Archive for category Banks

practical applications

Great video:

They are not dramatic. They are pernicious. Most psychopaths are subtle. They are more like poison than a knife, and they are more like slow-working poison than cyanide.So what bullies usually do, they start and stop, start and stop. That achieves the maximal stress syndrome, and this is the great secret of bullying. Never overdo it. Small doses. The victim will do the rest. ~ Sam Vaknin, psychopath

See: the social engineers

^^^^^^^

Social engineering in practice:

Iraq war inquiry: Blair government ‘massaged’ Saddam Hussein WMD threat

Carne Ross, a British diplomat to the UN who was responsible for Iraq in the runup to the invasion, said intelligence was “massaged” into “more robust and terrifying” statements about Saddam’s supposed WMD.

In evidence to the Chilcot inquiry, which heard that the Foreign Office had objected to the release of documents that he wanted to disclose, Ross said: “This process of exaggeration was gradual and proceeded by accretion and editing from document to document, in a way that allowed those participating to convince themselves that they were not engaged in blatant dishonesty.”

In an example of what he called a process of “deliberate public exaggeration”, Ross said the government in March 2002 sent the parliamentary Labour party a paper that included the claim that “if Iraq’s weapons programmes remained unchecked, Iraq could develop a crude nuclear device in about five years”.

He said the government’s real assessment was more or less the opposite: that sanctions were effectively preventing Iraq from developing a nuclear capability.

The statement to the PLP was “purely hypothetical”, said Ross, “and was true in 1991 as it was in 2002; there was no evidence at either point that Iraq was close to obtaining the necessary material”. A senior Foreign Office official sent a minute to an adviser to Jack Straw, the then foreign secretary, warning about the discrepancy in the memo to the PLP. But, Ross told the inquiry, the official was ignored.

^^^^^^^

Social engineering in practice:

First some conspiracy facts:

  1. Iran has signed the NPT. As a signatory to the NPT, Iran may rightfully, legally, use nuclear technology for peaceful energy purposes. Iran has submitted to and passed repeated IAEA inspections.
  2. The US intelligence community (NIE) does not consider Iran a nuclear threat. No credible evidence has ever been presented that Iran has a nuclear weapons program.
  3. Israel refuses to sign the NPT. Israel has an estimated several hundred undeclared nuclear weapons.
  4. An attack on Iran will have global consequences.

Now…

WSJ (high-end social engineering rag): Why hasn’t Israel bombed Iran (yet)?, by Bret Stephens, former editor-in-chief at the JPost, via the Truth Seeker

1. Israeli military planners have concluded that any attack would be unlikely to succeed (or succeed at a reasonable price). “But this analysis fails to appreciate the depth of Israeli fears of a nuclear Iran, and the lengths they are prepared to go to stop it.” EVEN THOUGH THEY HAVE NO EVIDENCE THAT IRAN HAS A NUCLEAR WEAPONS PROGRAM.

2. Israel needs more time to improve its offensive and defensive military capabilities, (ie: to suck dry the US taxpayers.)

3. Netanyahu and his cabinet can’t agree what to do (and who will be blamed if something goes wrong.)

4. And something might go wrong. “This is an unenviable position, and Israel’s friends abroad would do well to spare it easy lectures. Iran is not Israel’s problem alone. It should not be Israel’s problem alone to solve, to its own frightful peril.” EVEN THOUGH THE “PROBLEM” OF IRAN IS ENTIRELY ISRAEL’S INVENTION BECAUSE IRAN THREATENS ISRAEL’S HEGEMONY IN THE MIDDLE EAST.

Commentary by Truth Seeker:

There is a fifth and final reason that Israel hasn’t yet struck at Iran. Despite his impressive record as a journalist, Bret Stephens seems unable or unwilling to acknowledge that Israel has yet to persuade its “ally”to do the job for them.

America’s reluctance to strike Iran can largely be attributed to elements in its military command. But that could change, particularly under someone like Patraeus, who seems to have presidential ambitions.

So while at a stretch it might just be possible, a unilateral strike on Iran would prove very costly for Israel. Indeed it could prove disasterous and rather than face the consequences alone Israel wants the rest of the world to help pay the price.

If only subliminally however, the above does at least prepare readers for the prospect of conflict with Iran.

(image from ani-slowa-wiecej.blogspot.com)

Do you see a process of deliberate public exaggeration, just like in the lead up to the Iraq war?

Do you see the starting and stopping? The threat advancing and receding? Month after month, year after year.

Do you see the actual facts of the situation diametrically opposed to the breathless claims justifying war?

Softening you up. Confusing you. Conditioning you. That’s the point.

the sheikhs of abu dhabi

We learn of Sheikh Ahmed bin Zayed’s family from aangirfan. Among the points made:

  • The bank known as BCCI was founded in 1972 with the support of Sheik Zayed bin Sultan al Nahyan, former ruler of Abu Dhabi and head of the United Arab Emirates.  BCCI was involved with money launderers and drug and arms traffickers. The CIA used BCCI to funnel money to Osama bin Laden’s men. BCCI helped Saddam Hussein funnel money to Banca Nazionale del Lavoro (BNL) which worked with Henry Kissinger. (From Bush to Osama bin Laden in one - Conspiracy Times)
  • A 2008 UN report said the UAE (which includes Abu Dhabi) has become a ‘major exporting and trans-shipping area’ for heroin. (Also see: Drug dealers see UAE as a transit hub, 2/21/09)
  • Sheikh Ahmed al-Nahyan was ranked 27th on the Forbes list of the most powerful people in the world.
  • Sheikh Ahmed al-Nahyan was the brother of the leader of the United Arab Emirates, Sheikh Khalifa al-Nahyan.
  • In January 2010, another brother, Sheikh Issa al-Nahyan, was cleared of torturing an Afghan merchant in 2004, despite video footage of the incident.
  • Sheikh Ahmed headed Abu Dhabi’s sovereign wealth fund, the largest of its kind in the world.
  • Crown Prince Sheikh Mohammed al-Nahyan is a half brother of Sheikh Khalifa. Sheikh Mohammed and his brothers are expected to try to gain control of Abu Dhabi’s sovereign wealth fund.

Another half brother, Sheikh Mansour, controls the *second* largest UAE sovereign wealth fund, IPIC.

Is the family divided into factions? Was a faction trying to get Ahmed out of the way? It’s possible. It’s a big family. There are bound to be disagreements and power struggles.

Sheikh Ahmed with his father (source)

See fascinating hi-res pics of family members here.

See the list of brothers and their relation to each other here (scroll down).

There are discrepancies about the crash that killed Sheikh Ahmed, whether it was an accident or something else.

^^^^^^^

Who controls the vast wealth of the UAE?

April 2007, the ADIA and ADIC boards are set as follows, for a term of three years:

President His Highness Sheikh Khalifa Bin Zayed Al Nahyan, in his capacity as Ruler of Abu Dhabi, yesterday issued two decrees revamping the board of directors of Abu Dhabi Investment Authority (Adia) and Abu Dhabi Investment Council (Adic).

Membership of the new Adia’s board of directors shall include
Sheikh Sultan Bin Zayed Al Nahyan,
Sheikh Mohammad Bin Zayed Al Nahyan,
Sheikh Ahmad Bin Zayed Al Nahyan,
Sheikh Mansour Bin Zayed Al Nahyan,
Sheikh Mohammad Bin Khalifa Bin Zayed Al Nahyan,

Membership of the new Adic’s board of directors shall include
Sheikh Sultan Bin Zayed Al Nahyan,
Sheikh Mohammad Bin Zayed Al Nahyan,
Sheikh Mansour Bin Zayed Al Nahyan,
Sheikh Hamed Bin Zayed Al Nahyan,

In November 2007, ADIA purchased shares of Citibank. That turned out to be a disastrous investment and is now a lawsuit.

In April 2009, ADIA hired a Rothschild consultant to work with a new team, InvestAD. Was this consultant hired *away* from Rothschild, or was he still working *for* Rothschild?

Expecting the global economic crisis to prompt a spate of mergers and acquisitions, the Abu Dhabi Investment Company (ADIC) has hired a senior investment banker from Rothschild to build a team to give advice on cross-border investment. The company, originally created in 1977 to invest on behalf of the Abu Dhabi government, is now expanding its range of financial services, including offering investors funds focused on the Middle East and Africa and acting as an advisor for international money managers.

To extend its reach, ADIC has hired Alex Carré de Malberg as head of investment banking to lead its advisory business for M&A and capital-raising. With financial turmoil lifting the cost of capital and stalling investment projects across the world, he believes investors in the Middle East will come into play as assets are reshuffled.

March 17, 2010, a report says Sheikh Ahmed’s brother, the leader of the UAE Sheikh Khalifa al-Nahyan, restructured ADIA’s board. However, everything looks exactly the same as April 2007.

President His Highness Shaikh Khalifa bin Zayed Al Nahyan has issued Decree No 2 of 2010 restructuring the board of Abu Dhabi Investment Authority (ADIA) under his presidency.

Issued in his capacity as Ruler of Abu Dhabi, the decree named the following as members of the board :

Shaikh Sultan bin Zayed Al Nahyan, the President’s Representative,

Gen. Sheikh Mohammed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces,

Sheikh Ahmed bin Zayed Al Nahyan, Chairman of the Board of Trustees of the Zayed Foundation for Charity and Humanitarian Works, who also acts as the Managing Director,

Sheikh Mansour bin Zayed Al Nahyan, Deputy Prime Minister and Minister of Presidential Affairs,

Sheikh Mohammed bin Khalifa Al Nahyan, Chairman of Abu Dhabi Finance Department

March 27th the glider goes down, Ahmed is killed, and the Spanish pilot is rescued in “good condition.” Or did he suffer from internal bleeding and require several operations?

On April 8th, Khalifa Mohammed al-Kindi, previously chairman of InvestAD, is named as head of ADIA. The board has also been reshuffled to include Sheikh Hamed.

On April 14th, Sheikh Hamed bin Zayed al Nahyan is appointed managing director of ADIA.

April 14 (Bloomberg) — The Abu Dhabi Investment Authority, one of the world’s largest sovereign wealth funds, appointed Sheikh Hamed bin Zayed al Nahyan as its managing director, succeeding the late Sheikh Ahmed bin Zayed Al Nahyan. Sheikh Hamed currently heads the Abu Dhabi Crown Prince’s Court and is chairman of the Higher Corporation of Specialized Economy Zones. He is the half brother of Sheikh Khalifa bin Zayed Al Nahyan, president of the United Arab Emirates, and a younger brother of Sheikh Ahmed.

April 15th, Khalifa reshuffles the ADIA board again.

The board will be chaired by the UAE President. The members are

Sheikh Sultan bin Zayed Al Nahyan, President’s Representative;

General Sheikh Mohammed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces;

Sheikh Mansour bin Zayed Al Nahyan, Deputy Prime Minister and Minister of Presidential Affairs;

Sheikh Hamed bin Zayed Al Nahyan, Chief of Crown Prince’s Court as Managing Director;

Sheikh Mohammed bin Khalifa Al Nahyan, Chairman of the Department of Finance

The only change, essentially, is Sheikh Hamed replaces Sheikh Ahmed. Sheikh Hamed is brought *into* the board and goes immediately to the Managing Director slot vacated by the deceased Sheikh Ahmed.

Also reported on April 15th, the Sovereign Wealth Fund decided to cancel the advisory group headed up by the Rothschild consultant hired last year. I guess that wasn’t such a good idea after all.

April 15 (Bloomberg) — Invest AD, an Abu Dhabi government- owned money manager, shut its investment banking advisory team and canceled plans to offer a property fund, citing market conditions. Invest AD’s investment banking unit was headed by Alex Carre de Malberg, who joined the company last year from Rothschild & Sons Ltd.

Just a case of bad timing then?

Invest AD is closing its investment banking advisory function, counting among the casualties Alexandre Carre de Malberg – the high profile hire it lured from Rothschild to head up the operation.The Abu-Dhabi investment company entered the investment banking fray about a year and a half ago – precisely when things took a turn for the worse. In 2009, total investment banking fees generated in the Middle East were $649m, or a 43% slide on 2008, according to Thomson Reuters figures. More recently, however, things have been looking up for Middle East investment banking deals. Data from mergermarket shows that the volume of M&A deals in the first quarter of 2010 is up 83% on the same time last year.

That’s funny because, you know, Goldman Sachs made a crap-load of money “precisely when things took a turn for the worse.”

“Well they are the most powerful firm on Wall Street but actually they are an outlet of the Rothschild’s who have spread their power under different names into this century and the prior one.” (source)

And now it looks like a criminal case against GS will be “difficult” because the case is “highly complex” and GS would be able to make “multiple arguments in its defense.”

The best lawyers money can buy, no doubt.

^^^^^^^

Would the Zayed family willingly cooperate with the Rothschilds?

Sheikh Ahmed’s father, Sheikh Zayed

Here is some history of the family, in particular the father, Sheikh Zayed.

Ahmed was born in 1971, the son of Sheikh Zayed bin Sultan al-Nahyan, the widely loved “father of the nation”, and, for four decades, ruler of Abu Dhabi and founding President of the UAE. Ahmed was born the year of the federation of the seven emirates, a long-held dream of his father to unite the Trucial States. Ahmed’s mother, Mouza bint Suhail bin Awada al-Khaili, was one of Sheikh Zayed’s nine wives.
Ahmed was one of the youngest of Sheikh Zayed’s 27 children — one of five sons and two daughters of his marriage to Sheika Mouza. Educated in Abu Dhabi, young Ahmed grew up as his father became one of the wealthiest men in the world. The UAE sits on what is estimated to be a tenth of the world’s oil reserves, and of this Abu Dhabi has 95 per cent. Yet Sheikh Zayed was admired for his modest lifestyle (his early years were heavily influenced by the Beduin tradition), as well as his piety, his tolerance and relatively liberal rule. On Sheikh Zayed’s death in November 2004, his eldest son, Khalifa, became Ruler of Abu Dhabi and President of the UAE.

Sheikh Zayed and his sons (source)

In 1976 the Abu Dhabi Investment Authority was established and has remained under the control of the ruling family. At Sheikh Ahmed’s death, six al-Nahyan brothers sat on ADIA’s board of directors along with three trusted family advisers. Sheikh Ahmed was appointed to head the authority in 1997 and was regarded as “hands on”. For six years before his appointment he worked as a European equities analyst alongside ADIA colleagues on an open floor and continued to eschew the customary honorific “Your Highness”. Despite a reported investment of $7.5 billion in the ailing Citibank by ADIA, the Financial Times recently estimated the authority’s total assets at between £260 billion and £294 billion. It also noted that, in its 34-year history, ADIA’s senior management had granted only four interviews.

Though I am certainly no expert, it does seem from a cursory review of the available information, that Sheikh Zayed was a fine man and deserved the many very nice things written about him. That doesn’t happen too often.

This conclusion is supported by the story of the Zayed Center. Everything you need to know about the Zayed Center can be summarized by the ADL’s breathless charges of anti-semitism against it. (http://www.adl.org/anti_semitism/zayed_center.asp)

The UAE decided to close the Zayed Center in 2003, after it caused severe Jewish hyperventilating.

^^^^^^^

So what happens next?

At the beginning of April, it looked like brother Mansour would come out ahead for ADIA. He is one of the flashier brothers.

The loss of such a low-key, progressive government exec could not come at a more sensitive time for Abu Dhabi.  The city-state and its mysterious ruling family has been under an intense spotlight the past few months during its awkward, stilted showdown with debt-laden fellow emirate, Dubai. Though Abu Dhabi did fork over $10 billion and Dubai seems to have worked out a stop-gap deal with creditors, no outside party- that is to say, no one who is not an Al Maktoum or an Al Nahayan- knows what exactly went down. Are relations tense? Fine? Warm and fuzzy? The answer matters to many- Dubai’s creditors (including major banks), small-time investors, other GCC residents- pretty much anyone who would stand to lose if Dubai were to implode. So far, creditors have warmly welcomed Dubai’s proposed repayment plan based largely on their sense that it has Abu Dhabi’s (aka Uncle Money Bags) tacit approval. But no one knows for sure.

Sheikh Mansour became a household name in the UK since buying the Manchester City soccer team. It seems he’s made one lucky deal after another. It seems that by purchasing this soccer team, he has even bumped Roman Abramovitch down a peg or two. Hmm.

A year ago, Sheikh Mansour bin Zayed Al Nahayan was virtually unknown outside the very small, very rich emirate of Abu Dhabi, capital of the United Arab Emirates and home to 95% of the country’s oil wells. Today he is a household name in the U.K., as the potential savior of beleaguered soccer club Manchester City and a powerful, if controversial, investor in Barclays.

Remember that Rome is the “promised land for foreign mafias” and organized crime rings launder money through legitimate business interests such as sports teams.

Am I saying that is what happened here? No. I’m just saying it happens.

Mansour also heads the *second* largest sovereign wealth fund of the UAE, IPIC.

Sheikh Mansour is married to Sheikh Mohammed bin Rashid Al Maktoum’s daughter (one of his two wives). Sheikh Mohammed bin Rashid Al Maktoum is the ruler of Dubai.

What makes Mansour somewhat unique among the numerous bright sons of the late Shaikh Zayed is that he maintains excellent links with both his full-brother Muhammad bin Zayed and his father-in-law Muhammad bin Rashed. At the same time, however, he follows the instructions of his full-brother, while he merely chooses what suits him from among the suggestions of his father-in-law. With Dubai badly in need of financial support from Abu Dhabi, Shaikh Muhammad bin Rashed is gradually learning to accept the fact that Shaikh Mansour usually ignores any advice from the Dubai ruler which is not acceptable to the Abu Dhabi crown prince.  (source)

But the two men share a close adviser: Amada Staveley. She has helped them both to purchase UK sports teams, among other investments.

She is hot stuff. She turned down a marriage proposal from Prince Andrew.

It is also worth noting here Dubai’s problems and the role of various Rothschild advisers along the way.

^^^^^^^

But as it turned out, Sheikh Hamed got the nod for ADIA.

Sheikh Hamad, back in JANUARY 2004, made the following remark:

“We can no longer rely on the traditional principles of the past, as they are not applicable any more. Globalisation has become an inevitable reality with which we must interact. No country, region or society can remain on the sidelines and pretend they will not be affected by this rapidly changing world order”.

He then privatized the National Petroleum Construction Company (NPCC).

ADNOC’s 70% share in the NPCC was transferred to the General Holding Corp. (GHC) chaired by Shaikh Hamed, who has reconstituted its board of directors to include representatives of the GHC and of the 30% shareholder, the Athens-based Consolidated Contractors Company (CCC).

CCC is a huge contracting company founded by Palestinians over fifty years ago, now based out of Athens.

A December 2004 story about the company reveals the following:

  • The giant U.S. company Bechtel joined forces with CCC in Yemen and other Arab Gulf states to carry out a number of massive projects in the 1950s.
  • CCC also acquired a company in the United Kingdom and the firm earned a strong reputation in only a few years.
  • In 1988, CCC acquired the American firm Morganti Group with annual revenues of $300 million in the U.S. alone.
  • Recently, CCC signed huge contracts with Qatar and Khazakistan, which sit on large quantities of oil and gas.
  • Khoury, who regularly visits Beirut, is very fond of Lebanon and dreams of returning the company to its roots. Many Arab states are inviting CCC to move its headquarters to their capitals.
  • Khoury said that CCC is now pinning high hopes on Africa. “This continent holds the key to the future of CCC and other firms. There are projects more than we can handle,” he said with confidence.

I can just imagine the people who would like to control CCC, and deprive the Palestinians and the Lebanese of this asset.

It seems that a lot now rests with Sheikh Hamad.

Sheikh Hamad bin Zayed

only potential survivor

On another note…

This SEC filing against Goldman Sachs is evidently getting big coverage. I would just point out the best laymen’s explanation ever of this exact financial corruption was written by the Geronimo Manifesto.

Here’s the story:

Washington, D.C., April 16, 2010 — The Securities and Exchange Commission today charged Goldman, Sachs & Co. and one of its vice presidents for defrauding investors by misstating and omitting key facts about a financial product tied to subprime mortgages as the U.S. housing market was beginning to falter.

The SEC alleges that Goldman Sachs structured and marketed a synthetic collateralized debt obligation (CDO) that hinged on the performance of subprime residential mortgage-backed securities (RMBS). Goldman Sachs failed to disclose to investors vital information about the CDO, in particular the role that a major hedge fund played in the portfolio selection process and the fact that the hedge fund had taken a short position against the CDO.

“The product was new and complex but the deception and conflicts are old and simple,” said Robert Khuzami, Director of the Division of Enforcement. “Goldman wrongly permitted a client that was betting against the mortgage market to heavily influence which mortgage securities to include in an investment portfolio, while telling other investors that the securities were selected by an independent, objective third party.”

…According to the SEC’s complaint, filed in U.S. District Court for the Southern District of New York, the marketing materials for the CDO known as ABACUS 2007-AC1 (ABACUS) all represented that the RMBS portfolio underlying the CDO was selected by ACA Management LLC (ACA), a third party with expertise in analyzing credit risk in RMBS. The SEC alleges that undisclosed in the marketing materials and unbeknownst to investors, the Paulson & Co. hedge fund, which was poised to benefit if the RMBS defaulted, played a significant role in selecting which RMBS should make up the portfolio.

The SEC’s complaint alleges that after participating in the portfolio selection, Paulson & Co. effectively shorted the RMBS portfolio it helped select by entering into credit default swaps (CDS) with Goldman Sachs to buy protection on specific layers of the ABACUS capital structure. Given that financial short interest, Paulson & Co. had an economic incentive to select RMBS that it expected to experience credit events in the near future. Goldman Sachs did not disclose Paulson & Co.’s short position or its role in the collateral selection process in the term sheet, flip book, offering memorandum, or other marketing materials provided to investors.

The SEC alleges that Goldman Sachs Vice President Fabrice Tourre was principally responsible for ABACUS 2007-AC1. Tourre structured the transaction, prepared the marketing materials, and communicated directly with investors. Tourre allegedly knew of Paulson & Co.’s undisclosed short interest and role in the collateral selection process. In addition, he misled ACA into believing that Paulson & Co. invested approximately $200 million in the equity of ABACUS, indicating that Paulson & Co.’s interests in the collateral selection process were closely aligned with ACA’s interests. In reality, however, their interests were sharply conflicting.

According to the SEC’s complaint, the deal closed on April 26, 2007, and Paulson & Co. paid Goldman Sachs approximately $15 million for structuring and marketing ABACUS. By Oct. 24, 2007, 83 percent of the RMBS in the ABACUS portfolio had been downgraded and 17 percent were on negative watch. By Jan. 29, 2008, 99 percent of the portfolio had been downgraded.

Investors in the liabilities of ABACUS are alleged to have lost more than $1 billion. (Paulson’s end of the transaction gained $1 billion - ed.)

The SEC’s complaint charges Goldman Sachs and Tourre with violations of Section 17(a) of the Securities Act of 1933, Section 10(b) of the Securities Exchange Act of 1934, and Exchange Act Rule 10b-5. The Commission seeks injunctive relief, disgorgement of profits, prejudgment interest, and financial penalties.

As the Geronimo Manifesto explains, the CDOs are vehicles to buy insurance on bad things happening, and then to help the bad things happen along. Shhh don’t tell anyone except your trusted buds.

Start with a simple example. Assume I know the young son of the couple next door likes to crawl into closets and play with matches. I therefore see a reasonably good shot at “winning the disaster lottery” so to speak, by buying fire insurance on their $200,000 house.

In simple terms, I now have a financial interest is seeing that disaster occurs. If the house, for whatever mysterious reason, burns down an insurance company will pay me the insured value of the house - even though I suffered no loss, financial or otherwise. My neighbor’s misfortune is thus magically transformed into my good fortune. A polite way of saying I was paid $200,000, the insured value of my next-door neighbor’s house, after I paid the $400 insurance premium.

Being bright and suitably equipped with an MBA from a prestigious eastern university, I well and fully understand the desirable objective of maximizing my return on investment. I can accomplish this in one or both of two ways - increasing the return or decreasing the investment.

Now change an assumption. Assume I tell 99 of my poker-playing gambler friends about the boy’s strange and dangerous interest. Starting with my appraiser buddy, who’s predatory income as a result of a mysterious fire will double, as a direct result of his appraisal.

Now assume the $400,000 house burns to the ground. One hundred or so insurance companies will collectively pay $40 million in claims on the loss of a single $400,000 house. The benefits of a $400,000 disaster are magically multiplied by a factor of 100 and transformed into a $40 million disaster - with one family suffering a loss and 100 families experiencing a gain.

That is what we are paying for. That is what we are bailing out with our hard-earned money. And everyone involved knows it. So somebody tell me, why hasn’t anyone in power said this entire casino is contrary to public policy and therefore these contracts are Null and Void?

Again: Credit Default Swaps: The Insane Problem and the Radical but Sane Solution.

It describes exactly the style of corruption in the SEC case against Fabrice Tourre, 31, of Goldman Sachs.

In an email to a friend on January 23, 2007, the London-based trader called himself “The Fabulous Fab” and warned about the coming collapse in the subprime mortgage securities market, according to the SEC complaint. In the message, he also dramatically expresses his own lack of foresight about the consequences of his risky trading activity:

“More and more leverage in the system. The whole building is about to collapse anytime now… Only potential survivor, the fabulous Fab[rice Tourre]… standing in the middle of all these complex, highly leveraged exotic trades he created without necessarily understanding all of the implications of those monstrosities!!!”

Arrogant twit, much?

who is playing with Obama?

I posted this video in October 2009:

Pretty normal huh? To maintain the exact same posture and facial expression like that? Like a robot?

To my eyes, things were looking bad for Obama in October. Well they were looking good, actually, but that seemed bad, because it wasn’t realistic. Except he didn’t seem to get that.

Mind control is real.
Ritual sacrifice is real.
Playing with your emotions is real.
Playing with Obama is real.
I think it—not seems to be, I think it will be.  It will be the signature achievement of this first term, perhaps the only term, but a signature achievement of President Obama‘s this term.  And whether one likes it or not, disagrees with it or not, it takes up the line that started with Social Security, ran through Medicare and Medicaid, which was passed more than 40 years ago, 45 years ago, and it will be put in that category. And if it passes, and if it is put into effect, I expect it will be in the first paragraph of President Obama‘s obituary, that he passed health care reform, partly because so many presidents—President Johnson was successful, but President Nixon had a run at this, just about every president with the possibility exception of Gerry Ford, has at least thought about trying something along these lines.  I don‘t mean this specific bill, but to get some kind of health care reform.

What a strange thing to say. Hey good job too bad you’ll die soon. We’ll be sure to talk it up then, however (wink wink). Just like we always do.

The longtime Democratic senator from Massachusetts died of cancer seven months ago, on Aug. 25, but his last legacy became official at 11:52 a.m. Tuesday, when Obama signed the bill. The political odyssey of health-care reform is in many ways the story of Ted Kennedy. He dedicated his career to reforming the system; his Republican replacement in the Senate, Scott Brown, threatened the passage of Obama’s bill; Democrats persevered in part because they rallied around Kennedy’s memory. (Washington Post, 3/24/10)

Now comes the message that Obama is going off the deep-end.

A recent analysis by Roger Simon of PJTV Media maintains that Obama is showing signs of mental illness. A wide variety of commentators have observed that Obama displays severe narcissism. Obama is conceited, and he is demonstrating a serious disassociation from reality. A recent case in point was Obama’s bizarre and meandering 17-minute, 2,500-word answer to the simple question about how he could justify raising taxes for ObamaCare during a recession when citizens are already overtaxed. Obama’s wildly inappropriate answer left the audience stunned and led commentator Charles Krauthammer to mockingly say, “I don’t know why you are so surprised. It’s only nine times the length of the Gettysburg address, and after all Lincoln was answering an easier question, the higher purpose of the union and the soldiers who fell in battle.”

Et cetera. He threw the baseball like a fag. He lied about his favorite team growing up. He probably didn’t even watch baseball. He says whatever he wants and doesn’t expect to reap the consequences or be forced to defend his empty assertions. He laughs at people’s misery. He believes himself larger than life. He’s petty. He suffers from delusions of grandeur. He’s disconnected from reality. He’s dangerous.

Not only that, but he has this terrible disagreement with Bibi, and my God next thing you know we could be under Sharia Law!

A new report circulating in the Kremlin today authored by France’s Directorate-General for External Security (DGSE) and recently “obtained” by the FSB shockingly quotes French President Nicolas Sarkozy as stating that President Barack Obama is “a  dangerous[ly] aliéné”, which translates into his, Obama, being a “mad lunatic”, or in the American vernacular, “insane”.
According to this report, Sarkozy was “appalled” at Obama’s “vision” of what the World should be under his “guidance” and “amazed” at the American Presidents unwillingness to listen to either “reason” or “logic”. Sarkozy’s meeting where these impressions of Obama were formed took place nearly a fortnight ago at the White House in Washington D.C., and upon his leaving he “scolded” Obama and the US for not listening closely enough to what the rest of the World has to say.
Apparently, as this report details, the animosity between Sarkozy and Obama arose out of how best the West can deal with the growing threat posed by rising Islamic fundamentalism.

Ah, yes. The Islamic problem. European fears about Muslims “appear” to be valid. Hordes of Muslims will take over.

The greatest threat to these Western Nations posed by the Muslim peoples becoming the majority of their populations lies in their likelihood of destroying the Global Banking System which according to their faith is firmly rooted in “satanic” evil and “must” be replaced by an Islamic one.

[Note: Islamic banking refers to a system of banking or banking activity that is consistent with the principles of Islamic law (Sharia) and its practical application through the development of Islamic economics. Sharia prohibits the payment or acceptance of interest fees for the lending and accepting of money respectively, (Riba, usury) for specific terms, as well as investing in businesses that provide goods or services considered contrary to its principles (Haraam, forbidden).]

Do you see this? The Muslims will destroy our BELOVED GLOBAL BANKING SYSTEM, which they mistakenly believe is “satanic,” pfft, as if, and replace it with SHARIA, which all Western people know means we will be forced to wear burqas and live in fear of beheadings.

Obama, on the other hand, doesn’t share the views of his European allies and has, instead, embarked upon a course of embracing the Muslim peoples of the World and to the shock of all has overturned the Bush era ban on the radical Swiss born Muslim Cleric Tariq Ramadan from entering the United States, last year ordered the US government bailed out General Electric Capital Corporation to became the first Western multinational to issue an Islamic bond, and this past week commanded that all of his governments security documents eliminate the words “Islamic extremism” and “jihad”.

Sarkozy in these reports further warns that by Obama’s “unrestrained” and “destabilizing”New World Order where instead of the United States securing its vital energy future through conquest and war it will now do so by appeasement to some of the most violent and radical regimes on Earth, actions an already tense Global situation is growing ever more catastrophic as America’s once stalwart allies are being cast aside in favor of a New World Order where instead of the United States securing its vital energy future through conquest and war it will now do so by appeasement to some of the most violent and radical regimes on Earth,and as we can see exampled:

[here follows a list in which Obama is blamed for everything wrong in the world...]

In Israelwhere Obama has so demoralized and demonized their once most reliable ally that Prime Minister Netanyahu has just announced he will not attend Obama’s Global Nuclear Summit because of his fears that the American President will not keep Egypt and Turkey under control thus threatening the Israelis nuclear supremacy over their Middle Eastern enemies who have sworn to destroy them.

Okay? It is ALL HIS FAULT. Everything. He is atrocious. We are all doomed because of this guy. (Plus! The NWO is a MUSLIM thing, OK? Just like organ trafficking is a CHINESE thing.)

Something Must Be Done.

what to do, what to do?

Meanwhile, team Obama goes about on national teevee spouting lies, unpacked in this piece:

Us and Them. We are the good guys, they are the bad guys. See? They don’t wanna play ball.
“We’re probably going to get another Security Council Resolution” (Gates); “The fact that Iran…(has) not responded makes our case” (Clinton); “We stretched out our hand…It was the Iranians who refused” (Clinton).
Melodramatic drivel. We saw how much the USA and its lackeys respect the UNSC, because they only use it to justify their own ends and if the UNSC says no, they press ahead anyway. Under international law, a separate resolution by the UNSC is necessary for any resort to force, and those concerned know it.
The fact that Iran has not responded is not the case, clearly. The Islamic Republic of Iran has met the USA face to face on a number of issues but reiterates that it has the right to a peaceful nuclear program. And now that the USA is so worried about Iran’s nuclear program, how come nobody speaks about Israel’s 200 warheads sitting in the Negev Desert, which (bring out the orchestra) “Israel does not confirm nor deny”. See the smaller picture.
So why is the USA not playing the same tune with Israel? Or is it that the USA is actually controlled by Israel and the epicentre of the USA’s policy-making process is in fact in Tel Aviv?
A UNSC Resolution would not stop the USA and its allies from going further
“As Secretary Gates just said, the Security Council Resolution will not in any way forestall us or the E.U. or other concerned countries from taking additional steps” (Clinton).
I rest my case. No further comment.

It seems that Obama has been designated a… what’s the word…. a scapegoat.

His administration continues to take policy direction from the zionist entity. But Obama sings from a different book. Should something go wrong, whose fault will it be? Obama’s.

But who controls Obama? Are we to believe that Obama behaves of his own free will? Really?

He’s a puppet. He does what the puppet-masters want him to do.

If you haven’t read The Genesis of Genocide, it explains what we see happening here. There’s a good reason why Obama has behaved and been described as a megalomaniacal narcissist / psychopath disconnected from reality. Because the megalomaniacal narcissists / psychopaths disconnected from reality need him to carry that burden for them. It has been strapped onto his back, and he will be sent out into the wilderness carrying these sins. We could be witnessing the preparation of a form of animal sacrifice.

One method to atone for these sins was the use of scapegoats. In each ceremony, two goats were used; one was sacrificed through being slaughtered to appease their God’s desire for sacrificial death and the other ’set free’ by being sent into the wilderness to carry their sins and guilt and blame away from the Jews and thus redeem themselves at the cost to two ‘beasts’. One bears the punishment; the other bears the blame.

Things in the Talmud which may shed some light on the matters at hand, copped from here:

  • “The Jews are human beings, but the nations of the world are not human beings but beasts. — Saba Mecia 114, 6.
  • “Jehovah created the non-Jew in human form so that the Jew would not have to be served by beasts. The non-Jew is consequently an animal in human form, and condemned to serve the Jew day and night.” -Midrasch Talpioth, p. 225-L.
  • “As soon as the King Messiah will declare himself, He will destroy Rome and make a wilderness of it. Thorns and weeds will grow in the Pope’s palace. Then He will start a merciless war on non-Jews and will overpower them. He will slay them in masses, kill their kings and lay waste the whole Roman land. He will say to the Jews: ‘I am the King Messiah for whom you have been waiting. Take the silver and gold from the goyim.’”  –Josiah 60, 6. Rabbi Abarbanel to Daniel 7, 13.
  • “All property of other nations belongs to the Jewish nation, which, consequently, is entitled to seize upon it without any scruples. An orthodox Jew is not bound to observe principles of morality towards people of other tribes. He may act contrary to morality, if profitable to himself or to Jews in general’ “–Schalchan arach. Choszen Hasisxpat 348.
  • “On the house of the goy one looks as on the fold of cattle.” — Tosefta, Erabin VZZ, 1.

pretty much self-explanatory

More news from Kyrgystan — translated.

The scandal centered on a Russian Jew with American citizenship in Israel is not noticing. But, according to a Knesset, the story involving Italian politicians, mafia, big businessmen of the EU, USA and Russia and Kyrgyzstan, may continue in Israel.

In the last week in Kyrgyzstan, a scandal erupted in the center of which was a number of big businessmen of Jewish descent. The protagonist of this story was born in the USSR and U.S. citizen 33-year-old Yevgeny Gurevich. Authoritative Central Asian Internet resource Ferghana.ru dubbed him “personal financier (president’s) family Bakiyev, contributing to its partners in the project to control the most profitable sectors of the Kyrgyz economy.”

According to Western media, last week the Roman court issued a warrant for the arrest of Hurewicz, which Italian law enforcement authorities are suspected of involvement in criminal groups engaged in fraud and money laundering in the amount of billions of euros. In this case, were issued arrest warrants for 55 more people, including executives of several Italian companies and politicians from the encirclement of President Berlusconi [worth clicking through to this one -ed.] According to the Sun Francisco Chronicle, the 1600 pages of the indictment brought against Gurevich, alleged that he played a key role in laundering illegal proceeds of Italian criminals. According to La Stampa, employees of the Central Bank of Italy received a warning from the Cypriot colleagues that the company Gurevich used for laundering the proceeds through a scheme of carousel fraud and smuggling of tobacco and drugs, committed, apparently, in Italy and the United Kingdom. ” Austrian publication Profil added that the investigation of the case involved and law enforcement agencies of this state.

Chief Jew Kyrgyzstan

Publications in the Western media to embarrass the Kyrgyz leadership, which had a prominent role in logistics contingent of NATO in Afghanistan. In Bishkek, Evgeny Gurevich still considered the most influential financial consultant, whose services are used by government agencies and state corporations. In Kyrgyzstan, he founded the MGN Group, and before the outbreak of the “Italian scandal” is its CEO.  In October last year, Gurevich explained Kabar.kg, that its holding “is focused on Central Asia, and offers a range of services in asset management and corporate finance.”  He noted that the mission MGN - “to realize the investment potential of Kyrgyzstan and Central Asia.”  After receiving a license in November of 2008, the consulting structure in record time included in the list of its clients the biggest bank in the country AUB (AUB), the government’s Social Fund and Development Fund, whose shares are managed by the Central Agency for Development, Investment and Innovation (TSARII ), chaired by the President’s son Maxim Bakiev. By the end of 2009, MGN, according to Gurevich, managed assets totaling $ 250 million. He himself went to the boards of a number of major Kyrgyz companies as well as the International airport “Manas” (the leader of the local market in air services), “Power Station” (State monopoly for the production of electricity), Kyrgyztelecom, Kyrgyzgaz, etc.

Distribution of activity of holding company led by foreigners, especially in such a short time, the key sector of the economy led to mounting criticism not only to the Hurewicz as his alleged backers around President Bakiyev.  In the local media began to appear publications that MGN owes his meteoric rise to Maxim Bakiyev, eager with the help of foreign consultants to take control of the most profitable market segments. Gurevich categorically rejected such accusations.  “We are absolutely without any support for the president’s family or the government” - he said in October last year.  And only in February of 2010 MGN CEO said in his blog that “had the honor to meet recently with Maxim Bakiyev,” after he led TSARII (October of 2009).  “I do not have long to meet a more talented and creative leader,” - noted Gurevich, although the president’s son is in the country rather odious figure.

Linking Hurewicz with Bakiyev, Jr., and “implementation” MGN in the public sector of the economy, caused manifestations not yet characteristic of Kyrgyzstan’s anti-Semitism. This was facilitated by the fact that other key positions in the leadership of the holding and take Russian-American Jews, and business partner

MGN is the founder of a Russian Jew - the owner of AUB Michael Nadel, who played a role in the emergence of Yevgeny Gurevich in the Kyrgyz market. As a result, he himself declared Zionist, but on local Internet forums began to appear the following remarks: “Walking in the wake of the Max (Maxim Bakiyev) resulted in a financial power of the country’s Jews, amerovskih and Russian, for which Kyrgyzstan - a base for enrichment, and people for them - black cattle.  Journalism is one of the leading online editions of the republic is explained in this regard, local visitors and blog-sphere, that the Jews “was originally in the blood is no such thing as a conscience - therefore they Kyrgyzstan just another litter, they poimeyut and thrown out ….”

Against this background, it is natural that with the publicity “the Italian scandal, opposition leaders tried to use” popular anger “to intensify attacks on clan Bakiyev.  March 11 Party Ata-Meken, led by former parliament speaker Omurbek Tekebayev, demanded the resignation of the president and his son - Director TSARII.  They are accused of that lobbied for the “interests of individuals to the detriment of national interests” and created an environment in which private company will have a fabulous profits at the expense of the impoverishment of the population.  Another opposition activist Edil Baisalov added: “The company is so deeply intertwined Gurevich with the current regime, that it is not limited to just financial, he actively participated in the gosreformy, promoted the idea of constitutional change.”

March 10, leaving all their positions (including CEO MGN), Gurevich publicly responded to the accusations made against him by the Italian court. Categorically refuting them, and calling a “misunderstanding”, he said that he intends “to the end to defend his innocence and innocence in court.” But the next day to a warrant for his arrest in Italy added to the charges of the company Eventis Telecom, lost in last year’s control over the second mobile operator of the republic “Bimikom.  By announcing now Gurevich involvement in the raider attacks, representatives Eventis Telecom announced that they would seek redress through the Court of Arbitration in Stockholm.

Some customers and partners even Gurevich rushed to distance themselves from him.  Since March 10, the Development Fund announced the termination of the agreement with MGN. 12-second press-service of the Holding Company issued a formal statement, which stated: “the charges against Yevgeny Gurevich charges not related to the activities of MGN Group, and refer to that period of time when the company MGN Group did not exist.”

Although the number of the local Jewish community is just over a thousand people, the special role of Jews in Kyrgyzstan’s economy - not a new phenomenon.
Even before the overthrow of the first president, Askar Akayev, Bakiyev of the clan in 2005, a noticeable influence on the economy benefited from an approximate one of the key Kyrgyz politicians Felix Kulov - Yuri Sosnowski.  Being a native of the republic, the former staff member of the Institute of Physics and Mechanics of Rocks of the Kyrgyz Academy of Sciences, in the early 90’s went into business, mostly food imports from Kazakhstan and Russia.  Eventually he became the unofficial financial adviser Kulov, who until the change of power had time to visit the vice-president, minister of national security, the head of Ministry of Internal Affairs and the Mayor of the capital.  After the coup, from mid-2005’s to the beginning of 2007, Kulov was the head of government, and another three months before the official formation of the new cabinet proposed Sosnovsky take the post of Minister of Finance.  Preferring to remain in the shadows, he refused such a tempting offer, and at the same time, the virtual monopoly of foreign trade contacts Kulov.  How then, and Gurevich, special attention he paid to the development of linkages with foreign investors, especially from Western Europe and the USA.  In 2006, Sosnowski tried to draw on the local market, and Israeli businessmen, in particular liaising with the former IDF Chief of Staff Lipkin-Shahak.

But as soon as the clan Bakiyev sufficiently appreciated in the power, the new president hastened to get rid of a strong competitor, and squeezed Kulov from the government.  Replaced by Yuri Sosnovsky came other “gray cardinal” of Jewish origin. Besides revealing that, on suspicion of Moscow in the coming to power clan Bakiyev played a role disgraced oligarch Boris Berezovsky and his partner, Latvian banker Valery Belokon (one of the biggest foreign players in the Kyrgyz market).

In the second half of 2000’s local and Russian media have brought to the role of the new “gray cardinal” Michael Nadel - the main shareholder and Chairman of the Board of Directors of AUB (AUB).  This - the largest commercial bank in Kyrgyzstan, which account for, according to Russian sources, “more than half of the republic’s budget, including salaries of employees of the public sector, all types of compulsory insurance, retirement savings, loans.  According to some media, AUB has managed to achieve such a special situation in the Kyrgyz market in no small measure due to the close connection with Bakiyev

This also contributed to the emergence of a banker in the country Yevgeny Gurevich. “I arrived in Kyrgyzstan, because my close friend, Michael Nadel, a long time working here, and built the most advanced and just a cool commercial bank in the country (and I helped him a bit) - Gurevich, admitted in early February of 2010 in its blog. For the three months before he is called AUB one of the main clients MGN Group.  However according to several media in the past few years Gurevich par with an allotment was a member of AUB Board of Directors.

As the portal IzRus one of the Knesset, which supports communication with Kyrgyz colleagues in Bishkek does not rule out that some representatives of business community of the republic, the situation will be interested to receive Israeli citizenship and even return to their historical homeland.

Interlocutor portal IzRus chose not to name any specific names, but noted that “there are already clear signs of this.” According to him, talking about individual representatives of an entire group of big businessmen and top managers, subject to the Israeli Law of Return.  And although almost all of them have American or Russian citizenship, “in the current difficult situation, Israel might be their ideal destination.”

“Another question: whether Israel is ready to accept them. In this case, is difficult to draw a parallel here with some of repatriated Russian businessmen. They are in contrast to the” Kyrgyz “colleagues before moving preoccupied by the creation of - sponsored various humanitarian projects, including those of national importance , acquired bonds among the local establishment. But representatives of the business community in Kyrgyzstan within the Law of Return, Israel has so far not interested. Moreover, the current scandalous background obviously will not help to provide them with Israeli citizenship, “- said the same MP.

In related news, 4/9/10:

“The Ministry of Foreign Affairs of the State of Israel is following with concern the developments in Kyrgyzstan and, given the friendly relations between the two countries, unpleasantly surprised by the anti-Semitic incidents in Bishkek. We hope that the government clearly favors on this occasion.”

MK Amnon Cohen of Shas, is actively involved in relations with Muslim countries of the CIS, believes that Israel should be ready for more drastic measures if the new government of Kyrgyzstan is not put to anti-Semitism in the country….A native of Uzbekistan, Amnon Cohen, a member of Knesset since 1999 he has served as chairman of the Inter-Parliamentary Association Israel, Uzbekistan, and is also active in relations with Tajikistan and Azerbaijan. The last time Cohen visited Central Asia last December, when held in Tashkent a series of meetings with senior Uzbek officials. In addition, the MP is considered one of the most prominent figures of the World Congress of Bukharan Jews , whose president is an Israeli tycoon Lev Leviev.

From April 2009:

Tuesday, March 31, several hours before the formal entry of Avigdor Lieberman into the new office, the Israeli ambassador in Astana Yisrael Mei-Ami, who is also a non-resident ambassador in Bishkek, presented his credentials to Kyrgyz President Kurmanbek Bakiyev.

Day on March 31 Mei Ami went to the residence of the president to par with the ambassadors of Egypt, China, Vatican, Mexico, Switzerland, Greece and Hungary, to present his credentials Kurmanbek Bakiyev. As the portal IzRus mentioned Kyrgyz officials, in the waiting room an Israeli diplomat shook hands with his Egyptian counterpart.

Addressing foreign ambassadors Bakiev stressed that Kyrgyzstan is ready to cooperate with Israel without exception in all fields and relations between the two countries have absolutely no problems.

After the ceremony at the presidential palace Tsur and Mei-Ami, met with leaders of the Jewish community of the republic, whose strength is about 1200 people. As the portal IzRus one of the local Jewish leaders, at the cocktail party was attended by more than a dozen guests, of whom stood out: the Chief Rabbi of Kyrgyzstan Arie Reichman, chairman of the Society of Jewish Culture “Menorah” Boris Shapiro, and the leader of the local branch of the international Jewish charitable organization “Hesed” ( “Joint”) Rose Fish.

…Before them, the last official representative of Jerusalem, visited Bishkek in June of 2008, was the then Deputy Foreign Minister Majali Uahabe. But the history of diplomatic relations established between the two countries in 1992, Kyrgyzstan has been only one representative of the Government of Israel - Avigdor Lieberman in July 2001 the.

meaningful reform

Africa is loaded with natural resources and poor people. We hear about the corruption in Africa, the corrupt leaders. We don’t hear too much how those corrupt African leaders work with other corrupt people in The West. Western people are always only “helping out” in Africa, so it seems. It’s too bad nothing ever seems to help huh? What’s up with that? Must be those corrupt African leaders.

[Just like with organ trafficking, if we refuse to look at the entire chain of supply and demand and brokers, and instead focus myopically on only one part of the problem, we can make a big show about pulling our hair out forever and ever trying to solve it, bending over backwards, but it will never be solved. (Wink wink wink!)]

Illicit Financial Flows from Africa: Hidden Resource for Development

In December 2008 Global Financial Integrity released its groundbreaking analysis of Illicit Financial Flowsfrom Developing Countries: 2002 – 2006. We estimated such flows at $859 billion to $1.06 trillion a year.

…Much attention has been focused on corruption in recent years, that is, the proceeds of bribery and theft by government officials. In the cross-border flow of illicit money, we find that funds generated by this means are about 3 percent of the global total. Criminal proceeds generated through drug trafficking, racketeering, counterfeiting and more are about 30 to 35 percent of the total. The proceeds of commercial tax evasion, mainly through trade mispricing, are by far the largest component, at some 60 to 65 percent of the global total.

...This massive flow of illicit money out of Africa is facilitated by a global shadow financial system comprising tax havens, secrecy jurisdictions, disguised corporations, anonymous trust accounts, fake foundations, trade mispricing, and money laundering techniques. The impact of this structure and the funds it shifts out of Africa is staggering. It drains hard currency reserves, heightens inflation, reduces tax collection, cancels investment, and undermines free trade. It has its greatest impact on those at the bottom of income scales in their countries, removing resources that could otherwise be used for poverty alleviation and economic growth.

So in other words, Africa is being robbed blind, assets being massively funneled out of Africa and into — oh where to? Into the global shadow financial system. Who runs all that? Shhhhhhhh…….

Existing research shows that African countries have experienced massive outflows of illicit capital mainly to Western financial institutions.  (top page 10)

How does one separate the global shadow financial system from Western financial institutions? Well, it seems one does not.

Mind you, this report comes out of a think tank. The paper describes common ways to cook books and transfer money out of Africa. It’s all very very bad. Here’s a current example. On page 8, they note that none of this begins to account for drug trafficking, human trafficking, the sex trade, etc. So actually the problem is much worse than stated. The report then goes on to talk about Meaningful Reform. We must have some Meaningful Reform.

waiting patiently for their Meaningful Reform
^^^^^^^
The key issue discussed at the meeting, according to Estulin, was “the next step in globalization, which is the creation of the African Union.” This is part of an unfolding agenda of the ceding of national sovereignty to unnacountable regional governments which can more easily administer and implement the aims of the financial oligarchs. One of these aims is the elite’s exhaustively documented penchant for population reduction, including tying development aid to population control problems. “The creation of the borderless African continent will be spearheaded by the IMF.”

Bring on that Meaningful Reform.

Now, exactly as predicted, everyone from Kissinger to Soros is using the economic collapse to call for a new financial order of greater international (read: unelected, undemocratic and unaccountable) control over world financial markets.

More Meaningful Reform…

German Chancellor Angela Merkel said after her talks with UK Prime Minister Gordon Brown in London on Thursday (1 April) that the two leaders had agreed to push for the bank levies to be agreed by the G20 group of the world’s richest and fastest growing economies. Merkel said that the EU and the US should “go for a global approach at the G20 summit” to be held in Toronto in June….G20 finance ministers will meet in Washington on 22-23 April to discuss proposals from the International Monetary Fund on bank levies. US President Barack Obama has already called for a “financial crisis responsibility fee” to be levied on banks’ assets. The 0.15% levy is expected to raise US$90 billion (€62.94bn) over ten years.

Ahh, great idea. So perhaps they can arrange to pay a teeny tiny fee with a little chunk of all that stolen money and, and then they might carry on and on and on about how wonderful they are and selfless and ethical, and it’s such a burden you know but they’ll do it anyway. And then they’ll turn around and raise customer fees to cover their “financial crisis responsibility fee,” award themselves some bonuses and live happily ever after. Win win win!

^^^^^^^

But you will notice that when it comes to Africa, no matter how much wealth has been sucked out of that continent into the coffers of international bankers and corrupt people of The West, absolutely mind staggering amounts of wealth, the problem with Africa, we are told, is always the same: the people there can’t get along.

Immediately a crisis breaks out in Africa, the Western media invokes the genie of ‘tribalism,’ or if they want to be politically ‘sensitive’ they use the term ‘ethnic.’

…Africa is at the mercy of Western propaganda and media conglomerates which relentlessly paint the Continent as one beset by poverty, crime, diseases and endless wars which has to be rescued by white aid workers and sanctimonious celebrities. …Bad advice, meddlesome aid agencies and ‘charities,’ resource speculators and competing geopolitics have all served to exacerbate the sociopolitical fault lines in Africa caused by the wholesale adoption of Western political ideologies and values. As a result, Kenya and most African countries have developed societies headed by Westernized elites, negligible middle classes and a vast poverty-stricken majority that reaps very little of the benefits of economic growth.
…What is reprehensible is the cynical manner in which the people’s genuine anger has been orchestrated into ‘tribal conflict.’ That is the danger that Africa faces-unscrupulous leaders backed by foreign interests dividing their people in order to cling to power.

And the corruption is “unbelievable” you know. !!! The AFRICAN corruption, just to be clear. According to Hillary Clinton. It breeds extremism you know. Like Patsy Underpants.

God only knows how those African leaders managed to get so corrupt. It is an enduring mystery. But you should really send some money down there or something, because the poor children are starving to death.

the virtuoso

Philadelphia area attorney charged in sex tourism case

by KYW’s Tony Hanson
A Philadelphia area attorney, who formed a foundation to assist aspiring performing artists reach their goals, is now charged in a sex tourism case involving a former student at the Bolchoi Academy. The defendant, who allegedly sexually assaulted the victim for years beginning in 1998, has been arrested in Cyprus and is awaiting extradition.

The Apogee foundation’s stated goal is to discover, develop and celebrate the creative potential of mankind, but  federal authorities alleged the president and founder of Apogee, Kenneth Schneider, used his wealth and position to victimize a pre-teen boy for years - starting at age 12. Federal authorities say the boy’s family could no longer afford the Bolshoi fee and Schneider offered to help. The boy would live with him.  The federal complaint says the boy’s parents had serious reservations, but agreed. U-S Attorney Michael Levy: “Anybody who is a parent knows you want the best for your children and you’ve got a child who has talent and can really do well, but you can’t afford it. And here is somebody coming forward to say your troubles are over.”

Schneider’s attorney has declined comment.

Actually it was an eight year relationship. The accused fled to Cyprus presumably to avoid prosecution.

And he’s actually a little more than just a Philadelphia area attorney. That’s so modest. Wait till you see what a rock star this guy is.


Kenneth Schneider, 45, is president and chief executive officer of Aurience Ltd., a mergers and acquisitions firm based in London and the founder of the Apogee Foundation, a philanthropic arts group that funds young performing artists.

According to the indictment, Schneider was working as a legal consultant in Moscow in 1998 when he met a 12-year-old boy who was a student at the prestigious Bolshoi Ballet Academy.

The boy, identified in the indictment by his initials, had been forced to leave the academy because his parents could not afford to pay the tuition.

Schneider offered to pay for the boy’s schooling and proposed to the parents that the child live with him in his Moscow apartment. The parents agreed.

Soon afterward, Scheider began “grooming” the boy for sexual contact by touching and kissing him and buying him gifts, according to the indictment. Eventually, Schneider engaged in intercourse with the boy, the indictment states.

In 2001, Schneider brought the boy to Philadelphia to study for the summer at the Rock School for Dance Education. Schneider and the boy, then 15, returned to Russia, where the sexual relationship continued, according to the indictment.

The dancer, now 24, lives with his wife, whom he met while studying at the University of the Arts.

A civil suit filed in Philadelphia by the dancer in 2007 prompted a federal investigation, Levy said.

It claims Schneider created the Apogee Foundation in order to make illicit contact with young male performers in the former Soviet Union.

Schneider promised to use the foundation’s influence to make the boy a star, according to the suit.

When the dancer began a relationship with his future wife, Schneider threatened to have him deported back to Russia and “his hopes of any career would be ruined,” the civil suit states.

As a result of his relationship with Schneider, the dancer suffered “inconsolable shame and depression,” says the suit, which seeks unspecified damages.

You might want to mosey over to see the logo: http://www.apogeefoundation.org/about/index.php.
Here’s an excerpt from a bio of Schneider written by Daisy Scott, World Web Media, a “research and journalism group based in New Delhi, India.” (I guess he is the main client.)

Kenneth Schneider Apogee Foundation and Aurience Ltd emerged to fulfill a dream much bigger than any one man: a dream for all mankind to dream and fulfill together. Kenneth Schneider Apogee Foundation and Aurience Ltd are thus like the knights and wizards of a modern-day fairytale — reaching into the past to help the world overcome the challenges of the present and summon into being a better future. But this is a real-world story with real-world heroes: fulfilling a mission that is as challenging as it is worthwhile, the quest for the real-world holy grail.

Oh The Drama.

Actually, the dramatic bio mentions that Schneider used to work for Millhouse Capital in London.

Milhouse Capital is a Russian holding company, whose current CEO is Roman Abramovich, a business associate of Oleg Deripaska. They are among the “New Money Oligarchs” whose rise to prominence and wealth was fostered by the Yeltsin administration. The roots of this company date back to the “Cold War”, when Richard Nixon initially invested in Russia, hoping that his investment would be mutually beneficial to the former Allied Nations during WWII. The founding CEO’s, Roman Abramovich and Oleg Deripaska used connections with the Russian Aristocracy, known as “Oprachinas” to formally incorporate the entity. The company made them two of Russia’s wealthiest persons, as noted by Forbes Magazine[citation needed].
Today, in 2009, the company has seen better times, but through a strategic investment portfolio, is poised to make a big comeback[according to whom?], as the world’s economy improves. (Wikipedia, links removed.)

So it’s possible that when Schneider was working as a “legal consultant in Moscow in 1998,” he might have been working for Abramovich.

I mean, to downplay his status as a mere “Philadelphia area attorney” or a “man charged” with molesting a Russian pre-teen, as these headlines do, truly fails to appreciate Schneider’s contributions to humanity.

Here’s another bio, this time written by Richard Morrison.

Kenneth Schneider’s career has included mastering everything from music and mathematics to philosophy and physics and from linguistics and law to education and economics in the course of a stunning path taking him to and beyond the world’s leading academic institutions, professional firms and international powerbrokers. Throughout his life, Ken Schneider seems to have taken on mankind’s most complex challenges on scales larger than life itself by demonstrating an intellectual virtuosity so unlimited that it can transcend fields, nations and cultures.

During his early period as an international financial attorney practicing with several of the world’s leading law firms in New York and London, Schneider masterminded new ways of thinking about his own profession while handling headline transactions in more than 50 countries on all six inhabited continents. But he would literally rewrite history itself when he agreed to focus these skills on the revitalization of the former Soviet Union’s (FSU) newly free and completely chaotic economies at the end of the millennium. In 1993, Kenneth Schneider undertook an assignment to represent the government of one of the FSU’s largest and most resource-rich republics: rewriting their legal frameworks and negotiating foreign investment on a massive scale that would enable not only the economic but the social redevelopment of the nation.

Fluent in Russian and realizing that the FSU covered one-sixth of the Earth’s land surface and contained a quarter of the world’s natural resources, Ken Schneider would followed this opening act by relocating to Moscow, the heart of the former Soviet empire, to play a major role in changing the course of world history. In the years concluding the old millennium and beginning the new, Schneider marshaled his full spectrum of intellectual abilities and professional skills to reposition the very role of the intellect and of the professions in creating an era of unprecedented opportunities for massive transformation. Kenneth Schneider brought to bear his well-honed skills as a legal and financial virtuoso to rethink and reintegrate the old with the new and the best of East and of the West into new paradigms on which the future economic progress of the FSU – and of the world – could be re-founded.

In the series of monumental engagements that followed – sweeping across Eurasia from the Atlantic to the Pacific and the Arctic to the Indian Oceans – Ken Schneider did nothing less than redesign the legal and financial infrastructure of what had been the world’s largest empire. In doing so, he created a new fusion of emerging and mature market paradigms and Eastern and Western priorities that resulted in entirely new standards and models for legal and financial professionals not only throughout the FSU and other developing economies around the globe, but also in the world’s legal and financial centers where past generations’ touchstones had originally been developed.…With the arrival of the new millennium, Kenneth Schneider would outdo even these accomplishments upon becoming one of the founding members of Millhouse Capital, which – within an amazingly brief time – would have under management the largest collection of FSU assets ever assembled.

HOO! Boy.

i forgot the towel to kneel on

Well anyway, while Schneider was busy remaking the world with his bare hands, some deals might possibly have gone down that later maybe possibly looked a little teensy bit shady. NOT that Schneider would have necessarily had anything to do with these deals. I am not suggesting that. But Boss Roman Abramovich did come under scrutiny of Swiss authorities in the possible misuse of an IMF loan to Russia, and Schneider was reportedly doing “nothing less than” redesigning “the legal and financial infrastructure of what had been the world’s largest empire.” So it seems fair to ask…

From aangirfan, Banks and Crime, October 14, 2008:

5. The Chelsea football club owner Roman Abramovich was a suspect in the case of the possible misuse of a $4.8 billion loan from the IMF to Russia. (Did the $4.8 billion loan from the IMF to Russia finance the Chelsea Football Club…)

Abramovich and his Runicom trading group were named in documents from a Swiss inquiry into what happened to money meant to help Russia.

The Swiss believed that Abramovich was one of the controllers of a web of slush funds.

US Federal prosecutors allege that the Bank of New York was linked to $7 billion in Russian money, some from criminal activities.

Some allegations have said the Bank of New York case included funds lent to Russia by the IMF.

(For further reading on this sort of thing, like money laundering through professional sports teams and such, see Rome: “the promised land of foreign mafias.”)

Unfortunately, the Swiss were forced to abandon their investigation because Russian and US authorities refused to divulge what they knew of the scandal.

For the first time, the Swiss have publicly revealed why they were forced to abandon their investigation. Russia and the United States, it has emerged, refused to divulge what they knew about the scandal.

Marc Tappolet, the Geneva investigating magistrate in charge of the criminal inquiry, said that both superpowers ignored his repeated requests for help. Neither country would even reply to formal applications made through diplomatic channels for legal assistance.

As a wall of silence was erected from Moscow to Washington, the investigation was marred by violent intimidation. Laurent Kasper-Ansermet, the investigating magistrate who launched the Swiss investigation, was left bleeding and unconscious in an attack in St Petersburg during a visit to Russia.

Millhouse Capital, of which Schneider was a founding member, was very active during the time of the investigation, divesting assets and reinvesting, and moving money around. But…

No evidence linking Abramovich to the IMF funds was ever reported. (wink wink)

Might Kenneth Schneider have possibly applied his intellectual virtuosity somewhere in here, someplace? Especially since the IMF loan was made back in 1998, right around the time that Schneider had moved to Moscow and was working as a “legal consultant.” We don’t know. Way back in 2000 a freelance journalist, Lucy Komisar, spent three months in Russia investigating the impact of offshore bank and corporate secrecy. She reported on this missing $4.8 billion loan.

The $4.8 billion was supposed to avert a financial collapse brought on by widespread stripping of Russian assets, capital flight, and looting of international loans and investments. It was purportedly given to allow major Russian banks to buy rubles and stabilize the currency.

But according to Viktor Ilyukhin, chairman of the security committee of the Duma, Russia’s legislature, the money “was robbed.”

“The IMF money was sent from the Bank of New York via Russia to the Frankfurt Ost-West Hendelsbank, an affiliate of the Central Bank,” he said in June. …Ilyukhin claims to have copies of the paper trails showing $235 million went to the Bank of Sydney, was changed to pounds sterling and went to Great Britain with the help of Dyachenko. “Another part, $1.7 billion, went to the Swiss Bank of Lausanne. Our information is that Chubais and Berezovsky were involved,” Ilyukhin claimed, with a major part of that going to the Bank of New York. “In this, Chernomyrdin was involved.”

…Washington, the IMF, and Moscow (which has to repay the $4.8 billion loan) should be eager to recover any money that was diverted. But political interests apparently make them very reluctant to follow the money trail.

Masterfully done.

But was Schneider involved? Who knows. He may have been very busy doing other things at that time, like setting up the Apogee Foundation and grooming his boy.

blogging? i’m on it.

h/t to Kenny’s Sideshow for finding this video. very interesting, a few little bobbles in my opinion but overall pretty solid and coming from an insider, that’s the key. you know we people who have been doing what he’s suggesting for a few years, we figured this out without being told. people who think bloggers are wacky conspiracy theorists — they are the ones who need to hear it from an inside person, an “authority” or an “expert” if you will, because they’re just not going to believe a fellow citizen no matter how many links or proof we throw at them.

but hey, whatever it takes to get you there… wake up and smell the coffee. no we’re not making this shit up.

what do you mean you lost His Highness?

Remember this post from the other day: teevee pimps? Regarding the Georgian station Imedi?

To quickly recap, Imedi ran that stunt recently simulating a Russian attack on Georgia. The post was about who owned the station, which is a matter of some confusion.

Joseph Kay claimed to be the long lost nephew and executor of the original Georgian oligarch owner, Badri Patarkatsishvili.

Patarkatsishvili was the owner of the Imedi TV station which was stormed by special forces on 7 November 2007. On his death Kay announced that Patarkatsishvili, whom he claimed was a relative (the claim is disputed), had given him control of Imedi.

Kay last year then said - in a statement subsequently underlined by Mikheil Saakashvili’s own office - that he had sold 90% of Imedi to the sovereign wealth fund of the Gulf emirate Rah Al-Khaimah.

The 90% ownership interest, Ras Al-Khaimah Invesment Authority (RAKIA), is (one of?) the (many) sovereign wealth fund(s) of the absolute monarchy of the United Arab Emirates.

Now that things have gone sort of pear-shaped after that teevee stunt, RAKIA claims to have nothing to do with Imedi.

But allegedly, through a series of unfortunate mishaps and poor spelling choices and barely plausible explanations, as though these guys can’t afford lawyers or something, RAKIA now claims they do not never have never did have anything to do with any of this no way. Nope. Never heard of it. It was RAAK, not RAK, and not RAKIA. Innocent mistake. Sorry we missed it, we’re just really busy counting our money. ‘ Kay?

And now, I couldn’t make this up if I tried, we learn that the head of ADIA (and RAKIA?) has gone missing when his glider crashed in a lake in Morocco.

The United Arab Emirates state news agency says the head of Abu Dhabi’s sovereign wealth fund — the world’s largest — is missing after his glider crashed in Morocco.

The official Emirates News Agency said that Ahmed bin Zayed Al Nahyan’s glider went down in a lake in Morocco on Friday. The pilot of the aircraft was rescued in good condition, but authorities continued the search for Al Nahyan.

Al Nahyan is the managing director of the Abu Dhabi Investment Authority. He is also the younger brother of Sheik Khalifa bin Zayed Al Nahyan, the leader of the United Arab Emirates. The Abu Dhabi Investment Authority could not be immediately reached for comment.

Sheikh Ahmed bin Zayed al Nahyan, managing director of Abu Dhabi Investment Authority (ADIA)
Tina Hager/Arabian Eye (BusinessWeek)

o_O

Wow that’s really really strange huh? He just disappeared in the lake?

One of these lakes?

And he had just restructured the board last week.

And his brother reportedly died in a helicopter crash in 2008.

^^^^^^^

I’ll be honest and say I do not understand how all these funds are structured. Very very confusing. For an idea of how much money the UAE has to invest, start at #25 on this list. RAKIA seems to be a separate and much smaller fund than ADIA, but both are UAE funds.

25.Abu Dhabi Investment Council/ADIC - Abu Dhabi/UAE - 100% Government of Abu Dhabi - oil rich Emirate - Abu Dhabi the world’s richest city - ADIC bought a 90% stake worth some $800 Million in the Chrysler Building, one of New York’s most iconic skyscrapers

…25a)Abu Dhabi Investment Authority/ADIA - Abu Dhabi - with estimated $900 Billion ADIA is actually the world’s largest SWF, providing Citigroup with $7,5 Billion /4,9% joining the Government of Singapore Investment Corporation’s /GIC injection of $6,9 Billion - total provided $14,4 Billion, holds 8% stake in EFG Hermes/investment bank and 10% pre IPO stake in Apollo Management/ private US equity firm - ADIA filed an arbitration claim against Citigroup saying it was misled when it invested the $7,5 Billion in the bank two years ago, seeking rescission of the investment or damages in excess of $4 Billion - U.S.- bank considers claim entirely without merit, but apparently failed in its relation with this important investor

25b)Mubadala Development Co. - Abu Dhabi -$14,7 Billion - increasingly powerful state investment company -invested $1,4 Billion/7,5% into US private equity firm Carlyle Group/ triangular industry-government-defence (top defence tecnologies, energy supply and strategic information tecnology)

And way down the list… after 26(f):

27. RAK Investment Authority/Rakia - Ras al-Khaimah/ UAE - $1,2 Billion

It’s almost like a little leftover pile of fun money.

^^^^^^^

In 2008, the ADIA made a big deal with Citigroup (links removed).

It was a whirlwind of negotiations for Citigroup and the Abu Dhabi Investment Authority (ADIA). For a week, dealmakers from both sides, some dressed in traditional white Arab robes and others in Western suits, worked furiously across the globe. Then, on the Monday after Thanksgiving they signed a deal, with the biggest bank in the U.S. agreeing to sell a 4.9% stake to the world’s largest sovereign wealth fund in ADIA’s new headquarters, the tallest skyscraper in Abu Dhabi. Citigroup (C) chairman Robert E. Rubin, on hand as Citigroup’s top official, shook hands on the deal with Sheikh Ahmed Bin Zayed Al Nahyan, ADIA’s managing director and the 12th son of Abu Dhabi’s late patriarch Sheikh Zayed, before dashing off to meet the Crown Prince of Abu Dhabi Mohammed bin Zayed al Nahyan. Forty eight hours later, the investment arm of the richest Gulf emirate, wired $7.5 billion to a Citigroup account.

Our pain is their gain.

The dollar looks sick, and U.S. stocks are getting pummeled. But those jitters are merely wetting the appetite of ADIA and other sovereign wealth funds for U.S. investments. These mega investors can afford to take a long term view. “The short term for us is three to five years forward,” says Sheikh Ahmed in his dark mahogany paneled office, after a servant poured small cups of Bedouin style cardamom-flavored coffee. “We find (the American market) very attractive.

…Abu Dhabi wants to be among the world’s most attractive destinations, and ADIA’s Sheikh Ahmed is pushing the giant fund to be best in class as well. So ADIA is tapping the best financial brainpower. And with huge fees and potential capital stakes at stake, top Wall Street players are more than willing to oblige. In recent months, veteran investor Wilbur Ross, BlackRock (BLK) CEO Larry Fink, and Goldman Sachs (GS) CEO Lloyd C. Blankfein all have visited executives at the fund.

When this article was written in 2008, money people considered ADIA extremely thorough and saavy investors. ADIA had already made many prominent investments, outmaneuvering Wall Street firms. ADIA created smaller investment vehicles for certain high risk projects.

I think that’s where RAKIA fits in.

I can see how it makes sense to set up separate funds for risky investment that may or may not turn out to be good ideas. Like theoretically buying a teevee station and using it for blatant psyops against Russia.

Still it’s hard to believe that this has anything to do with Sheikh al Nahyan disappearing, but still, what a coincidence.

UPDATE: A few more details about ADIA and how sovereign wealth funds work…

Back to October 2008, the Santiago Principles govern the way sovereign wealth funds are supposed to behave themselves as they gobble up assets of the industrialized world.

Given the massive size of some of these entities, many industrialized countries are justifiably concerned about how these can be used to achieve geopolitical objectives which may have little to do with investing in the sense SWFs were originally intended for–preserving and enhancing sovereign wealth.

Independence - us Westerners don’t like you foreigners using SWFs to further your national objectives by buying our firms in the defense, transportation, energy, and natural resource sectors. Your financial interests in them may diminish our “national security,” although we don’t feel the need to define these considerations too specifically;
Transparency - insofar as us Westerners cannot really regulate the activities of your SWFs, we would at least appreciate it if you could tell us what they’re investing in so we can take action if necessary (nevermind that we don’t demand similar levels of transparency from our hedge funds);
Accountability - us Westerners know that you authoritarian regimes can pretty much use your SWFs to invest in whatever you please. Maybe you should be more “democratic” so that the populace can have greater discretion about where their sovereign wealth is invested in.

In April 2009, ADIA hired a senior investment banker from Rothschild, Alex Carré de Malberg as head of investment banking to lead its advisory business for Middle East and Africa.

“Opportunities are emerging when families and corporates reposition their portfolios. In times of crisis, you only keep parts of your business that fit your long term objectives, and you sell anything that is not synergistic.”…Carré de Malberg, who worked for over a decade at independent family-owned investment bank Rothschild, said investors often need “a second, non-conflicted” opinion on cross-border situations in developed markets, alongside U.S. or European investment banks or lending banks…Carré de Malberg developed an intimate knowledge of the Middle East as he set up Rothschild’s operations in the United Arab Emirates. …M&A activity went relatively quiet in the last half of 2008 as the global economic crisis unfolded and credit dried up, but signs are emerging that companies, family offices and private equity firms are on the hunt for acquisitions as asset valuations have fallen…He has advised family offices, companies and private equity firms on M&A and leveraged buy-outs, helped governments with privatization programmes, worked on initial public offerings and arranged pre-IPO financing.

In November 2009, playing the role of “trusted adviser” to Gordon Brown and others, the Rothschild family.

Baron Rothschild shares most people’s view that there is a new world order. In his opinion, banks will deleverage and there will be a new form of global governance. “But you have to be careful of caricatures: we don’t want to go from ultra liberalism to protectionism.”

So how did the Rothschilds manage to emerge relatively unscathed from the financial meltdown? “You could say that we may have more insights than others, or you may look at the structure of our business,” he says. “As a family business, we want to limit risk. There is a natural pride in being a trusted adviser.”

It is that role as trusted adviser to both governments and companies that Rothschilds is hoping to build on in the region. “In today’s world we have a strong offering of debt and equity,” he says. “They are two arms of the same body looking for money.”

End of November 2009, Rothschild adviser comes on board to restructure Dubai’s assets.

Paul Reynolds, head of Rothschild’s advisory operations in the Middle East, was this week asked to work for the Dubai government’s chief restructuring officer alongside Aidan Birkett of Deloitte, who was appointed on Wednesday. The team is tasked with assessing the group’s assets, which is likely to result in a large scale sell-off of assets…The neighbouring emirate of Abu Dhabi is seen as one of the main buyers of Dubai’s assets.

About a week later, Dubai starts to fall apart.

“Dubai will struggle to tap the debt capital market in the near business cycle,” Stephen de Stadler, managing director at Fitch Ratings in the Middle East told Zawya Dow Jones. “Now that the bond is rated junk, certain investors will be forced to sell.” …Deloitte’s Aidan Birkett has been appointed to restructure Dubai World. Rothschild and Moelis & Co. are also advising on the restructuring.

Two weeks ago, ADIA says as much as 45% invested in the developed world.

The Abu Dhabi Investment Authority, one of the worlds’ largest sovereign wealth funds, has invested as much as 45 percent of its assets in developed markets, the fund said in its first annual review….Abu Dhabi, capital of the United Arab Emirates and home to about 8 percent of the world’s proven oil reserves, is trying to diversify away from oil. ADIA and its Norwegian and Chinese peers are the three largest sovereign wealth funds in the world, managing over $1 trillion between them, Preqin Ltd said March 11. The emirate lent neighboring Dubai $20 billion last year to help it meet its debt obligations.

Thanks to James for the links.

one down…thousands to go

Like trafficking rings, much internet treachery falls under the protected business of organized crime.

It’s that “Russian Mafia” again, Russian meaning Jewish, because the top bananas have Israeli passports, and they’re safe there from the T-rex arms of the law.

rule of law! rule of law!



Rings need lots of soldiers. Guys like this.

About six months ago Alberto Gonzalez was arrested and charged with hacking something like 130+ million credit and debit card numbers.

Alberto Gonzalez, 28, from Miami, and two unnamed computer hackers, based in or near Russia, allegedly targeted 7-Eleven and other large corporations by uploading millions of customers’ details from internal computer systems onto servers that worked as hacking platforms.

They allegedly breached the firewall of Heartland Payment Systems, a New Jersey-based bank card payment processor, stealing 130 million numbers. They allegedly stole 4.2 million card details from Hannaford Brothers, a Maine-based supermarket chain. An undisclosed number of card details were hacked from 7-Eleven, the Texas-based convenience store chain with outlets around the world, prosecutors said in a statement.

They men started in 2006, scouting potential victims by visiting retail stores to identify payment processing systems and their vulnerabilities, prosecutors claimed. They used malicious software known as malware and so-called injection strings to attack the computers and steal data, prosecutors said.

The suspects allegedly planned to sell the data to others who would use it to make fraudulent purchases. They tried to trade their wares with computers in New Jersey, California, Illinois, Latvia, Ukraine and the Netherlands using “sophisticated hacker techniques to cover their tracks and to avoid detection by anti-virus software used by their victims,” the Justice Department said.

“These servers, located in New Jersey and around the world, were used by the coconspirators to store information critical to the hacking schemes and subsequently to launch the hacking attacks,” prosecutors said.  “The scheme is believed to constitute the largest hacking and identity theft case ever prosecuted by the US Department of Justice,” the statement said.

This definitely qualifies as a ring, an international crime ring in fact, and other people were also arrested in May 2008.

The DOJ also announced charges Tuesday against Christopher Scott and Damon Patrick Toey, both of Miami. Other defendants face numerous charges in California and New York, the DOJ said. Three of the defendants are U.S. citizens, one is from Estonia, three are from Ukraine, two are from China and one is from Belarus, the DOJ said. One individual is only known by an online alias, and his place of origin is unknown. [Maksym "Maksik" Yastremskiy of Kharkov, Ukraine, Aleksandr "Jonny Hell" Suvorov of Sillamae, Estonia, Hung-Ming Chiu and Zhi Zhi Wang, both of China, and a person known only by the online nickname "Delpiero," Sergey Pavolvich of Belarus, and Dzmitry Burak and Sergey Storchak, both of Ukraine - ed.]

Gonzalez and others were allegedly able to conceal and launder their fraud proceeds by using anonymous Internet-based currencies and by channeling funds through bank accounts in Eastern Europe, the DOJ said.

Funny how they can’t find that one guy.

Also, and this might surprise you or maybe not, but:

Gonzalez was previously arrested by the Secret Service in 2003 for access device fraud. During the course of that investigation, the U.S. Secret Service discovered that Gonzalez, who was working as a confidential informant for the agency, was involved in this case, the DoJ said….These indictments and complaints are the result of a three-year undercover investigation conducted out of the San Diego Field Office of the U.S. Secret Service.

Oh, oops.

The Secret Service was paying him $75,000 a year.

The information comes from one of Gonzalez’s best friends and convicted accomplices, Stephen Watt. Watt pleaded guilty last year to creating a sniffer program that Gonzalez used to siphon millions of credit and debit card numbers from the TJX corporate network while he was working undercover for the government.

Watt told Threat Level that Gonzalez was paid in cash, which is generally done to protect someone’s status as a confidential informant. The Secret Service said it would not comment on payments made to informants. Gonzalez’s attorney did not respond to a call for comment.

“It’s a significant amount of money to pay an informant but it’s not an outrageous amount to pay if the guy was working full time and delivering good results,” says former federal prosecutor Mark Rasch. “It’s probably the only thing he was doing — other than hacking into TJX and making millions of dollars.”

Haha, yeah aside from that…

Rasch says Gonzalez’s $75,000 is nothing compared to the million-dollar payouts some undercover informants get for high-risk, high-value cases such as Mafia investigations. But Gonzalez’s payments dwarf the meager handouts given previous computer crime informants….The Secret Service’s embrace of Gonzalez as a professional informant may have reinforced his criminal behavior. Gonzalez felt he’d been rewarded for his preoccupation with computers, according to a letter written by his sister to one of his sentencing judges.

Yes, it seems fair to conclude so.

Meanwhile…

Stephen Watt is described as a “minor participant,” but prosecutors have hundreds of pages of phone and text messages to say otherwise.

Stephen Watt

Watt, a 7-foot-tall software engineer who was working for Morgan Stanley at the time the hacks occurred, pleaded guilty in December to creating a sniffing program dubbed “blabla” that Gonzalez and others allegedly used to steal millions of credit and debit card numbers from TJX and other companies. …After Watts moved to New York, his lifestyle changed. He began experimenting with drugs and hanging out in clubs. He left Morgan Stanley in 2007 for a higher paying job at Imagine Software, developing real-time trading programs for financial firms, earning about $130,000. That is, until August 13, 2008, when authorities swooped into his work place to search the premises. Watt was promptly fired and is now banned from working in the securities industry.

^^^^^^^

You can read more about this here and here.

It’s always fascinating how some people and companies manage to keep their names secret.

Admitted TJX hacker Albert Gonzalez has identified two Russian accomplices who helped him hack into numerous companies and steal more than 130 million credit and debit card numbers….The two Russian hackers, who have until now been named in court documents only as “Hacker1? and “Hacker2?, are identified in the new memo only by their online handles “Grigg” and “Annex.” The document indicates that Gonzalez identified four credit card processors that were “under attack” by the Russian hacking team at the time of his arrest, though it does not identify the processors.

^^^^^^^

A US judge sentenced Gonzalez yesterday to two concurrent 20 year sentences.

As for the rest of the ring? No doubt they moved on long ago. Just like every other type of organized crime problem — drugs, human trafficking, guns — the criminals always seem to be just out of reach of those short little arms of the law.