Here come the bailout! Here come the bailout.

With the repeal off Dodd-Frank Bailout 3.0 is on the way. 3.0? The S&L bailout was not as big, but bailout it was.

Now the way they spun the last crash was all the people who defaulted on their mortgages and got foreclosed, surprised the Financial Terrorist Organizations.

Foreclosures were part of their plan from the beginning with sub-prime loans. You think they didn’t know people taking out NINJA loans were likely to default. They’re not stupid, just delusional. And when you win for good ideas and win for bad ideas, no one cared. Revenue was being generated. All hail fee generation.

I was employed by the mortgage division of a major FTO for a number of years. I can’t mention the name, but you’ve heard it, guaranteed. I have ethics and hold up my end of the deal. Not that it was likely to happen, but I can’t legally say anything positive about them. either.

It doesn’t matter. I don’t need to name my former employer. All were up the the same delusional business plan. Lemmings are the true mascot of Wall Street, not bulls and bears. Banksters don’t make money off people making monthly payments and paying off their home. And, they really don’t like having that money tied up for years, when there are so many shifty deals to risk it on.

Banksters make money off of fees for originating loans with fees for selling Mortgage Backed Securities to investor who bear the risk and let their money get tied up. Loans get bundled into securities almost immediately and Banksters just skim a small fraction of the interest for servicing, you know mailing out mortgage bills and dealing with taxes and insurance escrows.

The business model encourages defaults, flipping the property generates the gravy, new fees, and with housing prices always going higher, each flip generates bigger fees, even if you let the property go below market.

Have you spotted the delusion yet? Just because values increased yesterday, says nothing about tomorrow. And they were wrong. They’re OK, you get bonuses for crashing the economy. It’s a win-win situation, whether to make a winning bet, or a losing one you are rewarded.  Great work  if you can get and have a total lack of morals or ethics. It’s all about the Benjamins baby. Besides, executroids don’t plan on being there long. Take the money and run to the next Bankster is the career path.

How could they possibly sell securities backed by dog shit loans? Primarily because those bonds are rated 90% or better AAA. Solid and secure enough for retirement funds, states, schools, and municipalities to invest in.

That’s insane. AAA rated dog shit loans. The reason is our old friend generating fees. When Banksters slither into Moodys, they get what they want. If Moodys doesn’t give the rating they wanted, they know the sweet fees will slither away to Standard  & Poore. Fees mean bonuses and they’ll give any ratings requested. Don’t you wish bumping up your credit score that easy?

When Fanny & Freddy were alone in the mortgage securities game, things were somewhat under control and dog shit loans meant Banksters had to keep loans on the books. The innovation needed was private, unregulated Mortgage Backed Securities. With the collusion of ratings agencies the crash was set in motion, long before 2008.

But some loans were too toxic to package into a AAA MBS. They could invent the private MBS, why not a new fictional product and the Collateralized Debt Obligation was born. A CDO is created by chopping up the dog shit you need a 20 foot pooper scooper and HazMat suit to handle. You spread  the bits and pieces among privately traded, unregulated CDOs. To make them more attractive, you wrap the dog shit in cat shit. And by a miracle, owning minced dog shit wrapped in cat shit, is a sure thing AAA rated investment. Of course it is.

They didn’t stop there. Opportunity for fee generation was not tapped out yet. Next come derivatives. Even they don’t know what they are, but they generate fees and are … you guessed it.

Derivatives are like side bets at the craps table.  The main action is between the shooter and the house. But somebody will make a bet with the guy next to him, “I bet $_____ the shooter will make his point (roll box cars, whatever) and I’ll give 3 to 1 odds. Then side bets are made on side bets, ad infinitum.

With derivatives, a $100K security could easily have $500 million of sides bets riding on it. Derivatives have no backing like collateral. No worries! It’s all bets on placed on AAA securities and real estate prices always goes up.

But, just to be sure, the third member of the unholy triumvirate makes its appearance. AIG insurance. They happily insured all those bets on dog shit and cat shit wrapped dog shit. Did they know what they were insuring. Yes, but all those lovely fees. Fees mean bonuses.

Now, all the players are in place. Stupidity is at maximum warp. Fat cats are getting fatter and happier. Time for the delusional bubble to burst.

Buyers one day started saying “Seriously, you are asking  that, for that!?! You’re crazy.” A delusional bubble breaks bringing the Banksters’ delusional house of cards and the world economy down with.

Detroit bailout? They aren’t car makers any more. They are Banksters who happen to also make cars as a hobby.

Without Dodd-Frank to hold them back, they will return to the same delusional practices that crashed the economy. Oh, they might hold a contest, or hire a consultant to find new aliases for dog shit products, but they will be back. After all, they had to wait a little, but they were rewarded for destroying the economy. Remember win-win is the name of the game. Well, not in Iceland. Someone must have been skimming bribes and Banksters were jailed. But, that could never happen again. Financial Terrorist Organizations own plenty of slaves in government, and the overseers to tell them what to do.

I know how it all happened. I watched the delusions grow more absurd. It’s like watching a train wreck you are powerless to stop. I was out before the crash, outsourcing. But saw it coming. I didn’t realize just how bad fallout from the delusion would be.

I worked 17 years for the unnameable one. Some of that time, I was even management (for purposes of not paying me overtime only). I wrangled computers for them, but had no say in anything, nor managed anything but my incredulity at their delusional business plans.

A brilliant financial mind, (There will be a short interruption while I laugh my arse off…. I’m back, does anyone need time to finish giggling?) now where was I, ah yes a senior executroid had an idea. “The problem with lending money to companies and people is bankruptcy. Countries can’t declare bankruptcy, they’ll have to pay up.” The lemmings stampede South to offer loans to every third world country, secure in the knowledge they can’t go bankrupt.

What he said was correct. But he neglected the part about there is nothing you can do to collect when they don’t pay up. Oops! They didn’t pay.

The stock price tanked CEO and senior executroids got incentive stock options as a ‘reward’. They had to wait a little for their win for losing, but win they did. Years later, they got one of the countries to offer a nickel on the dollar as payback. Most was not cash but ownership of the country’s phone company.

They hailed the 1st executroid’s big win and he got a seat on the board. It’s always win-win in cloud cuckoo land. “It’s safe countries can’t go bankrupt.” was my first “Are they really that fucking stupid?” moment.

It was followed shortly by ( better not use that word again) a batshit crazy scheme. (yes, that was a better choice) The scheme was to increase originations generate … By now y’all can finish the sentence, or you’ve been sleeping in class.

To originate loans you have to beat the competition. Fees go to the victor, the first to approve the loan. The sticky little bit is speeding up the process. Today you can key in an SSN, click submit, and Shazaam credit report and credit score. Then getting a credit report, verifications of income, employment, deposit, etc. was all done by snail mail.

Then by a miracle of lobbying, Fanny and Freddy began accepting the ancestor of the NINJA loan, the NO DOCUMENTATION LOAN.  They were lucrative but, they had to be held on the books, couldn’t be sold to investors.

If could, or make it like like you were, 20% down would get you a no documentation loan. Nothing on the application would be verified, write your most creative fiction, it will be accepted.


Here There Be Traitors

Something a little different for this Memorial Day. I’m still honouring and remembering all those who gave everything for their country. How could I not? My family has fought in pretty much every war this country was in and even before there was a country. They started with King Philip’s War, King William’s War, the Battle of Quebec in 1690, The French and Indian Wars and kept going with the Revolutionary War, War of 1812, Civil War, …. Your history classes maybe mentioned the French and Indian War, but never mentioned the 1st three nor mentioned the French and Indian Wars were four wars.

I guarantee the story of the traitors I’m about to get to was never mentioned in your history class. You have to take schoolbook history with not a grain, but several tons of salt. Edison did not invent the light bulb, Marconi didn’t invent radio, …

Traitors live and prosper among us is never going to be taught, They’ve missed the dishonour they so rightly deserve. Let’s rectify that too this Memorial Day. They deserve equal time, don’t you think? It’s only fair (and balanced).

This will be a long one. There are a large number of traitors to vilify, revile and generally abuse for putting profit before country. There is no patriotism when profit calls. It’s only a sampler. I’m trying to keep this an essay, not a book.

Prescott Bush, George’s pappy and Dubbya’s grand-pappy, was money launderer in chief for Adolf and Fiends, using Swiss bank, BIS to to bypass those pesky blocked bank accounts the Nazis couldn’t access. With one little bounce through BIS the money was ‘clean’, and Prescott richer. Prescott and Union Banking Corp. were eventually shut down, stock and money seized, but after the war, he got all his ill gotten gains back. Union Banking Corp wasn’t the only traitorous Bankster. JP Morgan, Chase and others all played the money beats morals game.

IBM was invaluable to the Final Solution by converting census data into an efficient list of people to send to concentration camps and helped keep the trains to Auschwitz running on time. Besides money, CEO Thomas Watson was awarded the Grand Cross of the German Eagle by Hitler for his help.

Texaco, sold petroleum to Franco’s regime during the Spanish Civil War and later Nazi Germany. The US issued an oil embargo. Texaco violated it and was fined. Texaco stopped, were a good little oil corporation, and everyone lived happily ever after. Sorry, that’s a fairy tale. The Texaco board said, “There’s gold in them there wars!” They continued shipping oil to Franco and Adolf. They just made sure they wouldn’t get caught again. Texaco’s profit margin dropped a little bit. They had the extra expense of buying flags and paint to re-flag and re-christen Texaco tankers in mid-Atlantic. Hocus pocus, presto changeo tankers ‘belong’ to some other company and country. Plausible deniability!

You can run a jet on nearly anything that will burn, but piston powered aviation engines need high octane gasoline. That means tetraethyl lead for leaded gas. Unleaded just doesn’t cut it for Blitzkrieging. Standard Oil and GM jointly owned the Ethyl corporation, the world’s sole source of tetraethyl lead. Surely that meant the Nazis were cut off. You don’t know corporations very well, do you? They played the old shuffle your shipments through another country game. In this case ‘selling’ buttloads to the Netherlands. “It’s not our fault if the Germans ship it to Germany.” How many people died because GM and Standard Oil kept Nazi warplanes flying?

GM again with a new dance partner. When the German subsidiaries of Ford and GM were asked by Adolf & Fiends to convert to war production, they clicked their heels smartly and said, “Zum befehl, mein Führer. Sieg heil!” with the blessing of the US parent corporations. But, when asked to retool US factories for war production, GM and Ford balked. I guess Adolf paid better. Ford made millions using slave labour in its plants. Ford was also allied with IG Farben in the Buna chemical plant at Auschwitz. They used slave labour to produce Zyklon-B gas for the ‘showers’. That’s right, the prisoners made the poison gas to kill themselves. That’s Teutonic efficiency. After the war Ford & GM were able to collect all that lovely Nazi profit locked up in blocked bank accounts. On top of that they had the unmitigated gall to sue the US for the damage allied bombers did to their German factories. Yes, the bastards won their suits, earning nice little multi-million dollar bonuses for their treachery.

I guess I should begin wrapping it up and just list the rest of the traitors by name:

  • Alcoa,
  • ITT,
  • General Electric,
  • Dupont,
  • Kodak,
  • Westinghouse,
  • Pratt & Whitney,
  • Douglas Aircraft,
  • United Fruit,
  • Singer,
  • International Harvester,
  • and more all greedily joined in for their share of the Nazi profit bonanza.

Can’t forget Big daddy Fred Koch(sucker) sire of Chuckie and Davie Koch(sucker). He was a minor traitor, but took took money from anybody, Commies, Nazis, anyone. He’d be dealing with Lil Kim and Iran right now if still alive. His whelps very likely are. It’s all about the Benjamins, can’t buy politicians without them.

Now, don’t think corporate  treason began or ended with WW2. Corporate greed is eternal. While Iran was still under sanction, Dick Cheney’s Haliburton, really wanted to sell oilfield and refinery equipment to Iran. Black gold means real gold. “We don’t need no steekin sanctions!” They added the good old subsidiary shuffle to their dance card. Haliburton US has hundreds of wholly owned and controlled foreign subsidiaries. (Of course, they do. Don’t evade taxes without them.) Cheney’s corporation bounced their US inventory through subsidiaries until they got to Haliburton Dubai. Dubai wasn’t one of the countries enforcing sanctions on Iran. How fortuitous! The product bounced from Haliburton Dubai, across the Persian Gulf to Haliburton Iran and bingo money bounced back to Haliburton US. Haliburton US claimed to have no control over their wholly owned and controlled subsidiaries and got off Scot-free.

Remember, there are no morals or patriotism where corporate greed is involved. On this day honour and remember the patriots who gave everything for their country. They deserve it.

But, never forget to hate and revile the corporate traitors, who place profit above patriotism and morals. They are deserving too. Deserving of your revulsion.

Those who forget history are destined to repeat it. You can be sure the treason continues. You don’t think that the above villains and others aren’t doing a booming business with Lil Kim despite the sanctions against North Korea. They are. A little detour though China and it’s sanctions, what sanctions?