Writing my paper on Iran’s 1953 coup prompted me to look further into covert operations by foreign government to overthrow domestic leaders for the financial purposes. The overthrow of Salvador Allende is a perfect example US efforts to destabilize Chile.

Salvador Allende was elected as the president by winning 36% of the casted votes. However, his appointment was deemed illegal by the right wing as he did not have the majority support but by the confirmation of General Rene Schneider, the commander of the armed forced, Allende was recognized the succeeding president. Furthermore, in his effort to push for “Chilean way to socialism” during his three years in power, he nationalized industries such as copper, which significantly cut the profit and damages the reputation of some multinational corporations in Chile. The Copper mines specifically were mainly owned by US firms. Thus, nationalization brought with is the issue of ownership and profit. Who has the right to own and profit from these mines? Is it the industry that has legally earned ownership or the locals- and the local government- who have the right to the land?

The US companies in returned claimed that they required “justly” compensations for the assets that were ceased due to nationalization. The basis of what turns into a US funded coup in 1973 by Nixon’s government is the dispute over the compensations paid to the US firms.

In 2014, a series of declassified American documents revealed how Richard Nixon’s administration made attempts to destabilise Allende’s government, and also pointed out to the complaints of taxes in Chile, and concerns about nationalisation by US copper companies at the time. A notable example was the Anaconda Copper company, which was considered by some Chileans as a foreign state within a state. Eventually, there was a coup d’état in 1973 against Allende, backed by the United States, which paved the way for Pinochet to acquire power and take control of the Chilean government.

The military and the national police deposed Allende’s government and suspended all political activity in Chile. At last, Allende commits suicide in the presidential palace.  Augusto Pinochet, who was Allende’s army chief, took full control of the government in 1974. In the months that followed the coup, the military killed and imprisoned thousands of Chilean leftists. This coup is considered one of the most violent events in the history of Chile.

Such covert operations and the involvement of the US government in retaliating towards nationalization measures taken to secure a state’s natural resources depicts the extent to which the interests of firms and corporations are intertwined with the interests of the state.