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Bill Black On Robbing Banks (From The Inside): "The Weapon Of Choice Is Accounting"

Tyler Durden's picture




 

William Black's no-nonsense simplification of the fraud that we call a financial system is both addictive in its clarity and stunningly concerning in its scale. Having exposed Tim Geithner as perhaps the worst Treasury secretary ever, and that "banks have blood on their hands," the following brief discussion of 'how to rob a bank - from the inside' is crucial to comprehend that nothing has changed and to make matters worse, after 2009's 'reforms', "the weapon of choice remains accounting" as no one knows what it occurring behind the scenes of the banks...

 

 

In the US, our regulators have publicly embraced a "too big to prosecute" doctrine. We are restraining, underfunding and dismantling regulatory oversight in the interests of short-term stability for the status quo. Which as a criminologist, Black knows with certainty creates an environment where bad actors will act in their self-interest with assumed (and likely real, at this point) impunity.

If you can steal with impunity, as soon as you devastate regulation, you devastate the ability to prosecute. And as soon as that happens, in our jargon, in criminology, you make it a criminogenic environment. It just means an environment where the incentives are so perverse that they are going to produce widespread crime. In this context, it is going to be widespread accounting control fraud. And we see how few ethical restraints remain in the most elite banks.

 

You are looking at an underlying economic dynamic where fraud is a sure thing that will make people fabulously wealthy and where you select by your hiring, by your promotion, and by your firing for the ethically worst people at these firms that are committing the frauds. And so you have one of the largest banks in the world, HSBC, being the key ally to the most violent Mexican drug cartel, where they actually did so much business together that the drug cartel designed special boxes to put the cash in that they were laundering that fit exactly into the teller windows so that there would be no delay. This is the efficiency principle of drug laundering.

 

So these banks figuratively have the blood of over a thousand people on their hands. They are willing to fund people that murder and torture and behead folks. And they are willing to do that year after year, despite warnings from the regulators that they are doing this. And the regulators are not willing to actually take serious action until there has been “true devastation.”

 

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Sun, 05/25/2014 - 21:10 | 4794373 prains
prains's picture

It's broken an ain't no fixin it, too many merikans think they be livin in the best system when really all systems lead to this same
place, crime, fraud, greed, militarism.....control

Sun, 05/25/2014 - 21:23 | 4794398 0z
0z's picture

This guy is as cluesless as the fraudsters he mentions.
Ask him; What is a Dollar, Sir?

Sun, 05/25/2014 - 21:59 | 4794483 maskone909
maskone909's picture

I agree. He is begging those who commit fraud to regulate themselves. Good luck
Edit
Ted talks
Brought to you by bill gates

Got it?

Sun, 05/25/2014 - 22:29 | 4794529 SafelyGraze
SafelyGraze's picture

no more ted talks for you, UMKC

and more importantly, no more loans for your students

that oughtta teach you 

Sun, 05/25/2014 - 22:45 | 4794558 markmotive
markmotive's picture

Big Brother is watching you watch this. Good luck.

http://www.planbeconomics.com/2014/05/no-place-to-hide-glenn-greenwald.html

Mon, 05/26/2014 - 08:04 | 4794927 philipat
philipat's picture

"This guy is as cluesless as the fraudsters he mentions (sic)."

With respect, fuck off, you are the clueless one. Bill Black is one of the few good guys out thare who should be a central figure in any government which seriously seeks to reform. I'm not holding my breath but he would make an outstanding AG.

Mon, 05/26/2014 - 08:15 | 4795046 DaddyO
DaddyO's picture

Somewhat related article over on survivalblog.com

http://survivalblog.com/guest-article-kleptocracy-and-capital-controls-b...

DaddyO

Mon, 05/26/2014 - 17:05 | 4796422 sonoftx
sonoftx's picture

Thanks for the link DaddyO. Had been meaning to research this but hadn't taken the time. Informative website as well.

Tue, 05/27/2014 - 06:52 | 4797711 0z
0z's picture

Nobody can understand Anything about banking until they understand what Money is. The only regulator is gravity, all the laws are written and cannot be changed, by Man or by God. We are fucked, forget 'regulators'- I laugh at the mere mention of that word. No Sir, We are Royally Fucked, and the regulators are Fucked even worse. Grow a garden, and remember that a Dollar is about 24 grams of pure silver- about an ounce of sterling.

Mon, 05/26/2014 - 10:24 | 4795288 Debt-Penitent
Debt-Penitent's picture

I'm already on the fucking list.  "Non-reformable". 

Every up-click here is recorded to my designated algorythm to determine my order of "collection".

And that's too bad.

I know how to "win" though.  I will not be the first on the bus of these "non-reformables".

It accumulates.

Mon, 05/26/2014 - 00:13 | 4794660 oooBooo
oooBooo's picture

There was quite a bit to learn from the guy. Not everyone has all the pieces to the puzzle, but if you listen to enough people with at least one piece then you can understand the whole thing.

 

 

 

Sun, 05/25/2014 - 21:40 | 4794420 Canadian Dirtlump
Canadian Dirtlump's picture

Hats off to them. Most yankees figure they are simultaneously exceptional and unquestionably just while most canucks figure we are better off since we apologize for everything. The increasingly mongrelized europeans are more worried about domestic affairs, taking summers off while serving as the able handmaidens of the us ( as do the vestiges of the commonwealth ).

 

 Meanwhile the rest of the world be they self determinate russians or chinese, or unwashed masses who shit in holes every morning while talking on their cell phones realize that the axis of evil looks alot like nato are more concerned with living their lives see the west's efforts as something between ignoble and demonic.

Bad news. This game goes on until things get third world for everyone but the folks who caused this.

Mon, 05/26/2014 - 13:43 | 4795856 DerdyBulls
DerdyBulls's picture

Where's the bow tie?

Sun, 05/25/2014 - 21:11 | 4794375 Reaper
Reaper's picture

Our regulators and DOJ employees are "Principles" under federal law in the crimes by preventing their prosecution. If we would have a new President of principle, his DOJ could prosecute the prior administration and the bureaucrats. As Principles they are subject to the same penalties as the perps. Don't hold your breath. http://www.lectlaw.com/def2/p080.htm

Mon, 05/26/2014 - 09:25 | 4795153 spine001
spine001's picture

The real problem is that under our current system nobody has the resources to get the funding necessary to run, and I'm not talking of the final campaign funding but the 10+ previous years of funding to not only access positions of relevance in government, but successes that propel your image, be ause even to create a fake image ix like creating a brand, there is a long arduous process of image building, book writting, speaches, "informing people of how great you are, what wonderful things you have achieved, bury your ghosts, etc. In these stage I where 90% of the total expenses, occur in an completely unregulated manner. The final push for serious candidates is the least expensive and lowest risk of all the phases you'd have to go through. Just think about what it'd take to educate sheeple that they are and will keep on being fleeced all Their lives unless they start doing something about it. I have participated in one large educational campaign for physicians, super smart guys, and I CAN GUARANTEE TO YOU, even educating these high IQ guys into something new is a VERY expensive proposition. Professional investors will see it as a huge negative if your inventIon requires educating the customers. Sad state of affairs. History doesn't provide answers, since everytime chrony capitalism got systemic, the society never came out of it in one piece. If somebody knows otherwise please help those of us that are depressed by what we see in the future for our children with that example!

Sun, 05/25/2014 - 21:12 | 4794379 I am Jobe
I am Jobe's picture

Amerika is the greatest nation on Earth that is what sheeples say over and over. Must be the inbreeding and Kardashian Shows

Mon, 05/26/2014 - 04:11 | 4794846 intric8
intric8's picture

Meanwhile, jew oligarch and chocolate bunny rabbit for the west Poroshenko has won the ukraine election. Israeli oligarchs now have their hands firmly on the levers of power there. On to russia! Well, hopefully not, if putin can help it.

Sun, 05/25/2014 - 21:14 | 4794385 suteibu
suteibu's picture

Kill all lawyers.

...and bankers.

...and regulators.

Sun, 05/25/2014 - 21:59 | 4794486 Ignatius
Ignatius's picture

At first I thought it was gonna be Lewis Black and was ready for a laugh.

Sun, 05/25/2014 - 21:23 | 4794396 JailBanksters
JailBanksters's picture

Banks, Federal Reserve, Regulators, Ratings agencies, US Government, Legal System all working to together to transfer wealth from the poor to the rich.

Never ever in the history of man, has wealth ever been transfered from the rich to the poor.

Sun, 05/25/2014 - 22:13 | 4794512 OldPhart
OldPhart's picture

"Never ever in the history of man, has wealth ever been transfered from the rich to the poor."

 

Never ever in the history of man, has SO MUCH wealth ever been transfered from the rich to the poor.

 

There, fixed it fer ya.

Mon, 05/26/2014 - 05:06 | 4794877 Confused
Confused's picture

I'm not following. Can you elaborate? My guess is we need to define 'rich' and 'poor' in this context. From the middle down to the poor is certainly a problem. But I'm guessing this is not what he meant, which I'm sure you know.

 

Stories like Robin Hood (which are quite old) don't come into existence because wealth gets moved downward. Same problem as always.

Mon, 05/26/2014 - 21:17 | 4797041 OldPhart
OldPhart's picture

I admit I misread his words.

 

Mon, 05/26/2014 - 01:34 | 4794729 Svendblaaskaeg
Svendblaaskaeg's picture

nuke them all from orbit, its the only way to be sure 

Mon, 05/26/2014 - 09:01 | 4795133 pot_and_kettle
pot_and_kettle's picture

Aaaa-ffirmative.

Sun, 05/25/2014 - 21:27 | 4794406 buzzsaw99
buzzsaw99's picture

we are all complicit in their crimes and guilty in the ruthless exploitation of the rest of the world. until that ends the looting in high places will continue unabated.

Sun, 05/25/2014 - 21:50 | 4794442 kliguy38
kliguy38's picture

Fochin' A...........correctamundo!!

Mon, 05/26/2014 - 07:00 | 4794955 what's that smell
what's that smell's picture

economic shock therapy---austerity, privatization, deregulation---is a recipe for right-wing backlash.

i love the smell of jackboot on my face forever.

Sun, 05/25/2014 - 21:32 | 4794410 Cabreado
Cabreado's picture

Thank you again, Mr. Black.

 

Sun, 05/25/2014 - 21:49 | 4794441 Canadian Dirtlump
Canadian Dirtlump's picture

It ostensibly wont make a difference to society writ large but william black provides an unpolished ( visually ) but pedestrian explanation of what is wrong. He serves to pull the odd slumbering retard into the confines of reality while reinforcing the thoughts and positions of the relative few who have had the scales felled from their eyes.

 

He is a treasure that will never be realised.

Sun, 05/25/2014 - 21:42 | 4794424 MedicalQuack
MedicalQuack's picture

Well if you listen to some quants, they want re-engineer the models the banks use, in other words what's in the proprietary code, there's the magic.

Sun, 05/25/2014 - 21:44 | 4794429 Chupacabra-322
Chupacabra-322's picture

Give someone a gun & they rob a Bank. Give someone a Bank & they rob the world.

Sun, 05/25/2014 - 21:46 | 4794432 grid-b-gone
grid-b-gone's picture

If Bill Black, David Stockman, and other former insiders can't produce any traction from their books and speeches, it tells you just how entrenched the current situation is. Thanks for trying guys, but it seems only another, more catastrophic crash can change the situation. 

Sun, 05/25/2014 - 21:55 | 4794474 NoDebt
NoDebt's picture

Stockman couldn't get traction 30 years ago, he's certainly not doing much better now.  I mean, seriously, who's going to listen to him?  The bankers and oligarchs he's railing against?  They already know and they aren't going to stop.  The man on the street who doesn't even know where money comes from?  Unlikely.  They'd never even know who to stick the pitchfork into.  

That leaves people basically like us.  Tinfoil hat-wearing keyboard jockeys.  Lunatics.  Uttrely discreditable people.  People who are possibly terrorists.  People who are NOT TO BE LISTENED TO AND CERTAINLY NOT TAKEN SERIOUSLY.  

There will be no traction gained.  Everyone who's awake is all that's ever going to be awake.  Yes, it will take another crisis.  One they can't recover from.

Sun, 05/25/2014 - 22:41 | 4794553 kchrisc
kchrisc's picture

That is why it is important to talk to and warn the sheeple whenever and wherever possible.

I stick to:

1) What and where price-inflation comes from. The banksters via "printing" which is theft from you.

2) Criminal violations of the Constitution. "You are not free, 'NDAA' is proof.

3. The behavior of the federalized gun and badge thugs (GBTs). Most are already concerned, but as the GBTs get worse, their behavior will awaken more and more sheeple.

4) I explain what will happen when the dollar finally collapses.

Conspiracies, along with that word, must be avoided at all cost. People just turn off and in most cases one cannot prove a conspiracy. However, one can prove that price-inflation exists and is getting worse, that the GBTs are out of control and that NDAA's "indefinite detention" is real.

Don't look for complete and total acquiescence, but just plant the "info seeds that they need."

 

Note"Now that price inflation has taken off, I have a few people coming back to ask, "What was that you were saying a few years ago?"

Mon, 05/26/2014 - 01:41 | 4794732 Jayda1850
Jayda1850's picture

+1 for the utterly discreditable people comment. I've done alot of shit that would discredit me from holding any advanced voice of the next revolution. The question is, with all the capabilities of NSA, who is left that cant be discredited and smeared out of relevance

Mon, 05/26/2014 - 06:45 | 4794942 Think for yourself
Think for yourself's picture

Grow your own food. It's like printing your own money, and that kind of experience is street cred to the circles that matter.

Mon, 05/26/2014 - 14:41 | 4796067 FredFlintstone
FredFlintstone's picture

More like minting pennies. A warlord or neighborhood gangster will have more street cred than a guy with a garden weasel.

Mon, 05/26/2014 - 10:28 | 4795300 Debt-Penitent
Debt-Penitent's picture

"That leaves people basically like us.  Tinfoil hat-wearing keyboard jockeys.  Lunatics.  Uttrely discreditable people.  People who are possibly terrorists.  People who are NOT TO BE LISTENED TO AND CERTAINLY NOT TAKEN SERIOUSLY."

I love that definition ...of me. 

Sun, 05/25/2014 - 21:49 | 4794440 fxrxexexdxoxmx
fxrxexexdxoxmx's picture

This is a great presentation and everyone whould take the time to watch.

Sun, 05/25/2014 - 21:55 | 4794473 q99x2
q99x2's picture

regulators are not willing to actually take serious action until there has been “true devastation.”

Until the regulators heads are in jeopardy is what he is implying by "true devastation."

It is getting dangerous when the government is beheading its people. Hind: don't vote for Hillary.


Sun, 05/25/2014 - 21:56 | 4794480 Ignatius
Ignatius's picture

In a sense I admire William's belief and optimism that the system can and will be corrected, but he just can't bring himself to say out loud that the whole fucking system has been corrupted.  Not ideology, Bill, they're just fucking liars and criminals.

Sun, 05/25/2014 - 22:38 | 4794549 DavidPierre
DavidPierre's picture
The Sopranos - Tony defrauds HUD fund

http://www.youtube.com/watch?v=GfcgwxPH7Rc

Mon, 05/26/2014 - 02:41 | 4794647 Radical Marijuana
Radical Marijuana's picture

That Sopranos clip was quite the dramatization of the ways that the methods of organized crime are FRACTAL.

I find it somewhat ironic how people love to talk about the beautiful fractals, but not so much about the ugly fractals. Discussing harmony has a harmonious audience of rapt listeners. However, the same principles of vibration apply to noise just as much.

The supreme irony is that civilization is based upon the principles and methods of organized crime, and therefore, civilization does NOT teach people that in its school systems, nor is that presented in the mass media. It is precisely because society operates according to the principles and methods of organized crime that most people are not taught nor shown that!

Although William K. Black is one of my favourite expert authorities on these kinds of topics, he is still just another one of the reactionary revolutionaries. If one is consistent about understanding human civilization as a general energy system, then it becomes clear that its basic patterns are the fractals of organized crime, operating on different levels. Of course, the paradoxes have pole vaulted over the top bar, that the biggest bullies' bullshit world view has also dominated the history of the philosophy of science, as well as political science in particular. Therefore, we tend to keep on approaching understanding political problems BACKWARDS, because we keep on using the biggest bullies' bullshit world view, which is based on false fundamental dichotomies, and their related impossible ideals, which actually make the opposite happen in the real world.

OF COURSE, GOVERNMENTS ARE THE BIGGEST FORM OF ORGANIZED CRIME, CONTROLLED BY THE BEST ORGANIZED GANGS OF CRIMINALS, AND THAT PATTERN PERPETUATES ITSELF THROUGH FRACTAL STRUCTURES IN DIFFERENT LAYERS OF SOCIETY.

As long as we keep on thinking in terms of false fundamental dichotomies, and their related impossible ideals, we will not be able to understand how and why control frauds have become almost completely dominant, and therefore, we will never have better resolutions of chronic political problems. The greatest of current control frauds is now the foundation of our entire political economy, which is the legalized counterfeiting of the public "money" supply by private banks, which make "money" out of nothing as debts, while that fraud is enforced by governments, which force themselves, as well as everyone else, to operate inside of that fundamentally fraudulent financial accounting system. Black is right that "the best way to rob a bank is to own one." However, so far, I have never read nor seen him say anything directly about the basic social fact that the whole system was built on triumphant control fraud.

In general, the vast majority of people refuse to face that fact, while the few that do then propose "solutions" which continue to deliberately ignore the deeper reasons for how and why that problem developed. The typical silly, superficial ideas are either to deny that governments are the biggest form of organized crime, controlled by the best organized gang of criminals, and/or to propose bogus "solutions" which are based on that no longer being the case, either because there is realized the ideal of no more government, or the ideal of honest government.

My view is that we should understand that the methods of organized crime are self-organizing fractal manifestations, because human realities are always necessarily systems of organized lies operating robberies. That given, then the only genuine solutions are to work towards better dynamic equilibria between those systems. As long as the bogus "solutions" keep on proposing the realization of impossible ideals, perceived due to believing in false fundamental dichotomies, then the world will continue to become more unbalanced, instead of rebalanced.

I repeat my slogans: money is measurement backed by murder. The debt controls depend upon the death controls. The political economy is inside of the human ecology. Our financial system is based on the enforced fraud of making "money" out of nothing, which "money" can also disappear back to nothing.  The superficial "understanding" of that "money" system contradicts the most basic laws of nature. A better understanding of the monetary system requires it fit inside of an appreciation of the fractal manifestations of the methods of organized crime.

"Monetary reforms" based on somehow returning to "honest and sound money" are non-starters, both in the short-term, as well as in the longer term, unless one were to also then have surmounted the paradoxes of how to have "honest and sound" murder systems. Instead, there will eventually be mad self-destruction of the established systems, as their final failure from too much successful fraud, being enforced until the entire civilization is driven through a series of psychotic breakdowns, due to have been controlled by Huge LIES, too much, for too long ... In that way, there will eventually manifest "monetary revolution."

Monetary revolution returns to appreciating what was always the case, namely, that money was measurement backed by murder. Not only is that correct within the shorter term concerns of the political economy, it is even more correct in the longer term concerns of the human ecology.

We should go through a series of intellectual scientific revolutions, which will enable us to better understand how and why control frauds came to almost totally dominate our current civilization. Nothing less is sufficient, and certainly fantasies that somehow the methods of organized crime could stop being the fractal ways civilization operates will continue to fail to work, because those fantasies regarding false fundamental dichotomies and related impossible ideals are "solutions" based on deliberately ignoring rational evidence and logical arguments ... which strategy is now way too perversely successful, because, in fact, society does operate according to the methods of organized crime, which was how and why governments are the biggest form of organized crime, controlled by the best organized gangs of criminals, which currently happen to be the banksters. The social success of the banksters' enforced frauds is taught in schools and presented by the mass media to be completely BACKWARDS to the way things actually are!

Welcome to the Bizarro Mirror World Folks! The lower levels of organized crime are flourishing, because the highest levels of society are organized crime too, but those highest levels of organized crime, the supreme enforced frauds, are presented as "good government" and "prudent banks." By and large "criminologists" are NOT thoroughly scientific about "crime." As a group, they tend to stay stuck in the same false fundamental dichotomies, and related impossible ideals, that was the basic bullshit world view which the biggest bullies have been promoting. Black operates like that: excellent analysis on the levels that he analyses, but deliberate ignorance towards other levels, and therefore, his good analysis tends to collapse back to practically impossible "solutions," like other various reactionary revolutionaries do. After all, the last thing that Black stated in that video was the most important point: "Legislators that are dependent upon political contributions will NOT do it ..."

For more than a Century, the international bankers have been in positive feedback loops of dominating the political processes, in order to get their frauds legalized, which then enabled them to reinvest some of the profits from those frauds in more legalized lies, backed by more legalized violence, as the government enforced the banksters' frauds, both at home and abroad. For more than a Century, those methods were able generate enough surplus wealth to buy up control over the school systems and mass media. For generation after generation, people were rewarded for agreeing with lies, while they were punished for not agreeing with lies, and the successful politicians that were the banksters' puppets exemplified that pattern the most.

ALWAYS FOLLOW THE MONEY TO ITS SOURCE TO UNDERSTAND POLITICAL PROBLEMS. HOWEVER, THE MORE THAT ONE LEARNS ABOUT THAT, THE WORSE IT GETS. THERE ARE NO FEASIBLE WAYS TO HAVE SUFFICIENT "MONETARY REFORMS," SINCE "LEGISLATORS THAT ARE DEPENDENT UPON POLITICAL CONTRIBUTIONS WILL NOT DO IT!"

WE ARE ALREADY STUCK IN THAT DOUBLE-BIND, CATCH 22, PARADOX! WE ARE ALREADY COMMITTED TO DEBT INSANITIES GOING THROUGH PSYCHOTIC BREAKDOWNS, WHICH MIGHT EVENTUALLY ENABLE SOME "MONETARY REVOLUTIONS" ??? HOWEVER, ANY SUCH "MONETARY REVOLUTION" SHOULD BE BASED UPON INTELLECTUAL SCIENTIFIC REVOLUTIONS, WHICH PARTLY MEANS SEEING HOW THE METHODS OF ORGANIZED CRIME ARE FRACTAL PATTERNS FOUND AT EVERY LEVEL OF SOCIETY, AND THEREFORE, WE SHOULD STOP RELYING UPON FALSE FUNDAMENTAL DICHOTOMIES, AND THE RELATED IMPOSSIBLE IDEALS.

Mon, 05/26/2014 - 02:43 | 4794782 DavidPierre
DavidPierre's picture
The Gangster Nature of the State
The JFK Assassination and the Gangster Nature of the State by Michael Parenti.

When Oliver Stones movie JFK opened in December 1991 a huge PR campaign was mobilized against the film. Even progressives spoke out.

Noam Chomsky wrote in support of the Warren Commission's findings in contrast Michael Parenti gave one of his highly acclaimed talks criticizing the lone assassin theory.

The bitter questions that haunted defenders and critics alike was whether government agencies of a democratic country would do such a thing as assassinate an elected President.

http://www.youtube.com/watch?v=FkSJBffuxBM

 

Mon, 05/26/2014 - 02:59 | 4794794 Radical Marijuana
Radical Marijuana's picture

Michael Parenti is one of my favourite historians.

I liked his appearance in this long documentary:

http://topdocumentaryfilms.com/power-principle/

The Power Principle

Part 1: Empire

The segment that impressed me the most starts about 1:24, where Parenti says that "fascism" was another tool used by the plutocracy:

Much of politics is the rational use of irrational symbols.

Mon, 05/26/2014 - 07:31 | 4794986 BeetleBailey
BeetleBailey's picture

+1,000 Iggy....well said

Sun, 05/25/2014 - 22:20 | 4794519 kchrisc
kchrisc's picture

"They may be 'too big to prosecute,' but they will fit in my guillotine just fine."

Sun, 05/25/2014 - 23:06 | 4794588 epobirs
epobirs's picture

Ban derivatives. There is no good reason to keep allowing them after they've been a primary tool for so many debacles.

Mon, 05/26/2014 - 00:51 | 4794694 TheReplacement
TheReplacement's picture

So what I hear is that to fight the drug cartels you have to get the bankers and the loot.  Let the cartels kill each other over smaller and smaller pieces of the pie.

Mon, 05/26/2014 - 00:55 | 4794696 AdvancingTime
AdvancingTime's picture

The more and more I study derivatives it now appears the main goal of QE may have been to hold up the underlying value of assets that feed into and support the massive derivative market more than help the economy. QE has up to now stopped an implosion of derivatives and the resulting contagion and shock that would have spread throughout the financial system.

According to the Office of the Comptroller of the Currency’s fourth quarter report for 2011, about 95% of the $230 trillion in US derivative exposure is held by four US financial institutions: JP Morgan Chase Bank, Bank of America, Citibank, and Goldman Sachs. The staggering size of this market is beyond science fiction or anything that can be comprehended. More on this subject in the article below.

http://brucewilds.blogspot.com/2014/03/derivatives-house-of-cards.html

Mon, 05/26/2014 - 01:02 | 4794703 dermus
dermus's picture

His solution is government. He should have to detate Peter Schiff.

Mon, 05/26/2014 - 01:21 | 4794724 fishwharf
fishwharf's picture

Quite a pickle we've gotten into.  It's hopeless.  I'm fixing up my boat and going sailing.  The last free place on earth is the ocean.  

Mon, 05/26/2014 - 11:01 | 4795378 joego1
joego1's picture

I've had that thought too, but then I thought about when the global SHTF you may not be so safe on the high seas. Countries that are currently friendly could begin confiscating boats etc. seeing the U.S. and it's citizens as a pariah. I'm sure there would be an increase in pirates as well. For example I see Mexico as tolerating rich foreigners as long as their money is good but when that changes so does the attitude.

 

Mon, 05/26/2014 - 02:02 | 4794751 putaipan
putaipan's picture

you go bill. me? i've had my roku on you tube search for dr.michael hudson playing all day .... and i mean ALL day.

Mon, 05/26/2014 - 02:11 | 4794762 Vendetta
Vendetta's picture

watching the constant on-going financial crime scene has gotten pretty old.  What's non-corruption look like?

Mon, 05/26/2014 - 02:28 | 4794770 Atomizer
Atomizer's picture

Subtle way to jump start the NAU scheme that failed years ago.

 

Fuck you Toronto

http://www.namun.org/team/

 

Mon, 05/26/2014 - 02:38 | 4794774 Mediocritas
Mediocritas's picture

This was a great talk, particularly after the 10 minute mark.

I'm in complete agreement with Black that the deregulation process (effectively a criminalization process) is driven largely by dogma (with a serving of greed), not by logic or evidence. What the deregulators (aka "free-market fundamentalists") are doing is exactly equivalent to shutting down a person's immune system, claiming that it is too restrictive, and then expecting the system to function "efficiently".

In actual fact what demonstrably happens is that the parasites, viruses, bacteria and cancerous cells prosper, leading to the rapid death of the host. Mother nature has been trying system designs out for several billion years here on planet earth, so natural systems show clearly what does and does not work. Defenseless systems do not work.

Bring back the T cells, or as LawsofPhysics would say: "roll the mother fucking guillotines already". Though I suspect that many here would be of the opinion that the patient is already too far gone.

Mon, 05/26/2014 - 07:36 | 4794992 Racer
Racer's picture

When you have a system where bribery is legal and is on a grand scale to pervert the course of justice, then the criminals are totally in charge. The only way to change that is by revolution. You will not win by using the legal system because it is completely corrupted.

Mon, 05/26/2014 - 08:03 | 4795021 Burticus
Burticus's picture

Bill Black, “If you can steal with impunity, as soon as you devastate regulation, you devastate the ability to prosecute. And as soon as that happens, in our jargon, in criminology, you make it a criminogenic environment. It just means an environment where the incentives are so perverse that they are going to produce widespread crime.”

As described by Frederic Bastiat, “The law has been used to destroy its own objective: It has been applied to annihilating the justice that it was supposed to maintain; to limiting and destroying rights which its real purpose was to respect. The law has placed the collective force at the disposal of the unscrupulous who wish, without risk, to exploit the person, liberty and property of others. It has converted plunder into a right, in order to protect plunder. And it has converted lawful defense into a crime, in order to punish lawful defense.”

And Ayn Rand, “When you see that trading is done, not by consent, but by compulsion - when you see that in order to produce, you need to obtain permission from men who produce nothing - when you see that money is flowing to those who deal, not in goods, but in favors - when you see that men get richer by graft and by pull than by work, and your laws don't protect you against them, but protect them against you - when you see corruption being rewarded and honesty becoming self-sacrifice - you may know that your society is doomed."

Mon, 05/26/2014 - 09:18 | 4795152 disabledvet
disabledvet's picture

The entire Washington DC establishment voted for bailouts...not Tim Geithner. This die was cast long before he became TS.

He is now safely ensconced in New York City where I think everyone there is wondering "how come are guns aren't firing right today?" (As was famously said at the Battle of Jutland. Bwhahahaha. "The Titanic." Jutland was an entire fleet going to the bottom of the Ocean!")

I do not envy "Who's Next" here...anyone who has ever served in any war period is standing aghast as we plunge into the abyss with out even the concept of a "Plan B." And believe the Banks are the least of your worries when it comes to blood on the hands.

We're gonna see a lot of letters going out soon...and I don't think the command and staff folks will care two cents about sending them quite frankly. "These are your civilian leaders."

I recommend Norman Schwarzkopf next time.

Mon, 05/26/2014 - 09:31 | 4795174 DerdyBulls
DerdyBulls's picture

Very smart guy. But, did I hear the core solution argued is regulation, and therefore more bureaucracy? I also heard bureaus are incompetent. Which is it? Perhaps I missed something. I would, however, go for one more law that says the FED cannot buy or sell additional assets and is not allowed to change bank reserve requirements, if we could actually get this enforced. For now I won't labor under the misguided fantasy of complete abolition though desirable. The answer is FAILURE, period. Gigantic, massive, failure. We're so sensitive about failure. Why? Failure is so good for society and its people. I've heard it said "pain is a good teacher." You want to reduce the size of TBTF, let it fail. So go FAIL yourself and have a good day. 

Mon, 05/26/2014 - 12:23 | 4795603 Clowns on Acid
Clowns on Acid's picture

Inflated appraisals, banks blacklisting, S&L crisis, Keating 5, Reagan Admin.... the amount of convictions he arranged after S&L crisis. None nopw under Obama admin.... but he only slaps Geithner... typical left wing sociopath. Just can't be objective.

But Black dents his credibility by only talking about lil fuck wit and future convict, Tim Geithner. 2008 "crisis" 20 times greater but Black doesn't mention Clinton and CRA Act, doesn't mention Barney"he made me bite the pillow" Frank protection of Fannie and Freddie, doesn;t talk about Sandy Weill and Robert Rubin, doesn't talk about entire DEM party protecting Fanie and Freddie and calling anhyone who protested,  "RAYCIST"....those dog whistling muthsfeckers.

So Black goes into micro explanantion of liars loans, appraisal fraud, ABS, MBS, mark to unicorn,  etc... but those are symtoms not the disease of the socialist, facsist system supported by the DEM party and their cheering calls of RASCISM if anyone protests. That is the disease... and don't give me that RED / BLUE team bullshit.... both are "culpabale"....    low browe , convenient bullshit. It starts with the DEM party... weak, corrupt REPS get bulldozed into going along.... but the philososphy is a DEM sponsired one.... and one has to be a twisted fuck to disagree.

 

Mon, 05/26/2014 - 12:49 | 4795665 Soul Glow
Soul Glow's picture

Bill Black for Treasury Sec!

Mon, 05/26/2014 - 18:37 | 4796617 highwaytoserfdom
highwaytoserfdom's picture

This does not jibe to much  with my memory of  Stedman's gang of regulators.  I clearly remember  guarantees to banks (bank New England to Fleet now Boa ) for 600m of loans  for a couple of years while sending junk back to taxpayers.  Banker and tradesman  moved  such large sectors over to Real estate and fiance   mall investment.   So we just paper health sector and student loan criminals  continuing bad investments..   This is typical of the S&L crony guys that made the TBTF    TB ....     

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