Class war, IMF gold and the taxpayers/AIG rights forfeited

Stacy Summary:  All the headlines are adding up to seismic changes coming for sure.  And the outright immunity the elite feel they have in the U.S. is astounding.  It seems their feeling is accurate, for they clearly see that they have the perfect ponzi as the victims of their perpetual fraud are the most ardent supporters of the schemes to defraud.  What do y’all think about the rapid build up of gold reserves in Russia, China and Saudi Arabia over the past year?

27 comments on “Class war, IMF gold and the taxpayers/AIG rights forfeited
  1. ronron says:

    wonder why russia would buy gold, if it’s not needed in the currency market? ;-)

  2. GGees says:

    Because it will be every man for himself soon

  3. norcalkid says:

    Tyler Durden at ZeroHedge is to be commended for creative writing in an econ blog:

    As Russia and GLD have been demonstrating so aptly over the past 5 months, gold is not dilutable, and can not be contaminated with various Greek sovereign bond holdings. It is, in summary, pure, and is immune from that strain of 100% lethal, and printerborne, Central Banking syphilis where one’s paper rots off. Which is why the Dow may easily pass 36,000. The issue is that at or about that time, the Dow to Gold ratio will be 1. Note also, the downward channel in the SPX/Gold index: each day this channel is not broken, is another day that Bernanke pops a few extra Ambien.

    http://www.zerohedge.com/article/market-now-just-15-above-666-lows-22-2010-highs-when-priced-gold

  4. F. Beard says:

    What do y’all think about the rapid build up of gold reserves in Russia, China and Saudi Arabia over the past year? Stacy

    They are barbarians. The question is: Are we?

  5. MacGowan's Gangy Gums says:

    Gold is a crock! How in the bloody hell to I get my photo on here.

  6. F. Beard says:

    How in the bloody hell to I get my photo on here. MacGowan’s Gangy Gums

    Just register at gravatar.com and upload your image there.

  7. BP-British Parasites says:

    @ F. Beard

    Of course we are. I’d rather be a Barbarian a thousand times over a blood-money sucking vampire squid zombie parasite

  8. MacGowan's Grimy Gums says:

    Just register at gravatar.com and upload your image there.

    Thanks F Beard.

    I have decided to move into my garage and rent out my house. I can feed in the garden hose for water. If I have to go to the bathroom, I will just hold it until I get to work. And I will be right by the dumpsters in the alley so I get first pickens in the morning and evening.

  9. Dark Markets says:

    “The powers that be will fight reform every step of the way, using propaganda and your prejudices and emotions against you.” – Jesse’s Cafe

    thanks for that excellent link / article, Stacy.
    That is indeed the crux of the problem in America today: the “Economic Hit Men” predatory elites http://en.wikipedia.org/wiki/Confessions_of_an_Economic_Hit_Man

    have MASTERED the black art of “divide & conquer” PROPAGANDA,
    – getting the Whites to hate the Blacks and other minorities
    (the “What’s The Matter with Kansas?” syndrome)
    http://en.wikipedia.org/wiki/What's_the_Matter_with_Kansas%3F
    – getting us to wage ever expanding wars of imperial conquest in the despised Mideast/Central Asia (hello? the 9-11 hijackers were… Saudis!).
    The same folks maintain a low-grade fear/resentment going against China… even as THEY _CONTINUE _ to OUTSOURCE U.S. jobs and technology to China!
    And, most treacherous of all, even as they whip up all these hatreds & resentments, they encourage illegal immigrants to take up what factory jobs we still have, and use B1B visas to hire tech professionals from overseas, who undercut the pay of our own engineering, tech, & science college & university graduates.
    It’s EASY to see who the “They” are – The Neo-Con press & media PROUDLY advocate these “TRASH AMERICAN WAGES & Social Safety net” policies – .
    http://exiledonline.com/thomas-friedman-the-empires-useful-idiot-an-exile-classic/
    but when you point out that the Neo-Cons at the Wash-Post, NY Times, Newsweek, CNN, Time (etc.) have, shall we say, “Divided” or dual loyalties with another foreign country, you are accused of being anti-______.

  10. ronron says:

    hahaha. new nitwits daily. :-)

  11. ronron says:

    @Mac. GGG. you can shit in a cardboard box easy.

  12. F. Beard says:

    Of course we are. I’d rather be a Barbarian a thousand times over a blood-money sucking vampire squid zombie parasite BP-British Parasites

    Agreed! But I is an American and we hope for so much more. We got no Queen and as for Kings, we’ll show em to the door.

  13. ronron says:

    anybody that thinks anymore jobs can be lost to china is nuts. the party’s over. fun shit for a while. right?

  14. ronron says:

    oh ya that fucking snoot fucks off when ever convenient.

  15. ronron says:

    i wonder if some peeps over here should learn clothing and shoe making?

  16. ronron says:

    hemp shirts and coats with a lovely cotton pant. leather shoes. celente will join you for wine. max can play 12 bar tortures. stacy can dance. we’ll all laugh.

  17. frances snoot says:

    Are we supposed to believe that Russia took physical possession of the gold, ronron?

  18. frances snoot says:

    http://www.unctad.org/Templates/StartPage.asp?intItemID=2068

    (These guys aren’t from Wallstreet)

  19. Marc Authier says:

    IMF is a NAZI runned outfit.

  20. MEJanssen says:

    Russia is mining the gold. It is easy enough for the government to take its cut off the top before anything is exported.

  21. Mini US says:

    But, as we are reminded here often, you can’t eat gold ;)

    “The only thing worth anything is stuff you can eat” – Cookie Monster

  22. Troy Ounce says:

    @ Jesse

    Brilliant piece, but what are our options now?

  23. harry_w says:

    @ Stacy,

    It’s a good piece by Jesse, and the one he cites:
    http://www.opednews.com/articles/2/The-Vicious-Circle-of-Debt-by-Ismael-Hossein-zad-100606-391.html

    I’m not sure I’ve seen it stated as clearly elsewhere but Henry CK Liu put it thus:

    Global Post-Crisis Economic Outlook
    By
    Henry C.K. Liu

    Bank Creditors against Wage Earners
    Fiscal deficits across the eurozone are to be reduced by cutting public sector wages and social benefit and subsidy expenditures so that transnational bank creditors will be paid in full while turning a blind eye to blatant tax evasion and avoidance by the rich with non-wage income that contribute to loss of government revenue and fiscal deficits. The dysfunctional disparity of income and polarization of wealth between the waged-earning masses and the financial elite with income from profit and capital gain, are the main causes of overcapacity in the economy. In past decades, the neoliberal response to overcapacity was to shy away from the obvious solution of raising wages, turning instead to flooding the economy with huge mountains of consumer and corporate debt that eventually resulted in a tsunami of borrower defaults that turned into a global credit crisis. Yet repeating the same response to the current crisis will lead only to another global crisis down the road.

    While the culprits of the global credit meltdown of 2008 have been bailed out with the public’s future tax money, the sovereign debt crisis across the globe is blamed on innocent wage earners for receiving supposedly unsustainably high wages and excessive social benefits that allegedly threaten the competitiveness of economies in a globalized trade regime designed to push wages down everywhere.

    Sovereign Debt Crisis not caused by the Welfare State
    The rush by the rich and powerful to punish the trouble causing working poor goes against strong evidence that the current sovereign debt crisis is not caused by high social welfare expenditure, but by a sudden drop in government revenue due to economic recession caused by credit market failure under fraudulent accounting allowed in structured finance for which the financial elite are directly and exclusively responsible. …

  24. Marc Authier says:

    @F. Beard

    Paper money is a Mongol invention. Gold is not a barbaric invention. Paper is.

  25. Oky1 says:

    Paid In Full!

    Has your mortgage already been paid off by some else??? Check this site out & tell your buddies about it.

    >> AIG Waived Rights in Bailout: NO SUBROGATION=PAID IN FULL
    Posted on July 1, 2010 by Neil Garfield

    EDITOR’S NOTE: LISTEN UP! It’s easy to pass over these reports with the thought that it merely points out chicanery you already knew was about. But this one confirms what I’ve been saying for three years. The best defense against any claim is to show payment. Normally if someone pays off your debt it is either a gift (hence the defense of payment, even if it wasn’t by you) or they were buying the debt, which means that the deal was they were subrogated in the claim.

    In other words if AIG gave Goldman Sachs money for “losses” on loan pools, the insurer would normally have the right to collect on the debts that were paid. OR they would have the right to receive money back if they paid for a loss claim where there was in fact no loss.

    But that step was both skipped and waived. First of all, the payoff from AIG was never allocated specifically to a loan pool in violation of the express terms of the contracts with the investors who advanced the funds.

    Second, the “Trustee” or manager of the pool never allocated the payment in any manner to the loans that were failing. Since most of the loans that were failing were the worst loans that would have made them a lot more valuable. In fact, for the investment banks that are buying up the toxic waste tranches, their end game might well be exactly that — to allocate the payments received from third party insurers and counter-parties on hedge contracts etc. and thus raise the value of the “toxic” pools considerably AFTER they have screwed all the investors and the borrowers.

    The plain truth is that in the co-venture antics that were going on, the recipients of insurance, bailout, hedge, and other credit enhancements were acting at all times as either agents or constructive trustees for the investors. The fact that they received payment and failed to give that money to the investors is a case “between the creditors” as some judges like to say. But it also is a reduction in the amount owed to the investor from the pool (via the mortgage backed securities the investor bought).

    If the reduction in the balance owed to the investor is properly allocated then the loans in the pool are no longer backing the full amount owed to the investor — they are backing something less. Now if AIG bought the loan, the borrower would still owe the money, this time to AIG. But AIG didn’t buy the loan, the pool, or anything for that matter. AIG merely paid out on an insurance contract under a deal where they, for their own reasons, specifically waived any claims for refund and under which they had no rights of substitution (subrogation) in the claims.

    In plain terms, if you wreck your car and the insurance company adjusts it as a total wreck then they pay you off and take what is left of the car to mitigate their damages. What AIG did was pay the claim but they didn’t take the car, leaving you with the wreck to further mitigate your damages. It’s not a complete analogy but you get the point, right?

    So back to AIG. Since they merely paid off the debt, the debt was reduced. The debt having been reduced it should have been reflected on the books of the investor or whoever is claiming to be the holder or enforcer of the loan obligation. It wasn’t. So the amount anyone claimed to be in default on any loans that were claimed to be in a pool (whether the loan actually made it into the pool or not) was and remains incorrectly stated. That means the notice of default, the notice of sale, the foreclosure suit are all wrong. In fact, when you add in all third party payments, as I have done in a number of cases, the obligation has been overpaid by factors of as much as 10 times the loan.

    So we have a foreclosure on a home encumbered by a mortgage that has been satisfied because the OBLIGATION was satisfied. When the obligation was satisfied, the co-venturers here in securitization intentionally held onto the notes as though they were still due in full when they knew they had received multiple payments on them but since THEY were in charge of the bookkeeping, THEY didn’t reduce the loan balances.

    Then THEY authorized some new entity to say they were the holder of the note, which they might be. But the note is evidence of the obligation, not the obligation itself. If the obligation is paid, the holder of the note has only one action left — to give it back to the borrower marked PAID IN FULL.

    June 29, 2010
    In U.S. Bailout of A.I.G., Forgiveness for Big Banks
    By LOUISE STORY and GRETCHEN MORGENSON

    At the end of the American International Group’s annual meeting last month, a shareholder approached the microphone with a question for Robert Benmosche, the insurer’s chief executive.

    “I’d like to know, what does A.I.G. plan to do with Goldman Sachs?” he asked. “Are you going to get — recoup — some of our money that was given to them?” more…. <<

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