas...
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from their homes the following night.
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The socialist revolutionaries
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who once overthrew an
unpopular and corrupt elite,
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have become one.
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Even parts of the
military began to defect.
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One of Latin America's
most important nations,
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in control of the world's
largest oil reserves,
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has become a dictatorship.
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But while Maduro's die-hard
supporters celebrate,
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athe growing opposition has
vowed to continue to fight.
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- Synced and corrected by chamallow -
- www.addic7ed.com -
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