At Last – A Beneficial Use for Obamacare
Former F1 driver Michael Schumacher is no longer in a coma and has been released from the hospital. He suffered a brain injury in a skiing accident. Perhaps his medical treatment can be used in Washington under Obamacare. He was put into a coma by the doctors to reduce the risk of brain swelling. Just think how life would be improved if we could use Obamacare to medically induce a coma in government and just wake them up when we absolutely need them for something important like to start or end a war, That might be the real Utopia. 
Goldman Beats Lawsuit – Judge Says It was Buyer’s Fault
As if we did not see this one coming. Goldman Sachs, the untouchable firm, wondismissal of a suit over $450 million in residential mortgage-backed securities. The New York judge amazingly shifted the entire burden of responsibility in fraud to the buyer. It was not Goldman Sachs’ fault, the judge said that the firms that bought the bonds should have done more research beforehand – buyer beware.
So let’s get this straight. For any other firm if they make a false statement they go to jail. The S&L Crisis there was the famous case of Lincoln Savings and Loan Association of Irvine, California and Charles Keating. In September 1990, Keating and his associates were indicted by the State of California on 42 counts related to having duped Lincoln’s customers into buying worthless junk bonds of American Continental Corporation. He was convicted on securities fraud stating that when he issued them he KNEW they would fail. In April 1996, the 9th U.S. Circuit Court of Appeals in San Francisco ruled that state trial judge had mistakenly allowed the jury to convict Keating by giving them faulty instructions as the law as regarding fraud. The difference was not that the securities were bad, as in the mortgage-backed mess, but that he somehow KNEW he would go bankrupt a decade in advance.
If you misrepresent the security from the outset, that is FRAUD. Shifting the burden to the buyer and saying they should have known just does not work with any bank outside of New York. The New York courts are just a complete joke. They fail to comprehend that this creates the image of total corruption and when the economy turns down, they will become the target for the world. I warned that transferring the class action lawsuits to New York on Facebook would be the kiss of death. Even NASDAQ asked that everything be dismissed.
The Flip-Side to NSA – They Have Everyone’s Files – Even Former IRS official Lois Lerner
Former IRS official Lois Lerner invoked her Fifth Amendment right against self-
Now the Internal Revenue Service (IRS) claims they miraculously “lost” all incriminating evidence – her emails. Congress had voted to hold her in contempt, yet she is not in jail. The IRS told Congress Friday it has lost ALL of the emails to and from Lois Lerner, who remains the key central figure in the agency’s targeting of the Tea Party for tax charges. This is clearly a refusal to turn over evidence that will impact the future of the IRS. Lyndon Hermyle LaRouche, Jr. (born September 8, 1922) was a candidate for President and was even running TV commercials. They used the law to imprison him to stop the political ads. In October 1986, hundreds of state and federal officers raided LaRouche offices in Virginia and Massachusetts. A federal grand jury indicted LaRouche and 12 associates on credit card fraud and obstruction of justice; the charges alleged that they had attempted to defraud people of millions of dollars, including several elderly people, by borrowing money they did not intend to repay. Borrowing money with not initial intent to pay anything back is a mental crime. You do not have to actually commit it, it is like going to a bank to borrow money and then claiming you do not intend to pay off the debt. But this is how the law works – it is a mental thought that they prove by innuendo, circumstantial evidence, and it become does the jury BELIEVE it is more likely or not that there was no intent. We could lock up most of Congress and the White House using these theories.
How can you have the Executive Branch in charge of everything including the prosecution of contempt when the head of the Justice Department is doing the same thing? As long as they say I do not remember (which cannot be proven) then they do not lie to Congress and they can cover-up anything. There is no way to get honest government any more.
Now comes the REAL interesting part I bet the NSA never considered. I reported that when I spoke to people on the Hill 2 years before Snowden, they told me then the NSA was collecting even their emails. When you collect everything, guess what! They have all the incriminating evidence, Congress has now asked the NSA for the missing emails. OOPS! See what happens. I have warned that this treasure trove of info can be subpoenaed even in private lawsuits right now. What happens in a divorce case when someone wants to prove their spouse cheated? The NSA may have stepped really deep into something they never considered.
While the Talking Heads Keep Talking Bearish & Crash – Central Banks Buy Equities – The Shift From Public to Private
I previously reported that our sources were reporting that central banks were starting to buy shares to diversify their reserves. All of our sources in Asia and Europe have been reporting this trend. So while the talking heads keep preaching the crash and sell equities, the retail market may not be buying this market yet as brokers keep reporting to us that this is not retail boom yet.
More importantly, the talking heads on TV are so off base it is not even funny. The crisis in currency is very serious. Central banks have been forced into dollars because of the crisis in Europe and they are unable to diversify. They ONLY think they can do with interest rates moving even negative, is for themselves to buy equities. Central banks around the world, including China’s, have shifted decisively into investing in equities. Every source we have has been reporting this trend. As low-interest rates have hit their revenues and countries like Switzerland have suffering with the Euro and the collapse in gold, equities is rapidly becoming the new reserve.
The Swiss and Danish central banks have been the biggest buyer of equities in Europe among the central banks. The Swiss National Bank has an equity quota of about 15 per cent. Thomas Jordan, SNB’s chairman, has publicly stated they are buying mid- and small-cap stocks in developed markets worldwide. The Danish central bank’s equity portfolio was worth about $500m at the end of last year. Both have little choice.
Ironically, that is how the Fed began in 1913. It was to buy private assets – not public to provide a direct stimulation. The only way central banks can stimulate the economy is ironically to buy private assets – not public. The central banks have become major players on world equity markets and this has been the best kept secret. They actually have little choice, With the Sovereign Debt Crisis on the horizon and France saying 60% of its national debt is illegal and Austria saying they never guaranteed anything, central bankers may be silent, but they are not stupid.
Central banks have been very secretive.Some have been attending our World Economic Conferences. The bottom line is their reserves are hit from declining gold and interest rates with the greatest instability in sovereign debt thanks to Europe, that this has contributed to a serious loss in revenues in recent years. The central banks are being hit in the same manner as pension funds. The global financial crisis that we find ourselves in will twist the best minds we have.
We are approaching the $30 trillion level in reserves. Unknown to most people, but the largest public sector holder of equities is now China’s State Administration of Foreign Exchange. Their portfolio is now at almost $4 trillion compared to the old Japanese Postal Savings Fund that in 1989 was the largest with about $1.2 trillion. The People’s Bank of China has been directly buying minority equity stakes in important blue-chip companies.
This is the new age of capital movement. Things are different these days because the dollar is becoming a monopoly by default. This is forcing central banks to diversify into equities for they cannot trust the debt of nations any more. Hello! Welcome to the shift from Public to Private.
US is now Funding Studies on Civil Unrest
QUESTION: Mr. Armstrong; Your work on the cycles of war has been duly noted in government. Governments are starting to take notice and have begun to fund studies of protest groups. Even the Guardian is reporting this trend. In the United States it is called the “Minerva Research Initiative,” and it has been around since your model turned in 2007.15. What is your comment on this?
ANSWER: If the question is about the chicken or the egg, there is a choice. We never publish anything, or we have to be open to all. There is no way to prevent government from monitoring what everyone is doing. I have written that when I went to China, the government took me to a facility back in 1997 where they were downloading everything from the internet.
In the 1980s, we had a client GRANEDEX in Geneva that was a big grain company. We were getting requests for studies on platinum and all sorts of things that had nothing to do with grains. I went to lunch with the head of major Swiss bank and just asked about them and was quickly told they were a front for the KGB.
Every government intelligence organization you can bet reads everything on this blog. That is the way it simply is. Yes, they could use the info for a positive outcome and reform to prevent the trend, but they are typically not in full control of the state. There is no great conspiracy guiding everything. This is everyone for themselves. So there will be those gathering info in case the events unfold.
I do not see this as positive or negative. They would respond whether we did the report or not. Hopefully, that may contribute to listening during the reconstruction phase.