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May 19, 2013
The monthly journal for independent thought, ethical standards and moral responsibility The international journal for independent thought, ethical standards, moral responsibility,
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Current Concerns  >  2012  >  No 17, 30 April 2012  >  Shared times, and turn of fate [printversion]

Shared times, and turn of fate

“... I’d get on the phone to my friend Bibi Netanjahu and say: Would it help if I say this? What would you like me to do?”

by Michael Barbaro

cc. Obama was asked if he was blackmailed by Israel – respectively by the presumable behavior of the Jewish electorate in the US – to give Netanjahu free rein to launch the nuclear first strike against Iran (see Current Concerns Nr. 13, p. 4). In case the Mormon Mitt Romney is to become presidential candidate of the Republicans the relationship with Israel will assume a completely different, i.e. active quality. This candidacy would be a highly alarming signal to all peace-minded countries of the world.

After the disaster of the Second World War the world has agreed upon solving future conflicts at the negotiating table. There is no reason to leave deviate from this agreement.

Every historian knows about the foreshadowing preceding all great wars. This is true for the last century as well as for the 30 Years War: peace ensuring mechanisms were weekend, converted or simply put out of order. The powers who wanted the war started a ghostly wedding dance. All these alarm signs should not be ignored – also and especially in our European countries where the controversial tussle about active involvement and medial protection of the flanks is on at full blast. Democracy may must not degenerate to a free tickelt giving licence to manipulation by means of “spins” and warmongering. Also it should not degenerate to making big power politics by means of emotions, a technique which followers of “deep ecology” know just as well as it seems to be the case with the new German Federal President.

Rommey’s long friendship with Netanyahu invites political speculation.

The two young men had woefully little in common: one was a wealthy Mormon from Michigan, the other a middle-class Jew from Israel.

But in 1976, the lives of Mitt Romney and Benjamin Netanyahu intersected, briefly but indelibly, in the 16th-floor offices of the Boston Consulting Group, where both had been recruited as corporate advisers. At the most formative time of their careers, they sized each other up during the firm’s weekly brainstorming sessions, absorbing the same profoundly analytical view of the world.

That shared experience decades ago led to a warm friendship, little known to outsiders, that is now rich with political intrigue. Mr Netanyahu, the Prime Minister of Israel, is making the case for military action against Iran as Mr Romney, the likely Republican presidential nominee, is attacking the Obama administration as not supporting Mr Netanyahu more robustly.

The relationship between Mr Netanyahu, 62, and Mr Romney, 65 – nurtured over meals in Boston, New York and Jerusalem, strengthened by a network of mutual friends and heightened by their conservative ideologies – has resulted in an unusually frank exchange of advice and insights on topics like politics, economics and the Middle East.

When Mr Romney was the governor of Massachusetts, Mr Netanyahu offered him firsthand pointers on how to shrink the size of government. When Mr Netanyahu wanted to encourage pension funds to divest from businesses tied to Iran, Mr Romney counseled him on which US officials to meet with. And when Mr Romney first ran for president, Mr Netanyahu presciently asked him whether he thought Newt Gingrich would ever jump into the race.

Common experiences and a similar perspective

On 6 March, Mr Netanyahu delivered a personal briefing by telephone to Mr Romney about the situation in Iran.

“We can almost speak in shorthand,” Mr Romney said in an interview. “We share common experiences and have a perspective and underpinning which is similar.”

Mr Netanyahu attributed their “easy communication” to what he called “B.C.G.’s intellectually rigorous boot camp.”

“So despite our very different backgrounds,” he said through an aide, “my sense is that we employ similar methods in analyzing problems and coming up with solutions for them.”

The ties between Mr Romney and Mr Netanyahu stand out because there is little precedent for two politicians of their stature to have such a history together that predates their entry into government. And that history could well influence decision-making at a time when the United States may face crucial questions about whether to attack Iran’s nuclear facilities or support Israel in such an action.

“Bibi … what would you like me to do?”

Mr Romney has suggested that he would not make any significant policy decisions about Israel without consulting Mr Netanyahu – a level of deference that could raise eyebrows given Mr Netanyahu’s polarizing reputation, even as it appeals to the neoconservatives and evangelical Christians who are fiercely protective of Israel.

In a telling exchange during a debate in December, Mr Romney criticized Mr Gingrich for making a disparaging remark about Palestinians, declaring: “Before I made a statement of that nature, I’d get on the phone to my friend Bibi Netanyahu and say: ‘Would it help if I say this? What would you like me to do?’”

US Middle East policy subcontracted to Israel

Martin S. Indyk, a US ambassador to Israel in the Clinton administration, said that whether intentional or not, Mr Romney’s statement implied that he would “subcontract Middle East policy to Israel.” “That, of course, would be inappropriate,” he added.

Mr Netanyahu insists that he is neutral in the presidential election, but he has at best a fraught relationship with President Barack Obama. For years, the Prime Minister has skillfully mobilized many Jewish groups and Congressional Republicans to pressure the Obama administration into taking a more confrontational approach against Iran.

Mr Indyk added, “To the extent that their personal relationship would give Netanyahu entree to the Romney White House in a way that he doesn’t now have to the Obama White House,” Mr Indyk said, “the Prime Minister would certainly consider that to be a significant advantage.”

It was a quirk of history that the two men met at all. In the 1970s, both chose to attend business school in Boston – Harvard for Mr Romney, the Massachusetts Institute of Technology for Mr Netanyahu. After graduating near the top of their classes, they had their pick of jobs at the biggest and most prestigious US consulting firms.

The Boston Consulting Group did not yet qualify as either. Its founder, Bruce D. Henderson, was considered brilliant but idiosyncratic; his unorthodox theories – about measuring a company’s success by its market share, and dividing businesses into categories like “cash cows” and “dogs” – were then regarded as outside the mainstream of corporate consulting.

As Mr Romney recalled, the faculty and students at Harvard Business School routinely mocked the firm’s recruitment posters. “Boston Consulting was at the time a firm that seemed somewhat under siege,” he said. But the company’s status as a pioneering upstart, nipping on the heels of bigger blue-chip firms like Mc Kinsey and Booz Allen, fostered a deep camaraderie among its young employees, who traveled around the United States  advising clients like General Foods and Mead Corporation.

Even in a firm of 100 M.B.A.’s, Mr Romney and Mr Netanyahu managed to stand apart, as much for their biography as for their brainpower. Mr Romney’s father, a former governor of Michigan, had sought the Republican presidential nomination a few years earlier. Mr Netanyahu had his own exotic résumé: he had just completed a tour of duty in an elite special forces unit of the Israeli military.

“Both clearly had an aura around them,” said Alan Weyl, who worked at the firm from 1975 to 1989.

Although they never worked closely on a project together, Mr Romney and Mr Netanyahu, competitive by nature, left deep impressions on each other, which appear to have only grown.

Mr Romney, never known for a lack of self-confidence, still recalls the sense of envy he felt watching Mr Netanyahu effortlessly hold court during the firm’s Monday morning meetings, when consultants presented their work and fielded questions from their colleagues. The sessions were renowned for their sometimes grueling interrogations.

“He was a strong personality with a distinct point of view,” Mr Romney said. “I aspired to the same kind of perspective.”

Mr Romney worked at the company from 1975 to 1977; Mr Netanyahu was involved from 1976 to 1978. But a month after Mr Netanyahu arrived, he returned to Israel to start an antiterrorism foundation in memory of his brother, an officer killed while leading the hostage rescue force at Entebbe, Uganda. An aide said he sporadically returned to the company over the rest of that period.

Mr Romney later left for Bain & Co., a rival of Boston Consulting. They did, however, maintain a significant link: at Bain, Mr Romney worked closely with Fleur Cates, Mr Netanyahu’s second wife. Ms Cates and Mr Netanyahu divorced in the mid-1980s, but she remains in touch with Mr Romney.

Mr Netanyahu’s influence on US policy

The men reconnected shortly after 2003 when Mr Romney became the governor of Massachusetts. Mr Netanyahu paid him a visit, eager to swap tales of government life.

Mr Netanyahu, who had recently stepped down as Israel’s finance minister, regaled Mr Romney with stories of how, in the tradition of Ronald Reagan and Margaret Thatcher, he had challenged unionized workers over control of their pensions, reduced taxes and privatized formerly government-run industries, reducing the role of government in private enterprise.

He encouraged Mr Romney to look for ways to do the same. As Mr Romney recalled, Mr Netanyahu told him of a favorite memory from basic training about a soldier trying to race his comrades with a fat man atop his shoulders. Naturally, he loses.

“Government,” Mr Romney recalled him saying, “is the guy on your shoulders.”

As governor, Mr Romney said, he frequently repeated the story to the heads of various agencies, reminding them that their job as regulators was to “catch the bad guys, but also to encourage the good guys and to make business more successful in our state.”

A few years later in Jerusalem, Mr Romney had dinner with Mr Netanyahu at a private home in the Jewish quarter of the Old City, where the two spent hours discussing the US and Israeli economies. When Mr Netanyahu informed Mr Romney of a personal campaign to persuade American pension funds to divest from businesses tied to Iran, Mr Romney offered up his Rolodex.

Before he left Israel, Mr Romney set up several meetings with government officials in the United States for his old colleague. “I immediately saw the wisdom of his thinking,” Mr Romney said.

Back in Massachusetts, Mr Romney sent out letters to legislators requesting that the public pension funds they controlled sell off investments from corporations doing business with Iran.

Even as Mr Netanyahu, an eager student of US politics, has tried to avoid any hint of favoritism in the presidential election, friends say he has paid especially close attention to Mr Romney’s political fortunes in this campaign season.

And the Prime Minister keeps open lines of communication to the candidate.

When it was Mr Gingrich’s turn to leap to the top of the polls, Mr Netanyahu was startled in January by an article exploring why Sheldon G. Adelson, a billionaire casino executive and outspoken supporter of Israel, was devoting millions of dollars to back Mr Gingrich. It described Mr Netanyahu and Mr Adelson as close friends.

Mr Netanyahu’s office quickly relayed a message to a senior Romney adviser, Dan Senor: the Prime Minister had played no role in Mr Adelson’s decision to bankroll a Romney rival.     •

Source: The International Herald Tribune from 9.4.2012