Credit Cards again
JP Morgan Chase, Citibank, HSBC, Capitol One, BankAmerica, American Express and other major banks issue credit cards to make money. Credit cards can be a useful tool for an intelligent educated responsible consumer. Credit cards can be destructive for consumers who are not intelligent, educated and responsible.
On June 25, 2009, Bernanke (Chairman of the Fed) appeared before Congress to lie about the lies told by Lewis (CEO of BAC) and the lies told by Paulson (former Sec. Treasury and CEO Goldman Sachs). Each called the others, liars. Each told the truth in this case. They all give money to the banks who issue the credit cards.
The members of Congress (who are all liars) use the Congressional Hearing to enable their staff (and themselves) to solicit bribes from the financial services industry. Many issue credit cards.
At the same time, Citicorp announced they are giving huge raises in salary to their top executives and key personnel. Citigroup was given somewhere between $30-90 billion by Congress, Bernanke, Paulson, Obama and Geithner (the new Sec. Treasury). The money Citigroup received was from “bailout”, TARP and other “giveaways”. Citibank is one of biggest issuers of credit cards.
Important government employees get “free” credit cards, expense accounts, cars, gas, vacations, flowers, fine dining, computers and other stuff. The members of Congress, their aides, many relatives, friends and endless other people get the same (including the “free” credit cards and expense accounts).
City and State elected officials learned from Congress. (Or maybe it was visa versa) They get “free” credit cards and expense accounts.
Most major financial services companies, auto makers, NGOs, defense contractors and others that receive government money give “free” credit cards and expense accounts.
Question: If all these parts of government, politicians, etc. get “free” credit cards and expense accounts, who pays? The answer is the people who pay taxes. (*Note- A lot of people have stopped paying taxes.)
Many people who owe money on their credit cards have stopped paying. Issuers of credit cards have negotiated to accept less than the amount owed to settle the debt. Translation: If you stop making your credit card payments, you have a chance of settling for a fraction of what is owed or zero. In some cases the government can wipe out or pay the debt. Ask your elected representative.
Tom notes that the only people who make credit card payments are those who continue to pay. The people who do not pay, pay very little or nothing at all.
Tom suggests you send your credit card statements, bills, etc. to your Congressman or other State and Local Officials. Ask them to pay the amount owed and tell them you want “free” credit cards, expense account and other nice things they give away.
Tom also suggests that you take the money and fund a separate “debit card” account at a trusted local institution because all credit cards may be stopped.
Do you know banks package their credit card loans into securities and sell them to investors? Do you know your pension plan or retirement fund may contain securitized credit card loans? Do you know mutual funds and annuity companies and pension plans invest in credit card loans and mortgage loans and car loans? Do you know that a lot of these loans are “underwater” and will go “kaput”?
Do you know that a lot of banks, Wall Street firms, Insurance Companies, etc. give some credit card profits (bribes) to elected officials?
But … You know.
So … Send your credit card bills to your elected officials and ask them to give your “free” credit cards and all that “free” stuff.
And ... If you have any investment (Pension Plan, Mutual Fund, etc.) that contains credit card, auto, consumer, etc. loans, GET OUT!
Sunday, June 28, 2009
Saturday, June 20, 2009
Student Loans #2
Goodbye $350 million: Associated Press. Monday, June 15, 2009. The federal government will spend up to $350 million to help states developing national standards for reading and math, Education Secretary Arne Duncan announced Sunday. Translation: An additional $350 million will go to “consultants”, lobbyists, union leaders, Congressional Aides, campaign contributors and create “no-show payback” jobs.
AP (6/13/09) Obama announced the U.S. will give $73-90 million to Zimbabwe as a “gesture of support”. It is expected 40-90% will go for lobbyists, campaign contributions, favored NGOs, Congressional Aides, administrative “overhead”, consultants and the usual other fees and expenses. The “gesture of support” is for the efforts of the lobbyists, Congress and campaign contributors in the U.S. and the continuing “human rights” violations in Zimbabwe.
WSJ (6/4/09) Congressmen/women get $1.5-4.5 million just to run their offices (despite the fact they get “free” offices in Washington, DC). In addition they get “free” luxury cars, credit cards, flowers, expensive meals, vacations, etc. for their relatives, friends and contributors. In addition they give “bonuses” to their aides, assistants and other random people. This is not audited and Congress refuses to make the information public. It is estimated the average Congressman/woman costs the taxpayer $15-$60 million per year.
WT (6/12/09) Obama fired the Inspector General for the Corporation for National and Community Service. He was looking into stealing and illegal use of taxpayer money involving Obama’s buddy, Kevin Johnson, the Mayor of Sacramento, California.
June 17, 2009. Obama spoke before Congress promising to stop consumer rip-offs, thefts, scams, etc., including student loans. (Congress laughed.)
June 18, 2009, U.S. Senators trying to find out why Neil Barofsky, I.G. appointed to investigate the $700 billion “bailout”, is denied access to information by the Sec. Treasury and threatened to “keep away” from Goldman Sachs, major banks and Wall Street pals of Obama and the current administration.
What does all this mean?
It means that corruption, waste and fraud permeates every function and every level of the U.S. government. It is well known and documented that colleges, banks, Wall Street firms, Congress, lobbyists and other sleazy entities conspire to take money from the ignorant foolish students and their families.
A recent estimate is that the average graduating college student owes in excess of $27,000 in student loans and will be in debt for their entire lives.
Education is treated by our elected and appointed officials as a source graft and corruption. Student costs are vastly inflated due to theft, kickbacks, bribes to Congress, lobbyist costs and a vast variety of “scams”.
According to Karen (Karen is a consultant and participant of CACTUSA) students can justify sending the “bills” for student loan payments to their Congressperson. Karen also advises students use the money to create their own retirement plan as Social Security will probably not exist by the time they are ready to retire. Karen believes there is ample evidence that most student loans were fraudulently originated.
Bottom line: Education costs are inflated. Many student loans are not justified. Send you bills, payment documents to your elected officials. Use saved money to start a retirement plan because relying on government is not a good idea.
Have a nice day.
AP (6/13/09) Obama announced the U.S. will give $73-90 million to Zimbabwe as a “gesture of support”. It is expected 40-90% will go for lobbyists, campaign contributions, favored NGOs, Congressional Aides, administrative “overhead”, consultants and the usual other fees and expenses. The “gesture of support” is for the efforts of the lobbyists, Congress and campaign contributors in the U.S. and the continuing “human rights” violations in Zimbabwe.
WSJ (6/4/09) Congressmen/women get $1.5-4.5 million just to run their offices (despite the fact they get “free” offices in Washington, DC). In addition they get “free” luxury cars, credit cards, flowers, expensive meals, vacations, etc. for their relatives, friends and contributors. In addition they give “bonuses” to their aides, assistants and other random people. This is not audited and Congress refuses to make the information public. It is estimated the average Congressman/woman costs the taxpayer $15-$60 million per year.
WT (6/12/09) Obama fired the Inspector General for the Corporation for National and Community Service. He was looking into stealing and illegal use of taxpayer money involving Obama’s buddy, Kevin Johnson, the Mayor of Sacramento, California.
June 17, 2009. Obama spoke before Congress promising to stop consumer rip-offs, thefts, scams, etc., including student loans. (Congress laughed.)
June 18, 2009, U.S. Senators trying to find out why Neil Barofsky, I.G. appointed to investigate the $700 billion “bailout”, is denied access to information by the Sec. Treasury and threatened to “keep away” from Goldman Sachs, major banks and Wall Street pals of Obama and the current administration.
What does all this mean?
It means that corruption, waste and fraud permeates every function and every level of the U.S. government. It is well known and documented that colleges, banks, Wall Street firms, Congress, lobbyists and other sleazy entities conspire to take money from the ignorant foolish students and their families.
A recent estimate is that the average graduating college student owes in excess of $27,000 in student loans and will be in debt for their entire lives.
Education is treated by our elected and appointed officials as a source graft and corruption. Student costs are vastly inflated due to theft, kickbacks, bribes to Congress, lobbyist costs and a vast variety of “scams”.
According to Karen (Karen is a consultant and participant of CACTUSA) students can justify sending the “bills” for student loan payments to their Congressperson. Karen also advises students use the money to create their own retirement plan as Social Security will probably not exist by the time they are ready to retire. Karen believes there is ample evidence that most student loans were fraudulently originated.
Bottom line: Education costs are inflated. Many student loans are not justified. Send you bills, payment documents to your elected officials. Use saved money to start a retirement plan because relying on government is not a good idea.
Have a nice day.
Thursday, June 11, 2009
(Goodbye Credit Cards 2) AXP
Kenneth Chenault is the CEO of American Express (AXP). His compensation for 2008 was $43,933,172. That means he made over $21,900 per hour. His compensation was determined by the AXP Board of Directors.
AXP (December 2008) asked for and then received $3.9 billion “bailout” funds from the US Taxpayer. AXP’s gross profit for 2008 was $3.4 billion.
Why did the U.S. Government give AXP $3.9 billion? Maybe, it is because AXP gave Congress and other politicians a lot of money? (*1)
AXP makes money the “old fashion” way. They take money from the public and small businesses by charging high interest rates and imposing fees and penalties. They also inflate the cost of merchandise and services by charging high “merchant fees”. This means that even if you do no business with AXP you pay more for goods and services.
AXP also makes our government corrupt by bribing (“contributions”, jobs to relatives, speaking fees, rebates, envelopes stuffed with cash, etc.) politicians and their staff.
Berkshire Hathaway (BRKA) owns a lot of AXP. Warren Buffet (BRKA’s CEO) profits from companies (Coke, Insurance, etc.) that deliver little value, inflate costs and benefit from the stupidity of the American consumer.
Davis Advisory, Vanguard, T. Rowe Price, State Street and other funds also own a lot of AXP. The Board of Directors of AXP is elected by the big shareholders.
The members of Board of Directors are the people directly responsible for paying the CEO of AXP over $21,900 per hour. This means that that the mutual funds (who vote for the Directors) that hold AXP are partially responsible for giving the CEO of AXP over $21,000 per hour and bribing Congress.
Therefore … Davis Advisor, Vanguard, State Street, etc. are all responsible to some extent for the “bad things” AXP does.
What does this mean?
According to Albert (a participating member of CATUSA), it means that AXP is part of the evil that is destroying America. It means the Board of Directors is acting against the interests of the shareholders. It means that mutual funds and pension plans that hold AXP they are acting “against” their shareholders/members by electing the Board of Directors who are looting the company.
What should we do? According to Albert … If you owe interest or fees on an American Express credit card, the amount you owe was probably inflated by the illegal and/or immoral acts of the Credit Card Industry. And if you spent money you didn’t have, you may have been “entrapped” by lies of the Banking/Credit Industries and Wall Street. And … According to Albert, AXP and the banks and Wall Street have already received you tax dollars to make up for their stupidity and losses, including non-payment of credit cards.
So … Albert recommends that you send your credit card bill to your Congressperson, the President and your credit card company and ask them to pay or use the tax dollars they are stealing to settle any outstanding balances.
Do you own shares of AXP? Why? Do you own a mutual fund that owns shares of AXP? Does your pension plan own shares of AXP? Ask them.
If or when AXP (or the funds that hold AXP) collapses, it is better to be first out (SELL NOW)
What about other credit cards?
Do you know that the amount of people who “default” or don’t pay their credit cards is sharply increasing? Do you know that politicians, government employees, government “contractors” and countless others with political “influence” get “free” credit cards? (“Free” credit cards mean the US Taxpayer and your children and grandchildren pay.)
Credit cards may be stopped. Many have already been cancelled, revoked or limited. People trying to buy gas or food with credit cards will be stopped. It is already happening.
What to do? Albert suggests, open a “debit card” account at a new, and hopefully smaller, neighborhood bank. When credit cards are cancelled, debit cards should work. That’s what Albert says and we trust Albert.
(We do not trust or believe what politicians or the banking industry or Wall Street say.) So .... Goodbye AXP.
*1 It works like this, you (taxpayers) give money to government. Congress gives your (taxpayers) money to AXP. AXP give some of the money back to Congress.
*2 According to CCA (Compensation Consultants Associates), the maximum compensation for the top AXP executives should be no more than $325,000.
*3 10 years ago AXP was worth over $60 per share. 5 years ago, AXP was worth over $50.
Bottom line: Shareholders lose. Taxpayers lose. Public loses. Only politicians and AXP top executives and Board of Directors win.
(According to Albert) DON’T PAY! SELL!
AXP (December 2008) asked for and then received $3.9 billion “bailout” funds from the US Taxpayer. AXP’s gross profit for 2008 was $3.4 billion.
Why did the U.S. Government give AXP $3.9 billion? Maybe, it is because AXP gave Congress and other politicians a lot of money? (*1)
AXP makes money the “old fashion” way. They take money from the public and small businesses by charging high interest rates and imposing fees and penalties. They also inflate the cost of merchandise and services by charging high “merchant fees”. This means that even if you do no business with AXP you pay more for goods and services.
AXP also makes our government corrupt by bribing (“contributions”, jobs to relatives, speaking fees, rebates, envelopes stuffed with cash, etc.) politicians and their staff.
Berkshire Hathaway (BRKA) owns a lot of AXP. Warren Buffet (BRKA’s CEO) profits from companies (Coke, Insurance, etc.) that deliver little value, inflate costs and benefit from the stupidity of the American consumer.
Davis Advisory, Vanguard, T. Rowe Price, State Street and other funds also own a lot of AXP. The Board of Directors of AXP is elected by the big shareholders.
The members of Board of Directors are the people directly responsible for paying the CEO of AXP over $21,900 per hour. This means that that the mutual funds (who vote for the Directors) that hold AXP are partially responsible for giving the CEO of AXP over $21,000 per hour and bribing Congress.
Therefore … Davis Advisor, Vanguard, State Street, etc. are all responsible to some extent for the “bad things” AXP does.
What does this mean?
According to Albert (a participating member of CATUSA), it means that AXP is part of the evil that is destroying America. It means the Board of Directors is acting against the interests of the shareholders. It means that mutual funds and pension plans that hold AXP they are acting “against” their shareholders/members by electing the Board of Directors who are looting the company.
What should we do? According to Albert … If you owe interest or fees on an American Express credit card, the amount you owe was probably inflated by the illegal and/or immoral acts of the Credit Card Industry. And if you spent money you didn’t have, you may have been “entrapped” by lies of the Banking/Credit Industries and Wall Street. And … According to Albert, AXP and the banks and Wall Street have already received you tax dollars to make up for their stupidity and losses, including non-payment of credit cards.
So … Albert recommends that you send your credit card bill to your Congressperson, the President and your credit card company and ask them to pay or use the tax dollars they are stealing to settle any outstanding balances.
Do you own shares of AXP? Why? Do you own a mutual fund that owns shares of AXP? Does your pension plan own shares of AXP? Ask them.
If or when AXP (or the funds that hold AXP) collapses, it is better to be first out (SELL NOW)
What about other credit cards?
Do you know that the amount of people who “default” or don’t pay their credit cards is sharply increasing? Do you know that politicians, government employees, government “contractors” and countless others with political “influence” get “free” credit cards? (“Free” credit cards mean the US Taxpayer and your children and grandchildren pay.)
Credit cards may be stopped. Many have already been cancelled, revoked or limited. People trying to buy gas or food with credit cards will be stopped. It is already happening.
What to do? Albert suggests, open a “debit card” account at a new, and hopefully smaller, neighborhood bank. When credit cards are cancelled, debit cards should work. That’s what Albert says and we trust Albert.
(We do not trust or believe what politicians or the banking industry or Wall Street say.) So .... Goodbye AXP.
*1 It works like this, you (taxpayers) give money to government. Congress gives your (taxpayers) money to AXP. AXP give some of the money back to Congress.
*2 According to CCA (Compensation Consultants Associates), the maximum compensation for the top AXP executives should be no more than $325,000.
*3 10 years ago AXP was worth over $60 per share. 5 years ago, AXP was worth over $50.
Bottom line: Shareholders lose. Taxpayers lose. Public loses. Only politicians and AXP top executives and Board of Directors win.
(According to Albert) DON’T PAY! SELL!
Thursday, May 21, 2009
Annuities ( Tick ... tick ... tick ...
On May 15, 2009, the geniuses who control our economy (Sec. Treasury, etc.) announced Insurance Companies can get TARP (US “giveaways”) funds to make up for the money they lost and stole and used to bribe politicians.
What does this mean?
It means that the US Government will "bail out" the Insurance companies. It means the Insurance companies are in deep trouble. It means they can’t meet their obligations. It means if you invested in an annuity or any other insurance product, you have big problems. It means that you may be the victim of a “scam”, Ponzi scheme, fraud or just plain stupidity.
It means $billions and $trillions more of taxpayer money will be given away. It means, if you are one of the few people who still pay taxes, your tax dollars will go to people (politicians, banks, Wall Street, insurance companies, lobbyists, etc.) who are destroying America.
What are Annuities?
Most “Annuities” are contracts between Insurance Company and an investor. The investor is a person/entity that puts in money. The Insurance Company usually promises to pay the investor/entity money in the future.
Most Annuities are advertised as “Insured”, “Guaranteed”, “A” rated, safe, etc.
Question: Who insures them, guarantees and rates them?
Answer: They insure themselves, guarantee themselves and pay Rating Agencies to rate them. (Hence, the insurance, guarantees, ratings, etc. are relatively meaningless.)
Question: Who regulates, oversees and monitors annuities?
Answer: In most cases Insurance Companies and annuities are regulated by the States.
Question: Who are the “Regulators”?
Answer: The Regulators are people from the Insurance Companies and people appointed by politicians after very generous bribes (donations, fees, etc.) from the Insurance Companies. They serve the Insurance companies and politicians, not the public.
Question: What happens to the money the investors/public put into annuities?
Answer: The Insurance Company is “supposed” to invest the money to generate a “rate of return” that will enable the Insurance Company to give the “promised” return to the investor/entity and a profit for the Insurance Company.
The “*assumed” investments are thought to be high quality and low risk bonds, Treasuries, mortgages, real estate, etc.
Question: What really happens to your money? Where does it go? Is it safe? Does it exist? Are their “books” audited? Are the investment assets held in a bank or brokerage firm or anywhere?
Answer: I don’t know. Information the Insurance Companies give (which is not happy information) cannot be believed. The State Politicians and Regulators and people in Washington cannot be believed or trusted. Maybe the money was abducted by aliens?
There is a great deal of suspicion that a large portion of the money invested in annuities is totally gone. Disappeared! In Swiss bank accounts or vaults or used to buy real estate in Costa Rica or Beijing. The money may be gone because of stupid investments, fraud, and theft or simply never invested in the first place.
Annuities are sold by Investment Firms, Banks, Financial Planners, Accountants, etc. and random crooks who can convince gullible people into giving them money. The people who sell you annuities get high fees (commissions, “kickbacks”, etc.) and don’t know or care what happens to your money.
Many suspect the annuity business is a huge Ponzi scheme. (The Insurance companies make payments using money from new investors.)
Is there a possibility that annuities are safe and secure and can pay their obligations?
Possible? Yes, probable, no!
Question: What should you do?
Answer: If you invested in an Annuity, demand to be given hard evidence of where your money is invested, protected and available on demand.
If you have any doubt, get your money out as soon as possible. Make sure you act fast. Once the flood of redemptions start, you will be much less likely to see your money again.
Think about it!
Also … Congress just passed credit card legislation which will speed up the expected “freeze”.
What should you do? (See “Goodbye Credit Cards” blog. April 27th, 2009)
Also … Most of our Federal and State legislators are acting to help with our economic crisis by increasing their salaries, “perks”, hiring more of their relatives and increasing their expense accounts and your taxes.
Are you paying your taxes?
What does this mean?
It means that the US Government will "bail out" the Insurance companies. It means the Insurance companies are in deep trouble. It means they can’t meet their obligations. It means if you invested in an annuity or any other insurance product, you have big problems. It means that you may be the victim of a “scam”, Ponzi scheme, fraud or just plain stupidity.
It means $billions and $trillions more of taxpayer money will be given away. It means, if you are one of the few people who still pay taxes, your tax dollars will go to people (politicians, banks, Wall Street, insurance companies, lobbyists, etc.) who are destroying America.
What are Annuities?
Most “Annuities” are contracts between Insurance Company and an investor. The investor is a person/entity that puts in money. The Insurance Company usually promises to pay the investor/entity money in the future.
Most Annuities are advertised as “Insured”, “Guaranteed”, “A” rated, safe, etc.
Question: Who insures them, guarantees and rates them?
Answer: They insure themselves, guarantee themselves and pay Rating Agencies to rate them. (Hence, the insurance, guarantees, ratings, etc. are relatively meaningless.)
Question: Who regulates, oversees and monitors annuities?
Answer: In most cases Insurance Companies and annuities are regulated by the States.
Question: Who are the “Regulators”?
Answer: The Regulators are people from the Insurance Companies and people appointed by politicians after very generous bribes (donations, fees, etc.) from the Insurance Companies. They serve the Insurance companies and politicians, not the public.
Question: What happens to the money the investors/public put into annuities?
Answer: The Insurance Company is “supposed” to invest the money to generate a “rate of return” that will enable the Insurance Company to give the “promised” return to the investor/entity and a profit for the Insurance Company.
The “*assumed” investments are thought to be high quality and low risk bonds, Treasuries, mortgages, real estate, etc.
Question: What really happens to your money? Where does it go? Is it safe? Does it exist? Are their “books” audited? Are the investment assets held in a bank or brokerage firm or anywhere?
Answer: I don’t know. Information the Insurance Companies give (which is not happy information) cannot be believed. The State Politicians and Regulators and people in Washington cannot be believed or trusted. Maybe the money was abducted by aliens?
There is a great deal of suspicion that a large portion of the money invested in annuities is totally gone. Disappeared! In Swiss bank accounts or vaults or used to buy real estate in Costa Rica or Beijing. The money may be gone because of stupid investments, fraud, and theft or simply never invested in the first place.
Annuities are sold by Investment Firms, Banks, Financial Planners, Accountants, etc. and random crooks who can convince gullible people into giving them money. The people who sell you annuities get high fees (commissions, “kickbacks”, etc.) and don’t know or care what happens to your money.
Many suspect the annuity business is a huge Ponzi scheme. (The Insurance companies make payments using money from new investors.)
Is there a possibility that annuities are safe and secure and can pay their obligations?
Possible? Yes, probable, no!
Question: What should you do?
Answer: If you invested in an Annuity, demand to be given hard evidence of where your money is invested, protected and available on demand.
If you have any doubt, get your money out as soon as possible. Make sure you act fast. Once the flood of redemptions start, you will be much less likely to see your money again.
Think about it!
Also … Congress just passed credit card legislation which will speed up the expected “freeze”.
What should you do? (See “Goodbye Credit Cards” blog. April 27th, 2009)
Also … Most of our Federal and State legislators are acting to help with our economic crisis by increasing their salaries, “perks”, hiring more of their relatives and increasing their expense accounts and your taxes.
Are you paying your taxes?
Tuesday, May 12, 2009
Student loans
Tuition cost (2007) at public colleges averaged around $6,000, at private colleges almost $23,000. Room and board adds another $6-12,000. (These amounts do not reflect the $8-17,000 taxpayer funds.)
Scholarships, grants, student aid and other programs are available to reduce tuition. In some cases, assistance can reduce room and board costs. The banks, lending institutions and others involved with student loans try to make the information and procedures as secret and confusing as possible.
Why? So they can make huge profits from fees, charge outrageous interest rates and collect “kickbacks” and bribes.
Once upon a time, the main functions of schools was to teach students to read, write, do mathematics, learn science, history and other skills needed to succeed and become useful members of society. To pay for college, young people would work and they and their families would save.
Colleges today have changed. Many have become playgrounds that emphasize “politically correct” subjects, questionable “life skills” and fail dismally at preparing students to become useful productive members of our society.
Colleges today are a source of huge profits. Loan officers get kickbacks. College Administrators, Coaches, Fund Raisers, Lobbyists, etc. get inordinate amounts of money. College teachers make a lot of money by requiring students buy very expensive books for which they receive “kickbacks” and other fees.
The people who make the most money from education are the teacher union officials and the politicians. They get bribes, handle teacher pension plans, hand out contracts, collect taxpayer money, etc.
America has the most expensive education system in the world. Aside from a few exceptions, America’s educational system is substandard in relation to most of the developed nations and is failing dismally.
In America it is estimated that only 20% of every dollar allocated for education goes for education. The rest is stolen or wasted.
By every estimate, college costs are vastly inflated. The banks and other lending institutions that make Student Loans have received Government “bailout” money.
So …. Do you make student loan payments? Why?
A lot of the student costs incurred are a result of inflated expenses, theft, fraud, criminal activity, corruption and the stupidity of the borrowers.
As a result, many students (and their parents) stopped making payments on their loans. They advocate that all students send the payment requests, bills, etc. to their Congressmen/women.
Also … Bumblebee Tuna reduced the size of their 8 ounce can of tuna which was only 6 ounces to 5 ounces. That is a 16.6% increase in cost.
Q. Why did they do that?
A. Because they are greedy and the American consumer is stupid.
What can we do? Boycott Bumblebee Tuna and products produced by Bumblebee.
Scholarships, grants, student aid and other programs are available to reduce tuition. In some cases, assistance can reduce room and board costs. The banks, lending institutions and others involved with student loans try to make the information and procedures as secret and confusing as possible.
Why? So they can make huge profits from fees, charge outrageous interest rates and collect “kickbacks” and bribes.
Once upon a time, the main functions of schools was to teach students to read, write, do mathematics, learn science, history and other skills needed to succeed and become useful members of society. To pay for college, young people would work and they and their families would save.
Colleges today have changed. Many have become playgrounds that emphasize “politically correct” subjects, questionable “life skills” and fail dismally at preparing students to become useful productive members of our society.
Colleges today are a source of huge profits. Loan officers get kickbacks. College Administrators, Coaches, Fund Raisers, Lobbyists, etc. get inordinate amounts of money. College teachers make a lot of money by requiring students buy very expensive books for which they receive “kickbacks” and other fees.
The people who make the most money from education are the teacher union officials and the politicians. They get bribes, handle teacher pension plans, hand out contracts, collect taxpayer money, etc.
America has the most expensive education system in the world. Aside from a few exceptions, America’s educational system is substandard in relation to most of the developed nations and is failing dismally.
In America it is estimated that only 20% of every dollar allocated for education goes for education. The rest is stolen or wasted.
By every estimate, college costs are vastly inflated. The banks and other lending institutions that make Student Loans have received Government “bailout” money.
So …. Do you make student loan payments? Why?
A lot of the student costs incurred are a result of inflated expenses, theft, fraud, criminal activity, corruption and the stupidity of the borrowers.
As a result, many students (and their parents) stopped making payments on their loans. They advocate that all students send the payment requests, bills, etc. to their Congressmen/women.
Also … Bumblebee Tuna reduced the size of their 8 ounce can of tuna which was only 6 ounces to 5 ounces. That is a 16.6% increase in cost.
Q. Why did they do that?
A. Because they are greedy and the American consumer is stupid.
What can we do? Boycott Bumblebee Tuna and products produced by Bumblebee.
Monday, April 27, 2009
Goodbye Credit Cards
The next disaster: Credit Cards are a ticking time bomb about to self destruct.
Credit cards can be a useful. They can also lead to financial disaster. Before credit cards, people had to save up or borrow money to buy something. Credit cards allow people to buy things with no money. They buy things they cannot afford and cannot pay for.
Credit cards are very profitable for banks, Wall Street and politicians. When you charge an item on your credit card, the bank collects a fee from the vendor. (It is reflected in the cost.) If you don’t pay the full amount you owe, the banks charge you interest which can rapidly go over 25% plus endless fees. People are urged to buy more than they can afford. It is a “sucker game” that pushes people deeper into debt which increases the interest rates and fees they pay. The banks and Wall Street make a lot of money and they in turn, pay the politicians.
Pay the politicians? The banks give millions to everyone in government. (Everyone means Congress, the President, the cabinet, etc.) That enables the banks to tell Congress, regulators, etc. what to do. And … Congress, regulators, etc. do what they are told.
Due to the economic crisis, (which the banks helped cause) a lot of people are defaulting on their credit cards. The potential loss is over 1.5 trillion. The banks and Treasury are worried. Massive credit card defaults will make our economy grind to a halt. The government keeps giving them (the banks) your tax-dollars to make up for any losses.
The government reports that “average” credit card debt is over $10,000. The true number is probably a lot higher ($15-20,000). (No one believes our government any more.) Banks report credit card defaults are accelerating. There is growing fear that a “credit card crisis” is looming.
They (Government, Banks and Credit-card companies.) have a plan to freeze credit cards. Many companies have already lowered credit limits and “shut-down” many cards.
“Freeze credit cards!” What does that mean? It means credit cards will no longer work to buy gas or groceries or a dress or TV. Only debit cards will be accepted.
What happens if they stop honoring credit cards? It means that our economy will grind to a halt. Many people will not be able to buy food, gas, pay bills and provide for basic needs.
There is political “noise” to pressure the banks to stop some of the credit card “scams” and abuses. The banks and Wall Street aren’t worried. They believe the money they give to the politicians will prevent any “meaningful” action. They don’t remember what happened in the 1930s.
What should you do? Advice from Charles (a CACTUS participant): Open an account at a bank where you do not have a credit card. Link a DEBIT CARD to that account. The debit card will work (hopefully).
Where can you get money from? Stop paying your current credit card bills. Send the statement you receive to your Congressperson, Representative, Sec. Treasury, etc. Ask them to pay what you owe. The banks give them money so it would be fair if they paid your bills. Also ask them to give you $1,000,000 as a “retention bonus”. That is what Congress does with you tax dollars.
According to Charles, “hurting” the banks, Wall Street and politicians is OK; because they are greedy immoral liars and they hurt you.
Charles also wants to remind you that nobody forced you or other people to spend foolishly, go into debt and help destroy the future of your children.
You are at fault too!
Bottom line:
Put money in a segregated account and get a DEBIT card.
Stop buying things “on credit”.
Send your bills to Congress and the President. Tell them to stop giving away your money.
Stop buying junk you don’t need.
And … you should blame the politicians and bankers. But also blame yourself for buying things you can’t afford.
Also …. Advice from Mary (Mary works with us): Get a new credit card. Spend as much as you can. Obama and Congress and the Banks and Wall Street urge people to spend money to help the economy.
Then send the bills to Obama and Congress and the Banks and Wall Street.
Do it! People are doing it!
Credit cards can be a useful. They can also lead to financial disaster. Before credit cards, people had to save up or borrow money to buy something. Credit cards allow people to buy things with no money. They buy things they cannot afford and cannot pay for.
Credit cards are very profitable for banks, Wall Street and politicians. When you charge an item on your credit card, the bank collects a fee from the vendor. (It is reflected in the cost.) If you don’t pay the full amount you owe, the banks charge you interest which can rapidly go over 25% plus endless fees. People are urged to buy more than they can afford. It is a “sucker game” that pushes people deeper into debt which increases the interest rates and fees they pay. The banks and Wall Street make a lot of money and they in turn, pay the politicians.
Pay the politicians? The banks give millions to everyone in government. (Everyone means Congress, the President, the cabinet, etc.) That enables the banks to tell Congress, regulators, etc. what to do. And … Congress, regulators, etc. do what they are told.
Due to the economic crisis, (which the banks helped cause) a lot of people are defaulting on their credit cards. The potential loss is over 1.5 trillion. The banks and Treasury are worried. Massive credit card defaults will make our economy grind to a halt. The government keeps giving them (the banks) your tax-dollars to make up for any losses.
The government reports that “average” credit card debt is over $10,000. The true number is probably a lot higher ($15-20,000). (No one believes our government any more.) Banks report credit card defaults are accelerating. There is growing fear that a “credit card crisis” is looming.
They (Government, Banks and Credit-card companies.) have a plan to freeze credit cards. Many companies have already lowered credit limits and “shut-down” many cards.
“Freeze credit cards!” What does that mean? It means credit cards will no longer work to buy gas or groceries or a dress or TV. Only debit cards will be accepted.
What happens if they stop honoring credit cards? It means that our economy will grind to a halt. Many people will not be able to buy food, gas, pay bills and provide for basic needs.
There is political “noise” to pressure the banks to stop some of the credit card “scams” and abuses. The banks and Wall Street aren’t worried. They believe the money they give to the politicians will prevent any “meaningful” action. They don’t remember what happened in the 1930s.
What should you do? Advice from Charles (a CACTUS participant): Open an account at a bank where you do not have a credit card. Link a DEBIT CARD to that account. The debit card will work (hopefully).
Where can you get money from? Stop paying your current credit card bills. Send the statement you receive to your Congressperson, Representative, Sec. Treasury, etc. Ask them to pay what you owe. The banks give them money so it would be fair if they paid your bills. Also ask them to give you $1,000,000 as a “retention bonus”. That is what Congress does with you tax dollars.
According to Charles, “hurting” the banks, Wall Street and politicians is OK; because they are greedy immoral liars and they hurt you.
Charles also wants to remind you that nobody forced you or other people to spend foolishly, go into debt and help destroy the future of your children.
You are at fault too!
Bottom line:
Put money in a segregated account and get a DEBIT card.
Stop buying things “on credit”.
Send your bills to Congress and the President. Tell them to stop giving away your money.
Stop buying junk you don’t need.
And … you should blame the politicians and bankers. But also blame yourself for buying things you can’t afford.
Also …. Advice from Mary (Mary works with us): Get a new credit card. Spend as much as you can. Obama and Congress and the Banks and Wall Street urge people to spend money to help the economy.
Then send the bills to Obama and Congress and the Banks and Wall Street.
Do it! People are doing it!
Tuesday, April 21, 2009
Mortgages: What to do?
Once upon a time, a mortgage was a loan made by a bank (or similar institution) for the purchase of a home (or real estate of some sort).
The borrower paid interest to the bank and was required to repay the principal. The bank got the money from investors or depositors. The bank made money because they got a higher rate from the borrower than they paid the investor/depositor.
Example: The mortgage cost the borrower 6% and the bank’s cost is 4%. Profit to the bank is 2%. The bank made sure the borrower made a “down payment” that was high enough to protect against default and that the total of the mortgage plus “down payment” was less than the value of the home. The bank also made sure that the borrower could afford the mortgage payments.
That was changed by our Presidents (mainly Clinton), Congress and regulatory agencies at the urging of political parties, Wall Street, Banks and Special-interest groups. Over-inflated mortgage loans were made to people with no money, no jobs and no hopes of paying. These mortgages were “securitized” and sold to investors, pension plans, etc. who had no idea what they were buying. They (Wall Street) also created "derivatives" which may bankrupt America. The “rules and regulations” to protect the public were removed. This helped to further ignite the real estate bubble and subsequent collapse.
What is happening now?
The same Congress and Politicians and Banks and Wall Street that caused the current disaster are once again in charge. They are giving away billions to the Banks, Wall Street, Foreign Investors, AIG, Goldman Sachs, Hedge Funds, etc.
Our government also is giving money to reduce the amount owed on some mortgages, make mortgage payments for others and pay mortgages off entirely in some cases. Our government will also help you buy a home and get a new mortgage, especially if you cannot afford one or can’t make payments. (?????????)
What does this mean?
It means that if you are one of the less than 50% of Americans who still pay taxes, your money is going to banks, hedge funds, Wall Street, etc. to pay for failed mortgages, toxic derivatives and to pay for other people’s mortgages.
So, what can you do?
According to Martin (a contributor), if your house is worth less than the amount of your mortgage, stop paying. If you continue to pay, you are a moron!
If your home is worth more than the mortgage balance, stop paying. Then, contact the mortgage holder and tell them you want the amount owed to be renegotiated to a lower amount. Send the information to your Senator, Representatives and the White House. They can lower the amounts you owe and the interest rate you pay.
If your mortgage is paid-off, take out a “home equity” loan or refinance. Then don’t make payments. Contact the White House and your Congress-people. They will lower the amount you to less than you borrowed (Nice way to make a quick profit.).
Martin also advises that most mortgages are illegal and/or fraudulent. He suggests that you find out who “owns” or “holds” your mortgage and require documented proof. Until you receive acceptable evidence, don’t make any payments to anyone. The payments may be illegal.
Martin also notes that making mortgage payments aids and abets the pervasive corruption of Government and America’s Financial Institutions. Martin says, “Making mortgage payments is Anti-American and probably racist”.
Bottom line: (According to Martin.) The biggest “financial and mortgage scam” in history is taking place. If you continue to make any mortgage payments, you are NUTS!
Send all bills, collection letters, etc. to your Congressman/woman or to Obama. They have been well paid by the banking institutions, etc. They will take care of it.
Martin says, "If we all stop giving them money, Congress may stop stealing." "Vote with your dollars!"
Actnow98@aol.com
The borrower paid interest to the bank and was required to repay the principal. The bank got the money from investors or depositors. The bank made money because they got a higher rate from the borrower than they paid the investor/depositor.
Example: The mortgage cost the borrower 6% and the bank’s cost is 4%. Profit to the bank is 2%. The bank made sure the borrower made a “down payment” that was high enough to protect against default and that the total of the mortgage plus “down payment” was less than the value of the home. The bank also made sure that the borrower could afford the mortgage payments.
That was changed by our Presidents (mainly Clinton), Congress and regulatory agencies at the urging of political parties, Wall Street, Banks and Special-interest groups. Over-inflated mortgage loans were made to people with no money, no jobs and no hopes of paying. These mortgages were “securitized” and sold to investors, pension plans, etc. who had no idea what they were buying. They (Wall Street) also created "derivatives" which may bankrupt America. The “rules and regulations” to protect the public were removed. This helped to further ignite the real estate bubble and subsequent collapse.
What is happening now?
The same Congress and Politicians and Banks and Wall Street that caused the current disaster are once again in charge. They are giving away billions to the Banks, Wall Street, Foreign Investors, AIG, Goldman Sachs, Hedge Funds, etc.
Our government also is giving money to reduce the amount owed on some mortgages, make mortgage payments for others and pay mortgages off entirely in some cases. Our government will also help you buy a home and get a new mortgage, especially if you cannot afford one or can’t make payments. (?????????)
What does this mean?
It means that if you are one of the less than 50% of Americans who still pay taxes, your money is going to banks, hedge funds, Wall Street, etc. to pay for failed mortgages, toxic derivatives and to pay for other people’s mortgages.
So, what can you do?
According to Martin (a contributor), if your house is worth less than the amount of your mortgage, stop paying. If you continue to pay, you are a moron!
If your home is worth more than the mortgage balance, stop paying. Then, contact the mortgage holder and tell them you want the amount owed to be renegotiated to a lower amount. Send the information to your Senator, Representatives and the White House. They can lower the amounts you owe and the interest rate you pay.
If your mortgage is paid-off, take out a “home equity” loan or refinance. Then don’t make payments. Contact the White House and your Congress-people. They will lower the amount you to less than you borrowed (Nice way to make a quick profit.).
Martin also advises that most mortgages are illegal and/or fraudulent. He suggests that you find out who “owns” or “holds” your mortgage and require documented proof. Until you receive acceptable evidence, don’t make any payments to anyone. The payments may be illegal.
Martin also notes that making mortgage payments aids and abets the pervasive corruption of Government and America’s Financial Institutions. Martin says, “Making mortgage payments is Anti-American and probably racist”.
Bottom line: (According to Martin.) The biggest “financial and mortgage scam” in history is taking place. If you continue to make any mortgage payments, you are NUTS!
Send all bills, collection letters, etc. to your Congressman/woman or to Obama. They have been well paid by the banking institutions, etc. They will take care of it.
Martin says, "If we all stop giving them money, Congress may stop stealing." "Vote with your dollars!"
Actnow98@aol.com
Wednesday, April 15, 2009
Tax time idea
CACTUSA 15 APR
April 9, 2009 Associated Press: THE INFLUENCE GAME: Firms reap seeds of lobbying By JULIE HIRSCHFELD DAVIS
WASHINGTON (AP) — Big companies that spent hundreds of millions lobbying successfully for a tax break enacted in 2004 got a 22,000-percent return on that investment. All told, U.S. companies saved about $100 billion in taxes. 93 firms that spent $282.7 million lobbying on that ultimately saved a total of $62.5 billion through the tax change.
Companies and interest groups spent $3.42 billion lobbying Congress and the federal government in 2008, the last year for which such figures are available, according to the Center for Responsive Politics. That's a 14 percent jump from the previous year. See…. (http://www.opensecrets.org)
What does this mean? It means that if you have a lot of money, you can give money to Congress and Government Officials and they will help you avoid taxes. So, who pays taxes? Do you pay taxes? Why do you pay taxes?
BW (Business Week) 4/13/09: “Toxic taxes” Reports that tax preparation companies, often help people file false tax returns. For an “extra” fee, the tax preparers file false returns. They advise that the chances of “getting caught” is very small and comment that politicians and government officials don’t pay taxes on bribes, kickbacks, campaign donations, perks, etc. A lot of “Tax Preparers” and “tax advisors” are ex-IRS people.
What does this mean? You can pay professionals to help you avoid paying taxes. Do you pay taxes?
There are companies that (They openly advertize on radio, TV, the internet, etc.) will help you to avoid paying taxes, set up “offshore” and “protected” accounts.
For Immediate Release Contact: Leslie K. Paige 202-467-5334
April 14, 2009
Earmarks Rise to $19.6 Billion in CAGW’s 2009 Pig Book
(Washington, D.C.) - Citizens Against Government Waste (CAGW) today released the 2009 Congressional Pig Book, the latest installment in the group’s 19-year exposé of pork-barrel spending. The Pig Book revealed 10,160 earmarks worth $19.6 billion.
“Everyone in Washington has promised a new era of transparency and restraint in earmarks, from President Obama to the leaders of both parties in Congress,” said CAGW President Tom Schatz. “Sadly, the hard numbers from the 2009 appropriations bills tell a different story. The current Democratic congressional majority is following the same trajectory as their Republican predecessors. They came into power promising to cut earmarks, and made a big show of it during their first two years. However, as the 2009 Pig Book amply illustrates, pork-barrel spending is growing fast.”
While the number of specific projects declined by 12.5 percent, from 11,610 in fiscal year 2008 to 10,160 in fiscal year 2009, the total tax dollars spent to fund them increased by 14 percent, from $17.2 billion to $19.6 billion.
Much has been made of reforms that require members of Congress to identify earmarks they request and the intended recipients of earmarked funds, but CAGW uncovered 221 earmarks worth $7.8 billion that were funded in circumvention of Congress’s own transparency rules. These stealth earmarks were particularly prevalent in the 2009 Defense Appropriations Act, which included 142 anonymous earmarks worth $6.4 billion, a staggering 57 percent of the earmarked tax dollars.
The Pig Book Summary profiles the most egregious examples, breaks down pork per capita by state, and presents the annual "Oinker" Awards. All 10,160 projects are listed in a searchable database on CAGW’s website www.cagw.org. Examples of pork in the 2009 Pig Book include:
• $3.8 million for the Old Tiger Stadium Conservancy in Detroit;
• $1.9 million for the Pleasure Beach water taxi service in Connecticut;
• $1.8 million for swine odor and manure management research in Ames, Iowa;
• $380,000 for a recreation and fairgrounds area in Kotzebue, Alaska;
• $143,000 for the Greater New Haven Labor History Association in Connecticut;
• $95,000 for the Canton Symphony Orchestra Association in Ohio; and
• $71,000 for Dance Theater Etcetera in Brooklyn for its Tolerance through Arts initiative.
(Citizens Against Government Waste is a nonpartisan, nonprofit organization dedicated to eliminating waste, fraud, abuse, and mismanagement in government.)
The standard “expense costs” for “earmarks” is between 20-40%. The expense costs include lobbying, campaign contributions, kickbacks, jobs for relatives, cash in “offshore” accounts, etc.
The $19.2 billion earmarks that Congress just passed and signed into law means the each member of Congress and their staff gets between $5-9 million.
Why do you pay taxes?
Some of our coalition members believe that if we all stop paying taxes, it will force Congress and Obama to stop stealing and giving away our money.
We have plans. Send us your ideas. actnow98@aol.com
April 9, 2009 Associated Press: THE INFLUENCE GAME: Firms reap seeds of lobbying By JULIE HIRSCHFELD DAVIS
WASHINGTON (AP) — Big companies that spent hundreds of millions lobbying successfully for a tax break enacted in 2004 got a 22,000-percent return on that investment. All told, U.S. companies saved about $100 billion in taxes. 93 firms that spent $282.7 million lobbying on that ultimately saved a total of $62.5 billion through the tax change.
Companies and interest groups spent $3.42 billion lobbying Congress and the federal government in 2008, the last year for which such figures are available, according to the Center for Responsive Politics. That's a 14 percent jump from the previous year. See…. (http://www.opensecrets.org)
What does this mean? It means that if you have a lot of money, you can give money to Congress and Government Officials and they will help you avoid taxes. So, who pays taxes? Do you pay taxes? Why do you pay taxes?
BW (Business Week) 4/13/09: “Toxic taxes” Reports that tax preparation companies, often help people file false tax returns. For an “extra” fee, the tax preparers file false returns. They advise that the chances of “getting caught” is very small and comment that politicians and government officials don’t pay taxes on bribes, kickbacks, campaign donations, perks, etc. A lot of “Tax Preparers” and “tax advisors” are ex-IRS people.
What does this mean? You can pay professionals to help you avoid paying taxes. Do you pay taxes?
There are companies that (They openly advertize on radio, TV, the internet, etc.) will help you to avoid paying taxes, set up “offshore” and “protected” accounts.
For Immediate Release Contact: Leslie K. Paige 202-467-5334
April 14, 2009
Earmarks Rise to $19.6 Billion in CAGW’s 2009 Pig Book
(Washington, D.C.) - Citizens Against Government Waste (CAGW) today released the 2009 Congressional Pig Book, the latest installment in the group’s 19-year exposé of pork-barrel spending. The Pig Book revealed 10,160 earmarks worth $19.6 billion.
“Everyone in Washington has promised a new era of transparency and restraint in earmarks, from President Obama to the leaders of both parties in Congress,” said CAGW President Tom Schatz. “Sadly, the hard numbers from the 2009 appropriations bills tell a different story. The current Democratic congressional majority is following the same trajectory as their Republican predecessors. They came into power promising to cut earmarks, and made a big show of it during their first two years. However, as the 2009 Pig Book amply illustrates, pork-barrel spending is growing fast.”
While the number of specific projects declined by 12.5 percent, from 11,610 in fiscal year 2008 to 10,160 in fiscal year 2009, the total tax dollars spent to fund them increased by 14 percent, from $17.2 billion to $19.6 billion.
Much has been made of reforms that require members of Congress to identify earmarks they request and the intended recipients of earmarked funds, but CAGW uncovered 221 earmarks worth $7.8 billion that were funded in circumvention of Congress’s own transparency rules. These stealth earmarks were particularly prevalent in the 2009 Defense Appropriations Act, which included 142 anonymous earmarks worth $6.4 billion, a staggering 57 percent of the earmarked tax dollars.
The Pig Book Summary profiles the most egregious examples, breaks down pork per capita by state, and presents the annual "Oinker" Awards. All 10,160 projects are listed in a searchable database on CAGW’s website www.cagw.org. Examples of pork in the 2009 Pig Book include:
• $3.8 million for the Old Tiger Stadium Conservancy in Detroit;
• $1.9 million for the Pleasure Beach water taxi service in Connecticut;
• $1.8 million for swine odor and manure management research in Ames, Iowa;
• $380,000 for a recreation and fairgrounds area in Kotzebue, Alaska;
• $143,000 for the Greater New Haven Labor History Association in Connecticut;
• $95,000 for the Canton Symphony Orchestra Association in Ohio; and
• $71,000 for Dance Theater Etcetera in Brooklyn for its Tolerance through Arts initiative.
(Citizens Against Government Waste is a nonpartisan, nonprofit organization dedicated to eliminating waste, fraud, abuse, and mismanagement in government.)
The standard “expense costs” for “earmarks” is between 20-40%. The expense costs include lobbying, campaign contributions, kickbacks, jobs for relatives, cash in “offshore” accounts, etc.
The $19.2 billion earmarks that Congress just passed and signed into law means the each member of Congress and their staff gets between $5-9 million.
Why do you pay taxes?
Some of our coalition members believe that if we all stop paying taxes, it will force Congress and Obama to stop stealing and giving away our money.
We have plans. Send us your ideas. actnow98@aol.com
Monday, April 6, 2009
Do you pay taxes?
Congress voted a “Budget”, a “bailout”, a “TARP”, a “PIPP” and other bills. They gave away trillions of dollars. They don’t know who gets money, what it was for or who controls the money.
The Government promised “openness” and “full disclosure”. When asked, the Treasury and/or Congress and/or the President don’t know or refuse to give truthful or accurate information.
We do know that “favored” banks, Wall Street Institutions, Lobbyists, Politicians, Washington Law Firms, etc. got hundreds of millions and billions. Goldman Sachs got 12.9 billion.
Congress and other elected and appointed government employees, their relatives and friends and campaign contributors get (average) 20-40% of the total of every “bill” passed by Congress for expenses, “fees”, “campaign donations”, “kickbacks”, “consulting fees”, “speaking fees”, cash, lobbying fees, etc. The budget just passed was for over $3.55 trillion. (That’s a lot of money!)
Q. Where does the money come from?
A: Three sources: 1 - The American Taxpayer. 2 - Borrow from the world. 3 - Print “magic” money.
Do you pay taxes? (Estimates are that the majority of Americans no longer file returns or pay what they owe. This includes many in Congress as well as all levels of Government.)
If you pay taxes, your money goes for million dollar bonuses for AIG, Goldman Sachs, lobbyists, private jets, etc. The top executives at FNMA and Freddie Mac lost money in their retirement plans, so they got “retention bonuses” amounting to $210 million to make up for their losses.
Do you pay taxes? Did the treasury make up for your losses in your retirement plan?
Many of the top Obama appointees (including Sec. Treasury and head of IRS) didn’t pay taxes. Obama and Congress said, that’s “OK”. Many (most?) in Congress as well as political appointees have been paid by Wall Street, Goldman Sachs, Hedge Funds, Saudi Arabia, Banks, etc. They follow orders. They have been paid.
The “bailout”, “Toxic Assets” and other programs give billions to the people who gave/give money to the top Obama aides and appointees. That’s your tax dollars.
Do you pay taxes?
Congress knows about the ‘earmarks’, corruption, bribes, etc. Your taxes pay Congress.
Q: Do you know how much money each Congressman/woman spends each year? A: Billions. Do you pay taxes?
We, CACTUS, advocate boycotts, civil actions, etc. We do not advocate “illegal” actions. Many of our members advocate that the minority of Americans who still pay taxes, STOP! They claim, we must stop paying taxes in order to force congress to stop the corruption that is destroying America.
Also … The CEO of Coke’s compensation was over $28,000,000. That is more than $93,000 per day. That is more than the average American worker earns in 549 years.
Coke is helping the American People during the U.S. financial crisis, lost jobs, economic “distress” by raising prices and shrinking product size. Why is Coke raising prices? Greed!
We urge, boycott Coke.
The Government promised “openness” and “full disclosure”. When asked, the Treasury and/or Congress and/or the President don’t know or refuse to give truthful or accurate information.
We do know that “favored” banks, Wall Street Institutions, Lobbyists, Politicians, Washington Law Firms, etc. got hundreds of millions and billions. Goldman Sachs got 12.9 billion.
Congress and other elected and appointed government employees, their relatives and friends and campaign contributors get (average) 20-40% of the total of every “bill” passed by Congress for expenses, “fees”, “campaign donations”, “kickbacks”, “consulting fees”, “speaking fees”, cash, lobbying fees, etc. The budget just passed was for over $3.55 trillion. (That’s a lot of money!)
Q. Where does the money come from?
A: Three sources: 1 - The American Taxpayer. 2 - Borrow from the world. 3 - Print “magic” money.
Do you pay taxes? (Estimates are that the majority of Americans no longer file returns or pay what they owe. This includes many in Congress as well as all levels of Government.)
If you pay taxes, your money goes for million dollar bonuses for AIG, Goldman Sachs, lobbyists, private jets, etc. The top executives at FNMA and Freddie Mac lost money in their retirement plans, so they got “retention bonuses” amounting to $210 million to make up for their losses.
Do you pay taxes? Did the treasury make up for your losses in your retirement plan?
Many of the top Obama appointees (including Sec. Treasury and head of IRS) didn’t pay taxes. Obama and Congress said, that’s “OK”. Many (most?) in Congress as well as political appointees have been paid by Wall Street, Goldman Sachs, Hedge Funds, Saudi Arabia, Banks, etc. They follow orders. They have been paid.
The “bailout”, “Toxic Assets” and other programs give billions to the people who gave/give money to the top Obama aides and appointees. That’s your tax dollars.
Do you pay taxes?
Congress knows about the ‘earmarks’, corruption, bribes, etc. Your taxes pay Congress.
Q: Do you know how much money each Congressman/woman spends each year? A: Billions. Do you pay taxes?
We, CACTUS, advocate boycotts, civil actions, etc. We do not advocate “illegal” actions. Many of our members advocate that the minority of Americans who still pay taxes, STOP! They claim, we must stop paying taxes in order to force congress to stop the corruption that is destroying America.
Also … The CEO of Coke’s compensation was over $28,000,000. That is more than $93,000 per day. That is more than the average American worker earns in 549 years.
Coke is helping the American People during the U.S. financial crisis, lost jobs, economic “distress” by raising prices and shrinking product size. Why is Coke raising prices? Greed!
We urge, boycott Coke.
Thursday, March 19, 2009
Background to AIG bonus mess
This is partial background of the failures of Congress, Government and the leaders of America during March leading to the AIG fiasco. (Not necessary to read.)
12 MAR Where did the money go?
Today, March 2, 2009, it was announced that we gave AIG more money
NYTimes: March 2, 2009, 5:46 pm Who’s Really Being Propped Up in the A.I.G. Bailout? By Joe Nocera
Answer: The US Government, Treasury Department, Obama Administration and Congress all refuse to give information. “And at this point — after Bailout No. 4, with the government handing A.I.G. another $30 billion to go with the previous $150 billion — you would think that the taxpayers would have the right to know that information.”
March 2, 2009 1:44 PM (The AmLaw Daily) Davis Polk, Weil, S&C Lead on New AIG Bailout. (by Zach Lowe) Chew on this for a second: AIG lost $99 billion in 2008, according to Bloomberg. AIG the recipient of four different government bailouts--the latest of which came this morning, when the Treasury Department agreed to kick in another $30 billion in taxpayer money.
Both the Bloomberg story mentioned above and this New York Times piece have full breakdowns on the deal announced today, which also forgives some of AIG's debt to the government by turning it into equity; attaches a lower interest rate to AIG's outstanding debts.
In terms of lawyers, this deal illustrates the monopoly about half-dozen firms and 50 or so high-powered partners have on the bailout work. Sullivan & Cromwell served as counsel to AIG, just as it did in the company's three prior bailout agreements; Weil, Gotshal & Manges served as S&C's co counsel this time. Weil has helped AIG unload some of its units to raise cash and has reportedly been retained as bankruptcy counsel should AIG ever have to file for Chapter 11.
Michael Wiseman led the S&C team along with firm chair H. Rodgin Cohen and partners Robert DeLaMater, Robert Reeder III and Ann Fisher, according to sources familiar with the talks.
Partner Michael Aiello led the Weil team along with partners Matthew Gilroy, Marcia Goldstein, Robert Carangelo and Joseph Allerhand.
Lawyers from both firms declined to comment.
Meanwhile, a team from Davis Polk & Wardwell advised the federal government on the newest round of talks--just as they've done in prior AIG deals. That's a switch from last week, when the firm advised Citigroup in talks that resulted in the government agreeing to take up to a 36 percent share in the banking giant.
Partners Ethan James, Marshall Huebner and Robert Heckart led the Davis Polk team on the deal. The lawyers declined to comment or didn't return messages from The Am Law Daily.
Simpson, Thacher & Bartlett partner James Gamble represented the AIG board of directors, sources said. Gamble has repped the company
12:00 AM CST on Tuesday, March 3, 2009
By TODD J. GILLMAN / The Dallas Morning News tgillman@dallasnews.com / The Dallas Morning News s Pamela Yip in Dallas and Dave Michaels in Washington contributed to this report.
WASHINGTON – Ron Kirk's excess deductions for basketball tickets and failure to report speaking fees as income have cost him $10,000 in back taxes, a Senate committee disclosed Monday, in the latest IRS-related embarrassment for an Obama Cabinet pick.
The problems are the first indication of potential trouble for Kirk's nomination to be U.S. trade representative, though White House officials and key senators called the errors minor and predicted the former Dallas mayor will be confirmed by the Senate.
"When you put anybody's tax filings under a microscope, people don't have to be dishonest," said Senate Majority Leader Harry Reid, D-Nev. "It's just hard to do all the right things. It certainly shouldn't disqualify him."
Aides to the Senate Finance Committee uncovered Kirk's tax shortfall during weeks of vetting. Kirk, a lawyer and the Texas Democratic Party's 2002 Senate nominee, will file amended tax returns for the last three years and pay the Internal Revenue Service $9,975 plus interest.
That pales beside the lapses of some Obama Cabinet picks, though independent tax experts agreed that Kirk had made some "careless" errors.
Treasury Secretary Timothy Geithner paid $43,000 in back taxes before his confirmation. Tom Daschle, the former Senate majority leader who withdrew his bid to lead the Health and Human Services Department, paid $128,203 in back taxes, plus interest, for failing to report as income the car and driver a friend had provided to him.
Labor Secretary Hilda Solis' confirmation was delayed for weeks amid questions about her husband's unpaid taxes. Outside the Cabinet, an Obama pick for a top White House job withdrew over questions about her tax compliance.
The series of problems prompted the White House to review its vetting process and slow the pace of nominations. It was hard to gauge Monday how badly Kirk might suffer from the snafus' cumulative effect.
"We are confident that Mayor Kirk will be confirmed," said White House spokesman Ben LaBolt. Kirk did not pay taxes, did not declare income and made false deductions. Kirk was further endorsed by Obama and confirmed.
Annette Nazareth proposed deputy to Geithner. Former SEC. Withdrawn because of previous actions and associations.
Though popular in policy circles, Nazareth has drawn criticism for her role in creating what some considered to be lax oversight of the banking industry.
Nazareth, 53, a partner at the law firm Davis Polk & Wardwell, could not be reached for comment. White House officials said they would not comment.
Geithner has been criticized for staffing his department too slowly as it grapples with a banking crisis that has crippled the economy. Uncertainty about Treasury staff also has unnerved financial markets.
Five weeks into his tenure, he has yet to name a single top deputy or assistant secretary. This has left Treasury with too few people authorized to make decisions or represent the department in meetings with stakeholders.
After initially declining to comment, Treasury spokesman Isaac Baker e-mailed a statement saying 50 political appointees at the department already are hard at work.
"Any rumors of vetting problems or delays in the process are simply not true," Baker's statement read.
The department has been meeting with members of the financial services industry as it oversees the government's $700 billion financial bailout and other parts of President Barack Obama's financial stabilization plan.
But at a Senate hearing Thursday about failed insurance giant American International Group Inc. — which has received four separate bailouts totaling more than $170 billion — Sen. Chris Dodd said he had asked Treasury for someone to appear, but that no one was available.
"I am not pleased that we don't have someone here from Treasury to explain what their role in this is," Dodd said.
Geithner's choice for undersecretary of international affairs, Caroline Atkinson, also withdrew from consideration, the Wall Street Journal reported Thursday.
Some at Treasury and other financial regulators had looked forward to Nazareth's appointment. She is well-known in policy circles and is close with Geithner and Obama economic team members, including Paul Volcker, a former Federal Reserve chairman.
Nazareth joined the SEC in 1998 as senior counsel to then-Chairman Arthur Levitt, later directing the Division of Market Regulation. She is credited with creating numerous key policy changes.
She created the voluntary program intended to supervise large investment banks including Goldman Sachs, Morgan Stanley and the now-defunct Bear Stearns and Merrill Lynch. The program was canceled in September as the financial crisis erupted and the remaining investment banks converted themselves into bank holding companies.
Some on Capitol Hill had expressed concern that Nazareth was too closely associated with the weak federal oversight that contributed to the banking collapse. Among her responsibilities at Treasury would have been overseeing the creation of a new regulatory system for large financial institutions.
Geithner told a Senate panel Wednesday that he hoped "to come up for the committee soon with a full slate of very strong people."
"We're doing this carefully, as you would expect, and ... trying to make sure we have the best talent in the country," he said.
Geithner's lack of a senior staff has raised concerns on Wall Street.
"This doesn't help confidence," said David Wyss, chief economist at Standard & Poor's in New York. "Geithner is stuck there all by himself trying to do everything. They don't have anybody confirmed, and Treasury is a big shop to try to run with one person, especially right now."
Wyss, who previously worked at the Federal Reserve, said the administration needed to have made a much bigger push before taking office to get people cleared to take over the top jobs at Treasury so that Geithner could assemble his team quickly.
David Jones, head of Denver-based economic consulting firm DMJ Advisors, said that Geithner's missteps in putting together a financial rescue program and his inability to assemble a team at Treasury were raising concerns about whether the new administration's economic team is up to the challenges confronting them.
"There is no question that Wall Street is losing patience," said Jones, who for more than three decades served as a top economist at a major bond trading firm. "If there was ever a time when we need an effective and strong Treasury secretary, it is now."
Jones said that investors had initially viewed the economic team that Obama was assembling favorably because it included experienced hands such as Summers and Volcker.
"There were high expectations for this team, but at this time of crisis, it doesn't seem to be functioning effectively," Jones said.
A list obtained by Fortune includes the names of many foreign banks - as well as U.S. giants such as Goldman Sachs.
By Carol J. Loomis, senior editor at large
Last Updated: March 7, 2009: 1:28 PM ET
NEW YORK (Fortune) -- Donald Kohn, vice chairman of the Federal Reserve, learned this week about blackmail, Senate style, when he refused to disclose the names of financial institutions benefiting from the bailout of American International Group.
Testifying about AIG (AIG, Fortune 500) before the Senate Banking committee, Kohn respectfully resisted all of its attempts to extract the names. Several committee members grew frustrated and finally got to the point of threatening Kohn with no more dollars for the credit crisis - ever - if he didn't spill the information.
Said Sen. Jim Bunning, R-Ky., "You will get the biggest 'no' you ever got. I will do anything possible to stop you from wasting the taxpayers' money on a lost cause."
Why so much fuss over these names? While the government has maintained that saving AIG was necessary to prevent an even wider catastrophe, senators contend the move has also bailed out counterparties who took unwise risks, so the legislators want to know who those companies are.
While The Wall Street Journal Saturday reported many of the names of the 25 counterparties involved, FORTUNE has independently obtained a somewhat different group of 15 names, listed in an intriguing order (see below).
The information that riled the Senate committee this week concerns about $80 billion of credit default swaps - contracts that insure investors against losing principal and interest - that AIG wrote on super-senior tranches of collateralized debt obligations (CDOs) that were backed by mortgage securities, some of them subprime. (See The Company that Came to Dinner, FORTUNE, Jan. 19).
When AIG suffered rating downgrades, the resulting collateral calls on the credit default swaps proved ultimately to be much more than AIG could handle and became the main reason the company was bailed out - with government commitments that now exceed $150 billion.
The counterparties to the swaps were 25 financial institutions spread around the world. Many of them would have been vulnerable to a domino effect if they hadn't received, first, the collateral AIG paid them and, later, billions of dollars from the U.S. government that made the counterparties whole.
In this whole disaster that began to play out last September, neither AIG nor the government has ever divulged the names of the counterparties - and that's what infuriates Bunning and other senators.
Committee chairman Christopher Dodd, D-Conn., describes the counterparties as less than "innocent victims" who used AIG's rating (then AAA) to take "enormous, irresponsible risks." He complains, "It is not clear who we are rescuing."
The Fed's Kohn argued that he couldn't give out the names because the counterparties had entered into contracts with AIG not expecting their identity ever to be disclosed. Naming them, he said, might deter them from doing business with AIG again.
In the end, however, Kohn said he would carry the committee's request back to the Fed and see what might be worked out.
A reliable source, however, has given FORTUNE a list of 15 counterparties, with no dollar figures attached. The list contained the names in the following order. FORTUNE sought comment from all of the financial institutions and none said their inclusion on the list was inaccurate.
Société Générale (France)
Goldman Sachs (GS, Fortune 500)
Merrill Lynch International
Deutsche Bank (Germany)
Calyon, Crédit Agricole (France)
UBS (Switzerland)
Barclays (England)
Coral Purchasing, DZ Bank (Germany)
Bank of Montreal (Canada)
Rabobank (the Netherlands)
Royal Bank of Scotland
Bank of America
Wachovia
HSBC (England)
Barclays Global Investors
What is the significance of the rank order of the list? Since it is not alphabetical, one possible interpretation is that the banks are listed in order of the amount of CDOs they insured with AIG.
Goldman Sachs' No. 2 position fits several press reports that it was an important counterparty, perhaps having insured $20 billion of CDOs with AIG. Goldman has never confirmed that figure, but it has said that its "net" exposure to AIG - after collateral it received and hedging it did - was minimal.
If indeed France's Société Générale ranks No. 1 by exposure, it's a distinction the bank certainly didn't need. Early last year, the company was staggered by the news that a rogue trader had lost $7.5 billion. Had a domino effect ensued from AIG's collapse, Société Générale would have been in an especially vulnerable position.
The Fed's Kohn admitted in the Senate hearings that paying off these counterparties in the course of the AIG rescue "will reduce their incentive to be careful in the future," which helps explain why the names have become such sought-after information in the political debate over "moral hazard."
A transcript of Thursday's hearings that was done by Congressional Quarterly contains a typo that nicely describes the whole disastrous mess that AIG has turned out to be for U.S. taxpayers. The speaker was New York superintendent of insurance Eric Dinallo, and what he said was, "AIG is a microcosm of our regulatory regime."
But the transcript says not "microcosm," but "microchasm." And that's what AIG has proved to be, a money pit of gaping proportions.
First Published: March 7, 2009: 1:18 PM ET
12 MAR Where did the money go?
Today, March 2, 2009, it was announced that we gave AIG more money
NYTimes: March 2, 2009, 5:46 pm Who’s Really Being Propped Up in the A.I.G. Bailout? By Joe Nocera
Answer: The US Government, Treasury Department, Obama Administration and Congress all refuse to give information. “And at this point — after Bailout No. 4, with the government handing A.I.G. another $30 billion to go with the previous $150 billion — you would think that the taxpayers would have the right to know that information.”
March 2, 2009 1:44 PM (The AmLaw Daily) Davis Polk, Weil, S&C Lead on New AIG Bailout. (by Zach Lowe) Chew on this for a second: AIG lost $99 billion in 2008, according to Bloomberg. AIG the recipient of four different government bailouts--the latest of which came this morning, when the Treasury Department agreed to kick in another $30 billion in taxpayer money.
Both the Bloomberg story mentioned above and this New York Times piece have full breakdowns on the deal announced today, which also forgives some of AIG's debt to the government by turning it into equity; attaches a lower interest rate to AIG's outstanding debts.
In terms of lawyers, this deal illustrates the monopoly about half-dozen firms and 50 or so high-powered partners have on the bailout work. Sullivan & Cromwell served as counsel to AIG, just as it did in the company's three prior bailout agreements; Weil, Gotshal & Manges served as S&C's co counsel this time. Weil has helped AIG unload some of its units to raise cash and has reportedly been retained as bankruptcy counsel should AIG ever have to file for Chapter 11.
Michael Wiseman led the S&C team along with firm chair H. Rodgin Cohen and partners Robert DeLaMater, Robert Reeder III and Ann Fisher, according to sources familiar with the talks.
Partner Michael Aiello led the Weil team along with partners Matthew Gilroy, Marcia Goldstein, Robert Carangelo and Joseph Allerhand.
Lawyers from both firms declined to comment.
Meanwhile, a team from Davis Polk & Wardwell advised the federal government on the newest round of talks--just as they've done in prior AIG deals. That's a switch from last week, when the firm advised Citigroup in talks that resulted in the government agreeing to take up to a 36 percent share in the banking giant.
Partners Ethan James, Marshall Huebner and Robert Heckart led the Davis Polk team on the deal. The lawyers declined to comment or didn't return messages from The Am Law Daily.
Simpson, Thacher & Bartlett partner James Gamble represented the AIG board of directors, sources said. Gamble has repped the company
12:00 AM CST on Tuesday, March 3, 2009
By TODD J. GILLMAN / The Dallas Morning News tgillman@dallasnews.com / The Dallas Morning News s Pamela Yip in Dallas and Dave Michaels in Washington contributed to this report.
WASHINGTON – Ron Kirk's excess deductions for basketball tickets and failure to report speaking fees as income have cost him $10,000 in back taxes, a Senate committee disclosed Monday, in the latest IRS-related embarrassment for an Obama Cabinet pick.
The problems are the first indication of potential trouble for Kirk's nomination to be U.S. trade representative, though White House officials and key senators called the errors minor and predicted the former Dallas mayor will be confirmed by the Senate.
"When you put anybody's tax filings under a microscope, people don't have to be dishonest," said Senate Majority Leader Harry Reid, D-Nev. "It's just hard to do all the right things. It certainly shouldn't disqualify him."
Aides to the Senate Finance Committee uncovered Kirk's tax shortfall during weeks of vetting. Kirk, a lawyer and the Texas Democratic Party's 2002 Senate nominee, will file amended tax returns for the last three years and pay the Internal Revenue Service $9,975 plus interest.
That pales beside the lapses of some Obama Cabinet picks, though independent tax experts agreed that Kirk had made some "careless" errors.
Treasury Secretary Timothy Geithner paid $43,000 in back taxes before his confirmation. Tom Daschle, the former Senate majority leader who withdrew his bid to lead the Health and Human Services Department, paid $128,203 in back taxes, plus interest, for failing to report as income the car and driver a friend had provided to him.
Labor Secretary Hilda Solis' confirmation was delayed for weeks amid questions about her husband's unpaid taxes. Outside the Cabinet, an Obama pick for a top White House job withdrew over questions about her tax compliance.
The series of problems prompted the White House to review its vetting process and slow the pace of nominations. It was hard to gauge Monday how badly Kirk might suffer from the snafus' cumulative effect.
"We are confident that Mayor Kirk will be confirmed," said White House spokesman Ben LaBolt. Kirk did not pay taxes, did not declare income and made false deductions. Kirk was further endorsed by Obama and confirmed.
Annette Nazareth proposed deputy to Geithner. Former SEC. Withdrawn because of previous actions and associations.
Though popular in policy circles, Nazareth has drawn criticism for her role in creating what some considered to be lax oversight of the banking industry.
Nazareth, 53, a partner at the law firm Davis Polk & Wardwell, could not be reached for comment. White House officials said they would not comment.
Geithner has been criticized for staffing his department too slowly as it grapples with a banking crisis that has crippled the economy. Uncertainty about Treasury staff also has unnerved financial markets.
Five weeks into his tenure, he has yet to name a single top deputy or assistant secretary. This has left Treasury with too few people authorized to make decisions or represent the department in meetings with stakeholders.
After initially declining to comment, Treasury spokesman Isaac Baker e-mailed a statement saying 50 political appointees at the department already are hard at work.
"Any rumors of vetting problems or delays in the process are simply not true," Baker's statement read.
The department has been meeting with members of the financial services industry as it oversees the government's $700 billion financial bailout and other parts of President Barack Obama's financial stabilization plan.
But at a Senate hearing Thursday about failed insurance giant American International Group Inc. — which has received four separate bailouts totaling more than $170 billion — Sen. Chris Dodd said he had asked Treasury for someone to appear, but that no one was available.
"I am not pleased that we don't have someone here from Treasury to explain what their role in this is," Dodd said.
Geithner's choice for undersecretary of international affairs, Caroline Atkinson, also withdrew from consideration, the Wall Street Journal reported Thursday.
Some at Treasury and other financial regulators had looked forward to Nazareth's appointment. She is well-known in policy circles and is close with Geithner and Obama economic team members, including Paul Volcker, a former Federal Reserve chairman.
Nazareth joined the SEC in 1998 as senior counsel to then-Chairman Arthur Levitt, later directing the Division of Market Regulation. She is credited with creating numerous key policy changes.
She created the voluntary program intended to supervise large investment banks including Goldman Sachs, Morgan Stanley and the now-defunct Bear Stearns and Merrill Lynch. The program was canceled in September as the financial crisis erupted and the remaining investment banks converted themselves into bank holding companies.
Some on Capitol Hill had expressed concern that Nazareth was too closely associated with the weak federal oversight that contributed to the banking collapse. Among her responsibilities at Treasury would have been overseeing the creation of a new regulatory system for large financial institutions.
Geithner told a Senate panel Wednesday that he hoped "to come up for the committee soon with a full slate of very strong people."
"We're doing this carefully, as you would expect, and ... trying to make sure we have the best talent in the country," he said.
Geithner's lack of a senior staff has raised concerns on Wall Street.
"This doesn't help confidence," said David Wyss, chief economist at Standard & Poor's in New York. "Geithner is stuck there all by himself trying to do everything. They don't have anybody confirmed, and Treasury is a big shop to try to run with one person, especially right now."
Wyss, who previously worked at the Federal Reserve, said the administration needed to have made a much bigger push before taking office to get people cleared to take over the top jobs at Treasury so that Geithner could assemble his team quickly.
David Jones, head of Denver-based economic consulting firm DMJ Advisors, said that Geithner's missteps in putting together a financial rescue program and his inability to assemble a team at Treasury were raising concerns about whether the new administration's economic team is up to the challenges confronting them.
"There is no question that Wall Street is losing patience," said Jones, who for more than three decades served as a top economist at a major bond trading firm. "If there was ever a time when we need an effective and strong Treasury secretary, it is now."
Jones said that investors had initially viewed the economic team that Obama was assembling favorably because it included experienced hands such as Summers and Volcker.
"There were high expectations for this team, but at this time of crisis, it doesn't seem to be functioning effectively," Jones said.
A list obtained by Fortune includes the names of many foreign banks - as well as U.S. giants such as Goldman Sachs.
By Carol J. Loomis, senior editor at large
Last Updated: March 7, 2009: 1:28 PM ET
NEW YORK (Fortune) -- Donald Kohn, vice chairman of the Federal Reserve, learned this week about blackmail, Senate style, when he refused to disclose the names of financial institutions benefiting from the bailout of American International Group.
Testifying about AIG (AIG, Fortune 500) before the Senate Banking committee, Kohn respectfully resisted all of its attempts to extract the names. Several committee members grew frustrated and finally got to the point of threatening Kohn with no more dollars for the credit crisis - ever - if he didn't spill the information.
Said Sen. Jim Bunning, R-Ky., "You will get the biggest 'no' you ever got. I will do anything possible to stop you from wasting the taxpayers' money on a lost cause."
Why so much fuss over these names? While the government has maintained that saving AIG was necessary to prevent an even wider catastrophe, senators contend the move has also bailed out counterparties who took unwise risks, so the legislators want to know who those companies are.
While The Wall Street Journal Saturday reported many of the names of the 25 counterparties involved, FORTUNE has independently obtained a somewhat different group of 15 names, listed in an intriguing order (see below).
The information that riled the Senate committee this week concerns about $80 billion of credit default swaps - contracts that insure investors against losing principal and interest - that AIG wrote on super-senior tranches of collateralized debt obligations (CDOs) that were backed by mortgage securities, some of them subprime. (See The Company that Came to Dinner, FORTUNE, Jan. 19).
When AIG suffered rating downgrades, the resulting collateral calls on the credit default swaps proved ultimately to be much more than AIG could handle and became the main reason the company was bailed out - with government commitments that now exceed $150 billion.
The counterparties to the swaps were 25 financial institutions spread around the world. Many of them would have been vulnerable to a domino effect if they hadn't received, first, the collateral AIG paid them and, later, billions of dollars from the U.S. government that made the counterparties whole.
In this whole disaster that began to play out last September, neither AIG nor the government has ever divulged the names of the counterparties - and that's what infuriates Bunning and other senators.
Committee chairman Christopher Dodd, D-Conn., describes the counterparties as less than "innocent victims" who used AIG's rating (then AAA) to take "enormous, irresponsible risks." He complains, "It is not clear who we are rescuing."
The Fed's Kohn argued that he couldn't give out the names because the counterparties had entered into contracts with AIG not expecting their identity ever to be disclosed. Naming them, he said, might deter them from doing business with AIG again.
In the end, however, Kohn said he would carry the committee's request back to the Fed and see what might be worked out.
A reliable source, however, has given FORTUNE a list of 15 counterparties, with no dollar figures attached. The list contained the names in the following order. FORTUNE sought comment from all of the financial institutions and none said their inclusion on the list was inaccurate.
Société Générale (France)
Goldman Sachs (GS, Fortune 500)
Merrill Lynch International
Deutsche Bank (Germany)
Calyon, Crédit Agricole (France)
UBS (Switzerland)
Barclays (England)
Coral Purchasing, DZ Bank (Germany)
Bank of Montreal (Canada)
Rabobank (the Netherlands)
Royal Bank of Scotland
Bank of America
Wachovia
HSBC (England)
Barclays Global Investors
What is the significance of the rank order of the list? Since it is not alphabetical, one possible interpretation is that the banks are listed in order of the amount of CDOs they insured with AIG.
Goldman Sachs' No. 2 position fits several press reports that it was an important counterparty, perhaps having insured $20 billion of CDOs with AIG. Goldman has never confirmed that figure, but it has said that its "net" exposure to AIG - after collateral it received and hedging it did - was minimal.
If indeed France's Société Générale ranks No. 1 by exposure, it's a distinction the bank certainly didn't need. Early last year, the company was staggered by the news that a rogue trader had lost $7.5 billion. Had a domino effect ensued from AIG's collapse, Société Générale would have been in an especially vulnerable position.
The Fed's Kohn admitted in the Senate hearings that paying off these counterparties in the course of the AIG rescue "will reduce their incentive to be careful in the future," which helps explain why the names have become such sought-after information in the political debate over "moral hazard."
A transcript of Thursday's hearings that was done by Congressional Quarterly contains a typo that nicely describes the whole disastrous mess that AIG has turned out to be for U.S. taxpayers. The speaker was New York superintendent of insurance Eric Dinallo, and what he said was, "AIG is a microcosm of our regulatory regime."
But the transcript says not "microcosm," but "microchasm." And that's what AIG has proved to be, a money pit of gaping proportions.
First Published: March 7, 2009: 1:18 PM ET
Sunday, March 1, 2009
March: Spring is coming. Disaster too.
Can we stop paying taxes, credit card bills, mortgage payments and student loans?
* As stated, CACTUS is a compilation of thoughts, ideas and calls to action by a variety of individuals and groups. Increasingly, our attention is focused on the collapse of the U.S. (and world) economies. Most participants agree that a major cause is the “takeover” of government by the Banking, Investment Industry and other "Special-Interest groups. We further believe that recent government actions and increasing corruption is making things worse and preventing a recovery.
Suggested Disclaimer and caution: Some of the suggestions and ideas proposed may not be 100% approved by Congress, Obama (or Bush), the Banks, Wall Street, Goldman Sachs, Financial Institutions, Lobbyists and other special-interest groups.
The Senate and House of Representatives (Congress) passed a bill that will give away a lot of money. The stated amount is $787 billion. The true amount is estimated to be between $1.73-4.5 trillion. No one really knows because Treasury, Congress, Obama and various agencies refuse to give information and/or don’t know. Congress certainly doesn’t know because they don’t even know what they voted for. They did as they were told.
Is this a good thing for America? Who wrote the bill? In matters of finance and economics, decisions, legislation writing and policy is done by the Banks, Wall Street, Goldman Sachs, Financial Institutions, Lobbyists and other special-interest groups.
Is this true? See … ( http://www.opensecrets.org )
Part of the billions/trillions (or is it zillions?) goes for TARP. The Troubled Asset Relief Program (TARP) is a program of the United States government to purchase assets and equity from financial institutions. It is the largest component of the government's measures in 2008 to rescue the economy.
The first (more to come) Stimulus Plan of 2009 gives away billions more to buy “toxic assets” (mortgages, bonds, CDOs, loans, etc.) from the banks and investment firms.
What does this mean? It means they (Banks, Wall Street, etc.) get billions from the US Treasury. It means they (Banks, Wall Street, etc.) get their money back. It means they (Banks, Wall Street, etc.) can invest, speculate and do whatever they want. If they win, they win. If they lose, the American People lose.
What does this mean? It means that if you have a stock, mutual fund, IRA or any investment that is worth less than you paid, you should be able to get your money back. Get the information and records together. Bring or mail them to your Congressman, to the local newspaper and TV Station and send to Geithner (Sec. Treasury) and Obama. Tell them you want your money back, just like the banks, Wall Street and their friends. Tell them you also want a multi-million dollar bonus, just like their friends.
Some of the money will go to buy credit card and/or consumer loans that are not being paid.
What does this mean? It means that if you don’t pay your credit card or other loans, the bank or lender gets money from the American People. (*Note- You and your children and generations to come are the American People.) So …..
If you pay your credit card and other bills, the assets are not “troubled”. If you stop paying, the assets (loans) become “troubled” and the American People pay. (*Note- You and your children and generations to come are the American People.)
What does this mean? Why should you pay twice? Why should you pay at all? It may be a good idea to send your credit card and other bills to your Congressman and Geithner and Obama and ask them to pay. (It’s your money and your children’s money anyway.)
Some of the money will go pay or reduce or modify or cancel “troubled” mortgages. What does this mean? It means if you make your mortgage payments on time and are current, you get zip. Nada! Nothing! If you stop making your payments and send the information to your Congressman, Geithner, Bank or Obama, they may reduce the amount you owe or interest rates or cancel the entire mortgage. Insist on it! Also demand a bonus.
Now may be a very good time to refinance or get a mortgage or buy a house because you may not have to pay for anything. Wow!
*Note- The politicians and lobbyists also get unknown billions. The car makers and others (corporations, NGOs, Unions, etc.) have bribed Congress and will get more billions. All free, hidden, no taxes, etc.
Do you pay taxes?
Gov. Patterson (NYS) appointed Charles O'Byrne to a chief advisor position. O’Byrne had been Chief of Staff until it was discovered he owed over $200,000 taxes.
Patterson became Governor when the prior Governor was caught in a prostitution “sting”. Joe Bruno, the Senate Majority Leader is also under pressure for various income tax evasions, racketeering and other charges.
In Illinois, the new Senator is suspected of lying about almost everything, which seems to be OK with the Media, Congress and Obama.
In Georgia, it was discovered that many elected officials (at all levels) didn’t bother to file tax returns for six years or more. According to the “cockroach theory”, there are many, many more.
*Geithner is now head of IRS. He didn’t pay taxes. Obama and Congress said it is “acceptable” “oops”. Do you pay taxes?
What does mean? It seems to mean that we are in a new era. According to Congress, the President, the Media, the Banks, Lobbyists, Wall Street and those who have power, it OK to not make mortgage, credit card, student loan and card payments. Just give the bills to your Congressman. Paying taxes seems to be a matter of choice. Obama and Congress and the Media, by their actions and inactions, seem to agree that it is OK to not pay taxes if you have influence or whatever.
*Reminder: You can contact us and contribute at actnow98@aol.com
Sadly: More to come.
* As stated, CACTUS is a compilation of thoughts, ideas and calls to action by a variety of individuals and groups. Increasingly, our attention is focused on the collapse of the U.S. (and world) economies. Most participants agree that a major cause is the “takeover” of government by the Banking, Investment Industry and other "Special-Interest groups. We further believe that recent government actions and increasing corruption is making things worse and preventing a recovery.
Suggested Disclaimer and caution: Some of the suggestions and ideas proposed may not be 100% approved by Congress, Obama (or Bush), the Banks, Wall Street, Goldman Sachs, Financial Institutions, Lobbyists and other special-interest groups.
The Senate and House of Representatives (Congress) passed a bill that will give away a lot of money. The stated amount is $787 billion. The true amount is estimated to be between $1.73-4.5 trillion. No one really knows because Treasury, Congress, Obama and various agencies refuse to give information and/or don’t know. Congress certainly doesn’t know because they don’t even know what they voted for. They did as they were told.
Is this a good thing for America? Who wrote the bill? In matters of finance and economics, decisions, legislation writing and policy is done by the Banks, Wall Street, Goldman Sachs, Financial Institutions, Lobbyists and other special-interest groups.
Is this true? See … ( http://www.opensecrets.org )
Part of the billions/trillions (or is it zillions?) goes for TARP. The Troubled Asset Relief Program (TARP) is a program of the United States government to purchase assets and equity from financial institutions. It is the largest component of the government's measures in 2008 to rescue the economy.
The first (more to come) Stimulus Plan of 2009 gives away billions more to buy “toxic assets” (mortgages, bonds, CDOs, loans, etc.) from the banks and investment firms.
What does this mean? It means they (Banks, Wall Street, etc.) get billions from the US Treasury. It means they (Banks, Wall Street, etc.) get their money back. It means they (Banks, Wall Street, etc.) can invest, speculate and do whatever they want. If they win, they win. If they lose, the American People lose.
What does this mean? It means that if you have a stock, mutual fund, IRA or any investment that is worth less than you paid, you should be able to get your money back. Get the information and records together. Bring or mail them to your Congressman, to the local newspaper and TV Station and send to Geithner (Sec. Treasury) and Obama. Tell them you want your money back, just like the banks, Wall Street and their friends. Tell them you also want a multi-million dollar bonus, just like their friends.
Some of the money will go to buy credit card and/or consumer loans that are not being paid.
What does this mean? It means that if you don’t pay your credit card or other loans, the bank or lender gets money from the American People. (*Note- You and your children and generations to come are the American People.) So …..
If you pay your credit card and other bills, the assets are not “troubled”. If you stop paying, the assets (loans) become “troubled” and the American People pay. (*Note- You and your children and generations to come are the American People.)
What does this mean? Why should you pay twice? Why should you pay at all? It may be a good idea to send your credit card and other bills to your Congressman and Geithner and Obama and ask them to pay. (It’s your money and your children’s money anyway.)
Some of the money will go pay or reduce or modify or cancel “troubled” mortgages. What does this mean? It means if you make your mortgage payments on time and are current, you get zip. Nada! Nothing! If you stop making your payments and send the information to your Congressman, Geithner, Bank or Obama, they may reduce the amount you owe or interest rates or cancel the entire mortgage. Insist on it! Also demand a bonus.
Now may be a very good time to refinance or get a mortgage or buy a house because you may not have to pay for anything. Wow!
*Note- The politicians and lobbyists also get unknown billions. The car makers and others (corporations, NGOs, Unions, etc.) have bribed Congress and will get more billions. All free, hidden, no taxes, etc.
Do you pay taxes?
Gov. Patterson (NYS) appointed Charles O'Byrne to a chief advisor position. O’Byrne had been Chief of Staff until it was discovered he owed over $200,000 taxes.
Patterson became Governor when the prior Governor was caught in a prostitution “sting”. Joe Bruno, the Senate Majority Leader is also under pressure for various income tax evasions, racketeering and other charges.
In Illinois, the new Senator is suspected of lying about almost everything, which seems to be OK with the Media, Congress and Obama.
In Georgia, it was discovered that many elected officials (at all levels) didn’t bother to file tax returns for six years or more. According to the “cockroach theory”, there are many, many more.
*Geithner is now head of IRS. He didn’t pay taxes. Obama and Congress said it is “acceptable” “oops”. Do you pay taxes?
What does mean? It seems to mean that we are in a new era. According to Congress, the President, the Media, the Banks, Lobbyists, Wall Street and those who have power, it OK to not make mortgage, credit card, student loan and card payments. Just give the bills to your Congressman. Paying taxes seems to be a matter of choice. Obama and Congress and the Media, by their actions and inactions, seem to agree that it is OK to not pay taxes if you have influence or whatever.
*Reminder: You can contact us and contribute at actnow98@aol.com
Sadly: More to come.
Thursday, February 5, 2009
Idea for Valentine's Day
CACTUSA 6 FEB 09
Starbucks makes money by selling coffee for $1.95. Ingredients = 2¢ coffee, .0006¢ water, 1.5¢ container and 4¢ other stuff.
Drug companies used to (past) make money by developing drugs that help people. Now they make more money by bribing Congress to inflate drug prices. Lipitor: 1 pill costs over $3.00.
Some defense contractors make money by building tanks or ships or bombs. Other defense contractors make much more money by bribing Congress to buy things that the military does not want and doesn’t work (like the anti-anti-anti-ballistic system). 
Banks, Wall Street and Financial Institutions make money by stealing from the American People. They give money to Politicians (bribes, campaign contributions, speaker’s fees, consultation fees, etc.) to enact laws that help them steal.
The President of the U.S. and Congress want to give away over one trillion+ dollars to an assortment of thieves, liars, banks, politicians and other evil people.
Politicians (and Government) are despicable and evil people.
So what can you do?
For Valentine’s Day, send them a card/fax/e-mail. Tell them they are despicable evil corrupt people and we hate them and pray they burn in hell. Also tell them that if stop lying, cheating, corruption and other bad stuff, we will like them a little better.
*Note: According to Murray, spitting on an elected official may be illegal. (Or not)
Starbucks makes money by selling coffee for $1.95. Ingredients = 2¢ coffee, .0006¢ water, 1.5¢ container and 4¢ other stuff.
Drug companies used to (past) make money by developing drugs that help people. Now they make more money by bribing Congress to inflate drug prices. Lipitor: 1 pill costs over $3.00.
Some defense contractors make money by building tanks or ships or bombs. Other defense contractors make much more money by bribing Congress to buy things that the military does not want and doesn’t work (like the anti-anti-anti-ballistic system). 
Banks, Wall Street and Financial Institutions make money by stealing from the American People. They give money to Politicians (bribes, campaign contributions, speaker’s fees, consultation fees, etc.) to enact laws that help them steal.
The President of the U.S. and Congress want to give away over one trillion+ dollars to an assortment of thieves, liars, banks, politicians and other evil people.
Politicians (and Government) are despicable and evil people.
So what can you do?
For Valentine’s Day, send them a card/fax/e-mail. Tell them they are despicable evil corrupt people and we hate them and pray they burn in hell. Also tell them that if stop lying, cheating, corruption and other bad stuff, we will like them a little better.*Note: According to Murray, spitting on an elected official may be illegal. (Or not)
Sunday, February 1, 2009
Give Politicians money, don't pay taxes and boycott Pepsi
The President (Obama) and Congress is screaming BAILOUT, PANIC, EMERGENCY, GIVE US MONEY!
Doritos is now $3.99 for 12 oz. It was $1.99 for 16 oz. One serving of Doritos has 150 calories and 70 g fat. Doritos also uses corn products and all kinds of artificial things that range from not good to evil. Doritos is made by Frito-Lay which also makes Lay’s Potato Chips. Frito-Lay is owned by Pepsi-cola which has also recently raised their prices. Pepsi-cola now costs more than gasoline. 
The cost of “bailouts” for 2009 is now estimated to be between $1.72 to $2.8 trillion. No one is sure of the amount. The government or Congress will not (or cannot) give information.
The other (not “bailout”) Congressional approved “deficit” spending brings the total to over $8 trillion for 2009. This amounts to over $26,000 for every adult, child and infant in the U.S. That is over $100,000 per average 4 person family. This is for 2009 only. Next year, the amount is expected to higher. (We are Kaput!)
The other (not “bailout”) Congressional approved “deficit” spending brings the total to over $8 trillion for 2009. This amounts to over $26,000 for every adult, child and infant in the U.S. That is over $100,000 per average 4 person family. This is for 2009 only. Next year, the amount is expected to higher. (We are Kaput!)
The new Sec. Treasury (Geithner) and proposed Sec. HHS (Daschle) did not pay taxes until they were caught. Geithner is now head of IRS. Obama and Congress say it is “OK”. (Most Politicians are not "caught".) Probability and history says most politicians and people in government along with Banks and Wall Street do not pay the taxes they owe. If they are caught, they only pay interest. The chance of getting caught is one in 1,000.
The Media says it is “OK”. The Justice Department is not doing anything, so it must be OK. The President and Congress gave their approval.
A lot of people don’t pay taxes. Congress, politicians, government employees, Wall Street, Banks, Lobbyists and all kinds of evil people steal taxpayer money.
Do you pay taxes? Why?
The Media says it is “OK”. The Justice Department is not doing anything, so it must be OK. The President and Congress gave their approval.
A lot of people don’t pay taxes. Congress, politicians, government employees, Wall Street, Banks, Lobbyists and all kinds of evil people steal taxpayer money.
Do you pay taxes? Why?
Doritos is now $3.99 for 12 oz. It was $1.99 for 16 oz. One serving of Doritos has 150 calories and 70 g fat. Doritos also uses corn products and all kinds of artificial things that range from not good to evil. Doritos is made by Frito-Lay which also makes Lay’s Potato Chips. Frito-Lay is owned by Pepsi-cola which has also recently raised their prices. Pepsi-cola now costs more than gasoline. 
Health officials promise that if you don’t eat or drink Doritos, Potato Chips, Pepsi-cola and gasoline, you will not die.
Bottom line: Boycott Doritos, Lay’s Potato Chips, Pepsi-cola and if possible gasoline.
You will save money, not be so fat and become a better person.
Bottom line: Boycott Doritos, Lay’s Potato Chips, Pepsi-cola and if possible gasoline.
You will save money, not be so fat and become a better person.
Wednesday, January 14, 2009
Ice cream and cookies 20 JAN 09
A 1/2 gallon container of Breyer's Ice Cream is 48 oz. (What? That's not correct. A half-gallon is 64 oz.) How did this happen? Two quarts became 1 3/4 quarts. 
Unilver made it happen. The people in charge of Unilever make a lot millions and they want more. Their business model is to charge their customers more and give them less. They think their customers are stupid and will pay whatever they charge. They also conspire with other ice cream companies,food distributors and politicians to "fix" prices.
Unilver made it happen. The people in charge of Unilever make a lot millions and they want more. Their business model is to charge their customers more and give them less. They think their customers are stupid and will pay whatever they charge. They also conspire with other ice cream companies,food distributors and politicians to "fix" prices. Q. Can we do anything? A. Yes! We can boycott Breyer's. Breyer's is owned by Unilever. We can stop buying Breyer's ice cream, Dove Soap, Hellman's Mayonnaise, Lipton Tea and all the products owned by Unilever. We can review this boycott in July if Breyer's changes size and price.
According to PCA, a unit size of Breyer's should be 1/2 gallon and priced between $2.oo to 2.25. PCA reports that the price of 1/2 gallon ice cream may go $7.99 by the end of 2009.
(Ice cream also makes you fat and you are probably overweight now.)
Scientific fact: Nobody ever died from not eating ice cream, mayonnaise, Vaseline, soap or any of Unilever's products.
Scientific fact: Nobody ever died from not eating ice cream, mayonnaise, Vaseline, soap or any of Unilever's products.
Chips Ahoy (chocolate chip cookies) now come in a 14 oz. package. Most cookies came in 16 oz. (one pound) units and cost $1.50-$1.99. Now they cost $2.99 to $3.50. A plan is raise the price to $4.99 by the end of 2009. Nabisco makes Chips Ahoy. Why did Nabisco raise the price and shrink the size? A. They did for the same reason as Unilever. They are very greedy people.
What can we do? Boycott Nabisco. Stop buying Chips-Ahoy, Ritz Crackers, Oreo Cookies and all the junk food they make. We will continue the boycott until Nabisco restores the package size to 16 oz. and reduces the price to no more than $2.00.
Medical authorities swear that you can survive if you stop eating Chips-Ahoy and junk food. You will also lose weight, feel better and even smell better.
And .... Did you ever read the ingredients on Nabisco's packages? Yucht!
Bottom line: Boycott Breyer's ice cream + everything Unilever makes.
Bottom line: Boycott Chips-Ahoy and everything Nabisco/Kraft makes.
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