The judge throws the book at Bernie Madoff. His hausfrau gets to keep only $2.5 million of illicit wealth. I wish I had $2.5 million. I would no longer have to publish these stories. I could go sail the Caribbean. Visit the Cayman Islands during hurricane season. Also, the Bank of England releases a report with graphs and charts which means, lots of fun for us. Oh, and Bernanke is furious about the Ron Paul 1207 bill. HAHAHA. Bernanke should share a cell with Bernie.
Prosecutors Propose 150-Year Sentence for Madoff – NYTimes.com
Federal prosecutors recommended on Friday that Bernard L. Madoff be sentenced to 150 years in prison for conducting his enormous worldwide Ponzi scheme… Also Friday, prosecutors announced that Judge Chin has entered a preliminary order directing Mr. Madoff to pay just over $170 billion in forfeited assets. The order strips Mr. Madoff of all his property and leaves $2.5 million in assets for his wife, Ruth Madoff.
Madoff doesn’t have any $170 billion. He doesn’t have $17 billion. He doesn’t have $1.7 billion. Much of this money is down the old rat hole…it never really existed. This is what happens when people can make money appear out of thin air. All sorts of characters then do this and we get…INFLATION! During all of Madoff’s crime spree, we had pesky inflation. He was one guy contributing to it.
His ‘money’ was all counterfeit. And the people playing this con game with him flooded the world with at least $50 billion in fake money. Of course, compared to the international central bankers who created well over $14 trillion in counterfeit money…HAHAHA. I want Bernanke and Greenspan to be his cell mates. They can be a ménage à trois. The lesson Madoff teaches us is, if anyone is enterprising enough, controls enough portals for making Wall Street deals and gives enough money to enough influential people, they can create money to their heart’s content. Before destroying everything.
YouTube – The Supremes – You´ve Really Got A Hold On Me
Speaking of criminal operations, Congress, via Ron Paul— 🙂 —has been making noises about peeking into the top secret books of the Federal Reserve bookies who run the US money machine casino. The possibility that Congress might do what it is supposed to do according to the Constitution is causing our real rulers and their attack dog, Bernake, a heart attack. Maybe Bernanke should contact Michael Jackson’s voodoo druggie doctor and get some injections. And then fall to sleep. ZZZZZZZ….
Bernanke Threatens Economic Collapse If Fed Audited
Federal Reserve chairman Ben Bernanke unleashed an alarming veiled threat of financial terrorism when he was questioned by Rep. Duncan on Thursday about his response to the fact that a majority of Congress co-sponsoring Ron Paul’s H.R. 1207 bill to audit the Federal Reserve.
Bernanke clearly regarded the bill’s intent as hostile to the institution he represents:
“My concern about the legislation is that if the GAO is auditing not only the operational aspects of the programs and the details of the programs but making judgments about our policy decisions would effectively be a takeover of policy by the Congress and a repudiation of the Federal Reserve would be highly destructive to the stability of the financial system, the Dollar and our national economic situation.”
HAHAHA. Yes, Congress, you can stuff this guy into Bernie’s cell and throw away the key! Oh yes, the Fed has defended the dollar. As well as Bush and Rumsfeld and Cheney protected us on 9/11. Maybe some buildings can fall on them. As for our national economic situation: if we imported some Zimbabwe officials and let them run our government, perhaps it might be worse than the way it has been run. PERHAPS. In a year, we will decide. Doesn’t look all that good, so far.
Hell’s bells! OBVIOUSLY, the Federal Reserve has failed. Utterly, totally failed. You can’t fail worse except if you compare us to Zimbabwe or North Korea. Not too many other places. Oh! Afghanistan! HAHAHA. They just called off the anti-poppy regime and so let the heroin flow! Too bad, we lost some more druggie rock stars to drugs. Look what happens when they can’t access good horse (in my demented youth, addicts used to call heroin, ‘horse’.)
YouTube – Bernanke warns that meddling with Fed’s monetary policy cause harm economy
There is one bank as bad as our own. It is the older bank. It is the model for the Federal Reserve. It leeched off of our central bank which was created less than six months before WWI floated down the River Styx. Both the Bank of England and the Bank of China released reports this week. I will do the Bank of England first because the Chinese report is very long and has lots of information I need to digest. We had many thunderstorms since last night and this is why the report today is late.
Several hours ago, I was in the living room and had the sliding doors open. ‘Look, Chris, that storm is missing us. No lightning,’ I stupidly said. Right where I was pointing a big lightning strike hit the ground. BANG! I jumped backwards. Chris laughed. ‘Thor likes you.’
Changes needed to increase the resilience of the financial system:
• Market discipline should be strengthened significantly (pages 37–40), for example through improved bank disclosures, a credible threat of closure/wind-down for financial institutions and risk-based, pre-funded deposit insurance schemes.
• Financial institutions should self-insure more than in the past (pages 40–46), for example through higher capital and liquidity buffers and contingency plans for capital, liquidity and their own wind-down in periods of stress.
Self-insure? HAHAHA. AIG is now run by our government who also insures nearly everything these days. The entire reason for the OTC and CDS and other three letter games was to deal with that four letter word, ‘RISK’. The hundreds of trillions in swap deals were supposed to insure all losses. Instead, they exaggerated all losses! So, we can’t let these gnomes pass the buck anymore. They have to pay for their own damn (another 4 letter word) losses (a 5 letter word all gnomes despise.)
• Management of risks arising from interactions among financial institutions and with the real economy needs to be improved (pages 46–52), including through higher buffers for firms posing greater systemic risks and countercyclical prudential policy to limit the growth of financial imbalances.
The ‘real economy’ is non-Madoff/non-Bernanke stuff. Like, manufacturing things, building things, growing stuff, digging up physical stuff, etc. I find it hilarious to see more and more central bankers admit there must be higher buffers (fancy talk for CAPITAL) and there has to be ‘limits to growth’! HAHAHA. Yes, anyone attempting to get to infinity via adding zeros to stuff have to be stopped. Arrested. Punished.
Another key financial imbalance is how world monetary systems operate: the US trade deficit has utterly warped how the entire planet operates. It is the worst aspect of this imbalanced system.
• Authorities domestically and internationally should consider whether they need to more actively influence or constrain the size and structure of financial systems to support stability (page 53).
HAHAHA. Tear Goldman Sachs to shreds! Rip up JP Morgan! Smash all the mega international banks! But There is a problem: the biggest banks are… the central banks, themselves! They caused infinite problems.
• Where self-protection fails, a safety net is required that encourages prudent behaviour and contains risks to the public finances (pages 56–57), for example via clear principles guiding authorities’ actions as market maker or capital provider of last resort during financial crises.
ALL safety nets kill prudence! If there is no losses and no punishments, people will do whatever the hell they want. This latest attempt at trying to prevent Libra from balancing the books and getting rid of the immense Derivatives Beast has only made things much, much, much worse. This is the conundrum: banking gnomes will act like irresponsible teenagers if they think mommy and daddy Central Bank will bail them out! Period. This is human nature.
Authorities internationally attempted to break the adverse feedback loop between the financial system and the economy providing support for banking systems which in Europe and North America could be equivalent to over US$14 trillion, or 50% of those countries’ GDP (page 20).
The governments and central bankers have put all of us in hock to over half of our entire economic worth???? WHAT THE HELL???? And in return, have we arrested all the banking gnomes who did this to us? No? Madoff was a piker. A small fish. The real economic whales that crushed the world economy are still hard at work, trying to keep this thing going even as it continues to collapse. Imagine if we put up $14 trillion for socialist programs? How about that? At least, it would do some slight good!
This graph shows how the predictions made nearly a year ago were ridiculous. Even the January estimates were way off. Look at how they hope, from last October to last January and then, April, for this collapse to swiftly rebound. Now, the ‘rebound’ is going to not be above the magic average line but far below it. Right now, we are in negative territory, that is, below zero.
OK: this Bank of England graph really annoys me. It is about unemployment. Note how the US has bigger peaks than anyone else except for the 1980 UK peak which came right when the North Sea oil began to flow. England was totally on the ropes, the former ruler of the planet, a pathetic beggar. Sort of like where we will be very soon. AFter 1990, the US unemployment spikes get higher and higher. Thanks to outsourcing and offshoring of our jobs.
Here is the Bank of England’s graph comparing the various recessions. The Dot Com collapse was pretty bad. We are now near the point in time when that crash ended. It ended by the US giving itself tax cuts while dropping the last trade barriers. Which led to a immense trade deficit. And world trade boomed, of course! The way we ended that mess made this mess. And it took only 5 years to jump from one collapse to the next one. This is very bad. It should take 20 years, not 5.
Isn’t this graph a work of art? 🙂 Each constriction of this timeline is a major recession. This goes only to 2006. The graph, if it were updated, would show a total constriction from those immensely wide spreads. These ‘global account imbalances’ are mostly the US trade deficit, the US, England and Japanese budget deficits and everyone else, adding their own two bits. But about 50% of this is the top G7 nation’s fault.
The immense Swedish bail out whereby they bailed themselves out is still the biggest bail out…but in dollar amounts, it was far, far less than what the US and UK are doing today. Note that the bail outs by the two renegade central banks are nearly 100% of our GDP. This is monstrous considering, virtually no one who created this mess is being punished. For example, the politicians who pushed for tax cuts but refused to balance their budgets should be punished. As it is, in England, the finance scandals hammering Parliament is reaching a fever pitch. I suspect many politicians will find themselves looking for new ways to fund designer duck houses.
This graph compares various collapses and seeks to see how many YEARS it took for a variety of countries to get out of depressions. The fall from grace period is around 3.5 years! This means, we are in only year 2 of the present cycle. Yikes. And the rise back to above 0% growth takes another 3.5 years! This is the dreaded 7 year cycle of ancient Egyptian fame. This is one of the funnier cycles. Due to it being one of the oldest, of course. It fascinates me. Why this is so? Perhaps it is magical. Note that Japan’s depression is now a decade and expanding in length. A serious problem for the world’s second or third biggest economy.
Switzerland is the land of gnomes, nonparallel. The UK decided to become the land of Garden Banking Gnomes and be a dim imitation of Switzerland. One problem: both countries decided gold was stupid. Both are probably kicking themselves for dumping gold. Sorry, chaps. That’s the way the cookie is munched. The US has the lowest bank assets relative to GDP. Why is this?
Well…one reason is, a huge amount of our assets are sold…to Switzerland, the UK, the pirate islands, lots and lots of it, epic amounts go to Japan, etc. We don’t own our own assets. We can barely cover our own asses, as it is. Well, the storms are gone and I can publish my story without all systems going haywire. I hope everyone has a delightful weekend.
P.O. BOX 483
BERLIN, NY 12022
Make checks out to ‘Elaine Supkis’
CLICK HERE TO DONATE TO THIS WEBSITE
34 responses to “Madoff Gets 150 Years In The Slammer”
It would be fun to be in the Cayman and watch a hurricane crush the pirates.
That’s true enough. Paper
in the wind 🙂
Sailing the west indies would be hot and sticky and there
are pirates there too. You could get skin cancer 😦
With $2.5 mil you might
go down the path of sex
and drugs and fall into
the CAVE 😦
I would rather you stay where you are and write
the blog 🙂
Madoff Gets 150 Years In The Slammer
im not saying things could not get better, im sayin’ they should be better. the kind of crap flying out of the worlds most efficient market ‘i imagine that means the US’ is just hopeless. Who is going to do their job is the concern of the future cuz it looks like noone necessarily has to, and if they dont its just the fat people and other misc. credit addicts fault we have a crude financial instrument for every 2big2fail bankruptcy commin’ down the pipe….
what a joke, who else wants to backdate options and retain talent on the government dole ‘ghosts of AIG lurk around every corner still’…
if you want to run a bank, select great customers, diversify your profits into investments ‘equities, treasuries, and talent’ do it with your own money next time…
plan for 2big2fail banks 2003… corrupt->corrupt->corrupt->corrupt->corrupt->corrupt
and mind your own business taxpayer man
emsnews, win money buy a summer house with AC in the tropics keep the stickyness down someplace with blue seas ‘its worth it’
One of our biggest worries is that our politicians are so fixated on the idea that CO2 is causing global warming that most of them haven’t noticed that the problem may be that the world is not warming but cooling, with all the implications that has for whether we get enough to eat.
I travel somewhat and anytime I head north i always ask about perma frost and global warming polar bears all that jazz… people laugh about it pretty much encouraging you to go freeze your ass off up there yourself till you believe… even in california noone really cares… im somewhat in favor of global warming if it can even be achieved ‘canada, russia anyone’
so im of the mind the issuance of polution credits to be traded by exchanges at a profit is the driving force of the rush to a climate proof world ‘whatever the fuck that means’ just some guy with a cooky idea who wants richez
green energy is a better idea altogether, at least it REQUIRES at a minimum scientific maxims that can lead to the progress of new technology
but you can just regulate/mandate into that ‘20% GEn by 2030’ or no new plants for your corporation till you hit the numbers ‘obviously if you can get to 25%=huge advantage’
better the banks work out the details than congress we can get more trickle down economics that way
Frankly, where I live, if it is not -30 degrees in winter, I am happy.
Hi All, thought you might be interested in this:
An article about GS involvement in 5 bubbles. Interestingly GS is positioning itself for bubble 6 “Cap and Trade”. The beauty of this scam is they don’t even have to rig it, it’s rigged from the outset with rise in prices government mandated. It appears “Cap and Trade” has nothing to do with a sustainable future and is just another paper game.
I read this on Thursday and lo, this on Friday:
Oh, and if you want a laugh, Goldman’s Lucas Van Praag responded to the original article:
Madoff gets 150 years for doing what Goldman Sachs has been doing for 142 years…
‘The immense Swedish bail out whereby they bailed themselves out is still the biggest bail out…but in dollar amounts, it was far, far less than what the US and UK are doing today.’
Isn’t that when Ford got Volvo and GM got Saab. Probably didn’t happen that way since you didn’t mention it, but it did seem concurrent. Perhaps the Swedes were prescient – they saw which way the GAAP conclaves were heading and saw no future in an open trade system for the auto industry.
‘This is the dreaded 7 year cycle of ancient Egyptian fame. This is one of the funnier cycles. Due to it being one of the oldest, of course. It fascinates me. Why this is so? Perhaps it is magical.’
Yes magical flying sugar wax lips could explain it. Or perhaps parasite breeding cycles, nitrogen depletion and breakdown of irrigation systems.
‘I wish I had $2.5 million. I would no longer have to publish these stories. ‘
It’s all about money. I will keep that one in mind.
The total accumulated debt of America since its inception in 1776 was $12 trillion until 2008, whereupon the the banksters spearheaded by Hanky Panky Goldman added another 13.5 trillion in less than a year. Swedish what?!!! Petri dish!!!!
The bullshit just keeps floating to the surface. Time to pay attention to the machinations over at the Comex… http://tinyurl.com/njmcus
Yes, the pollution futures market is one huge ponzi scheme.
Elaine I know you don’t like to align yourself to camps, but if you had to pick, would you be a Jansenite(hyperinflationist) or a Mishian(deflationist)?
Marquee matchup, don’t you think?
Yeah, I was at the tennis club a couple of months and overheard one banker say that trading CDSs was getting him down, so his banking buddy advised him to get into the emissions permit market.
These guys deserve the contempt usually reserved for telemarketers, washington lobbyists, etc.
Yes, they can’t wait to feed the Derivatives Beast. This is where all the loot is.
As for inflation/deflation: I am a Libra lover, a ‘liberal’. 🙂
I was at a meeting not too long ago and I heard some “recent-gnomish-banking-loving-fella” talk about “all the possibilities” to create financial instruments associated with “CO2-trading” (which by the way is already happening).
Anyhow, on my way out after this presentation, I scowled and scoffed and said “why would we expect these fools” who got us in this mess that we are now in (in the first place) to somehow solve it with more of the same type of “fiscal-schemery” shenanigans.
I said it won’t happen that way…..these gnomes are on the way out. Seriously. Individually as I sense it. In America, some of us might have been fooled, but not all of us.
Anyhow, I think there should be a “tax” on the user and on the maker. The tax should reflect the amount of CO2 generated by the product, and the amount of CO2 to get the product on the shelf, respectively. The tax revenues should be used to figure out better alternatives.
This will make it evident where the inefficiencies lie. I already know the inefficiencies associated with the current “CO2-tax” that we are all subject to, and for which we have been subject for some time now. It is evident.
It is time for something better.
Does this make any sense to U?
My suspicion is that the amount of CO2 to make and get a product out of the ground and into the store shelf (or tank or whatever) often greatly exceeds the amount of CO2 generated by the product.
This speaks directly regarding the inefficiencies.
We could fix it quick!
Grow some trees why don’t you…..
By the way, a fews years back I submitted an entry into the $25 million contest. Hadn’t heard much about that of late.
Grom some trees why don’t ya – its good banking. Good reserves if you know what I mean, and a tree can be grown within just a single human lifetime.
By looking at the graph on the right you can see that global temperature fluctuations have taken place since Earth’s beginnings.
energy is neither created or destroyed, it just changes forms – Somebody like Einstein
historically the world on average is much much warmer… personally if the dinosaurs gave us oil or watever ‘not likely, must be a creature / plant source of some kind tho’ and all that carbon got buried in the ground, why was it so damn warm for their epoch… I think there is and is global warming CO2 may play a role but this has been a relatively long cool phase ‘and its hella cold in space’ things change…
that doesnt mean i dont have real ideas about clean energy, nuclear energy especialy new power plants are high efficiency low waste ‘yes you can recycle garbage cores into new ones’… and geothermal left untaped is a complete waste, drill baby drill as long as its oil cuz we love the environment to much to talk geothermal ‘joke’… we could be energy self sufficient within 50 years if we were serious about it, and you wouldnt need to scare everybody out of OIL OMG OIL AND COAL IS BAD FOR HUMANITY probably the best thing that ever happend to us…
but rather than be realistic about investment/regulation/outcome… we will just play political hot potato with the speculators and issue zillions of carbon bonds ‘think dollars’
i bet in 30 years cap and trade is JUST a tax that converts terribly ‘cost wise’ twords energy systems modernazation…
Global warming is VERY real and VERY likely but the way the scientific community is letting the nature of the problem be perverted both historicaly/scientificaly into some CARBON DEATH STAR by the corporations/lawyers/politicians leaves me wondering… why not just say that clean low waste energy is one of the best investments our nation can make for geopolitical/wealth/infrastructure/global warming reasons… THEN force the corporate carbon death star to not waste our money, and save the world from coal ‘or whatever’
I just saw some figures today that showed New Hampshire becoming “weather-wise” North Carolina.
But I though to myself. No way. North Carolina is unique!
I like South Carolina too, but that governor has to go in my humble NC-opinion!
only thing bettern’ than being pragmatic is not havin’ to be realistic
what U mean nah?
Like for example, how much energy is used up when I consume a wonderful aluminum can of “Milwaukee’s Best”. Not much.
But let me tell, much energy went into making that aluminum?
Here is another site of mine:
I’ve had it for a long time and it is much different than a “big-goofy-ole-old-time-stupid-mushroom-bomb”
Nah – you don’t.
No surprise to me.
Nonetheless, I put out my hand.
hope you know something about something nah.
On topic, here an article that alleges Madoff was not the biggest beneficiary of his own scheme. Someone pulled $5.1 billion more than he put in over 5 years. Follow the money, mes amis. http://tinyurl.com/m5hwhp
The reason the corporate lobby is so opposed to cap and trade is it will be expensive for them, especially over time. If you admit there is a problem with chemical emissions in the air it is a very short step to saying that corporate polluters should be obligated to clean up THEIR messes. And this will be costly for them. GE has been fighting their clean up fine for their Hudson River mess (about $2 billion US) tooth fang and claw. And that’s just one mess–of many.
“Madoff Gets 150 Years In The Slammer”
Really? As of now (8:54AM, Monday 6/29) I didn’t think he’d been sentenced to anything yet.
He’s supposed to be sentenced to something today, and it could be 150 years.
Unless of course you’ve traveled into the future and brought back news from then. Anything’s possible at Culture of Life News!
“Billionaire Madoff tied to intelligence agencies”…
What’s the point in giving Madoff 150 years? Why not give him a million year sentence for all the good it will do? Obviously there is NO way Madoff can make restitution. So in this so-called “free” market, people who were fleeced out of millions by Madoff are just SOL.
So Madoff DID get 150 years. Elaine, I’m truly impressed!
But Madoff’s history. Forget him. It’s time for you to start taking a healthy interest in sports.
Specifically… the Steelers play Baltimore on Nov. 29 and Dec. 27. Would you mind telling me what the point spread turns out to be, and if it’s not too much trouble, Roethlisberger’s passing stats?
I also have another site registered at Register.com.
I wonder if this site can be blocked?
(sorry for the slightly off-topic post, but it seemed harmless to me!)
ps – noticed an article today about China reconsidering (apparently) some restrictive measured regarding the internet.
don’t we all OWN the internet?
oh wait, I got that wrong….its “CO2-trading.cn”.
Coming to the internet – maybe – in the future.
Also, I read something about a few other “Madoff-related” folks who are now going to be charged. Hm, maybe there are some lawyers on the job, but I doubt it.
Lawyers – a dime a dozen.
And for the sake of a number (3 in a row) that I am very fond of……loop back around.
Ah…….the number-shape-language connections are happening. Can you feel it?