Prepare to Protect Yourself From The New Ponzi Currency
Posted by sierra2one
By: Tom Chatham
Recently when the G20 met they discussed plans to deal with the devaluing currencies around the world. The same bankers that created this problem are going to fix it by creating another problem. When the system breaks down they intend to fix it by making the problem bigger.
The idea is to make the IMF the new Global FED and use SDR’s as the new world currency. Once the bankers do this they can start their Ponzi scheme all over again but on a larger scale. What the bankers don’t own when the system fails this time, they figure they will own by the time it fails again. Creating a world currency that is still under their control will allow them to decide who the winners and losers are in the world. They will be able to redistribute the wealth and resources of the world anywhere they want.
The bankers are counting on this to continue their looting of the world and are counting on a gullible public to go along with it. If the public stands by and allows this after the currency fails all I can say is, the people deserve to lose everything they have, which they will. When the currency fails it will mean that everyone that has produced excess over the years, and stored that excess production in the form of fiat currency for future use, will lose it and have to start producing and saving all over again. That will mean that all of your excess production ended up in someone else’s pocket. This is what fiat currencies are designed to do.
For anyone that has been keeping up with the machinations of this group of international swindlers, it is obvious that some sort of self preservation is in order. Before they can destroy the system as we know it, it would be beneficial for local communities to devise a medium of exchange they can use and have it in the wings ready to go when the system breaks. Gold and silver are preferable but most people will not get on board until it is too late so something else may be needed.
If most Americans held just $25 face value in pre ‘65 silver coinage, that would be enough to circulate and establish local commerce. That does not sound like a lot of money but keep in mind, this amount in the 1940’s was a weeks pay ($1,299 annually) to most people and prices reflected that fact. The minimum wage was 40 cents per hour and a quart of milk cost 15 cents. A recalibration of prices to 1940 values would be a starting point to get things moving again. These two small steps by the population could avert disaster and provide a foundation to return to a stable monetary system. Unfortunately, very few Americans will make the small sacrifice now to insure a transition can take place without a great deal of chaos.
Even if there is not enough pre ‘65 coinage available to do this, the purchase of 20 oz of silver bullion by individuals would have the same effect. Getting silver into the hands of as many individuals as possible is the only long term solution to this fiat madness. The use of gold coins in this situation would act as the medium for larger purchases.
The use of local barter currency is an alternative that would work well but would be limited to the locality where issued while silver would be universally accepted. Barter script could be used universally but it would take a great deal of coordination to make it accepted. This would take time and the chaos experienced would make it difficult initially.
When the current fiat currencies fail we must not allow a new fiat currency to take its place. This will be nothing short of knowingly selling ourselves into debt slavery for life. Any attempt to subvert this fiat transition will likely be met with force projected by the surrogates of the ruling class. When this happens you will have to decide how you will deal with these people. The future of this nation will be determined by the actions we take during this crisis.
Statistics: Posted by yoda — Sat Feb 23, 2013 1:50 pm
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Lessons From the Full Tilt Ponzi
SATURDAY, AUGUST 04, 2012
In the midst of the Eurozone crisis and corporate bankruptcy scandals such as MF Global last year, a smaller-scale yet meaningful scandal went relatively unnoticed. This scandal erupted on what poker players now call "Black Friday" – April 15, 2011. That was the day when U.S. federal authorities unsealed indictments, seized the domains and assets of the three most popular online poker sites – Full Tilt Poker, PokerStars and the Cereus network (Absolute Poker) – and arrested the owners. Hundreds of thousands of U.S. poker players were locked out of their online accounts and separated from their funds.
Initially, the central charge against these sites and their owners was one of bank fraud and money laundering. While PokerStars was soon able to return money owed to players, FullTilt players have yet to receive the almost $350 million owed to them. In comparison, that’s about 30% of the amount that was looted from the wealthy clients of MF Global. After several more months of investigation, the U.S. attorney in Manhattan was forced to state that "Full Tilt was not a legitimate poker company, but a global Ponzi scheme".
“Not only did the firm orchestrate a massive fraud against the U.S. banking system, as previously alleged, Full Tilt also cheated and abused its own players to the tune of hundreds of millions of dollars,” [U.S. Attorney] Bharara said. “Full Tilt insiders lined their own pockets with funds picked from the pockets of their most loyal customers while blithely lying to both players and the public alike about the safety and security of the money deposited with the company.”
From 2007 to 2011, the owners and board members of Full Tilt received about $443 million in payouts while being well aware that the money owed to players worldwide did not exist and could not be paid out. This included payouts to such trusted names in poker as Howard Lederer, Rafe Furst and Chris "Jesus" Ferguson. Players with funds deposited on Full Tilt had every right to be outraged at this criminal behavior, but, then again, these types of corporate ponzi schemes should be viewed as business as usual in the global economy by now.
Every major bank in the world, including the ones that were allegedly "defrauded" by these poker sites (as if they couldn’t figure out what was really going on with all of the sketchily-named transactions they processed), operate on the exact same ponzi principles as Full Tilt. If the "Black Friday" poker disaster can teach us anything, it is that the money you have on deposit at your financial institution does not really exist and there will soon come a day when the banks, in conjunction with the government, prevent you from cashing out your deposits.
For some reason, most Americans still cannot envision such a scenario occurring, even though it has started occurring in Europe and has already occurred to hundreds of thousands of poker players here (as well as the clients of MF Global). They believe that, at the worst, restrictions will be temporary, losses will be minor and the government will eventually make them whole. Well, let’s look at what is now happening with the funds of Full Tilt players to perhaps get a glimpse of how these future "bank holidays" will play out.
Poker Players’ Association Repayment Updates
On April 15, 2011, forever known as "Black Friday" to the poker community, hundreds of thousands of US online poker players lost the ability to access their accounts on the major poker sites. Since that time the PPA has made it a priority to do everything it can to help those players get their money back. Thankfully, PokerStars fulfilled its obligation to its players and promptly returned their funds. Players on FullTiltPoker and the Cereus network were not compensated however. In July 2011 the PPA released the Player’s Funds Legal Guide in order to help players understand their rights and the various methods to assert those rights as the situation unfolded.
Now, 15 months later, another chapter of the saga has come to an end. As reported here the DOJ, FTP and PokerStars have finally come to an agreement settling the civil cases against those sites and paving the way for account balances to finally be returned. The PPA applauds the efforts of the DOJ and all the various parties for reaching this agreement and especially thanks them for making the return of player funds an important priority of the agreement. While details of the player repayment process, known as "remission of funds," are still not available, rest assured that the PPA will be working diligently to help ensure a fair and easy process for all parties. We have reached out to the DOJ with player concerns before and we will continue to do so. We also will be available to the DOJ to assist it wherever we can in terms of what either the PPA or the players can do to help make the process easier.
The remission process was discussed in the July 2011 PPA Player’s Funds Legal Guide and you can re-read that section to get a general idea of the process. But the specific details of how the process will be conducted with respect to the specific FTP situation are still being determined by the DOJ. The PPA will use this page to keep you informed of all the details of that process as soon as they are available. The PPA will also use this page to provide you with all the assistance it can to help you through this process if you were one of the players affected.
So bookmark this page, return frequently, and keep your eye out for notices of updates. The PPA will make sure the information is here as soon as it is available. Until more information is available the only advice that can be given at this time is to remain calm, gather all the information you still have regarding your FTP account (especially your screen name, your password, and the name under which the account was registered), and stay tuned.
This development was by far the best news a U.S. player with funds deposited at Full Tilt could hope to hear. After 15 months of separation from their funds, most players had been resigned to the fact that their money had vanished for good. Now, it seems that the acquisition of Full Tilt by an even larger online poker company, PokerStars, will make room for players to finally get their money back. However, it still isn’t at all clear what portion of money owed to U.S. players will be remitted or how long it will take for the process to complete.
In the PPA’s 2011 "Legal Guide" referenced above, they say the following:
It has been well reported and documented that contemporaneous with the filing of the April 15, 2011, indictments against the site owners and their payment processors, the Federal Government initiated substantial forfeiture actions against site assets and specifically moved tofreeze bank accounts used by the sites to hold substantial funds. Subsequently the Federal Government has taken legal proceedings to declare these funds forfeited to the Federal Government as the "proceeds" of illegal activity. Many players believe that a substantial reasonthey have not been paid as of yet is that these seized funds represent a significant amount of the sites’ assets, though exact figures are not yet public knowledge. So, players ask, how about seeking to get player money from the money seized by the Government? Answering this question is enormously complex, and whether and how to seek to do it (or not) will once againdepend on the specific circumstances of the individual player. For players to determine that answer for themselves, the basic principles of Federal Forfeiture must be understood and discussed with private counsel.
The only thing we know for sure is that U.S. players will have to submit a petition for remission of funds to the Department of Injustice once the details are finalized. So you have to ask yourself – is this the kind of frustrating, drawn-out and complex process that you want to go through to get your deposited funds from the bank? Are you willing to "stay tuned" for more than a year before the insolvent bank is acquired by a larger entity and you can finally petition that entity (or the government) to reimburse you, at anywhere from 100 to 50 cents on the dollar? Remember, this is really the best-case scenario when severely under-capitalized institutions go bust.
That is especially true if the owners are targets in a civil or criminal investigation, as is the case with Full Tilt. We can easily imagine a situation in which the Department of Injustice indicts a network of major and mid-level U.S. banks on various criminal charges for political reasons, but also as a means of giving those institutions an excuse not to pay out their depositors. Just like it did with Full Tilt, this play could go down after a bunch of board members and upper-level management at these banks have siphoned off billions in compensation, bonuses and redeemed equity shares (many of them already have).
And just like with the major poker sites, there will be one or two high-level guys that take the fall and the rest of the charges will be settled before any sort of trial. The major difference is – who will be able to rescue the assets of these banks and raise the funds necessary to pay out depositors? We are obviously talking much, much greater factors of losses than those endured by U.S. poker players. And as we know all too well, only central governments can step in to backstop these financial ponzi institutions. By the time such a rescue is necessary again, those government ponzis will have been bled dry by the corporate war machine as well.
I suspect that most Americans and Europeans with large deposits in the bank will easily see 25, 50 or even 100% of those deposits disappear into a black hole, and they will not be nearly as lucky as U.S. poker players in finding any "white knights" to reimburse them. If anything, they will have to wait a solid 6-12 months before hearing anything about how to go about getting their money back, and then perhaps another 6-12 months to actually get it. By that time, the state of the global economy and society will be quite nasty, and those funds may be useless anyway. What kind of capital restrictions will be in place across the Western world by then?
The only smart move is, and has always been, to get whatever money you will need over at least a year or two out of the bank RIGHT NOW. Despite their after-the-fact claims to the contrary, most people in the poker community had no idea how or when Black Friday was going to hit, and how extensive the ensuing monetary damage would be. All I know is that the poker players who, for whatever reason, decided to liquidate all of their funds before April 15, 2011 now look like geniuses, while the rest of us look like chumps. But I don’t really care what I look like… I just want to get back the money that is owed to me and learn from my misplaced trust.
Statistics: Posted by yoda — Sat Aug 04, 2012 1:30 pm
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Is Facebook A Bigger Ponzi Scheme Than Madoff?
Facebook is turning out to be the poster child for everything that is corrupt on Wall Street. From fraudulent representation of financials to the fleecing of widows and orphans.
The Facebook stock offering was priced at $38 per share, giving it a $104 billion market cap. Before the stock freed up to trade, Bloomberg News’ Trish Regan tweeted that the opening indication was in the $53-$55 range. No doubt she was just regurgitating the fraudulent representation of the demand for the stock from her "sources" at Morgan Stanley, the book-runner for the deal. The opening trade was $42.05 – a market cap of $113.5 billion and the high-tick trade was $43, a market cap of $116 billion. Currently the stock is trading at $31.32, down another 7.8% on the day and a market cap of $84.5 billion. Facebook stock has lost almost $32 billion in market cap since its opening day peak.
While someone at Morgan Stanley was texting Trish Regan about how strong the demand was and that the stock would open up about 40% above the IPO price, Morgan Stanley was busy raising the retail broker limit on stock allocation from 500 shares to 5,000 share. Let’s examine this for a second. One thing I would like to know is how much stock was directed into Morgan Stanley’s retail brokerage stock distribution network AFTER the allocation limit was raised to 5,000 shares. Trish Regan should learn to do some intelligent due diligence before she allows Wall Street to use her as a spunk receptacle again. I’ve always thought she was idiot and a Wall Street harlot, but now a lot more people will realize the truth about her and about financial media in general.
Not only did Morgan Stanley enable its retail broker network to stuff retail investor accounts with this crappy deal, but Morgan Stanley’s Facebook stock analyst, Scott Devitt significantly cut his revenue forecast while the stock was being marketed to investors, LINK. Did Morgan Stanley’s brokerage force tell retail stock investors about this BEFORE stuffing them with more of this overvalued piece of garbage?
As to whether or not Morgan Stanley and its brokers violated SEC and FINRA laws would be very easy to investigate. All sales and trading phone lines are taped and it would be simple to subpoena all retail brokerage statements for investors who were sold Facebook stock. The question is, will Barack Obama order SEC Chaircrook Mary Shapiro and Attorney General Eric Holder to investigate this financial rape and pillage of the public? Please note that is merely a rhetorical question, as we all know the answer, based on Obama’s dismal record of investigating a prosecuting financial fraud.
What does this have to with Madoff? It looks like the actual amount of losses from the Madoff Ponzi Scheme was somewhere around $15 billion. We’ll probably never know the truth, but I bet the Wall Street firms who were custodians and fund conduits for Madoff’s operation know. So far, Facebook has raped investors for about $18 billion based on a $38 issue price, and about $32 billion based on the high tick after trading commenced. This is a direct transfer of $18 billion from the pockets of investors to the pockets of Mark Zucker, Facebook employees and Morgan Stanley (and the other underwriters). This is a de facto Ponzi scheme.
What do my insights on the Facebook Ponzi scheme have to do with gold? I’ll let Ayn Rand explain, through the voice of Francisco D’Anconia in "Atlas Shrugged:"
Whenever destroyers appear among men, they start by destroying money, for money is men’s protection and the base of a moral existence. Destroyers seize gold and leave to its owners a counterfeit pile of paper. This kills all objective standards and delivers men into the arbitrary power of an arbitrary setter of values. Gold was an objective value, an equivalent of wealth produced. Paper is a mortgage on wealth that does not exist, backed by a gun aimed at those who are expected to produce it. Paper is a check drawn by legal looters upon an account which is not theirs: upon the virtue of the victims.
Statistics: Posted by yoda — Tue May 22, 2012 1:35 pm
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