Posts Tagged ‘Vulture Funds’

USA Financial Extortion

July 6, 2014

Individuals (famous economists), and organizations that are profiting from the present oligarchic system cannot be too critical against what feeds them. One has to read beyond the mellifluous lines.

Here is The Economist, June 28, 2014:

“Share and share alike… America should also embrace the OECD’s efforts, already backed by more than 50 countries, to create a truly multilateral system in which tax information on residents’ accounts and certain investments is shared annually. For that to work, America would need to hand over data similar to those which it demands from others—something it has hitherto appeared reluctant to do. The financial superpower looks ever more a regulatory bully, setting rules it ignores itself.

Bullies Kill, Vultures Feed, Justice The Old Fashion Way

Bullies Kill, Vultures Feed, Justice The Old Fashion Way

Setting rules for others one ignores for oneself is the essence of viciousness.

The financial superpower looks ever more a regulatory bully?

The USA is a financial bully, and it started in 1944, when the USA tried to bully Lord Keynes himself (head of the currency commission at Bretton-Woods), into accepting the Dollar of the USA as the world’s reserve currency.

The fact that it started so long ago means that the bully’s institutions have evolved accordingly. A particular case if American justice, which finds American violence to be just: the case of the vulture funds is exemplary. Whoever stands in the way of American vultures is unjust.

Keynes wanted to use the International Monetary Fund to create “Drawing Rights” as needed, a solution Dominique Strauss-Kahn implemented to the tune of 450 billion dollars until his fateful encounter with the maid from hell, taken super seriously by New York “Justice” (until she proposed so many tricks to the officers in charge of “protecting” her, that, well, it was embarrassing, even for New York “Justice”).

Keynes resisted totally, so the government of the USA forged the documents that made the USA into the one and only financial superpower. When Saddam Hussein begged to differ, and started to use Euros, he was hanged. So the BNP executives, who have not been executed yet, ought not to complain too much, as The Economist astutely points out, somewhere else.

What is The Economist alluding to above? “… hand over data similar to those which it demands from others.” To the fact that the USA is the world’s largest tax haven for global plutocrats, while busy destroying all other tax havens. The destruction of Swiss banks and bankers is exemplary that way.

In other words, the USA sucks up capital from all over the world, by stealing other countries’ taxes (as it provides plutocrats, worldwide, to escape taxation, thanks to… Delaware).

Says The Economist in: “Tax havens, The missing $20 trillion How to stop companies and people dodging tax, in Delaware as well as Grand Cayman”: a lower rate on a broader base, combined with vigilance by the tax authorities, would be more efficient and would probably raise more revenue: America, whose companies face one of the rich world’s highest corporate-tax rates on their worldwide income, also has some of the most energetic tax-avoiders.

These reforms would not be easy. Governments that try to lower corporate tax rates will be accused of caving in to blackmailing capitalists. Financial centres and incorporation hubs, from the City of London to Delaware, will fight any attempt to tighten their rules. BUT IF POLITICIANS REALLY WANT TO TAX THE MISSING $20 TRILLION, THAT’S WHERE THEY SHOULD START.”

From the horse’s mouth: to tax the missing $20 trillion, start from London to Delaware… Exactly what I have been saying for years. The global financial exploitative mess is part of an Anglo-American imperial situation.

I have condemned the way “judicial” authorities in New York siding with the financial vultures therein. The Economist now agrees with me, and goes somewhat further, as it alleges state corruption. Here is an extensive extract from:

BNP Paribas in the dock: No way to treat a criminal. The French bank deserved a clobbering, but America’s legal system looks like an extortion racket.

BNP argues that it broke no European laws… That is true enough, to Europe’s shame… It is also true that the underlying transactions had nothing to do with America, but because they were denominated in dollars they had to be cleared in New York, which provided America’s lawmen with a toehold.

But the guilt of a suspect and the justice of a cause do not make a tribunal fair. And America’s system for pursuing errant banks, especially foreign ones, is anything but fair… BNP had little choice but to settle. Defeat in court might have led to the loss of its American banking licence—a death sentence for a big international bank. America’s prosecutors can also wield the threat of criminal charges against individual bankers.

Bank against the wall

Not only were BNP’s tormentors, such as Benjamin Lawsky, New York’s politically ambitious banking regulator, able more or less to dictate their terms, they also had an incentive to make the fine as big as possible because the agencies involved divvied up much of it among themselves. Mr Lawsky’s outfit gets $2 billion, four times its annual budget, which it will triumphantly deposit in New York state’s depleted coffers.

There are no meaningful checks on this process, let alone a plausible procedure for BNP to appeal. Bank bosses cannot even publicly criticise deals they agree to under extreme duress. No precedent is set and no guidance provided as to the limits of the law and the proportionality of the punishment.

So even if BNP fully deserves its punishment, the legal system that meted it out is closer to an extortion racket than justice. France’s economy minister, Arnaud Montebourg, has compared America’s pursuit of BNP to “economic warfare”. In other words, a bank that catered to mass murderers has had some success in portraying itself as a victim. Any process that can make BNP’s dealings with Sudan look anything less than shameful must be very flawed indeed.”

“Catered to mass murderers”? Is that not the story of the invasion of Iraq by the USA? Did BNP invade Sudan? Is the USA pursuing the invaders of Iraq?

No, the USA is using imperial might in ways very similar to Putin. (Putin also has laws and judges and Congress on his side, nota bene.)

Two months ago Argentina reached a settlement with the Paris Club, a group of government creditors.

On June 16th the Supreme Court of the United States decided twice in favor of NML Capital, a “vulture” fund (and subsidiary of hedge fund Elliott Management) that snatched dirt cheap bonds after Argentina’s 2001 default. The fund and its plutocratic owners have since pursued the country for the payment of all principal plus outstanding interest in US courts. For at least 1.6 billion dollars.

The ability of struggling countries to restructure their debts has been dented. Hold-outs everywhere have greater incentive to litigate; creditors who might accept exchange offers could see them gulped down by vultures, catered to by USA judges.

Those who play with fire to burn others may find where the concept of “backfiring” comes from.

Patrice Ayme’

Sex & Drug Legalization Unavoidable

June 11, 2011

BUT VULTURES FIGHT BACK.

Abstract: Police and judicial work can be used to enforce not just the established order, but organized crime. Contrasts between vultures, sex, and drugs.

***

WORLD VULTURES UNITED:

The World Bank and International Monetary Fund have been following theories elaborated in Washington. Krugman, the “New Trade” theorist and his accomplice Larry Summers, were advisers of Reagan when Reagan became president. That’s how they started their careers. They were not even 30 years old.

Ever since, just as for American homeowners, a policy of making the poorest countries dependent upon debt servicing has been enforced. Same idea of how serfs came to be in the Middle Ages.

Serfs in the European Middle Ages, worked for the Lord at most one day a week. In exchange the Lord was in charge of the highest governance, justice, law enforcement, and defense. The serfs lived of sustainable agriculture the rest of the time.

The “New Trade” theorists established a system of exploitation of Africa (among other places), way worse than “colonialism” (that is why they bad mouth “colonialism” so much, they want to hide that the situation actually deteriorated under their evil guidance).

The Kensington Fund, based in the Cayman Islands, bought at some point, for 2 million dollars some company in Africa, and then asked for 120 million dollars in debt service, fully backed up by the might of American law, and New York law. Funds doing this sort of things are called Vulture Funds. Some African officials went to Washington at an official IMF conference, to complain about Vulture Funds. They got arrested (for complaining about Vulture Funds).

So what did Dominique Strauss-Kahn messed up in all this? Well he redirected the IMF towards “helping” Europe (by far the largest contributor to the IMF). This was a grave deviation from servicing New York inspired vultures as the IMF is supposed to do. It was unavoidably going to attract European attention towards what the IMF, and Washington, and, behind them, Wall Street and the Cayman islands, and other tax havens, stuffed with plutocrats, consider to be normal practice, in their over exploitation of the whole planet.

When one looks at the full work of the World Bank and the IMF, especially in Africa, one looks at countless murders too. But things are changing for the better. South America has progressively been coming out of the financial terror, and China, with nearly three trillion dollars officially in play, has become a new source of loans, combined with barter as the PRC offers public works reminiscent of the old fashion “colonialism”.  

But the fact remains that vulture funds have worked the political system in New York. Whereas initial judicial decisions in New York, went against Vulture Funds, now New York justice, corrected by appropriate legislative work, finds that supporting vultures around the world is the best thing since motherhood and hard cash.  

***

 SEX YOU OUT:

In Malaysia, the main opposition politician is continually prosecuted for “sodomy“. The same charge had been used, in conjunction with pedophilia, to allow Philippe (IV) Le Bel to burn (alive) dozens of the leaders of the Templar Monks (1310 CE). Examples like that crawl all over history. Sex is not just handy, it’s shameful.

Sex Crime Unit“, New York. The Pride Of A Big Apple, or Just One More Snake in the Garden of the Beasts?

The “Sex Crime Unit” is famous for punishing the old, weak, overweight, sick, oxygen deprived, brainy head of the International Monetary Fund, the economist Dominique Strauss-Kahn, for “subjecting another person to sexual contact without the later person’s consent“. Apparently the Jew Strauss-Kahn “attempted” to cavort with a mysterious towering young muscular maid of the fanatical Muslim kind, whose legal migrant status is far from clear.

The old, weak, overweight, sick, oxygen deprived Dominique Strauss-Kahn is supposed to have overwhelmed the physically powerful, without causing any physical injury, probably using his dirty, powerful French mind. Powerful French minds, and the “French Theory“, not far behind it, should be illegal, as they cause grave injury to the New York Centered World Trade plutocracy.

It is turning out that Ms tall, young and muscular victim, posed for racy and provocative pictures which ornament the frontcover of a magazine in Switzerland. You will not see those pictures in the USA, for obvious reasons of basic propaganda of the plutocratically financed politicians in New York. Don’t be surprised if Ms Provocative shows up at the tribunal in a veil, clutching some beads, shaking all over with fear! Greed does that, sometimes, or more exactly the fear of not satisfying it enough.

The New York Sex Crime Unit is the object of a cult in America. It has 40 detectives: sex is big in New York, and its crimes numerous. Everybody says that the “Sex Crime Unit” is “very respected“. It prosecutes, namely puts in cages and treats as dogs, 1,000 individuals a year. OK, I am exaggerating: one does not chain dogs, that would be cruel to the animals, especially if innocent. Only 20 of those prosecutions of the “very respected Sex Crime Unit“, result in condemnations, though. Let’s think a second about what that means.

I am not saying that there should not 1,000 inquiries on “Sex Crimes”. I think that any “Sex Crime” lead ought to be followed diligently, and even ferociously, in the case of possible “pedophilia”. But I think that, as for other suspicion of possible criminal activity, prosecution ought to be done very discreetly, to protect the innocent.

So let’s consider the innocent. It turns out that the innocent are 98% of those whom the “very respected Sex Crime Unit” puritanizes, chains, locks up and terrorizes every year.

I am just observing that 980 people a year get treated worse than dogs, like criminals, American style, and are found to be innocent, every year, in New York, about alleged sex crimes they did NOT commit. Although they were publicly humiliated, condemned in the court of public opinion, and punished for all to see, for crimes they did NOT commit. Punishing the innocent, especially publicly, is outlawed in fully civilized society. Protecting the innocent is actually why the law exists in the first place.

Now, if you beat a dog, he will turn nasty. Especially if you do it for no good reason. Just try it. Moreover, far from being a deterrent, a rush to condemnation and so publicly, encourages many to cross the Rubicon. Thus the question is this: is the “Sex Crime Unit” itself crime generating?

If police brutality itself is criminogenic, a much needed explanation for the high rate of crime in the USA, would offer itself. Criminogenic police activity would go a long way towards explaining that about 10 million Americans are actively punished, under official judicial condemnations, every year, with 2.5 million imprisonned. That is the highest rate in the world. By far.
***

SPEAKING OF CRIMINOGENIC POLICE HYPER ACTIVITY,
A prestigious United Nation commission found that the “War Against Drugs” has not worked any better than the famous prohibition against alcohol in the USA, in the 1920s. The later had increased considerably organized crime activity, by making many in the USA accomplice with the mobsters. Prohibition was terminated by president Roosevelt.

Interestingly “drug abuse”, which is punished, implies that “drug use”, a milder form, should go unpunished. The point is that very dangerous drugs, alcohol, tobacco, and various “medical” neurological drugs, some given to children (Ritalin), are authorized. So why is not mild use of some other drugs also authorized?

The president of Bolivia has insisted that some mild coca should be allowed for sale outside of Bolivia (where it is legal).

Funny aside: although I use tea and coffee, I have never ever used alcohol and tobacco. I just did not like the idea to have to drink something to be merry, or poison the atmosphere, to look cool. Happiness and calm ought to be spiritually generated, for those who live by the superiority of human thinking.

However I have resided at high altitude in Bolivia, and loved coca tea (sold there in grocery stores). It’s quite different from normal tea, but extremely nice. Energetic, soothing, friendly to the mind.

I can’t imagine how one could abuse it, and what is wrong with it. Thus I deduce that the screaming against some drugs is highly hypocritical, and it’s not our confessing ex-“blow” (cocaine) using  president who is going to contradict me.

Let’s remember that coffee, at strong dosage, is forbidden at the Olympic Games. At very high doses (100 standard US cups), coffee is lethal (so is water). However, correct usage of coffee is good for the mind, and for health in general (it is full of antioxidants, and has been proven to reduce Alzheimer).

***

Patrice Ayme