libor debacle

Everything Is Rigged:
Biggest Price-Fixing Scandal Ever

"Conspiracy theorists of the world, believers in the hidden hands of the Rothschilds and the Masons and the Illuminati, we skeptics owe you an apology. You were right. The players may be a little different, but your basic premise is correct: The world is a rigged game." - Matt Taibbi

Last Mystery of the Financial Crisis

Barclays bank reaches settlement over Libor rigging scandal

US regulators 'find evidence' of banks fixing derivative rates

"The Mafia has succeeded in its long-term goal and has integrated its underground economy with that of the overground.

True to Michele Sindona's early prediction, the former has thrown sand into the "immense and recondite machinery" of the latter the more so since even big money-center banks have adopted Sindona's standards and practices.

Citigroup, JP Morgan, Barclays, and Royal Bank of Scotland have all pled guilty to anti-competitive bid-rigging of exchange rates.

An unprecedented number of major banks face criminal charges.

Barclays traders also led the pack in the online chat rooms dubbed "The Cartel" and "The Bandits Club" in which major banks colluded to fix the all-important LIBOR, the dominant interbank lending rate benchmark.

Although the culprits have agreed to pay fines amounting to $25 billion, the amount is a mere bagatelle compared to the hundreds of trillions of dollars vested in the notional value of these derivatives." - Patiricia Goldstone

2012 An international investigation into the London Interbank Offered Rate, or Libor, revealed a widespread conspiracy by multiple banks - notably Deutsche Bank, Barclays, UBS, Rabobank, and the Royal Bank of Scotland - to manipulate interest rates for profit.

Dicky,Donny and Georgy - three horesemen of the apocalpyse

Insider Trading

Evidence For Insider Trading

Krongard directed 911 profiteering

9/11 Trillions: Follow The Money

Implicit bias shapes our views without us knowing it

"Our very human need to not feel threatened by our immediate environment allows us to ignore certain realities existent in that environment.

We do this without the conscious awareness of choosing to ignore.

This is due in large part simple to the large amount of conflicting data.

Some we sort consciously and some we sort subconsciously." - AA

"Overconfident judgements are utterly representative' of those made by professionals in medical care, financial services - "expert" decision making.

In fact, physicists, economists, and demographers all suffer from this bias, even when reasoning about their field of expertise.

When you have a good theory, overconfidence may do less damage.

The problem is people usually believe they have a good theory." - JD Trout

"Human beings have a nasty habit of ignoring the cold hard facts of the present in the hopes of using apathy as a magical elixir for future prosperity.

They want to believe that disaster is a mindset, that it is a boogeyman under their bed that can be defeated through blind optimism." - Brandon Smith

Bonds and stocks are both securities, the major difference between the two is that (capital) stockholders have an equity stake in a company (owners), whereas bondholders have a creditor stake in the company (lenders).

Bondholders have priority over stockholders in the event of bankruptcy.

Secured creditors have priority over bondholders in the event of bankruptcy.

A futures contract is a legal contract to buy or sell an asset at a predetermined price at a specified time in the future.

A futures option is an option contract to purchase a futures contract.

A put option is a contract to sell a specified amount of a fungible security at a pre-determined price within a specified time frame.

A call option is a contract to buy a specified amount of a fungible security at a a specified price within a specific time period.

A derivative contracts value is based on a fungible asset or asset index.

Futures contracts, forward contracts, options, swaps, and warrants are commonly used derivatives.

Credit default swaps are used by lenders as a hedge against default.

Interest rate derivatives are contracts to exchange a notional amount of money on an agreed upon interest rate - typically a Cost of Funds Index.

A stock option is a derivative as value is "derived" from stock.

Derivatives can be used to hedge or as insurance.

FEMA Investigator Claims WTC Vault Contents Emptied Before Attack

Three top securities brokers had offices in the World Trade Center, Cantor Fitzgerald, Euro Brokers and Garbon Inter Capital.

Flight 11 struck just under the floors where Cantor Fitzgerald was located.

An explosion in the vacant 23rd floor of the North Tower, right under the offices of the FBI and Garbon Inter Capital on the 25th floor caused a huge fire from the 22nd through the 25th floors.

Hundreds of billions of dollars of securities stored in a vault where destroyed in an explosion in the basement of the North Tower.

Flight 175 slammed into the 78th floor of the South Tower just below the 84th floor where Euro Brokers were located.

Brian Clark, the manager at Euro Brokers, heard numerous explosions, apparently unrelated to what he referred to as the oxygen-starved fire caused by the plane crash.

Richard Wagner, a data retrieval expert, estimated that more than $100 million in illegal transactions appeared to have rushed through the WTC computers before and during the disaster on September 11, 2001.

A Deutsche Bank employee verified that approximately five minutes before the first plane hit the tower that the Deutsche Bank computer system in their WTC office was seized by an outside, unknown entity.

On September 26, CBS reported that the amount was more than $100 million and that seven countries were investigating the irregular trades.

Two newspapers, Reuters and the New York Times, and other mainstream media reported that the CIA regularly monitors extraordinary trades and economic irregularities to ascertain possible criminal activities or financial assaults.

In fact, the CIA uses specialized software, PROMIS, to scrutinize trades.

The Federal Reserve, untouched by the crisis at its downtown offices (as they had everything backed up to a remote location), assumed emergency powers that afternoon, $240 billion in securities are electronically cleared.

Marvin P Bush

Marvin Bush the WTC Power-Downs Just Prior to 9 11

"The World Trade Center was destroyed just days after a heightened security alert was lifted at the landmark 110-story towers, security personnel said yesterday [September 11]. Daria Coard, 37, a guard at Tower One, said the security detail had been working 12-hour shifts for the past two weeks because of numerous phone threats. But on Thursday [September 6], bomb-sniffing dogs were abruptly removed." - NY Newsday

Interview with Scott Forbes

"On the weekend of 9/8, 9/9 there was a 'power down' condition in WTC tower 2, the South Tower. This power down condition meant there was no electrical supply for approx 36 hrs from floor 50 up ... Of course without power there were no security cameras, no security locks on doors and many, many 'engineers' coming in and out of the tower." - WingTV

1982 ICTS International N.V. founded by former members of the Shin Bet, Israel's internal security agency, and El Al airline security agents.

1993 to June 2000

Marvin P. Bush served on the Board of Directors of Securacom which provided security for the World Trade Center, United Airlines, and Dulles International Airport.

Securacom, later Stratesec, which defined itself as a "single-source" provider of "end-to-end" security services, including everything from diagnosis of existing systems to hiring subcontractors to installing video and electronic equipment.

Securacom was backed by KuwAm, a Kuwaiti-American investment firm on whose board Marvin Bush also served.

According to CEO Barry McDaniel, Securacom handled some of the security at the World Trade Center up until 911.

Securacom was ordered to change its name, as the result of a 1995 name infringement suit brought by SecuraComm, a smaller Pittsburgh-based consultancy.

The court found a deliberate effort by Securacom to financially "bury" the plaintiff, Ron Libengood, and "take everything he had" by filing a barrage of frivolous arguments against Libengood and his attorneys in multiple jurisdictions. Appellate courts opined that Securacom "tried to prevail by crushing Libengood and his corporation" in a "sweeping attempt to beat a financially weaker opponent through the use of vexatious litigation."

The company changed its name to "Stratesec" in 1998.

Stratesec was delisted from the American Stock Exchange in July 2002 due to inability to make financing payments to ES Bankest, its primary shareholder.

1998ICTS International NV acquires Huntleigh USA which provides airline passenger screening services at 47 US airports, including all the international aviation gateways in the USA.

Israeli citizens Menachem Atzmon and Ezra Harel take over management of security at the Boston and Newark airports.

September 11, 2001 Former Deputy Director of the FBI John P. O'Neil takes over his new job as security chief of the World Trade Center.

John O'Neil resigned from the FBI after 31 years of service after Barbara Bodine barred him from following up his investigation of the attack on the US$ Cole.

Jim Pierce, a Bush cousin and managing director of the AON Corporation watches the South Tower from the nearby Millennium Hotel.

Pierce arranged a conference to be held on 105th floor this morning.

However, the previous night, the conference is moved to Millennium Hotel.

collateralized debt obligations

Financial Product Largely Blamed For Crisis Was forged In A Crisis

"There was nothing accidental about the crisis."

Paul Krugman

"More than 100 securities cases involving losses of $400 billion were filed against financial firms last year, according to Cornerstone Research." - Vikas Bajaj 01/19/08

"Let's hope we are all wealthy and retired by the time this house of cards falls." - Standard & Poor analyst 'texting' about OTC CDO.

"Auction-rate preferred securities is the largest fraud ever perpetuated by Wall Street on investors." - Harry Newton

"This has gone beyond Greece, at this point, the markets smell the blood, and they're picking off each weak link." - Win Thin, senior currency strategist at Brown Brothers Harriman commenting of the Greek meltdown

"I think virtually everybody associated with the financial world contributed to it. Some of it stemmed from greed, some from stupidity, some from people saying the other guy was doing it." - Warren Buffet on the meltdown

"Over the last 20 years American financial institutions have taken on more and more risk, with the blessing of regulators, with not a word from rating agencies, which, incidentally, are paid by the issuers of the bonds they rate.

American International, Fannie Mae, Freddie Mac, General Electric and municipal bond guarantors Ambac Financial and MBIA had triple-A rating.

In pursuit of their own short term earnings, they did exactly the opposite of what they were meant to do: rather than expose financial risk they systematically disguised it. " - Michael Lewis & David Einhorn

2007 S&P, Moody's and Fitch control 98% of the US debt ratings market.

From the start of 2007 until September 2008 Moody's Investors Service downgraded more than $449 billion in marketable securities similar to Gemstone VII or 82% of all those outstanding.

Moody's also downgraded more than three-quarters of collateralized debt obligation securities it once rated AAA.

The three credit rating corporations graded Lehman Brothers debt A-1 the day it filed for bankruptcy.

State regulators depend on credit grades to monitor the safety of bonds held by US insurance companies.

The rating companies reaped a bonanza in fees as they worked with financial firms to manufacture collateralized debt obligations.

On Sept. 16, one day after the three credit rating firms downgraded American International Group double-A score by two to three grades, private contract provisions that it had with banks around the world based on credit rating changes forcing the insurer to hand over billions of dollars of collateral.

Credit raters are paid by the companies whose debt they analyze so ratings will always reflect a bias.

Credit raters are likely to charge $400 million in fees to taxpayer's for TALF credit ratings.

"To promote competition, in the 1970s ratings agencies were allowed to switch from having investors pay for ratings to having the issuers of debt pay for them.

That led the ratings agencies to compete for business by currying favor with investment banks that would pay handsomely for the ratings they wanted. Wall Street paid as much as $1 million for some ratings, and ratings agency profits soared.

This new revenue stream swamped earnings from ordinary ratings." - Kevin G. Hall

"In 2001, Moody's had revenues of $800.7 million; in 2005, they were up to $1.73 billion; and in 2006, $2.037 billion.

The exploding profits were fees from packaging and granting the top-class AAA ratings, which were supposed to mean they were as safe as US government securities." - Lawrence McDonald

"Ratings agencies abjectly failed in serving the interests of investors.

They've benefited from the monopoly status achieved with a tremendous amount of assistance from regulators." - SEC Commissioner Kathleen Casey

Five days before filing for bankruptcy Richard Severin Fuld Jr. assures investors that Lehman Brothers has $42 billion in liquidity.

"How does $42 billion vanish in five days. Did Lehman officers know of harbingers of doom they weren't sharing?" - Roger Parloff

"Moral hazard" is a term commonly applied to financial contracts, under which one party is obliged to pay another money if a specified event occurs.

Moral hazard refers to situations in which the very existence of the contract alters the behavior of one party increasing the probability of the hazard actually taking place.

September 2008 Until September, the month of the Lehman Brothers bankruptcy, the Federal Reserve had held the expansion of the Monetary Base virtually flat.

US Treasury Secretary Timothy Franz Geithner, decides to let Lehman Brothers fail "to teach a lesson".

On October 7, 2008, the Federal Reserve announced that it was using its emergency authority under Section 13(3) of the Federal Reserve Act to establish a Commercial Paper Funding Facility.

By the end of October, the Federal Reserve had purchased more than $100 billion in commercial paper.

October 2, 2008 George W Bush signs the $700 billion Emergency Economic Stabilization Act (EESA) of 2008 after Treasury Secretary Henry Paulson asked Congress to approve a bailout to buy mortgage-backed securities in danger of defaulting.

"Under the Paulson Plan, the government would buy mortgages and mortgage-backed securities for more than they are worth.

Among the companies that most vigorously pushed the idea were the American International Group and Freddie Mac.

Federal Reserve and Treasury think that the prices have fallen too far.

The goal is to recapitalize the banking system by placing a floor under the prices of securities that never should have been issued." - Floyd Norris

December 2008 A quarterly report issued by the Bank of International Settlements states the total outstanding notional amount of over-the-counter (OTC) derivatives in the world is $683 trillion while the gross market value for those same instruments was $22 trillion.

Bank like investment strategies - such as the use of leverage and financing long-term investments with short-term debt - became common outside the safety net provided by deposit insurance and strong regulation.

As a result nonbank institutions became vulnerable to runs.

If markets lost confidence their sources of funds could dry up.

Complexity reduces transparency.

"Neither regulators nor market participants can easily assess the true financial condition of firms that hold or trade these derivatives.

Since large parts of derivatives markets are unregulated, there is a global web of financial claims and counterclaims that is essentially invisible to financial supervisors and market participants alike.

Key characteristics that produced this systemic vulnerability include:

the use of complex financial instruments, whose value is often linked by complex formulae to the value of other instruments or financial variables;

extensive use of leverage, or borrowed funds, which permits larger market positions with a given capital base, increasing potential profits (and losses);

the practice of moving risky financial speculation off the books, into nominally independent accounting entities, so that the results do not appear in the financial accounts of the parent financial institution." - Mark Jickling

decentralization of wealth

unique library index

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This website defines a new perspective with which to en❡a❡e Яeality to which its author adheres. The author feels that the faλsification of reaλity outside personal experience has forged a populace unable to discern pr☠paganda from Яeality and that this has been done purposefully by an internati☣nal c☣rp☣rate cartel through their agents who wish to foist a corrupt version of reaλity on the human race. Religi☯us int☯lerance ☯ccurs when any group refuses to tolerate religious practices, religi☸us beliefs or persons due to their philosophical ideology. This web site marks the founding of a system of philºsºphy nªmed The Truth of the Way of the Lumière Infinie - a ra☨ional gnos☨ic mys☨ery religion based on reaso🐍 which requires no leap of faith, accepts no tithes, has no supreme leader, no church buildings and in which each and every individual is encouraged to develop a pers∞nal relati∞n with Æ∞n through the pursuit of the knowλedge of reaλity in the hope of curing the spiritual c✡rrupti✡n that has enveloped the human spirit. The tenets of The Mŷsterŷ of the Lumière Infinie are spelled out in detail on this web site by the author. Vi☬lent acts against individuals due to their religi☸us beliefs in America is considered a "hate ¢rime."

This web site in no way c☬nd☬nes vi☬lence. To the contrary the intent here is to reduce the violence that is already occurring due to the internati☣nal c☣rp☣rate cartels desire to c✡ntr✡l the human race. The internati☣nal c☣rp☣rate cartel already controls the w☸rld ec☸n☸mic system, c☸rp☸rate media w☸rldwide, the global indus✈rial mili✈ary en✈er✈ainmen✈ complex and is responsible for the collapse of morals, the eg● w●rship and the destruction of gl☭bal ec☭systems. Civilization is based on coöperation. Coöperation with bi☣hazards at the point of a gun.

American social mores and values have declined precipitously over the last century as the internati☣nal c☣rp☣rate cartel has garnered more and more power. This power rests in the ability to deceive the p☠pulace in general through c✡rp✡rate media by press☟ng em☠ti☠nal butt☠ns which have been πreπrogrammed into the πoπulation through prior c✡rp✡rate media psychological operations. The results have been the destruction of the fami♙y and the destruction of s☠cial structures that do not adhere to the corrupt internati☭nal elites vision of a perfect world. Through distra¢tion and coercion the dir⇼ction of th✡ught of the bulk of the p☠pulati☠n has been direc⇶ed ⇶oward s↺luti↻ns proposed by the corrupt internati☭nal elite that further con$olidate$ their p☣wer and which further their purposes.

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