Brotherhood Incitement Increases After Deadly Clashes

Tensions in Egypt continue to escalate as Muslim Brotherhood members fight back against last week's ouster of President Mohamed Morsi.

More than 50 people were reported killed and hundreds wounded Monday in clashes between Egyptian military and Morsi supporters. Army officials say troops opened fire only after they were attacked by protesters, but protesters claim some of the killings took place during prayer. Muslim Brotherhood officials are increasing the intensity of the rhetoric, as its political wing, the Freedom and Justice Party, called for the great Egyptian people to rise up against those who want to steal their revolution with tanks and armored vehicles, even over the dead bodies of the people."

Speaking to a rally of Morsi supporters in Cairo's Rabaa Al-Adawiya Mosque, Muslim Brotherhood Supreme Guide Mohamed Badie, pledged that they "will not leave the streets until president Morsi is reinstated" promising that they will "sacrifice our souls for him."

Army officials closed a Freedom and Justice Party office Monday after discovering knives, other weapons and flammable liquid inside.

At least one Egyptian military officer was killed more than 40 wounded in clashes at the Republican Guard headquarters. A video shows the savage beating of two soldiers by protesters on a bridge. Based upon the uniforms of the soldiers in the video, it seems they were assigned to the Egyptian El-Haras el-Gomhoury (Republican Guard's) Military Police Battalion.

Such violence is not limited to Cairo, as a police station in the Egyptian city of Rafah was attacked; killing one and wounding two more Egyptian soldiers. Rafah, located in Egypt's volatile Sinai region, borders the Gaza Strip. Additionally, five Egyptian police officers were killed while guarding government buildings, checkpoints, and a hospital in the town of El Arish; also in Sinai.

Video posted by the Middle East Media Research Institute (MEMRI) shows Morsi supporters pelting what appear to be opponents with stones before tossing them off a rooftop.

Muslim Brotherhood supporters also engaged in smear campaigns against the military and, notably, the newly-installed interim leader, Adly Mansour, even going so far as to claim he is Jewish.

Meanwhile other Morsi supporters are threatening to take the conflict to its most extreme end. In a video addressed to General Abdel Fattah el-Sisi, a Morsi supporter vows that Egypt will be destroyed. "Know that you have created a new Taliban and a new al-Qaeda in Egypt. All this crowd will split into martyrdom groups. They will destroy you and destroy Egypt" exclaimed one Morsi supporter. "Bring matters to where they were or else you'll see all these masses blowing up Egypt."

In the same clip, a burqa-clad woman had this to say to her Christian neighbors, "I am a religious Egyptian lady. I tell the Christians one word: You live by our side. We will set you on fire! We will set you on fire!"

Frank Spano serves as the Director of National Security Policy for The Investigative Project on Terrorism.

Senior Turkish Officials Blame Problems on Jews

Anti-Semitic sentiment flourishes throughout many parts of the Muslim world. Leaders in various countries have historically blamed Jews and Israel for internal woes to alleviate domestic pressure and propagate the concept of an external enemy in order to cultivate regime legitimacy. One of Turkey's deputy prime ministers, Besir Atalay, is the latest to do so in trying to deflect attention from protests against Turkey's Islamist government

"World powers and the Jewish Diaspora prompted the unrest and have actively encouraged it," Atalay said.

This statement comes after ruling AKP party mayor of Ankara referenced the protests in Gezi as "a game of the Jewish lobby" on a June 16 Twitter message.

Prime Minister Recep Tayyip Erdogan also recently cited the "interest-rate lobby" as a de-stabilizing force in Turkey in an apparent reference to Jewish global financiers.

The anti-Jewish attitudes dominating senior officials may be a major factor behind Turkey's reluctance to facilitate full normalization with Israel.

Almost three months have passed since negotiations began between Turkey and Israel to reach an agreement regarding compensation for the casualties on board the Mavi Marmara as it tried to break Israel's blockade on the Hamas government in Gaza. The reconciliation began following Israeli Prime Minister Benjamin Netanyahu's apology to Erdogan, which was made at the behest of President Obama. The Turkish Hurriyet daily publication asserts that many observers perceived normalization would conclude within four months of the apology and that ambassadors would return to the respective capitals before July. However, the paper alleges that the normalization process has been stifled due to Turkey's anti-Israel and anti-Jewish allegations concerning the recent demonstrations.

Earlier this year, Erdogan called Zionism "a crime against humanity."

Even as Egypt continues to experience political turmoil, Erdogan is still planning to visit Hamas leaders in Gaza The planned trip is very controversial considering Hamas is a U.S. designated terrorist organization. Erdogan initially announced his travel plans shortly after Netanyahu's apology.

Couple Charged in Foiled Terror Attack on Canadian Legislature

Canadian authorities say they disrupted a plot to bomb a British Columbia legislative building during Canada Day celebrations Monday.

John Stewart Nuttall, 38, and Amanda Korody, 29, are charged with plotting a terror attack. The Surrey couple was arrested while trying to explode pressure-cooker bombs at the legislature building in Victoria where thousands gather each year to celebrate Independence Day.

The arrests were the culmination of a five-month investigation led by the Royal Canadian Mounted Police (RCMP). Both Nuttal and Korody were "charged with knowingly facilitating a terrorist activity, conspiracy to commit an indictable offence and making or having in their possession an explosive substance."

Photos from the terror investigation show the suspects planned to use washers, nuts, bolts, and nails in pressure cookers as improvised explosive devices. Unbeknownst to the pair, the devices were rendered inert "and at no time represented a threat to public safety," the Globe and Mail quoted assistant RCMP commissioner Wayne Rideout saying.

Pressure cookers were also used in the deadly Boston Marathon bombings in April but investigators said the two cases were unrelated.

According to details revealed by the RCMP, the suspects were "inspired by al-Qaeda ideology" and were "self-radicalized" with no connections to international terrorists.

The Vancouver Sun provided an video of the couple's basement apartment, describing it as "very, very dirty" with "garbage everywhere." There was a plastic lid with "Paintball" written on it and "the television on the bedroom appeared to have been shot with a paintball gun, bullet holes riddling the screen."Religious plaques were also visible on the living room ledge. The couple's landlady reportedly told the news outlet that the couple "lived on welfare, visited a local mosque and listened to radical Islamist tapes in their basement suite."

Nuttall reportedly was previously convicted of robbery, kidnapping, and other misdemeanors. In 2002, he allegedly hit a Victoria businessman on the head and stole his briefcase. Prior to that, he spent 18 months in jail for his involvement in drug-related disputes.

An aspiring rock musician who converted to Islam a few years ago, Nuttall set up an account on the music website ReverbNation to promote his music. A song titled "League with Satan" posted on his account said, "We are possessed by all that is evil, the death of your god we demand, We spit at the virgin you worship and at Lord Satan's Left Hand."

Both Nuttall and Korody are currently in custody and are scheduled to make an appearance in Surrey provincial court on July 9.

Egypt's Long, Bloody Weekend Begins

Concerns over a brewing civil war in Egypt emerged Friday as the country faced a weekend of protests marking Islamist President Mohamed Morsi's first year in office.

At least two people were killed Friday – including one American – and scores injured in violence that has the country's top conservative clerics warning of civil war. Protesters attacked offices belonging to the Muslim Brotherhood and its political wing, the Freedom and Justice Party, with some offices set on fire. Before becoming president, Morsi was a top Brotherhood official and he has helped fellow Islamists rise to positions of power.

"Vigilance is required to ensure we do not slide into civil war," read a statement from Al Azhar University, Egypt's top Sunni religious body. But Al-Azhar officials blamed Morsi opponents for the violence, with one calling them "ignorant people" and demanding they stand down.

In a speech Wednesday, Morsi claimed he was open to constitutional reforms and asked for dialogue.

Neither is likely to happen.

Computer science student Mohamed Abdul Munim summed up the views of many Morsi critics during an interview with NBC News.

"We are sure that we will go out and get beaten up by the [Muslim] Brotherhood [but] we are going out despite this," said Munim, 23. "There is no security, there is economic collapse, the electricity cuts off and everybody is suffering. They will say Morsi is not at fault, but electricity didn't cut off when the military governed."

Motorists also are waiting in long gas lines.

Morsi's critics also are angry at the United States, which they see as standing squarely behind the Muslim Brotherhood-dominated government.

Those who can are fleeing the country, packing departing flights out of Cairo's airport, the Associated Press reported, citing unnamed airport officials. They called it an unprecedented exodus by families of government officials, Egyptian Christians and business and diplomatic officials.

Wael Ghonim, the Internet activist credited with helping stoke the 2011 uprising that ultimately ousted Hosni Mubarak, this week called for Morsi's resignation, saying the president broke his promise to build an inclusive government to represent all Egyptians.

The motto was "Our strength, in our unity." But, Ghonim said, the reality has become "Our strength, in our Brotherhood" as the Islamist groups dominates power under Morsi. "[W]e find that we have replaced a ruling party that considered whoever opposes it to be a traitor and an agent with another ruling party that considers whoever opposes it to be a traitor, an agent and a hater of religion."

Egypt "has become very dangerous," Ghonim added, "and all the parties are motivated against each other, and anyone who loves this country must be worried about what is happening, because in the current conflict, regardless of its future victor, Egypt will lose."

Lebanese Canadian Bank to Pay $102 Million in Hizballah Laundering Case

The Beirut-based Lebanese Canadian Bank ("LCB") will pay $102 million as part of a settlement reached this week with federal prosecutors. The LCB was accused in a December 2011 complaint of funneling money to the Lebanese terrorist group Hizballah as part of a global money-laundering scheme.

The "settlement shows that banks laundering money for terrorists and narco-traffickers will face consequences for their actions, wherever they may be located. This type of money laundering network fuels the operations of both terrorists and drug traffickers, and will continue to use every resource at our disposal to sever the connection between terrorists, narco-traffickers, and those who fund their lethal agenda," Manhattan U.S. Attorney Preet Bharara said in a Justice Department press release.

Lebanese financial institutions tied to Hizballah wired over $300 million from Lebanon into the United States to buy and ship used cars to West Africa as part of a money laundering scheme, the complaint alleged. Profits from the car sales and narcotics were then funneled back to Lebanon through money laundering channels controlled by Hizballah, including LCB and two Lebanese exchange houses – the Hassan Ayash Exchange Company and Ellissa Holding – as well as their subsidiaries and affiliates. The lawsuit sought $480 million in civil money laundering penalties from the Lebanese financial entities.

The Treasury Department identified LCB as a "primary money laundering concern" in February 2011 and prohibited American financial institutions from doing business with the bank. The bank allegedly laundered as much as $200 million per month in drug proceeds for a Hizballah-tied international drug ring led by Lebanese drug lord Ayman Joumaa. Joumaa was indicted in November 2011 on charges of transporting 100 tons of Columbian cocaine to the Los Zetas Mexican drug cartel.

Hizballah was designated a Foreign Terrorist Organization (FTO) in October 1997 and as a Specially Designated Global Terrorist (SDGT) in October 2001. The Hassan Ayash Exchange Company ("Ayash") and the Ellissa Holding Company were designated as Significant Narcotics Traffickers under the Foreign Narcotics Kingpin Designation Act (the "Kingpin Act").

In a separate settlement order issued last week, Ayash agreed to forfeit more than $720,000 to the United States.

Egypt Braces for Mass Pro, Anti-Morsi Protests

Two years after toppling dictator Hosni Mubarak, Egypt's economic problems and political corruption persist. As Egyptians prepare to mark the first anniversary since Muslim Brotherhood member Mohamed Morsi was elected president, political and social divisions are deeper than ever. Dueling demonstrations against Morsi and supporting him are expected throughout the country.

Morsi generated anger with several dictatorial power grabs, attempting to cement Muslim Brotherhood influence over the government and the powerful military. Opponents claim to have gathered 15 million signatures calling for Morsi's ouster.

The Brotherhood is anticipating widespread discontent and is preparing for violent confrontation. That's what happened in December when it dispatched its henchmen to brutally attack an opposition protest outside the President's palace.

Despite the opposition, Morsi continues to enhance the Brotherhood's power. He recently appointed seven more Brotherhood members as key governors throughout Egypt. Morsi even appointed Adel el-Khayat, a member of the radical al-Gamaa al-Islamiya, a U.S. designated terrorist organization, as governor of the tourist-district of Luxor. Al-Gamaa took credit for a 1997 terrorist attack that claimed 58 tourists at a temple in Luxor. The ensuing protests and severe backlash prompted el-Khayat's resignation and could be a foreshadowing of what is to be expected on June 30. Al-Gamaa leader Assem Abdel Maged declared that "the Islamists will face violence with violence on June 30."

General Abdul-Fattah el-Sisi warned that that the military is prepared to prevent Egypt from descending into chaos. That's significant since Morsi appointed Sisi last August after following a purge of Mubarak-era senior generals. Egypt's military takes pride in representing a unifying force acting in the national interest; however, growing Brotherhood influence within the military may make its current role more ambiguous should the upcoming demonstrations spin out of control.

Morsi blames "enemies of Egypt" for the turmoil. In a speech on Wednesday he offered nothing that would entice the opposition to call off the protests. Two people were killed and dozens wounded in the latest clashes.

It appears as if the internal tensions between the ruling Islamist and disaffected opposition groups have reached a boiling point that may result in unprecedented clashes, posing immense ramifications for Egypt's future.

Hamas Leader Describes Meeting with U.S. Officials

A Hamas leader claims the terrorist group has had "direct meetings" with U.S. officials close to the White House despite a longstanding American policy to have no contact with Hamas.

The claim from Hamas leader Ghazi Hamad was reported in a Palestinian news outlet. Top American representatives were in meetings Hamas had with European ambassadors and officials about two weeks ago, he said.

The officials discussed removing Hamas from the list of designated terrorist organizations, but that "these contacts have not yet reached the level of decision-makers," Hamad said in a Sky News Arabia report translated by the Investigative Project on Terrorism. The alleged meeting has not yet been reported in Western media.

His comments can be viewed here.

New Gaza Rocket Fire Shows Jihadist Calculations

A Palestinian Islamic Jihad (PIJ) terrorist died, and a second terrorist injured, this weekend in Gaza at the hands of Hamas operatives.

An angry PIJ sought revenge – by firing rockets at Israeli civilians.

It started Saturday when Hamas police reportedly wanted to arrest a drug suspect in the town of Shuja'iyya. But PIJ commander Raed Jundiya, a friend of the suspect, reportedly intervened. He was shot and killed in a resulting skirmish. At his funeral Sunday, PIJ military wing chief Mohammad al-Harazin was injured when he was hit by a car driven by Hamas members.

Jundiya's death "represents a major service to the Zionist enemy, provided completely free of charge, whether deliberately or not, because the martyr was, as everybody knows, on the top of the Zionists' hit-list as he headed the Brigades' rocket unit," a Hamas statement said.

While PIJ said it would break off relations with Hamas, it fired at least six rockets at civilian communities in southern Israel. Two were picked off by Israel's Iron Dome defense system. No injuries were reported from the other four. Israel struck back, hitting two arms depots and a rocket launching site in Gaza.

Rocket fire from Gaza dropped off considerably since November's Pillar of Defense campaign targeted the infrastructure used in the incessant attacks. Since it governs Gaza, Israel holds Hamas responsible for all rocket fire coming from the territory. So while PIJ's retaliation for Jundiya's death may seem disconnected, Times of Israel reporter Avi Issacharoff writes that it is Hamas that suffers most from Israeli retaliation, including a possible closing of border crossings which could create shortages on fuel and other supplies. That could cut into popular support for Hamas among Palestinians.

Egyptian Tourism Officials Stunned by Morsi Appointment

Egyptian President Mohamed Morsi is drawing fire for appointing Muslim Brotherhood officials to a majority of 17 provincial governorships this week. But the appointment of a hardline Islamist to the district covering the heart of Egypt's tourism industry is causing particular anxiety.

Hundreds of people in Luxor protested outside the governor's office Monday after Morsi appointed Adel el-Khayat to lead the province. El-Khayat is not in the Muslim Brotherhood. Rather, he's a part of the radical religious movement al-Gamaa al-Islamiya's political party. Al-Gamaa members claimed credit for killing 58 tourists during a 1997 attack at a temple in Luxor.

"No to the terrorist governor!" read a protester's sign.

In addition to the connection to the attack, el-Khayat's Construction and Development party advocates banning alcohol sales, nightclubs and dress codes for modesty.

"Doesn't the president know that the people of Luxor depend on tourism for their livelihoods?" asked protester Abubaker Fadel. The area is home to some of Egypt's greatest antiquities, including King Tutankhamun's tomb. But visitors already have fallen off since the 2011 uprising against Hosni Mubarak's government and the Brotherhood's ascension to power.

Tourism Minister Hisham Zaazou resigned in protest of el-Khayat's appointment.

In response, Salafi and Muslim Brotherhood counter-demonstrators ringed the governor's office today, hoping to clear a path for el-Khayat to enter.

The appointment struck many Egyptians as particularly tone-deaf, coming amid widespread discontent with Morsi's leadership just a year into his term. "It's as if the Muslim Brotherhood is reaching out to the extremists," American University in Cairo historian Khaled Fahmy said.

In addition to el-Khayat, Morsi tapped Muslim Brotherhood officials for eight of the 17 vacant governorships. Brotherhood members now fill 10 of 27 governorships. That's significant because, in addition to local matters, governors carry strong influence over arranging elections.

Opposition groups say Morsi is trying to monopolize power in Egypt for the Brotherhood. They hope to garner 15 million signatures on a petition calling for early elections, to be released before Morsi's one-year anniversary in office June 30.

Opposition leader Mohamed ElBaradei called Morsi's government "a surreal and absurd regime."

Canadian Intelligence Sees AQ to Shift to Smaller Attacks

Al-Qaida's (AQ) international terrorist network will rebound but shift tactics – seeking more frequent smaller-sized attacks in the coming years, a newly released Canadian intelligence report finds.

"The death of Osama bin Laden, the popular uprisings spreading across the Middle East and North Africa, and the global recessionary pressures that are causing governments to re-evaluate their [counter terror] strategies are amongst the many far-reaching developments that will influence AQ's future prospects," the report said.

The report emanated from the findings of a workshop sponsored by the Canadian Security Intelligence Service (CSIS) Academic Outreach program in January. It sought to explore AQ's future in the next decade. It relied solely on open-source information and studied different variables that would influence AQ's evolution in the coming years, including the network's external and internal environments.

Instability in AQ strongholds in the Middle East and Africa, combined with preoccupation of regional and Western governments with local security concerns such as mass violence and regime collapse may help the terrorist group "cultivate popular support; attract new recruits; inspire homegrown Western terrorists; acquire new weapons and funding; secure existing safe havens; and reach into new operating theatres," the report said.

Al-Qaida's future also will be shaped by its ideological goals, leadership, structure, and resources. This would include the internal debate raging in AQ affiliates regarding global v. local jihad as well as the leadership crisis resulting from the killing of senior al-Qaida leaders.

Since AQ "does not accept defeat," the report concludes, it will shift its focus to waging more "small rudimentary attacks." To the extent anti-Western sentiment continues to sell among the local population, AQ's political and other sympathizers will "succeed in embedding the network's extremist views in state institutions." AQ's antipathy towards the West will then be "expressed through both terror attacks and indirect state-to-state tensions."

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