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The Rise of the False Flag

The absence of heavy fighting along Russia’s borders with Ukraine would in theory mean a clearer picture as to events unfolding. Yet such are the levels disinformation, propaganda and strategic attempts to control the narrative that we’re truly in an age of the ‘fog of pre-war’. Within this murky fog one tactic stands out as above, the ‘false flag’ attack. But what is this phenomenon, where did it come from and how should it be factored into the geopolitics of the modern day?
The term "false flag" originated in the 16th century as a purely figurative expression to mean "a deliberate misrepresentation of someone's affiliation or motives". It was later used to describe a ruse in naval warfare whereby a vessel flew the flag of a neutral or enemy country in order to hide its true identity.
One of the most famous ‘false flag’ events in history occurred the night before Germany invaded Poland. Seven German SS soldiers pretending to be Polish stormed the Gleiwitz radio tower on the German side of the border with Poland. They broadcast a short message to say the station was now in Polish hands. Such a minor incident in the context of the World War is of course lost to most but it demonstrated how important even the veneer of a ‘just War’ was to Hitler.
Today it is associated with a covert operation that is designed to look as if it has been carried out by someone else. In recent years it has been the go-to tactic from extremist groups looking to divert responsibility away from their own actions. For instance, right-wing Fox News host Tucker Carlson even claimed the 6th January insurrection at the US Capitol was a “false flag” attack.
In the crisis in Eastern Europe all sides are accusing each other of the tactic. Indeed, Western intelligence agencies have been more proactive than is their normal ways of working, in stressing that in the absence of a genuine hostile act from Ukraine or its allies, the spark that Russia needs to justify an invasion will be to be manufactured. The shelling of a Kindergarten last week that thankfully didn’t result in deaths was explicitly cited by the British Prime Minister as a ‘false flag’ attack.
This week Ukraine rejected as “fake news” a claim from the Russian army that it killed five “saboteurs” attempting to cross the border in the Russian region of Rostov. Ukrainian officials said not a single soldier had been killed and their forces were not present in the Rostov region. The Ukrainian Ministry of Defence has also accused pro-Russian forces of destroying civilian infrastructure and claiming that the damage is caused by Ukrainian military artillery strikes.
Meanwhile, the volume of Russian disinformation seeking to frame Ukraine as a threat to justify military action by Russia has more than doubled in the past week, Western officials have said. Liz Truss, the foreign secretary, revealed there had been a two-fold increase in fake Russian claims during comments she made at a security conference in Munich on Saturday.
The need for an incident to justify a wider campaign is clearly important but not necessarily essential. The escalation into the decision made by President Putin to recognise the breakaway republics of Donestsk and Luhansk and send in ‘peacekeepers’ could of or would of likely happened regardless. The fact is that ‘truth’ has become a subjective concept useful as far as it goes from the perspective of different types of leaders responding to different political systems. From a Western viewpoint the build, up of troops and their inevitable entry into Ukraine smacks of Russian aggression. Putin meanwhile explained the decision as a response to the West holding a “knife to the throat” of Russia and trying to turn Ukraine into a puppet regime.
The point of no return or departure into a state of conflict appears to have all been reached. Yet this doesn’t mean that the ‘false flag’ tactic is no longer useful or something that we will see more of. Putin seems set on taking chunks of eastern Ukraine, now the question is whether that will be enough? Could ‘incidents’ occur that mean that his ‘peacekeepers’ will have to press on in a westerly direction for example? We will all need to keep our critical facilities on red alert for more ‘false flag’ attacks to come.
BY: James Denselow
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BENEFIT AGM approves 10%...
- March 27, 2025
BENEFIT, the Kingdom’s innovator and leading company in Fintech and electronic financial transactions service, held its Annual General Meeting (AGM) at the company’s headquarters in the Seef District.
During the meeting, shareholders approved all items listed on the agenda, including the ratification of the minutes of the previous AGM held on 26 March 2024. The session reviewed and approved the Board’s Annual Report on the company’s activities and financial performance for the fiscal year ended 31 December 2024, and the shareholders expressed their satisfaction with the company’s operational and financial results during the reporting period.
The meeting also reviewed the Independent External Auditor’s Report on the company’s consolidated financial statements for the year ended 31 December 2024. Subsequently, the shareholders approved the audited financial statements for the fiscal year. Based on the Board’s recommendation, the shareholders approved the distribution of a cash dividend equivalent to 10% of the paid-up share capital.
Furthermore, the shareholders endorsed the allocation of a total amount of BD 172,500 as remuneration to the members of the Board for the year ended 31 December 2024, subject to prior clearance by related authorities.
The extension of the current composition of the Board was approved, which includes ten members and one CBB observer, for a further six-month term, expiring in September 2025, pending no objection from the CBB.
The meeting reviewed and approved the Corporate Governance Report for 2024, which affirmed the company’s full compliance with the corporate governance directives issued by the CBB and other applicable regulatory frameworks. The AGM absolved the Board Members of liability for any of their actions during the year ending on 31st December 2024, in accordance with the Commercial Companies Law.
In alignment with regulatory requirements, the session approved the reappointment of Ernst & Young (EY) as the company’s External Auditors for the fiscal year 2025, covering both the parent company and its subsidiaries—Sinnad and Bahrain FinTech Bay. The Board was authorised to determine the external auditors’ professional fees, subject to approval from the CBB, and the meeting concluded with a discussion of any additional issues as per Article (207) of the Commercial Companies Law.
Speaking on the company’s performance, Mr. Mohamed Al Bastaki, Chairman BENEFIT , stated: “In terms of the financial results for 2024, I am pleased to say that the year gone by has also been proved to be a success in delivering tangible results. Growth rate for 2024 was 19 per cent. Revenue for the year was BD 17 M (US$ 45.3 Million) and net profit was 2 Million ($ 5.3 Million).
Mr. Al Bastaki also announced that the Board had formally adopted a new three-year strategic roadmap to commence in 2025. The strategy encompasses a phased international expansion, optimisation of internal operations, enhanced revenue diversification, long-term sustainability initiatives, and the advancement of innovation and digital transformation initiatives across all service lines.
“I extend my sincere appreciation to the CBB for its continued support of BENEFIT and its pivotal role in fostering a stable and progressive regulatory environment for the Kingdom’s banking and financial sector—an environment that has significantly reinforced Bahrain’s standing as a leading financial hub in the region,” said Mr. Al Bastaki. “I would also like to thank our partner banks and valued customers for their trust, and our shareholders for their ongoing encouragement. The achievements of 2024 set a strong precedent, and I am confident they will serve as a foundation for yet another successful and impactful year ahead.”
Chief Executive of BENEFIT; Mr. Abdulwahed AlJanahi commented, “The year 2024 represented another pivotal chapter in BENEFIT ’s evolution. We achieved substantial progress in advancing our digital strategy across multiple sectors, while reinforcing our long-term commitment to the development of Bahrain’s financial services and payments landscape. Throughout the year, we remained firmly aligned with our objective of delivering measurable value to our shareholders, strategic partners, and customers. At the same time, we continued to play an active role in enabling Bahrain’s digital economy by introducing innovative solutions and service enhancements that directly address market needs and future opportunities.”
Mr. AlJanahi affirmed that BENEFIT has successfully developed a robust and well-integrated payment network that connects individuals and businesses across Bahrain, accelerating the adoption of emerging technologies in the banking and financial services sector and reinforcing Bahrain’s position as a growing fintech hub, and added, “Our achievements of the past year reflect a long-term vision to establish a resilient electronic payment infrastructure that supports the Kingdom’s digital economy. Key developments in 2024 included the implementation of central authentication for open banking via BENEFIT Pay”
Mr. AlJanahi concluded by thanking the Board for its strategic direction, the company’s staff for their continued dedication, and the Central Bank of Bahrain, member banks, and shareholders for their valuable partnership and confidence in the company’s long-term vision.
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