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    INTERNATIONAL FINANCIAL PROGRESS REPORT - part 1

    Eartheart
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    Post  Eartheart Mon Apr 11, 2016 3:33 pm

    Suspect
    Deleted because ofcarols follow up later... thanx
    Suspect


    Last edited by Eartheart on Mon Apr 11, 2016 7:10 pm; edited 2 times in total
    Carol
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    Post  Carol Mon Apr 11, 2016 4:50 pm

    After Emergency Federal Reserve Meeting TODAY, Obama and Biden to Meet with Yellen! Rumor: Martial Law Discussions for Banking Failure 
    RUMORS swirling say "Martial Law discussions over a banking system failure" are the reasons President Obama and Vice President Biden are to meet with Fed. Chair Janet Yellen today after the Federal Reserve's Emergency Meeting this morning.  In the history of the United States, it has never before taken place that both the President AND Vice President meet "unexpectedly" with the Federal Reserve.  Speculation is already flowing all over Washington, DC that it may have something to do with "the survival of the government."


    Members of the House and Senate are said to have been "up all night" in discussions and meetings; with floods of phone calls back and forth.  


    More:  Tuesday and Wednesday the G20 Finance Ministers and Central Bank Governors meet in DC and on Thursday the IMF and World Bank meet in DC as well.

    All the leading bankers in the world will be in DC this week. 

    Something wicked this way comes and it is coming very, very soon; within days we suspect.
    Next Tuesday: The Chinese are scheduled to announce their switch from dollar to yuan on Tuesday, April 19th; which will send about two TRILLION in cash back to the US and send inflation skyrocketing overnight.


    If you are not prepared, you have run out of time.
    You need to have emergency cash to live on in case banks close for a couple weeks and shut down credit, debit cards and ATM's;  not cash to pay your bills, but rather cash to SURVIVE with for food, fuel, medicine.


    Stores may have to close, so you'd better have food,  the shelf-stable type that doesn't go bad:  50lb Bag(s) of rice, Boxes of various Pasta, canned meats, jarred sauces.  Butter, sugar, salt etc.  Enough to survive for awhile just in case.


    While today's Expedited meeting of the federal reserve was called last Thursday, over the weekend astonishing banking developments took place in Europe.


    Austria became the first European nation to utilize the new "Bail-in" regulations, seizing 54% of Senior Bondholders stock value to pay the bad debts of Hypo Alpe Adria bank / the Heta Asset Resolution AG.  While senior bond holders were considered "preferred" creditors and got 46% of their investment covered, Depositors were considered "subordinated" creditors and got: NOTHING!  Citizens were left broke. Story HERE https://www.superstation95.com/index.php/world/1142

    Five hours later, the Finance Minister of Italy called an Emergency Meeting of Italian Bankers in Rome to engage what he called a "last resort" to deal with 360 Billion in bad loans against banks with only 50 Billion in Capital.  That story is Herehttps://www.superstation95.com/index.php/world/1143

    It appears an actual worldwide banking crisis is literally within view on the horizon and this week seems to be when all of it may come to a head.  Perhaps that's why the Finance Ministers of the G-20 nations will meet in Washington Tuesday and Wednesday, and then on Thursday, the World Bank and IMF will meet in Washington.


    With every major banker in the world meeting in Washington this week, something is surely "up," and many people are starting to think the general public is about to get "hosed."  

    https://www.superstation95.com/index.php/world/1144


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    Post  Carol Mon Apr 11, 2016 4:55 pm

    BOULDOUKIAN PAPERS CLAIM UNITED STATES IS CHOKING WORLD TRADE WITH ITS DEBT, TAX HAVENS AND ITS EMBARGOES
    NAPIER, HAWKES BAY, NEW ZEALAND, April 11, 2016 /EINPresswire.com/ -- Tough talking Meg Bouldoukian the international banker who says what other bankers think, but are afraid to say, has identified the United States as the cause of the main roadblocks in the path of free and legitimate world trade. These are its tax havens, indebtedness and trade embargoes.

    The world’s major debtor nations are also the world’s major tax haven hosts, he said. The United States has the world’s biggest external debt and is simultaneously the world’s major provider of tax havens.

    Mr Bouldoukian (pictured) said that indebtedness was tied to income tax evasion. The connection was immediately obvious to anyone looking at the external debt classification ranking of nations. The simple yet unrecognised equation: Indebtedness=income tax evasion.

    In a keynote address to the Middle East’s major banking figures, the text of which has been obtained by MSC Newswire, Mr Bouldoukian now identified the United States for its additional role in stifling world trade by imposing its trade embargoes.

    These sanctions and embargoes he said introduced “political agendas” into world trade. They had sown uncertainty and confusion among investors when economic developments should be leading to growth.

    He cited the low cost of money and greatly reduced energy prices as two factors that should be propelling international trade.

    Instead, he commented, the sanctions had been slapped on with the utter absence of any “alternative actions or solutions.”

    Pointedly referring to the United States, Mr Bouldoukian noted that the sanction problem and the tax haven issue were interrelated in being political measures only.

    Tax havens, tax evasion “centres” must be recognised for what they in fact are, he stated. Wherever they were, and however they were described, he insisted they constituted always the same “circumvention of laws.”

    An influential and emeritus figure in world banking Mr Bouldoukian’s rigorous denunciation of the United States’ dual role as gamekeeper and poacher in the matter of accommodating tax refuges is all the more embarrassing as he pointed out the damage it was doing to the economy of the United States.

    Similarly, he pointed out to the private symposium of Middle East bankers in Beirut, the United States political leadership consistently failed to understand the “double-edged sword” self damaging nature of the embargoes that it called up, and then insisted that its allies participated in.



    http://worldbank.einnews.com/pr_news/320802091/bouldoukian-papers-claim-united-states-is-choking-world-trade-with-its-debt-tax-havens-and-its-embargoes?n=2&code=vHNZfmAYFQ2E8Yi_


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    Post  bobhardee Mon Apr 11, 2016 7:47 pm

    4/11/2016  This is a world view and a little different perspective.  It does not in any way take away from anything that has been posted.  If you don't think we are in an economic crisis then surf the web or surf utube.  Type in world economy 2016 and you tube it and see what everyone of the videos is saying.   We are in serious trouble and it is going to impact the world and if you look at this, you could see how things could go from bad to worst.

    https://www.youtube.com/watch?v=uWG_-Ehos9w


    Last edited by bobhardee on Tue Apr 12, 2016 6:51 am; edited 1 time in total
    Carol
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    Post  Carol Mon Apr 11, 2016 11:30 pm

    Yep. It would be a good idea to keep cash on hand when the banks close down for a week or two. Prez O may declare martial law during that period given how volatile tensions are now where the average American feels disenfranchised when it even comes to voting. There is a lot of anger directed toward politicians, lying and corruption.


     


    This Is What Happens Behind Closed Doors When U.S. Presidents Meet With Fed Chairs
    Submitted by Tyler Durden on 04/11/2016 15:22 -0400

    As of this moment the world wonders, rightfully so, why Obama has to meet with Janet Yellen in private and just what information is so important that it can only be said behind closed doors.

    Perhaps sensing this confusion, White House spokesman Josh Earnest apologetically noted that President Obama "cares deeply about preserving both the appearance of and the fact of the independence of both the Federal Reserve" and Fed Chair Janet Yellen, White House Press Sec. Josh Earnest tells reporters in briefing; he added that he wouldn’t anticipate "even in a confidential setting" that Obama "would have a conversation" with Yellen "that would undermine" the ability to make "critical financial decisions independently."

    So with the topic of U.S. presidents preserving the independence of Fed chairs "even in a confidential setting" we recalled this particularly colorful anecdote demonstrating just how "independent" said Fed chairs are in "a confidential setting."

    From the NYT:

    ... in 1965, President Lyndon B. Johnson, who wanted cheap credit to finance the Vietnam War and his Great Society, summoned Fed chairman William McChesney Martin to his Texas ranch. There, after asking other officials to leave the room, Johnson reportedly shoved Martin against the wall as he demanding that the Fed once again hold down interest rates. Martin caved, the Fed printed money, and inflation kept climbing until the early 1980s.
     
    “I hope you have examined your conscience and you’re convinced you’re on the right track.” Lady Bird Johnson said to William McChesney Martin, on his arrival at the LBJ ranch.
    We hope this time it's different.
     
    http://www.zerohedge.com/news/2016-04-11/what-happens-behind-closed-doors-when-us-presidents-meet-fed-chairs


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    Post  Carol Mon Apr 11, 2016 11:42 pm

    Bernanke's Former Advisor: "People Would Be Stunned To Know The Extent To Which The Fed Is Privately Owned"

    Submitted by Tyler Durden on 04/11/2016 - 21:03INTERNATIONAL FINANCIAL PROGRESS REPORT - part 1 - Page 32 Octopus%20teaser_3
    Earlier today, former central bank staffer and Dartmouth College economics professor Andrew Levin, special adviser to then Fed Chairman Ben Bernanke between 2010 to 2012, said something shocking. "A lot of people would be stunned to know” the extent to which the Federal Reserve is privately owned, Mr. Levin said. The Fed “should be a fully public institution just like every other central bank” in the developed world, he said in a conference call announcing the plan. He described his proposals as "sensible, pragmatic and nonpartisan."


    Long, informative article: http://www.zerohedge.com/news/2016-04-11/bernankes-former-advisor-people-would-be-stunned-know-extent-which-fed-privately-own


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    Post  Carol Mon Apr 11, 2016 11:45 pm

    Former IMF Chief Economist Admits Japan's "Endgame" Scenario Is Now In Play

    Submitted by Tyler Durden on 04/11/2016 - 19:16INTERNATIONAL FINANCIAL PROGRESS REPORT - part 1 - Page 32 Blanchard
    Japan is heading for a full-blown solvency crisis as the country runs out of local investors and may ultimately be forced to inflate away its debt in a desperate end-game, one of the world’s most influential economists has warned.  "One day the BoJ may well get a call from the finance ministry saying please think about us – it is a life or death question - and keep rates at zero for a bit longer."
     "The BOJ is basically declaring that Japan will need to fix its long-term problems by 2018, or risk becoming a failed nation."
    [url=http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2014/10/BOJ expansion chart.jpg]INTERNATIONAL FINANCIAL PROGRESS REPORT - part 1 - Page 32 BOJ%20expansion%20chart_0[/url]
     
    Which is why 17 months ago we predicted that, contrary to expectations of even more QE from Kuroda, we said "the BOJ will not boost QE, and if anything will have no choice but to start tapering it down - just like the Fed did when its interventions created the current illiquidity in the US govt market - especially since liquidity in the Japanese government market is now non-existent and getting worse by the day."
    As part of our conclusion, we said we do not "expect the media to grasp the profound implications of this analysis not only for the BOJ but for all other central banks: we expect this to be summer of 2016's business."
    http://www.zerohedge.com/news/2016-04-11/former-imf-chief-economist-admits-japans-doomsday-scenario-now-play


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    Post  Carol Mon Apr 11, 2016 11:47 pm

    19 Signs That American Families Are Being Economically Destroyed

    Submitted by Tyler Durden on 04/11/2016 - 23:30INTERNATIONAL FINANCIAL PROGRESS REPORT - part 1 - Page 32 20160411_19
    The systematic destruction of the American way of life is happening all around us, and yet most people have no idea what is happening.
    Once upon a time in America, if you were responsible and hard working you could get a good paying job that could support a middle class lifestyle for an entire family even if you only had a high school education.  Things weren’t perfect, but generally almost everyone in the entire country was able to take care of themselves without government assistance. 
    We worked hard, we played hard, and our seemingly boundless prosperity was the envy of the entire planet.  But over the past several decades things have completely changed.
    We consumed far more wealth than we produced, we shipped millions of good paying jobs overseas, we piled up the biggest mountain of debt in the history of the world, and we kept electing politicians that had absolutely no concern for the long-term future of this nation whatsoever.  So now good jobs are in very short supply, we are drowning in an ocean of red ink, the middle class is rapidly shrinking and dependence on the government is at an all-time high
    Even as we stand at the precipice of the next great economic crisis, we continue to make the same mistakes.  In the end, all of us are going to pay a very great price for decades of incredibly foolish decisions.  Of course a tremendous amount of damage has already been done.  The numbers that I am about to share with you are staggering.  The following are 19 signs that American families are being economically destroyed… 
    #1 The poorest 40 percent of all Americans now spend more than 50 percent of their incomes just on food and housing.
    #2 For those Americans that don’t own a home, 50 percent of them spend more than a third of their incomes just on rent.
    #3 The price of school lunches has risen to the 3 dollar mark at many public schools across the nation.
    #4 McDonald’s “Dollar Menu & More” now includes items that cost as much as 5 dollars.
    #5 The price of ground beef has doubled since 2009.
    #6 In 1986, child care expenses for families with employed mothers used up 6.3 percent of all income.  Today, that figure is up to 7.2 percent.
    #7 Incomes fell for the bottom 80 percent of all income earners in the United States during the 12 months leading up to June 2014.
    #8 At this point, more than 50 percent of all American workers bring home less than $30,000 a year in wages.
    #9 After adjusting for inflation, median household income has fallen by nearly $5,000 since 2007.
    #10 According to the New York Times, the “typical American household” is now worth 36 percent less than it was worth a decade ago.
    #11 47 percent of all Americans do not put a single penny out of their paychecks into savings.
    #12 One survey found that 62 percent of all Americans are currently living paycheck to paycheck.
    #13 According to the U.S. Department of Education, 33 percent of all Americans with student loans are currently behind on their student loan debt repayments.
    #14 According to one recent report, 43 million Americans currently have unpaid medical debt on their credit reports.
    #15 The rate of homeownership in the U.S. has been declining for seven years in a row, and it is now the lowest that it has been in 20 years.
    #16 For each of the past six years, more businesses have closed in the United States than have opened.  Prior to 2008, this had never happened before in all of U.S. history.
    #17 According to the Census Bureau, 65 percent of all children in the United States are living in a home that receives some form of aid from the federal government.
    #18 If you have no debt at all, and you also have 10 dollars in your wallet, that you are wealthier than 25 percent of all Americans.
    #19 On top of everything else, the average American must work from January 1st to April 24thjust to pay all federal, state and local taxes.
    All of us know people that once were doing quite well but that are now just struggling to get by from month to month.
    Perhaps this has happened to you.
    If you have ever been in that position, you probably remember what it feels like to have people look down on you.  Unfortunately, in our society the value that we place on individuals has a tremendous amount to do with how much money they have.
    So if you don’t have much money, there are a lot of people out there that will treat you like dirt.  The following excerpt comes from a Washington Post article entitled “The poor are treated like criminals everywhere, even at the grocery store“…


    Want to see a look of pure hatred? Pull out an EBT card at the grocery store.
     
    Now that my kids are grown and gone, my Social Security check is enough to keep me from qualifying for government food benefits. But I remember well when we did qualify for a monthly EBT deposit, a whopping $22 — and that was before Congress cut SNAP benefits in November 2013. Like 70 percent of people receiving SNAP benefits, I couldn’t feed my family on that amount. But I remember the comments from middle-class people, the assumptions about me and my disability and what the poor should and shouldn’t be spending money on.
    Have you ever seen this?
    Have you ever experienced this yourself?
    These days, most people on food stamps are not in that situation because they want to be.  Rather, they are victims of our long-term economic collapse.
    And this is just the beginning.  When the next major economic crisis strikes, the suffering in this country is going to go to unprecedented levels.


    More: http://www.zerohedge.com/news/2016-04-11/19-signs-american-families-are-being-economically-destroyed


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    With deepest respect ~ Aloha & Mahalo, Carol
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    Post  Carol Tue Apr 12, 2016 12:55 pm

    As always take with grains of salt… First few paragraphs particularly interesting...


    Full Fulford:  The Asian Dragon Family has offered the owners of the Federal Reserve Board staggering quantities of gold at a 13% discount from the market price. The idea is for 10% of this money to be spent on a massive campaign to end poverty, stop environmental destruction and send humanity on a path for exponential expansion into the universe. The ball is now in the court of the US regime in Washington DC. That is why the US President and Vice President are having an emergency meeting on April 11 with Federal Reserve Board Chairperson Janet Yellen. A member of the Dragon family will also be at that meeting, CIA sources in Asia say.


    If the Feds refuse the Asians, the BRICS nations and the Europeans will announce a new international gold backed currency that can be exchanged for US dollars during a three month period. After that period, the US dollar will no longer be accepted by at least 188 countries, leaving the Washington regime isolated and bankrupt.


    In this event, to avoid war, the US military operations outside of the United States will continue to be financed using the new currency. The new regime that will inevitably replace the bankrupt Feds in the US will be free to issue their own currency with unlimited spending power inside the US.



    In addition to the financial sanctions against the Feds, the worlds’ martial arts societies will be mobilized to finish off the genocidal faction of the Khazarian mafia. Chodoin Daikaku, the ostensible head of many of the world’s martial arts factions, is being relieved of his duties and will be replaced by Masaaki Hatsumi, head of the Bujinkan Dojo. The reason for this is that Daikaku, whose real name is Ryosuke Matsuura, has refused to mobilize the martial arts societies under his supposed leadership despite being presented with ample proof that the Khazarian mafia has been actively trying to murder more than 90% of the world’s population. In other words, multiple blows have been struck against the human race and, despite a legitimate need for self-defense, he does nothing.


    The evidence he ignores includes multiple attempts to start World War 3, the spreading of bio-weapons like ebola, HIV, and SARS, attempts to cause mass starvation by paying farmers to grow fuel, not food and much more. Not only that, having failed in these attempts to kill the billions the Satanists announced they would kill, it appears they are getting ready for some massive sacrificial event: at least one thousand temples to Baal are being built around the world. In ancient times children were traditionally burned in sacrifice to Baal, also known as Molech and later Set and finally now Satan.
    http://nypost.com/2015/12/29/3-d-printing-to-bring-syrian-arch-destroyed-by-isis-back-to-life/


    The fact remains the regime of Barack Obama in the United States has not arrested any of the perpetrators or planners of these atrocities. This means that all members of the military, the police, the agencies and martial arts societies must go up the chain of command and insist action be taken before more deaths occur.


    Fortunately, there is evidence that at least some serious action is being taken. For one thing, the entire Swiss branch of the Rothschild family is wanted by the police, according to Pentagon sources. The Swiss Rothschild branch, who control the BIS, are considered the head of the octopus by many informed investigators. This is just the beginning of the take down, they promise.


    An important thing to realize is that the “Panama Papers” operation now being widely reported on in the corporate media is not what it seems, multiple sources agree. The fact that it is mainly leaders of countries associated with the Nazi faction of the Khazarian mob, like the heads of the Ukraine, the UAE, Qatar, Georgia and Saudi Arabia, who have been exposed gives you a hint of the bigger plot. In reality the Panama Papers is a giant sting operation designed to lure the world’s $31 trillion in offshore money into the US, CIA and other sources say. This is where it will be confiscated to help plug the giant black hole in the US government’s accounts, the sources say. That is why corporate media outlets like Bloomberg and the Wall Street Journal are running big articles saying that Reno, Nevada is the only safe place in the world for hot money. That is also why they are reporting the Rothschilds have set up shop in Reno and are encouraging clients to manage their funds there.


    More importantly, the Panama Papers operation is part of a major campaign to shut down all of the world’s offshore tax havens. Already the British tax havens like the Cayman Islands have lost the ability to hide underground money or help people avoid taxes due to new disclosure regulations.



    An official at US military intelligence said “Panama was an intelligence operation aimed at exposing corruption and inducing regime change [including in the US].”


    The operation is also designed to “blackmail or prosecute cabal members who hide their stolen loot offshore,” he continued.
    Some of the names in the Panama Papers that have not been made public include Hillary Clinton’s “team,” the Bushes and many US oligarchs, politicians and judges, he adds.


    The Globo TV network that is trying to induce regime change in Brazil has also been implicated together with Argentine President Mauricio Macri and drug lords like El Chapo.


    In response to Panama, the agent noted “the elites panicked and set a fire in the basement of the Internal Revenue Service’s headquarters,” in a failed attempt to cover up incriminating evidence.


    FBI efforts to arrest Hillary Clinton are also gaining steam. Last week President Obama was forced to guarantee on Fox TV that Hillary will not get special treatment, “which means no plea deal and no pardon,” FBI sources say. She is due to be interrogated soon by the head of the FBI “for the serious crime of running a private foreign policy and intelligence operation,” while in an official post.


    Hopefully Clinton will also be brought to justice for her crimes against the people of Haiti and her embezzlement of Red Cross money that was intended for the victims of the sea-bed nuclear weapon induced tsunami attack against that country.


    The Panama Papers operation has also been used by the Western corporate media to make it appear as if Russian President Vladimir Putin was involved in shady offshore dealings. However, Russian sources are saying this attack has given them the excuse they need to start declassifying Soviet Union records from 1930-1989 that identify collaborators in America and Europe who secretly worked with Soviet Communism.


    The Russians will also expose the families and businesses who worked with Hitler.


    On top of that, the Russians plan to show who in the West is still trying to undermine the US and the EU.


    There is also Russian/US cooperation in identifying and eliminating key agents working for the Khazarian mafia in the West and in Russia, the sources say.



    In Turkey, meanwhile, the evacuation of US troops, with the exception of a special ops crew guarding the nuclear weapons there, is aimed in part at cutting off Bush cabal drug running at the Incirlik airbase, Pentagon sources say.


    Turkish and Israeli attempts to stir up fighting between Moslems and Christians in Nagorno Kabarakh have been stopped by the Russians. This was a desperate attempt by the Turks to prevent Russia from moving on the rogue Recep Erdogan regime in Turkey.


    In Asia, meanwhile, news reports about Japanese plutonium being transported by British ships to the US
    http://www.japantimes.co.jp/news/2016/03/21/national/two-british-ships-arrive-in-japan-to-transport-plutonium-for-storage-in-u-s/
    are a cover story for the fact the fraudulently elected government of Shinzo Abe is being forced to dismantle Japan’s arsenal of nuclear armed missiles. Many of these missiles have been sent to North Korea to prevent their dismantling, which is why there has been a recent spate of news reports about North Korean nuclear missiles, White Dragon Society sources in Japan say.


    When the battle for the planet earth ends, this writer intends to charge Abe with being involved in murder attempts against me. This is because on June 30th, 2012 I was stabbed with a poison needle by a North Korean agent named Mutsuaki Okubo. This incident took place in front of many witnesses and was even video-taped. Despite twice making official police complaints, once to the Musashino Police, and another time to the Marunouchi police, the Japanese government, officially headed by Abe, has taken no action. This means Abe is complicit. Furthermore Chodoin Daikaku has admitted Okubo was his disciple but he has also failed to take action in this case.


    Personal grievances aside, the Abe regime is also looting the Japanese economy to financialy support its Khazarian mob masters. The looting, as reported before, is taking the form of putting Japanese pension money and savings into the stock market, where it is transferred to Khazarian mob controlled trust funds. That is why the Japanese stock market keeps rising even as foreigners continue to sell.


    http://www.zerohedge.com/news/2016-04-10/blackrock-turns-its-back-japan-leaving-kuroda-scrambling


    The money being looted from Japan is not enough to save the Wall Street Khazarian gangsters because they are reeling from low energy prices plus the loss of drug money and of investment banking fees, their only legitimate source of income. Most big mergers being organized by the Banksters are also being stopped because they are creating anti-competitive monopolies and oligopolies.


    The fact banks have started to offer negative interest rate mortgages and consumer loans in the Netherlands, Belgium and Germany is a clear sign the entire system of Babylonian debt slavery is falling apart. That is because people are realizing these banksters are creating money out of nothing and using this illusion of money to create debt slaves. So, even if a bank lends somebody 100 dollars but says they only have to pay back 90 dollars because of negative interest rates, it still means you have to work to earn 90 dollars to pay them for “money” they created out of nothing but illusion.


    Humanity is waking up and it will not be long now before the rule of Khazarian Satan worshipping human slavers ends forever.


    On a final note, this writer is now aware of 20,000 tons of gold held in six different locations that is being being made available by the Dragon family for the benefit of the human race and the other life forms on this planet. This is only a fraction of the total the Asians have.


    _________________
    What is life?
    It is the flash of a firefly in the night, the breath of a buffalo in the wintertime. It is the little shadow which runs across the grass and loses itself in the sunset.

    With deepest respect ~ Aloha & Mahalo, Carol
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    Post  Carol Tue Apr 12, 2016 1:01 pm


    Turtleisland1: William Black ( KCMO Law Professor) Congressional Testimony on the Central Banks 
     



    Bill Black: Our System is So Flawed That Fraud is Mathematically Guaranteed 


     
    Greenrage: The April Emergency The Fed Doesn’t Want You To Know About – Mike Maloney **


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    Post  Carol Tue Apr 12, 2016 3:17 pm

    Stock Up on Cash?
    Bix Weir bix@roadtoroota.com


    I find it very interesting that the Banksters are pushing for a "cashless society" when THEY control that side of the equation 100%.


    Yes, they hold most of the cash. They control the outflow of it and they control the dispersion mechanisms...the ATM's!


    At the end of the day, they don't need your permission to go cashless. All they have to do is go bankrupt and Voila!...We The People are all "cashless."


    The cashless world is coming but it won't be in the kind of scenario that the Banksters had originally planned.


    It will be in a world where the banks are no longer operating.


    So stock up on a bit of cash in your hand for the coming transition. Low denomination bills (and coins!) will be best because there will not be much money to "make change."


    I have been working on a very, very special disclosure project to make The Road to Roota Theory much more accessible and understandable to "The Average Joe."  When (not if) the Road to Roota Theory is proven to be correct it will be the most important Monetary Conspiracy Story since the creation of the Federal Reserve System on Jekyll Island and it is important for EVERYONE to understand the TRUTH about what happened in order to move forward


    If all goes well the "Roota Disclosure Project" be released next week - just in time for those seeking answers to the question...


    WHY?


    May the Road you choose be the Right Road.


    Bix Weir
    www.RoadtoRoota.com


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    Post  Carol Tue Apr 12, 2016 4:33 pm

    GOLDMAN SACHS WILL PAY $5B FOR FRAUDULENT SALES OF TOXIC DEBT, NO ONE WILL GO TO JAIL 


    No one at Goldman Sachs will go to jail despite the company's world-destroying, multi-billion-dollar frauds that culminated in its unloading billions' worth of worthless mortgage-backed securities on its customers just before the crash. Goldman's settlement requires it to admit that it knowingly committed these frauds for years on end.
    The deal was negotiated through the Residential Mortgage-Backed Securities Working Group, a joint state and federal working group formed in 2012 to share resources and continue investigating wrongdoing in the mortgage-backed securities market prior to the financial crisis.
    New York Attorney General Eric Schneiderman, who serves on the working group, says the funds obtained by the settlement will go toward helping residents keep their homes and rebuild their communities.
    “This settlement, like those before it, ensures that these critical programs—such as mortgage assistance, principal forgiveness, and code enforcement—will continue to get funded well into the future, and will be paid for by the institutions responsible for the financial crisis,” Schneiderman says in a statement.
    http://www.blacklistednews.com/Goldman_Sachs_Will_Pay_%245B_for_Fraudulent_Sales_of_Toxic_Debt%2C_No_One_Will_Go_to_Jail_/50424/0/38/38/Y/M.html


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    Post  Carol Tue Apr 12, 2016 10:38 pm

    U.S. to push G20, IMF members on currency, infrastructure issues   
    Tue Apr 12, 2016 3:33pm EDT 
    The United States will keep currency issues on the boil during this week's meetings of the G20 major economies, International Monetary Fund and World Bank, urging faster progress toward market-driven exchange rates, a senior U.S. Treasury official said on Tuesday.


    The official also told reporters the United States would try to encourage greater investment in infrastructure as a way to boost near-term demand while also increasing longer-term growth prospects.


    "Throughout the upcoming discussions, we will emphasize the importance that all G20 members honor their commitments to move more rapidly to more market determined exchange rate  systems, avoid persistent exchange rate misalignments and refrain from targeting exchange rates for competitive purposes," the official said. 


    (Reporting By David Lawder; Editing by Andrea Ricci) 
     http://www.reuters.com/article/us-imf-g20-usa-idUSKCN0X92GR


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    Post  Carol Wed Apr 13, 2016 11:26 am

    U.S. treasury secretary calls for reform of int'l financial system

    April 12, 2016

    U.S. Treasury Secretary Jacob Lew on Monday called for reform of the international financial architecture to allow the United States to continue benefiting from the system.

    In a speech delivered at the Council on Foreign Relations, a think tank,

    Lew said that the United States have reaped significant benefits from the international financial architecture put in place after World War II, and it has to take necessary steps to preserve and strengthen the country's position and secure the benefits.

    The United States should work with its partners to further modernize the International Monetary Fund and the global trading system, make the World Bank and the regional development banks more efficient and effective, and reform the international financial regulatory system, Lew said.

    With regard to the relationship with China, Lew said the United States and China have a unique responsibility to work together to advance shared prosperity, maintain a constructive global economic order, and make progress on critical challenges like climate change. Endi


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    Post  Carol Wed Apr 13, 2016 12:16 pm

    Malaysian Currency Takes Down the Mighty Yen in 2016 Gain: Chart
    Malaysia’s ringgit has rebounded from a horror start in the first half of January to overtake the yen as Asia’s top performer in 2016, buoyed by a recovery in oil prices and a cooling off in political risk. The currency has strengthened more than 11 percent this year and analysts have turned less bearish, with forecasts of 4.10 per dollar by end-June, compared with 4.35 at the start of 2016. The ringgit rose to an eight-month high of 3.8465 on Wednesday, extending its rally from a 17-year low in September.


    http://www.bloomberg.com/news/articles/2016-04-13/malaysian-currency-takes-down-the-mighty-yen-in-2016-gain-chart


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    Post  Carol Wed Apr 13, 2016 12:37 pm

    Frontrunning: April 13
    Submitted by Tyler Durden on 04/13/2016 07:47 -0400




    • China trade surprise gives stocks a lift (Reuters)
    • JPMorgan profit hurt by drop in investment banking revenue (Reuters)
    • About 40,000 Verizon workers launch strike (Reuters)
    • Regulators Set to Reject Some Big Banks’ ‘Living Wills’ (WSJ)
    • More Startups Are Getting Lower Valuations Than Joining the Billion-Dollar Club (BBG)
    • Closures and court cases leave Turkey's media increasingly muzzled (Reuters)
    • PBOC Seen Averting Cash Shortage as $155 Billion Leaves Market (BBG)
    • Mossack Fonseca Says It's Cooperating After Panama Office Raids (BBG)
    • Tax-Rule Changes Ripple Widely (WSJ)
    • VW says management bonuses to be cut significantly (Auto News)
    • IMF Sees No Cause for Japan to Intervene Now in Currency Market (BBG)
    • China Steelmaker Misses 3rd Bond Payment as Defaults Spread (BBG)
    • Syrians vote for parliament as diplomacy struggles (Reuters)
    • Who Loses the Most From ‘Brexit’? Try Goldman Sachs (WSJ)
    • Coal Slump Sends Mining Giant Peabody Energy Into Bankruptcy (BBG)
    • In Libya, Islamic State struggles to gain support (Reuters)
    • Inside the Nondescript Building Where Trillions Trade Each Day (BBG)

     
    Overnight Media Digest
    WSJ
    - Regulators are set to reject the so-called living wills of at least half of the U.S.'s systemically important banks, including J.P. Morgan Chase & Co, sending them scrambling to revise plans for a potential bankruptcy, according to people familiar with the matter.(http://on.wsj.com/1Vl4q2K)
    - The Treasury Department's new corporate rules will reach far beyond the few companies that moved their legal addresses to low-tax countries, forcing many firms based in the U.S. to change their internal financing strategies and tax planning. (http://on.wsj.com/1TQkMiR)- A large holder of Valeant Pharmaceuticals International Inc's bonds called a default as a result of the Canadian drugmaker's failure to file its annual report earlier this year, adding to the litany of woes it faces. (http://on.wsj.com/1VTibEJ)
    - Chip maker Integrated Device Technology was the subject of a mysterious regulatory filing Tuesday, submitted by individuals claiming to own a chunk of the company and looking to buy the rest of it at a steep premium. (http://on.wsj.com/1qPDifX)
    - The Central Intelligence Agency and its regional partners have drawn up plans to supply more-powerful weapons to moderate rebels in Syria fighting the Russia-backed regime in the event the country's six-week-old truce collapses.(http://on.wsj.com/1YsO9Hb)
    FT
    Oil services provider Schlumberger is cutting back on some of its activity in Venezuela due to insufficient funds. (http://bit.ly/1T2s4xu)
    Deutsche Bank AG has frozen plans to expand in North Carolina after a law that overturns protections for gay people. (http://bit.ly/1T2sfsQ)
    U.S. House of Representatives Speaker Paul Ryan ruled himself out as a potential Republican presidential nominee, ending speculation that he could be a choice if Donald Trump and Ted Cruz failed to win enough delegates. (http://bit.ly/1T2sEeT)
    NYT
    - As Puerto Rico has spiraled toward possible bankruptcy, the island's sole representative in Congress has seen his family wealth swell, thanks in part to Wall Street companies that have sought to capitalize on the island's financial crisis and have hired his wife to advise them. (http://nyti.ms/1YsNUvN)
    - The Swiss authorities said that they had started a criminal investigation into two officials in charge of a sovereign wealth fund in Abu Dhabi, in the United Arab Emirates, as part of an inquiry into the financial transactions of the troubled Malaysian state investment fund 1Malaysia Development Berhad. (http://nyti.ms/1SyfLWH)
    - The world's finance ministers opened their annual spring meeting on Tuesday facing dampened expectations for global growth and warnings about financial risks and political movements toward nationalism and protectionism - in the United States and abroad. (http://nyti.ms/1WqTkc4)
    - European Union officials waded into the fight against international tax dodging, calling for the world's biggest companies to disclose more data about their tax arrangements with the bloc's member governments and to share information about offshore havens where they shelter money. (http://nyti.ms/1SM29Yt)
     
    Britain
    The Times
        
    Inflation has risen to its highest level in nearly 18 months, with prices pushed higher by an early Easter holiday and a rise in airfares, the Office for National Statistics said. A 22.9 percent rise in the cost of flights in March was largely responsible for the better-than-expected 0.5 percent increase in the consumer prices index, the statistics office said. (bit.ly/1Xu46fV)
        
    Royal Dutch Shell has signalled that it is likely to sell some of its older North Sea assets. Ben van Beurden, Shell's chief executive, said that the company would have to consider its operations in the region as he sets about delivering the $30 billion of disposals earmarked when announcing the 36 billion pound acquisition of BG Group last year. (bit.ly/1NniSzn)
        

    The Guardian
    B&Q is offering workers two years' compensation and further negotiations over their pay packages after nearly 136,000 people signed a petition against the retailer's planned cuts to employee benefits. (bit.ly/1RSw6JW)
    Tax investigators from 28 countries will meet in Paris on Wednesday to launch an unprecedented international inquiry following the publication of the "Panama Papers". (bit.ly/1NmSSEr)
                

    The Telegraph
    Major Tory donors are preparing to fund a grassroots campaign to leave the European Union following David Cameron's decision to spend millions of pounds on a pro-EU leaflet, the Telegraph can disclose. (bit.ly/1oVyJ1V)
        

    Amazon.com Inc is in talks with British broadcasters to add their channel brands and programmes to its streaming service. The company is attempting to adapt its American Streaming Partners Programme to the UK media market and make its Prime Instant Video service and Fire TV set-top box hardware into a more credible alternative to Sky and Virgin Media, and give it an edge over Netflix Inc. (bit.ly/1SLO1yl)
        

    Sky News
        
    Large companies operating in the European Union will be forced to publish key information on the profits they make and taxes they pay in each EU country under plans published on Tuesday. (bit.ly/1S50EVm)
        
    Brexit could cause severe damage to the global economy, the International Monetary Fund has warned. The IMF used its closely-watched World Economic Outlook report to slash its forecast for UK economic growth and warned if Britain were to leave the European Union it "could do severe regional and global damage by disrupting established trading relationships". (bit.ly/20zOCcf)
        
    The Independent
        
    Greater transparency could be imposed on multinational companies operating in the European Union after the European Commission unveiled plans to require all large firms to disclose their profits earned and taxes paid in each of the bloc's countries, as well as in overseas tax havens. (ind.pn/1MrQQrK)
          
    A formal inquiry is to open into the UK Home Office's treatment of international students after Home Secretary Theresa May wrongly deported almost 50,000 students in the wake of the TOEIC English exam scam. (ind.pn/1SLtwSe)

    http://www.zerohedge.com/news/2016-04-13/frontrunning-april-13


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    Post  Carol Wed Apr 13, 2016 12:47 pm

    Hate Taxes? You Certainly Are Not Alone...
    Submitted by Tyler Durden on 04/12/2016 

    Submitted by Michael Snyder via The Economic Collapse blog,
    At this time of the year, millions of Americans are rushing to file their taxes at the last minute, and we are once again reminded just how nightmarish our system of taxation has become
    I studied tax law when I was in law school, and it is one of the most mind-numbing areas of study that you could possibly imagine.  At this point, the U.S. tax code is somewhere around 4 million words long, which is more than four times longer than all of William Shakespeare’s works put together.  And even if you could somehow read the entire tax code, it is constantly changing, and so those that prepare taxes for a living are constantly relearning the rules. 
    It has been said that Americans spend more than 6 billion hours preparing their taxes each year, and Politifact has rated this claim as true.  We have a system that is as ridiculous as it is absurd, and the truth is that we don’t even need it.  In fact, the greatest period of economic growth in all of U.S. history was when there was no income tax at all.  Why anyone would want to perpetuate this tortuous system is beyond me, and yet we keep sending politicians to Washington D.C. that just keep making this system even more complicated and even more burdensome.
    If you hate taxes, you are far from alone.  According to NBC News, here are some of the things that Americans would rather do than pay taxes…


    Six percent would rather sell a kidney, eight percent would rather name their first-born “Taxes,” and 11 percent would rather spend three years cleaning the bathrooms at noro-torious Chipotle.
    Of course our system was never intended to be like this anyway.  Our founders hated taxes, and they fought a very bitter war to escape the yoke of oppressive taxation.  During his very first inaugural address, Thomas Jefferson clearly expressed what he thought about taxes…


    A wise and frugal government… shall restrain men from injuring one another, shall leave them otherwise free to regulate their own pursuits of industry and improvement, and shall not take from the mouth of labor the bread it has earned. This is the sum of good government.
    Why couldn’t we have listened to him?
    When the federal income tax was originally introduced a little more than a century ago, most Americans were taxed at a rate of only 1 percent.
    But of course once they get their feet in the door, the social planners always want more, and today we are being taxed into oblivion.  Below, I would like to share with you three quick facts about our taxes that come from the Tax Foundation
    -This year, Tax Freedom Day falls on April 24, or 114 days into the year (excluding Leap Day).
    -Americans will pay $3.3 trillion in federal taxes and $1.6 trillion in state and local taxes, for a total bill of almost $5.0 trillion, or 31 percent of the nation’s income.
    -Americans will collectively spend more on taxes in 2016 than they will on food, clothing, and housing combined.
    That last statistic is a huge sore point with me.
    How can anyone argue that we are not a socialist society when the government takes more of our money than we spend on food, clothing and housing combined?
    What they are doing to us is deeply wrong and it is fundamentally un-American.
    And of course the elite have the resources to be able to hire very expensive tax attorneys that help them manipulate the game in their favor.  At the end of the day, many extremely wealthy Americans end up paying a much lower percentage of their income to the government than you or I do.
    For example, just consider what the Clintons have been doing


    The Clintons and their family foundation have at least five shell companies registered to the address 1209 North Orange Street in Wilmington, Delaware — which is also home to some 280,000 other companies who use the location to take advantage of the state’s low taxes, limited disclosure requirements, and other business incentives.


    Two of the five are tied to Bill and Hillary Clinton specifically. One, WJC, LLC, is used by the former president to collect his consulting fees. The other, ZFS Holdings, LLC, was used by the former secretary of state to process her $5.5 million book advance from Simon & Schuster. Three additional shell companies belong to the Clinton Foundation.
    One could argue that they are simply “playing the game”, but why do we have to play such a complicated game in the first place?
    Another thing that frustrates me is how our tax money is being wasted.  Speaking of the Clintons, did you know that Bill Clinton still receives close to a million dollars from the federal government every year?  Since he left office in 2001, he has been given approximately 16 million of our tax dollars.
    Does that seem right to you?
    Of course there are other examples that should make us all sick as well.  Tens of millions of our tax dollars have been spent on Obama vacations, and Planned Parenthood received 528 million taxpayer dollars in one recent year.
    Our system is deeply, deeply broken, but I am under no illusion that it will change any time soon.  It will probably just continue to roll along until it eventually collapses under its own weight.
    And of course it isn’t just income taxes that I am talking about.  Our politicians have become masters at inventing ways to extract money from all of us.  If you doubt this, just look at the list that I have shared below.  It comes from my previous article entitled “A List Of 97 Taxes Americans Pay Every Year, and it shows how the politicians are squeezing money out of us in just about every way that you can imagine…
    #1 Air Transportation Taxes (just look at how much you were charged the last time you flew)
    #2 Biodiesel Fuel Taxes
    #3 Building Permit Taxes
    #4 Business Registration Fees
    #5 Capital Gains Taxes
    #6 Cigarette Taxes
    #7 Court Fines (indirect taxes)
    #8 Disposal Fees
    #9 Dog License Taxes
    #10 Drivers License Fees (another form of taxation)
    #11 Employer Health Insurance Mandate Tax
    #12 Employer Medicare Taxes
    #13 Employer Social Security Taxes
    #14 Environmental Fees
    #15 Estate Taxes
    #16 Excise Taxes On Comprehensive Health Insurance Plans
    #17 Federal Corporate Taxes
    #18 Federal Income Taxes
    #19 Federal Unemployment Taxes
    #20 Fishing License Taxes
    #21 Flush Taxes (yes, this actually exists in some areas)
    #22 Food And Beverage License Fees
    #23 Franchise Business Taxes
    #24 Garbage Taxes
    #25 Gasoline Taxes
    #26 Gift Taxes
    #27 Gun Ownership Permits
    #28 Hazardous Material Disposal Fees
    #29 Highway Access Fees
    #30 Hotel Taxes (these are becoming quite large in some areas)
    #31 Hunting License Taxes
    #32 Import Taxes
    #33 Individual Health Insurance Mandate Taxes
    #34 Inheritance Taxes
    #35 Insect Control Hazardous Materials Licenses
    #36 Inspection Fees
    #37 Insurance Premium Taxes
    #38 Interstate User Diesel Fuel Taxes
    #39 Inventory Taxes
    #40 IRA Early Withdrawal Taxes
    #41 IRS Interest Charges (tax on top of tax)
    #42 IRS Penalties (tax on top of tax)
    #43 Library Taxes
    #44 License Plate Fees
    #45 Liquor Taxes
    #46 Local Corporate Taxes
    #47 Local Income Taxes
    #48 Local School Taxes
    #49 Local Unemployment Taxes
    #50 Luxury Taxes
    #51 Marriage License Taxes
    #52 Medicare Taxes
    #53 Medicare Tax Surcharge On High Earning Americans Under Obamacare
    #54 Obamacare Individual Mandate Excise Tax (if you don’t buy “qualifying” health insurance under Obamacare you will have to pay an additional tax)
    #55 Obamacare Surtax On Investment Income (a new 3.8% surtax on investment income)
    #56 Parking Meters
    #57 Passport Fees
    #58 Professional Licenses And Fees (another form of taxation)
    #59 Property Taxes
    #60 Real Estate Taxes
    #61 Recreational Vehicle Taxes
    #62 Registration Fees For New Businesses
    #63 Toll Booth Taxes
    #64 Sales Taxes
    #65 Self-Employment Taxes
    #66 Sewer & Water Taxes
    #67 School Taxes
    #68 Septic Permit Taxes
    #69 Service Charge Taxes
    #70 Social Security Taxes
    #71 Special Assessments For Road Repairs Or Construction
    #72 Sports Stadium Taxes
    #73 State Corporate Taxes
    #74 State Income Taxes
    #75 State Park Entrance Fees
    #76 State Unemployment Taxes (SUTA)
    #77 Tanning Taxes (a new Obamacare tax on tanning services)
    #78 Telephone 911 Service Taxes
    #79 Telephone Federal Excise Taxes
    #80 Telephone Federal Universal Service Fee Taxes
    #81 Telephone Minimum Usage Surcharge Taxes
    #82 Telephone State And Local Taxes
    #83 Telephone Universal Access Taxes
    #84 The Alternative Minimum Tax
    #85 Tire Recycling Fees
    #86 Tire Taxes
    #87 Tolls (another form of taxation)
    #88 Traffic Fines (indirect taxation)
    #89 Use Taxes (Out of state purchases, etc.)
    #90 Utility Taxes
    #91 Vehicle Registration Taxes
    #92 Waste Management Taxes
    #93 Water Rights Fees
    #94 Watercraft Registration & Licensing Fees
    #95 Well Permit Fees
    #96 Workers Compensation Taxes
    #97 Zoning Permit Fees
    So after reading all of this, are you still satisfied with how our present system operates?


    http://www.zerohedge.com/news/2016-04-12/hate-taxes-you-certainly-are-not-alone


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    Post  Carol Thu Apr 14, 2016 10:18 am

    101 Years Of The Income Tax (In 1 Depressing Table)
    Submitted by Tyler Durden on 04/14/2016 
     
    More is always better, right?
     
    INTERNATIONAL FINANCIAL PROGRESS REPORT - part 1 - Page 32 20160414_tax_0
    Source: The Burning Platform
    As we noted previously, if you hate taxes, you are far from alone.  According to NBC News, here are some of the things that Americans would rather do than pay taxes…


    Six percent would rather sell a kidney, eight percent would rather name their first-born “Taxes,” and 11 percent would rather spend three years cleaning the bathrooms at noro-torious Chipotle.
    Of course our system was never intended to be like this anyway.  Our founders hated taxes, and they fought a very bitter war to escape the yoke of oppressive taxation.  During his very first inaugural address, Thomas Jefferson clearly expressed what he thought about taxes…


    A wise and frugal government… shall restrain men from injuring one another, shall leave them otherwise free to regulate their own pursuits of industry and improvement, and shall not take from the mouth of labor the bread it has earned. This is the sum of good government.
    Why couldn’t we have listened to him?


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    Post  Carol Thu Apr 14, 2016 10:21 am

    Deutsche Bank Confirms Silver Market Manipulation In Legal Settlement, Agrees To Expose Other Banks

    Submitted by Tyler Durden on 04/14/2016 - 09:50INTERNATIONAL FINANCIAL PROGRESS REPORT - part 1 - Page 32 Silver%20bards
    In a stunning victory for "conspiracy theorists" within the precious metals space, overnight Deutsche Bank not only agreed to settle a lawsuit accusing it of manipulating the silver fix, but also agreed to help the plaintiffs pursue similar claims against other banks as part of the settlement by providing instant messages and other communications. And so the former cartel members are turning on each other.
    But wait there's more. 
    In a curious twist, the settlement letter reveals a stunning development, namely that the former members of the manipulation cartel have turned on each other. To wit:


    “In addition to valuable monetary consideration, Deutsche Bank has also agreed to provide cooperation to plaintiffs, including the production of instant messages, and other electronic communications, as part of the settlement. In Plaintiff’s estimation, the cooperation to be provided by Deutsche Bank will substantially assist Plaintiffs in the prosecution of their claims against the non-settling defendants.”
    The full shocking letter can be read here:
    [url=http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2016/04/09/silver settlement letter.jpg]INTERNATIONAL FINANCIAL PROGRESS REPORT - part 1 - Page 32 Silver%20settlement%20letter_0[/url]
    Since this is just one of many lawsuits filed over the past two years in Manhattan federal court in which investors accused banks of conspiring to rig rates or prices in financial and commodities markets, we expect that now that DB has "turned" that much more curious information about precious metals rigging will emerge, and will confirm what the "bugs" had said all along: that the precious metals market has been rigged all along.
    Finally, we'll just remind readers that the US commodity "regulator", the CFTC in 2013 closed its five year investigation concerning allegations that the biggest bullion banks manipulate silver markets and prices.  It proudly reported in September 2013 that it found no evidence of wrongdoing and dropped the probe. This is what it said:


    The Commodity Futures Trading Commission (CFTC or Commission) Division of Enforcement has closed the investigation that was publicly confirmed in September 2008 concerning silver markets. The Division of Enforcement is not recommending charges to the Commission in that investigation. For law enforcement and confidentiality reasons, the CFTC only rarely comments publicly on whether it has opened or closed any particular investigation. Nonetheless, given that this particular investigation was confirmed in September 2008, the CFTC deemed it appropriate to inform the public that the investigation is no longer ongoing. Based upon the law and evidence as they exist at this time, there is not a viable basis to bring an enforcement action with respect to any firm or its employees related to our investigation of silver markets.
    In light of this confirmation that the CFTC's probe was "lacking" perhaps it is perhaps time for the so-called regulator who at the time was headed by ex-Goldmanite Gary Gensler, to reopen its investigation?
    http://www.zerohedge.com/news/2016-04-14/case-closed-deutsche-bank-confirms-silver-market-manipulation-legal-settlement-agree


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    Post  Carol Thu Apr 14, 2016 10:23 am

    The Entire Status Quo Is A Fraud
    Submitted by Tyler Durden on 04/14/2016 09:37 -0400


    Submitted by Charles Hugh-Smith of OfTwoMinds blog,


    Fraud as a way of life caters an extravagant banquet of consequences.
    This can't be said politely: the entire status quo in America is a fraud.
    The financial system is a fraud. 
    The political system is a fraud. 
    National Defense is a fraud. 
    The healthcare system is a fraud. 
    Higher education is a fraud. 
    The mainstream corporate media is a fraud. 
    Culture--from high to pop--is a fraud. 
    Need I go on?
    We have come to accept fraud as standard operating practice in America, to the detriment of everything that was once worthy. Why is this so?


    One reason, which I outline in my book A Radically Beneficial World: Automation, Technology and Creating Jobs for All, is that centralized hierarchies select for fraud and incompetence. Now that virtually every system in America is centralized or regulated by centralized hierarchies, every system in America is fraudulent and incompetent.
    Nassim Taleb explains this further in his recent article How To Legally Own Another Person(via Lew G.)


    The three ingredients of fraud are abundant: pressure (to get an A, to please your boss, to make your sales numbers, etc.), rationalization (everybody's doing it) and opportunity.


    INTERNATIONAL FINANCIAL PROGRESS REPORT - part 1 - Page 32 Fraud-triangle
    Taleb explains why failure and fraud become the status quo: admitting error and changing course are risky, and everyone who accepts the servitude of working in a centralized hierarchy--by definition, obedience to authority is the #1 requirement-- is averse to risk.


    As as I explain in my book, these systems select for risk aversion and the appearance of obedience to rules and authority while maximizing personal gain: in other words, fraud as a daily way of life.


    Truth is a dangerous poison in centralized hierarchies: anyone caught telling the truth risks a tenner in bureaucratic Siberia. (In the Soviet Gulag ,a tenner meant a ten-year sentence to a labor camp in Siberia.)


    And so the truth is buried, sent to a backwater for further study, obfuscated by jargon, imprisoned by a Top Secret stamp, or simply taken out and executed. Everyone in the system maximizes his/her personal gain by going along with the current trajectory, even if that trajectory is taking the nation off the cliff.


    Consider the F-35 Joint Strike Fighter, a $1+ trillion failure. The aircraft is underpowered, under-armed, insanely overpriced, insanely over-budget and still riddled with bugs after seven years of fixes, making it an unaffordable maintenance nightmare that puts our servicepeople and nation at risk.


    But no one in a position of power will speak the truth about the F-35, because it is no longer a weapons system--it's a jobs program. Defense contractors are careful to spread the work of assembling parts of the F-35 to 40+ states, so 80+ senators will support the program, no matter how much a failure it is as a weapons system, or how costly the failure is becoming.
    A rational person in charge would immediately cancel it and start from scratch, with a program run outside the Pentagon and outside congressional meddling. But this is impossible in America: instead, we build failed, under-armored, under-powered, under-armed and unreliable ships (LCS) and failed under-powered, under-armed and unreliable fighters as the most expensive make-work programs in history.


    As for our failed healthcare system, one anecdote will do. (You undoubtedly have dozens from your own experience.) A friend from Uruguay with a high-tech job in the U.S. recently flew home to Montevideo for a medical exam because 1) the cost of the flight was cheaper than the cost of the care in the U.S. and 2) she was seen the next day in Montevideo while it would have taken two months to get the same care in the U.S.
    I've listed dozens of examples here over the years: $120,000 for a couple days in a hospital, no procedures performed; $20,000+ for a single emergency room visit, no procedures performed; several thousand dollars charged to Medicare for a few minutes in an "observation room" that was occupied by patients, no staff present--the list is endless.


    We've habituated to fraud as a way of life because every system is fraudulent. Consider the costly scam known as higher education. The two essentials higher education should teach are: 1) how to learn anything you need to learn or want to learn on your own, and 2) how to think, behave, plan and function entrepreneurially (i.e. as an autonomous problem-solver and lifelong learner who cooperates and collaborates productively with others) as a way of life.


    That higher education fails to do so is self-evident. We could create a highly effective system of higher education that costs 10% of the current corrupt system. I've described such a system (in essence, a directed apprenticeship as opposed to sitting in a chair for four years) in The Nearly Free University and the Emerging Economy: The Revolution in Higher Education.


    As for what passes as culture in the U.S.: the majority of what's being sold as culture, both high and low, is derivative and forgettable. We suffer the dual frauds of absurd refinement (so only the elites can "appreciate" the art, music, food, wine, etc.) and base coarsening: instead of Tender (romantic love and sex) we have Tinder (flammable trash).


    Fraud as a way of life caters an extravagant banquet of consequences. While everyone maximizes their personal gain in whatever system of skim, scam and fraud they inhabit, the nation rots from within. We've lost our way, and lost the ability to tell the truth, face problems directly, abandon what has failed and what is unaffordable, and accept personal risk as the essential element of successful adaptation.


    Here's a good place to start: require every politician to wear the logos of their top 10 contributors--just like NASCAR drivers and vehicles display the logos of their sponsors. The California Initiative to make this a reality is seeking signatures of registered California voters. Since politicians are owned, let's make the ownership transparent.


    http://www.zerohedge.com/news/2016-04-14/entire-status-quo-fraud


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    Post  Carol Thu Apr 14, 2016 10:26 am



    Bankers & Finance Ministers Around The World Are Attending Emergency meetings In D.C.. 


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    Post  Carol Thu Apr 14, 2016 10:28 am



    _________________
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    Post  Carol Thu Apr 14, 2016 10:30 am

    Hedge Funds Slammed: Tudor Hit With $1BN In Redemptions; NYC Pensions To Pull $1.5BN From Key Names

    Submitted by Tyler Durden on 04/14/2016 - 10:57INTERNATIONAL FINANCIAL PROGRESS REPORT - part 1 - Page 32 PTJ
    In a world in which the average hedge fund has failed to outperform the stock market for 8 years running, many have asked themselves what is the point of paying 2 and (not so much 20) to consistently underperform a global asset class which is now actively micromanaged by central banks themselves. And while redemptions from hedge funds have been growing in recent months, coupled with the first year since the crisis in which more hedge funds shut down than were created, it all culminated moments ago when Bloomberg reported that clients of none other than hedge fund legend Paul Tudor Jones have asked to pull more than $1 billion after three years of lackluster returns.


    Tudor is not alone. As Bloomberg also reported last night, New York City’s pension fund for civil employees is weighing exiting its $1.5 billion portfolio of hedge fund investments because of lagging performance, high fees and the riskiness of the asset class. The vote to terminate the funds may come as soon as today. Hedge funds make up 3 percent of the civil employees’ fund’s $51 billion portfolio.  
    Among the names who will be forced to liquidate are D.E. Shaw & Co., Brevan Howard and Perry Capital.  
    "Hedge funds are charging exorbitant fees for high-risk and opaque investments” said New York City Public Advocate Tish James. ”Our public employees work hard for their money, and they deserve to know their investments are secure. We can and must invest responsibly and also honor our fiduciary responsibility."
    New York City may follow a September 2014 move by the California Public Employees’ Retirement System, the largest U.S. pension. Calpers divested its $4 billion portfolio saying the asset class was too expensive and complex.
    So as even the marquee hedge funds gradually all are converted into family offices as outside money departs, one wonders if investors will seek to park even more money into the one asset class that is rapidly becoming the most dangerous instrument of investing in capital markets, namely ETFs. For a quick reminder of what happens when the ETF class malfunctions, look no further than August 24, 2015.

    http://www.zerohedge.com/news/2016-04-14/hedge-funds-slammed-paul-tudor-jones-hit-1bn-outlow-nyc-pension-pull-15bn-marquee-na


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    Post  Carol Thu Apr 14, 2016 10:35 am

    Wells Fargo Finally Reveals Its Dire Energy Exposure: $32 Billion To Junk-Rated Oil And Gas Companies

    Submitted by Tyler Durden on 04/14/2016 - 10:25INTERNATIONAL FINANCIAL PROGRESS REPORT - part 1 - Page 32 Wells%20exposure%20teaser
    The punchline in Wells Fargo's earnings report is in the reminder of just how generous Wells has been in lending to junk-rated oil and gas companies in the recent past to compensate for its eclining NIM: Wells reported that ~22%, or $8.8 billion, of exposure to investment grade companies, which means $32 billion is to junk-rated companies!


    First, the big picture. As the chart below shows, Wells' net income has been consistently declining in the past year, with earnings of $5.5BN down from $5.8BN a year ago even as revenues grow 4% over the same period.
    [url=http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2016/04/09/wells fargo net income.jpg]INTERNATIONAL FINANCIAL PROGRESS REPORT - part 1 - Page 32 Wells%20fargo%20net%20income[/url]
    Here is the reason: Net Interest Margin continues to decline, as a result of the continued curve flattening.
    INTERNATIONAL FINANCIAL PROGRESS REPORT - part 1 - Page 32 Wells%20NIM
     
    This ongoing decline in NIM is forcing Wells to issue ever more loans to maintain its average loan/yield constant. As the chart below shows, it is doing just that, with period end loans outstanding soaring by $86BN from a year ago to $947.3BN.
    INTERNATIONAL FINANCIAL PROGRESS REPORT - part 1 - Page 32 Wells%20period%20loans_0
     
    All of that, however has to do with the structural constraints of the economy, and the ongoing collapse in rates. 
    What about Wells' overall credit book? Here we find some curious observations here. 
    Net charge-offs rose to $886 million, up $55 million, or 7%, LQ on $87 million higher oil and gas portfolio losses. And yet, despite the abovementioned $17.8 billion (as of Q1) in loans to oil and energy and despite the deteriorating conditions, Wells only built reserves by a paltry $200 million reserve build in the quarter, resulting in a 0.38% net charge-off rate "as continued improvement in residential real estate was more than offset by higher oil and gas reserves." Will that reserve 
    [url=http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2016/04/09/wells charge offs.jpg]INTERNATIONAL FINANCIAL PROGRESS REPORT - part 1 - Page 32 Wells%20charge%20offs_0[/url]
    Still it wasn't just energy related losses: Wells also revealed that commercial losses were 20 bps, up 4 bps LQ. while consumer losses of 57 bps, up 1 bp LQ
    Just as interesting was Wells' disclosure of its Non performing assets, which jumped by $706 million to $13.5 billion, the biggest such increase since the crisis. 
    INTERNATIONAL FINANCIAL PROGRESS REPORT - part 1 - Page 32 Wells%20nonperforming_0
    This was Wells' explanation: 

    • Nonaccrual loans increased $852 million on $1.1 billion higher oil and gas and $343 million from the addition of GE Capital loans, partially offset by lower residential and commercial real estate nonaccruals
    • Acquired loans and leases from GE Capital acquisitions were marked to fair value in purchase accounting with no Allowance recorded with the closings 
    • Future allowance levels will be based on a variety of factors, including loan growth, portfolio performance and general economic conditions

    Finally, we get to the real meat - Wells' Oil and Gas loan portfolio and total exposure. Here are the details:
    Oil and gas loan portfolio of $17.8 billion, or 1.9% of total loan outstandings
    [url=http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2016/04/09/wells oil and gas.jpg]INTERNATIONAL FINANCIAL PROGRESS REPORT - part 1 - Page 32 Wells%20oil%20and%20gas_0[/url]
    The total outstanding amount was up $474 million, or 3%, from the $17.4 billion in 4Q15 on drawn lines and the acquisition of $236 million in loans from GE Capital
    Outstandings include $819 million second lien and $374 million of mezzanine loans
    Wells reports that ~7%, or $1.2 billion, of outstandings to investment grade companies. This means that $16.6 bilion of Wells' outstanding loans are to junk-rated companies, something we flagged four months ago.
    * * * 
    On the other hand, total exposure of $40.7 billion was down $1.3 billion, or 3%, reflecting declines across all 3 sectors from reductions to existing credit facilities and net charge-offs. As expected, Wells has decided to start trimming it overall exposure by collapsing credit lines. 
    But the punchline once again, is in the reminder of just how generous Wells has been in lending to junk-rated oil and gas companies in the recent past to compensate for its declining NIM: Wells reported that ~22%, or $8.8 billion, of exposure to investment grade companies, which means $32 billion is to junk-rated companies.
    It also means that much more pain is in store for Wells in the coming quarters unless oil stages a dramatic comeback.
    * * * 
    At this point Wells give an update of what it actually did in the first quarter.
    First, it increased net chargeoffs by a paltry $204 million in 1Q16, up $87 million from 4Q15, "driven by deterioration in borrower financial performance and collateral values reflecting lower crude and natural gas prices"
    While it did not need to explain, it adds that "all of the losses were in the E&P and services sectors Nonaccrual loans"
    More troubling was the spike in Nonaccrual loans which more than doubled to $1.9 billion, up $1.1 billion from 4Q15 on "higher outstandings, weaker expectations for borrower cash flows reflecting lower collateral values, the run-off of hedges, less sponsor support and the closing of external liquidity sources, as well as protective draws" Once again, nearly all nonaccruals were in the E&P and services sectors.
    Curiously, about 90% of nonaccruals remain current on interest and principal. This means that if and when the borrowers hit their funding cliff, the consequences will be severe. 
    Finally, Wells reports that it has taken $1.7 billion of allowance for credit losses allocated for oil and gas portfolio, which amount to 9.3% of total oil and gas loans outstanding. 
    So, here is the recap: $1.1 billion in reserves provisions (an increase of only $200MM in the quarter), a total of $1.9 billion in non-performing Oil and Gas assets, a $1.7 billion allowance for Oil and Gas credit losses, and a total of $32 billion in junk rated oil and gas exposure?
    Something tells us that top chart showing Wells Fargo's declining net income will not get much better any time soon...
    Source: Wells Fargo
    http://www.zerohedge.com/news/2016-04-14/wells-fargo-has-problem-32-billion-junk-rated-energy-exposure


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    Post  Carol Thu Apr 14, 2016 10:36 am

    Thursday Humor - Initial Jobless Claims "Unexpectedly" Plunge To 43-Year Lows
    Submitted by Tyler Durden on 04/14/2016 
    Having risen along with weakness in broad market surveys (ISM, PMI, NFIB) throughout January, initial jobless claims have plunged twice since (despite the same surveys getting worse)breaking down to 253k in the last week - the lowest since 1973!
     
    Makes perfect sense...
    INTERNATIONAL FINANCIAL PROGRESS REPORT - part 1 - Page 32 20160414_claims_0
    INTERNATIONAL FINANCIAL PROGRESS REPORT - part 1 - Page 32 20160414_claims1_0
    INTERNATIONAL FINANCIAL PROGRESS REPORT - part 1 - Page 32 20160414_claims2_0
     
    Sometimes you just have to laugh.


    _________________
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