I'm very much in favor of handing them over to local authorities or if that's not possible conducting any proceedings in the same area as the incident. My comments weren't directed as much at the IO level as they were the institution, so I didn't mentioned some of the things you brought up (great points, btw). We do need legal codes and transparent proceedings to show host nations that those things do work and do get done with as much impartiality as possible (something we are not always very good at, admittedly), but I think you also need to smack the companies in the wallet to really get their attention.
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