Artwork by Keith Taylor
A bank is robbed in Queens and it is symbolic for the overall bank robberies going on all over the place. For the bankers ARE the robbers. And as our economic ship sinks, Obama is led to believe, all we need is more liquidity! I.e.: more debts will fix our bankruptcy due to too many debts. We don’t need more red ink, do we? German workers are beginning to actively fight back while US workers hope for some sort of funny money solution so we can continue a first-world, first class sail on the USS Titanic.
Landau owns the restaurant that shares a wall with the bank. On her video security system she saw three men trespassing and casing the area. She figured it had something to do with the bank. The three men stole her camera. They even returned to make sure it hadn’t been replaced. But Landau bought a new and improved camera and put it in a different spot that the thieves did not see.
Before the heist Landau went to a bank manager and told her about her suspicions. She said she is not sure what, if anything, was done with that information. On Monday morning, however, it was clear what they had been up to. The crooks made off with items valued at hundreds of thousands of dollars, maybe even a million.
Burke said many are surprised to learn the contents safe deposit boxes are not insured. The bank recently underwent renovation and investigators are looking into the possibility someone familiar with the blueprints may have been involved.
The bank issued the following statement:
“There was a burglary at the 18th Avenue Astoria Federal Savings branch (4302 18th Ave at East 2nd Street in Brooklyn) sometime early Monday morning, Feb. 23. Approximately 2 percent or 60 of 2,900 safe deposit boxes were compromised due to circumstances beyond our control and despite the fact that all our security systems functioned and operated as designed.
The banks sell security and then, when warned that funny things were going on, allowed this to happen and then, when the insecure boxes were raided, had the temerity to tell customers, tough luck!
So, banks that want to be bailed out when making bad loans want to be not responsible for losses due to them practicing virtually no vigilance? Imagine babysitting children, telling the parents, the children would be secure and then letting them loose in heavy traffic! If banks are poorly secured, they should say, ‘INSECURE boxes for rent, we can’t guarantee that robbers won’t bust in!’ Heck, imagine how many customers will come fro that service?
President Obama today unveiled a proposed $3.55 trillion budget for the coming fiscal year that he said discards “dishonest” accounting practices of the past and makes “a historic commitment to comprehensive health care reform.”…
In addition to the budget for fiscal 2010, the administration also proposes a $3.94 trillion budget for the 2009 fiscal year that ends Sept. 30. The figure includes an additional $250 billion that could be used to bail out struggling banks, as well as $410 billion that the House approved this week to fund major government agencies through the remainder of the fiscal year. Congress has not yet passed a 2009 budget, but has funded the operations of the government with continuing resolutions through March 6 and spending bill are currently being considered.
Obama’s spending plans would push the 2009 budget deficit to a massive $1.75 trillion, officials said this morning. The government’s yearly shortfall would equal 12.3 percent of the nation’s annual economic output. Such a percentage has not been seen since the end of World War II, when the deficit came to 21.5 percent of GDP.
The new budget includes nearly $534 billion for the Defense Department in 2010, up 4 percent from 2009. The administration is requesting $75.5 billion for the rest of 2009 to pay for the wars in Iraq and Afghanistan, and $130 billion for 2010.
Every time I read these things, I want to tear my hair out. But refrain, why punish myself for these things? This is the final madness. The US has lived off of deficits for much of my life. One of the two chief costs that bedevil us are the military costs and the refusal to pay for social services while, at the same time, raiding Social Security to fund part of the deficits.
We just spent over a trillion dollars, killing Muslims in two small countries, one of which is the poorest nation on earth. We got nothing great out of these expensive excursions. Obama has been busy lying to us. He said, our troops will be out of Iraq by 2010. Except for 10,000+ troops who will patrol the place and keep watch over ‘American assets’. HAHAHA. Some retreat!
And he is doubling troops in Afghanistan. As if we can afford to do this. How can this be missed? If our troopers can’t win a war, it is best to retreat. Why bankrupt America, trying to do the impossible? No matter how many tribal members we slaughter, it just seems to make them more determined to destroy us. And we are being destroyed! They are WINNING.
Anyone reading the news this week can see that victory is theirs. All they have to do is annoy us to death. We have to gold-plate all our retaliations so a rock tossed at us has to be answered with a $500 million mission with missiles, remote controlled robots and a huge force behind it all, needing comfortable first-world housing as well as all the goodies of civilization.
Virtually no one wants to settle accounts. Everyone wants desperately to spend our way to prosperity. But no prosperity ever comes from wild spending, wild borrowing. We are leveraging our entire empire on loans to obvious rivals and even obvious potential enemies. This deranged belief that it is OK to go to Beijing for borrowing while at the same time, insulting China at every possible chance…as my previous story showed, the US is still poking the Dragon in the eye over ‘human rights’.
A dispute among House Democrats stalled legislation Thursday to let bankruptcy judges reduce the principal and interest rate on mortgages for debt-strapped homeowners.
The measure, backed by, is the most controversial part of a broader housing package that had been expected to pass the House this week.
It hit a snag after a group of moderates expressed concerns in a closed-door meeting of House Democrats about how the bill would affect homeowners who are still struggling to make their mortgage payments.
This is like a flood: once the dam is breached, all the water in the lake will drain out in a mad rush. Why pay a 6.75% mortgage on a house that is $250,000 ‘underwater’ when you can join the mob and get it redone in your favor? No one will bother paying and all will clamor for resets. Each reset costs a fortune. Many of the mortgages going down to bankruptcy were for loans that are less than 3 years old! This is absurd.
And more people are losing jobs and most Americans are deep in debt and one paycheck from destruction. JP Morgan just announced, they will lay off more thousands of people, just for example. The entire US auto industry is dying rapidly and these are top-wage earners going down, not poor people struggling to work overtime for Burger King’s Gollum Sachs owners.
Delphi Corp received bankruptcy court permission to cancel benefits for 15,000 retirees, which would enable the bankrupt auto parts maker to save more than $70 million annually.
As a result, according to a report on the court proceedings in the Detroit News, on April 1 Delphi could cancel salaried retiree health care and life insurance benefits.
I hope this news opens everyone’s eyes: all deals made with manufacturers in America are dead. These were cynically thrown as sop to workers so they would go quietly away. Go move to Phoenix or Miami. Then, when all the benefits are cut forever, they can’t protest. They can’t shut down the factories. They can’t complain to politicians since they tend to retire to the Deep South where they are welcome so long as they are bringing in money. But if they want to cause labor trouble in the Slave States, they better wake up. Ain’t going to happen.
With American automotive giant General Motors struggling to survive amid the worst car industry downturn since 1982, employees of the company’s European subsidiary Opel laid down their tools on Thursday to take part in mass demonstrations in a last ditch effort to save their jobs.
Over 15,000 workers gathered at Opel’s flagship factory in the western German industrial city of Rüsselsheim near Frankfurt with a total of 60,000 people joining protests at 14 Opel factories across Europe. “It is no longer five to midnight, the clock has already struck midnight,” Klaus Franz, head of Opel’s works council, told the gathered workers at Opel headquarters. “There is only one single chance, and that is spinning off Opel from the GM group.”
Germany’s Foreign Minister Frank-Walter Steinmeier, who will be running against Chancellor Angela Merkel in general elections this September, also attended the Thursday protest, saying he was doing everything he could for Opel. “We all agree that it is up to GM management. GM has long earned good money with Opel. It would be obscene were they now to throw away European factories like a squeezed-out lemon.”
Germany is much smaller in size than the US so it is harder to isolate workers in various regions. The socialist experiment in Germany is much older than the US, too. The US managed to kill off almost all unions. But not in Germany! Shutting down the factories in Germany will be very difficult. In the US, it is laughably easy to do.
AIG Rescue May Include Credit-Default Swap Backstop
American International Group Inc. may get a backstop from the U.S. to protect against further losses on credit-default swaps, according to a person familiar with the matter.
The federal guarantees may be included in New York-based AIG’
s restructured bailout, which the company plans to disclose next week with fourth-quarterresults, according to the person, who declined to be identified because the talks are private.
Regulators who saved AIG in September feared that a collapse of the insurer, which sold swaps to banks including Goldman Sachs Group Inc., would spread losses throughout the global financial system. In November the U.S. committed $30 billion to retire some of the contracts tied to subprime mortgages, while not addressing other swaps tied to corporate loans and European debt.
“Counterparties around the world continue to have significant exposure to AIG, and market conditions continue to be fragile and sensitive to the potential disorderly failure of AIG,” the Federal Reserve said in a report in November.
GOOD GRIEF! Are we seriously trying to ‘backstop’ the Derivatives Beast? The futility of this is obvious to me. It is a magical creature which has elements of all the most deadly of the Goddesses in the Cave of Wealth and Death. Infinity, Zero and Random Chance, this creature was born to protect from losses and then turned itself into a massive casino for bets and then became bigger than all known wealth on earth.
Now, this news really irritates me. The mainstream media including Bloomberg news, ran stories about how the derivatives swaps were not a complete disaster. No, they were small! And easy to deal with! To prove this, the government and the major bankers all got together and PRETENDED to do the swaps! But they were faking it.
This is why all the Derivatives Beast’s mess is coming to the fore again, just one quarter later. As the exterior losses mount, the derivative losses double, treble and quadruple. This is the nature of derivatives. Tiny little things can swiftly balloon into huge, impossible to contain things.
The worse part is, the bankers want desperately to believe their lies. They know they are lying but hope that if they lie, this will fool the monsters lurking in the dark. This is plain stupid. One thing these creatures understand best, are lies. They grin in the dark when bankers lie. They know that all they have to do is eat some more magic money numbers and the bankers will be forced to tell new lies. There is NO SOLUTION to this at all.
Only punishments to be meted out to those people who set this in motion. Just like it is illegal for clever robbers to bust into bank boxes and steal, so it is with dishonest, greedy bankers. Both need to go to prison and both must be watched most closely. And both cannot be trusted.
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