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The Truth About Egan-Jones

Tyler Durden's picture




 

... but not from us: after all we are known for being biased, which in the mainstream media parlance means calling it like it is. No - instead we leave it to none other than Bloomberg's Jonathan Weil who does as good a job of being "biased" as we ever could: "Egan-Jones, which has been in business since 1992, could have continued operating as an independent publisher of ratings and analysis, not subject to government oversight or control. Instead it chose to play within the Big Three’s system, exposing itself to regulation and the whims of the SEC in exchange for the government’s imprimatur. Now it’s paying the price." And not only that: as the most recent example of Spain just shows, where Egan Jones downgraded Spain 9 days ago and was ignored, but well ahead of everyone else, only to be piggybacked by S&P, and the whole world flipping out, it has become clear: calling out reality, and the fools that populate it, is becoming not only a dangerous game, but increasingly more illegal. Then again - this is not the first time we have seen just this happen in broad daylight, with nobody daring to say anything about it. In fact, this phenomenon tends to be a rather traditional side-effect of every declining superpower. Such as the case is right now...

From BBG's Jon Weil:

The first time I wrote about Sean Egan and his small, independent credit-research firm, Egan-Jones Ratings Co., was in December 2007 for a column about the bond insurer MBIA Inc. (MBI) And man, did he nail it.

 

The three big credit raters -- Moody’s Investors Service, Standard & Poor’s, and Fitch Ratings -- all had AAA ratings on MBIA’s insurance unit, their highest grade. Egan said it deserved much lower. Anyone reading MBIA’s financial reports could see the company was losing money and needed billions of dollars of fresh capital.

 

By mid-2008, the Big Three had cut their ratings. Once again, Egan, a lonely voice of reason who saw the financial crisis coming, had shown his larger competitors to be incompetent or compromised. It was one of many great calls to come for Egan-Jones. As for MBIA, which had no revenue last quarter, it’s still struggling.

 

So if you had told me back then that the Securities and Exchange Commission’s enforcement division more than four years later would be accusing Egan, and his firm, of securities-law violations -- but not any of the big rating companies -- there’s no way I would have believed you. That’s what happened this week, though.

 

Join The Club

 

In 2010, the SEC issued an investigative report that said a Moody’s rating committee in 2007 knowingly decided to keep inflated ratings on about $1 billion of complex notes after discovering an error in one of the firm’s models. Later in 2007, Moody’s applied to the SEC for national recognition, under the same 2006 federal law on credit raters that Egan-Jones saw as its chance to join the same club as the Big Three.

 

The rating process used by Moody’s in that instance violated the policies described in the company’s application, the SEC said. However, the report said the agency decided not to accuse Moody’s of violating any laws, because some of the conduct occurred outside the U.S., presenting jurisdictional hurdles. Lucky break, I guess.

 

Egan-Jones isn’t the only credit rater where the SEC has identified problems related to employees’ investments. In a report last September, the SEC’s staff said it found that “each of the three larger NRSROs and four of the smaller NRSROs appeared to have some weaknesses with respect to their employee securities ownership policies and procedures.” (In September 2010, the SEC reached a settlement with another small credit- ratings company, Lace Financial Corp., over allegations of misstatements in its application for SEC recognition.)

 

The way Congress and the SEC have rigged this game, nationally recognized credit raters are a unique species of opinion merchants, endowed with sweeping authority and special privileges. Institutional money managers often are required by law to abide by their judgments. The better approach would be to scrap the designation, so investors are encouraged to do their own homework, rather than use credit ratings mindlessly.

 

Egan-Jones, which has been in business since 1992, could have continued operating as an independent publisher of ratings and analysis, not subject to government oversight or control. Instead it chose to play within the Big Three’s system, exposing itself to regulation and the whims of the SEC in exchange for the government’s imprimatur. Now it’s paying the price.

Continue reading here.

 

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Fri, 04/27/2012 - 11:15 | 2380243 tu-ne-cede-malis
tu-ne-cede-malis's picture

The enemy of my enemy is my friend.  Keep it up, Egan and crew.

Fri, 04/27/2012 - 11:25 | 2380279 SHEEPFUKKER
SHEEPFUKKER's picture

The path to truth is a long and winding road. 

Fri, 04/27/2012 - 11:32 | 2380299 nope-1004
nope-1004's picture

Declining superpower for sure.  Forcing the world to buy oil in USD, then using those proceeds to build a military complex to turn around and invade you is not really what I would call a "super power".  Master Manipulator, maybe, Super power - no.

 

 

Fri, 04/27/2012 - 11:56 | 2380378 The Big Ching-aso
The Big Ching-aso's picture

 

 

"How many fingers, Winston?"

Fri, 04/27/2012 - 11:58 | 2380384 fightthepower
fightthepower's picture

Zerohedge is going to be raided and shut down by the government soon. 

Fri, 04/27/2012 - 11:59 | 2380389 Dr. Engali
Dr. Engali's picture

Shit I'll giveyou one better than that. How about a declining super power engaging with an ex super power to invade your ouwn country:

 

http://www.infowars.com/russian-troops-to-target-terrorists-in-america-as-part-of-drill/

Fri, 04/27/2012 - 12:22 | 2380454 imaginalis
imaginalis's picture

Super Punks

Fri, 04/27/2012 - 11:59 | 2380388 hawks5999
hawks5999's picture

What is truth?

-Pilate

Fri, 04/27/2012 - 12:02 | 2380404 Benjamin Glutton
Benjamin Glutton's picture

The greed of a few outweigh the crimes against humanity.

Fri, 04/27/2012 - 11:35 | 2380306 HarryM
HarryM's picture

Classic Obama move - where is the Media outrage?

Fri, 04/27/2012 - 11:43 | 2380326 BlueCollaredOne
BlueCollaredOne's picture

Banks own the media, as well as the office of president. The media is for reinforcing status quo, as well as making us afraid of brown people. The president is there so we can have someone to point a finger at and blame, which your post presents a fine example of

Wake the fuck up.

Fri, 04/27/2012 - 12:00 | 2380397 Waffen
Waffen's picture

Who own the banks that own the media?

Fri, 04/27/2012 - 12:23 | 2380457 imaginalis
imaginalis's picture

The shadowy figures who own the intelligence agencies

Fri, 04/27/2012 - 14:55 | 2380832 boogerbently
boogerbently's picture

Egan-Jones for president!

Fri, 04/27/2012 - 12:51 | 2380462 prains
prains's picture

the balm on my palm is the lube for my tube. _ E-J

Fri, 04/27/2012 - 13:46 | 2380642 Mentaliusanything
Mentaliusanything's picture

shit I had better stop reading Zero hedge. Telling truth might become a hazard. Ah fuck it Ive been around a long time First as a lurker then as a member. You know what has me thinking .... who gave me the pill. 

I can't for the love of me understand how I got into this cognitive disonance.

 

Guess Im just Lucky

Fri, 04/27/2012 - 14:57 | 2380841 gmrpeabody
gmrpeabody's picture

"Guess Im just Lucky"

Is that you on the left..., or the right?

Fri, 04/27/2012 - 20:06 | 2381444 Not Too Important
Not Too Important's picture

Do not diss the Congnitive Disonance. All hail CD!

Fight Club rules:

http://www.youtube.com/watch?v=fbMa4MGFCOg

Fri, 04/27/2012 - 11:15 | 2380246 taniquetil
taniquetil's picture

Of course the SEC's just going to go after the small guy. If they went after the Big Three it would cut into their porn-watching time.

Fri, 04/27/2012 - 11:25 | 2380280 buzzsaw99
buzzsaw99's picture

The big 3 and the sec are all on the squid's payroll.

Fri, 04/27/2012 - 11:18 | 2380251 watmann
watmann's picture

The Consitution gave the right to print a currency to the Government so as to create a medium of exchnage. The Government was to be the only issuer of a common currency until the rating agencies came along and now they two essentially print a currecny by rating "paper." After all how is a rated piece of paper any differenct than a Federal reseerve Note, better know as fiat money, any different than a rated piece of paper by the agencies?

Fri, 04/27/2012 - 11:37 | 2380312 WAMO556
WAMO556's picture

BULLSHIT! No where does it say in the Consitution "print" the word "coin" is in there. When you get a chance read the document as it is the Law of the Land. Here is what you meant:

To Coin Money, regulate the Value thereof, and of foreign Coin, and fix the Standard of ...

Fri, 04/27/2012 - 11:42 | 2380323 pods
pods's picture

Article I section 8 gave the Congress the power to coin money, not print currency.  

A rated piece of paper is valued in the FRN, that is why it is different. If a house was valued in x number of MBS's,etc I would agree with you.

Notwithstanding that the FRN itself is unconstitutional, as Congress was not given the power to delegate any of it's enumerated powers.

pods

Fri, 04/27/2012 - 11:18 | 2380252 Jason T
Jason T's picture

Egan, Martin Armstrong, Tesla .. all the Howrad Roarks of the world.  

Fri, 04/27/2012 - 11:25 | 2380278 slaughterer
slaughterer's picture

You forgot to put Tyler in the Howard Roark club.  

Fri, 04/27/2012 - 11:36 | 2380308 Jason T
Jason T's picture

and Tylor..  Ron Paul, Henry Ford .. certainly a club I"d be proud to be a part of.

Fri, 04/27/2012 - 15:01 | 2380852 gmrpeabody
gmrpeabody's picture

These clubs will expect for you to brush up on your spelling. ;-)

Fri, 04/27/2012 - 11:20 | 2380256 Zola
Zola's picture

My favorite quote from yesterday was: 

"“Democracy is a pathetic belief in the collective wisdom of individual ignorance. No one in this world has ever lost money by underestimating the intelligence of the great masses of the plain people. Nor has anyone ever lost public office thereby.” H. L .Mencken

Fri, 04/27/2012 - 11:21 | 2380258 Lost Wages
Lost Wages's picture

The SEC has been very active fighting fraud on my wife's favorite soap opera. Victor Newman stands to lose the millions of dollars he made when he sold an all-natural cosmetics company to a member of the Australian mafia.

Fri, 04/27/2012 - 11:22 | 2380265 Village Smithy
Village Smithy's picture

Maybe we should start a legal defense fund for Egan-Jones. Either that or distract the SEC from the case by sending them lots of free porn site links.

Fri, 04/27/2012 - 11:25 | 2380281 earnyermoney
earnyermoney's picture

Anyone contributing to the fund can expect an audit from the IRS. Obama's using government machinery to screw his enemies.

Fri, 04/27/2012 - 11:29 | 2380291 Village Smithy
Village Smithy's picture

The truth is that just opening this website may be a risk.

Fri, 04/27/2012 - 11:34 | 2380305 cougar_w
cougar_w's picture

Only if you include your tax ID in every comment you leave.

But yeah, if you do that then you are totally screwed.

Fri, 04/27/2012 - 11:52 | 2380358 Dark Space
Dark Space's picture

Just responding to your comment prompted this website activated 6 (SIX) trackers to fire off ranging from Google Analytics to something called Halogen.  If you're using Firefox, try installing the Collusion add-on to see the collusion in action while you go to Zerohedge.com (or any other website)... then install AdBlock and Ghostery to shut the collusion (little "c") down.

Sat, 04/28/2012 - 06:04 | 2381911 awakening
awakening's picture

Awesome addon, I'm currently using NoScript, AdBlock Plus and RequestPolicy and it seems my tweaking of these has given me positive results so far =)

Fri, 04/27/2012 - 11:32 | 2380296 WAMO556
WAMO556's picture

MOLON LABE!!!!

Fri, 04/27/2012 - 11:35 | 2380307 FlyoverCountryS...
FlyoverCountrySchmuck's picture

"The New Normal".

Our grandpaernts called it "Fascism".

Fri, 04/27/2012 - 11:22 | 2380268 aerial view
aerial view's picture

Note to self: please delete the words truth and transparency from all texts as they no longer have any meaning.  

Fri, 04/27/2012 - 11:22 | 2380269 carbonmutant
carbonmutant's picture

WH directed investigations...

Fri, 04/27/2012 - 11:23 | 2380273 earnyermoney
earnyermoney's picture

A supporting story comes from Kim Stassel's opinion piece in the today's WSJ.

http://online.wsj.com/article/SB1000142405270230472330457736828060452491...

 

Egan Jones is a politically motivated hit straight from Obama. He's the Jackass' version of Tricky Dick Nixon.

Fri, 04/27/2012 - 11:23 | 2380274 chipshot
chipshot's picture

11 TH PUKES..

Fri, 04/27/2012 - 11:25 | 2380277 Clayton Bigsby
Clayton Bigsby's picture

Dear SEC - special on tranny porn rite now!!!

Fri, 04/27/2012 - 11:28 | 2380287 EscapeKey
EscapeKey's picture

Moody's would like to remind you that Lehman MBS products remain an attractive AAA-rated investment option for the individual sophisticated investor.

This message was approved by the SEC.

Fri, 04/27/2012 - 11:28 | 2380288 JustObserving
JustObserving's picture

The motto of the SEC - "Either you are with us, or you are with the terrorists." No one told Egan.

Fri, 04/27/2012 - 11:30 | 2380292 alfred b.
alfred b.'s picture

 

   To think that it took only about 3 decades to go from America the rich and free to Crimerica the corrupt and bankrupt!

   Buy physical gold and silver...and how about that new Shanghai Silver Futures Exch. that just came on-line???

 

 

Fri, 04/27/2012 - 11:31 | 2380294 cougar_w
cougar_w's picture

Geitner will have the heads of all the rating agencies in his office this weekend.

He'll show them what's left of Sean Egan.

Then he'll make them an offer they cannot refuse.

What the ... stop laughing. It's not funny.

Fri, 04/27/2012 - 11:41 | 2380322 JustObserving
JustObserving's picture

You forgot the embalmed corpse of Deven Sharma

Fri, 04/27/2012 - 13:22 | 2380595 riphowardkatz
riphowardkatz's picture

Al Armendariz, a regional administrator of the EPA, described his “philosophy of enforcement” as follows:

It was kind of like how the Romans used to conquer little villages in the Mediterranean. They’d go into a little Turkish town somewhere, they’d find the first five guys they saw, and they would crucify them. And then you know that town was really easy to manage for the next few years.

Fri, 04/27/2012 - 11:38 | 2380313 Pasadena Phil
Pasadena Phil's picture

I was hoping you would post on this. Very troubling.

Fri, 04/27/2012 - 11:38 | 2380315 chinaboy
chinaboy's picture

It is sad to see that the SEC eradicate a truth teller based on technicality. It is perhaps why they do it highlights how bad the situation really is. 

Fri, 04/27/2012 - 11:45 | 2380332 cougar_w
cougar_w's picture

It's the Captain on the Titanic, throwing the first mate overboard, because the first mate pointed out that they cannot launch the lifeboats.

Notice that in the end it didn't matter. Not even a little bit. They all died. But it was still really shitty.

 

Oh and I made that up. I don't know the Captian of the Titanic did anything of the kind. But if he had, it would have been just like the SEC.

Fri, 04/27/2012 - 12:59 | 2380531 Miss Expectations
Miss Expectations's picture

This 5 part video makes a convincing argument that the ship that sank was actually the Olympic, not the Titanic.  They were switched for insurance reasons.

Here's part 1:

http://www.youtube.com/watch?v=II-JVcaW0O0

Fri, 04/27/2012 - 11:42 | 2380324 chipshot
chipshot's picture

"incompetent or compromised".....truer words could not have be written.

Fri, 04/27/2012 - 12:21 | 2380447 Benjamin Glutton
Benjamin Glutton's picture

<-------compromised SEC

<-------incompetent SEC

 

 

Fri, 04/27/2012 - 14:36 | 2380751 Ljoot
Ljoot's picture

Compromised by incompetence.

 

Fri, 04/27/2012 - 18:33 | 2381321 Not Too Important
Not Too Important's picture

Compromised by incontinence, caused by too much ejaculation over midget porn.

How many folks in Congressional hearings - on both sides - are wearing Depends at this point?

Fri, 04/27/2012 - 11:53 | 2380338 Dr. Engali
Dr. Engali's picture

 

Egan-Jones, which has been in business since 1992, could have continued operating as an independent publisher of ratings and analysis, not subject to government oversight or control. Instead it chose to play within the Big Three’s system, exposing itself to regulation and the whims of the SEC in exchange for the government’s imprimatur. Now it’s paying the price.

 

You dance with the devil unfortunately you pay a price especially when you try to do what's right.

Fri, 04/27/2012 - 12:01 | 2380401 JR
JR's picture

Quick, get the police... the suspects are running at large!  Oh, wait, the police ARE the suspects: the regulators, in this case, are the suspects.

Again, thanks ZH, for attending to the corruption in the System.

Yes, the tyranny we see which is taking our beloved country away from us appears to be in the open for all to see. But there’s no mistake, without the freedom of the Internet, even this public example would not be present. There would have been no story.

But the freedom still exists and because of Zero Hedge and other sources like it, the chance for Americans to awaken and take the levers of power away from the tyrants is growing. Because of this story, the exposure of the injustice against Egan-Jones is nothing less than a blow for freedom.

Fri, 04/27/2012 - 13:10 | 2380564 Not Too Important
Not Too Important's picture

OTOH, the publicity from this is priceless! Every investor that reads ZH, worldwide (and other, obviously lesser known financial news outlets), now knows prominently who Egan-Jones is. I'll bet subscriptions are up exponentially since this hit the wires. If I respected my clients, and wanted honest information to make honest decisions about my client's money, I would advertise publicly that I used Egan-Jones. It would be right on the front page, in LARGE, BOLD letters.

The cost of the legal fight is cheaper than advertising worldwide, and is just as deductable. There is no finer press these days than being attacked by the SEC for telling the truth. Not only does it not deflect attention away from their inaction on the massive Wall St. fraud, it highlights their inaction in a massively visible way.

A few T's that didn't get crossed, and a few i's that didn't get dotted, versus the hundreds of trillions of taxpayer dollars sucked out of the system by the .0004% illegally that never get investigated?

Zimmerman in Florida is getting hundreds of thousands of dollars in donations for his legal fight (I'm not picking a side, jus' sayin'). Where can I donate $10 to Egan-Jones? This is better than cage match fighting!

Fri, 04/27/2012 - 13:39 | 2380626 JR
JR's picture

A pebble thrown into the stream creates the waves in all directions. And we are all affected advantageously when honest people take a stand.

Thanks for a profound analysis.

Fri, 04/27/2012 - 12:01 | 2380403 sbenard
sbenard's picture

This is another case of government bullying and intimidation! We've come to expect that from Emperor Obama!

Fri, 04/27/2012 - 12:46 | 2380498 cougar_w
cougar_w's picture

Many here are making the same mistake, that one person at the top is the problem, and everything is actually fine.

Oh how I wish it were so.

Here is what I think: Things are so bad, so horrifically burned up, that the entire government top to bottom is running around hiding the truth. They can't find enough rugs fast enough to sweep all the bad news under them. They seem to think that if the people ever discover what is really happening they will either riot for a month, or commit mass suicide.

And for all I know, they are absolutely correct. That's how it might turn out.

But if that's so, then they should let it. Regardless they should get out of the way. The reason they are not getting out of the way is because they like their jobs, and their power. They are not doing any of this to save America, except for their own enjoyment.

I would rather see it burn. But that's just me.

Fri, 04/27/2012 - 12:05 | 2380411 ThisIsBob
ThisIsBob's picture

How in the bloody effin world employees of rating firms allowed to own anything is way beyond me.

Fri, 04/27/2012 - 12:05 | 2380413 Shizzmoney
Shizzmoney's picture

Obama said during campaign he would curb Fed Marijuana raids, esp in states that had PUBLIC REFERENDUMS on weed laws.......the raids have INCREASED.

Obama visited and recieved a ton of money from the online poker industry and it's lobbying arm, the PPA, during the 2008 Denver DNC Convention.  He partied with Daniel Negreanu, Ivey, and made assurances that the game of poker would be protected, regulated, and the industry would be better for it.  3 years later, his DOJ shut down the sites.

Obama during his campaign said he would curb Wall St greed through strict regulation.  He said he would put pressure on ratings agencies to not cow-tow to banks who pays for their underwriting, and make the process more transparent and independent.  3 years later, his SEC shuts down Egan-Jones over nit picking after unfavorable ratings downgrades.

Bush lied.  This guy does too.  The "99%" theme is popular amonsgt folks my age.  And I agree.  Because the 99% of us are getting screwed over because 99% of the rich cocksuckers in Congress and DC DO NOT GIVE A FUCK ABOUT YOU.

Fri, 04/27/2012 - 12:53 | 2380512 Not Too Important
Not Too Important's picture

Re: Marijuana raids. Just trying to keep the Big Pharma contributions rollin'. Obama's big decision here: Big Pharma contributions vs. pot smoker's votes. Hmmm. $$$ vs. sick people generally too poor to afford Big Pharma. Say what you want about slackers, but I've seen the worst cases of debilitating physical and mental conditions at medical pot meetings. Holy crap, I have a lot to be thankful for.

It's important to remember, THEY DON'T GIVE A FUCK ABOUT SICK PEOPLE AND DYING KIDS, THE POOR, OR THE REST OF US THAT ARE SOON TO BE POOR AND SICK:

http://enenews.com/prepare-yourself-photographer-like-a-different-race-o...

Coming to a neighborhood near you, soon.

Fri, 04/27/2012 - 12:55 | 2380515 donsluck
donsluck's picture

Word. Although it was probably a mistake to go the medicinal route, should have stayed with the alcohol model.

Fri, 04/27/2012 - 12:59 | 2380530 kevinearick
kevinearick's picture

The Re Clock

Oh, and in case you didn’t know, you can adjust the ratio of CO2 (or any other gas) and O2 to act as an anesthesia. That will solve some of your fusion/fission problems. It is also how meditation and the sweat lodge work, which is how that “educated priest” killed those kids.

The research doctorates “think” they can enforce breeding at gunpoint to keep the ponzi going, or trigger a die-off. Heads they win, tails you lose. WHO my a-; f-ing witch doctors. They can go f- themselves right along with the German horses they rode in on. They are about to get a few doses of their own medicine. Let’s see how they like suffocation.

What is the difference between IPO, stock, bond or dividend in an automated, rigged ponzi economy? They might want to peddle faster, continuously, but not catch up to the underlying bond. At the end of the process, Mr. Krugman, the family budget is the only one that counts, but you all go ahead and keep proving me wrong, with the proliferation of false assumptions. Who do you think built the foundation upon which you all stand on anyway?

When I was 3, my best friend fished exclusively in his stocked pond. He grew up thinking he was a great fisherman, and he HAD the land to prove it. You can’t service what you have, but you always want more, pumping the margin and discounting the past.

Educating idiots is a great economic activity, like fishing in a barrel, but property income is not and never will be profitable without intelligent toil. Public, private, and non-profit accounting is a lot like masturbation in a circle, more pressure on less volume over time.

Borrow, spend and steal is no substitute for toil, save and invest; jobs are no substitute for skills; and extrinsic value is no substitute for intrinsic value. The manufactured majority always chooses the former on the expectation of stealing from the latter.

You are going to tell our kids that they cannot work on their farms, because it is really your farm, while you adopt manufactured kids to slave in your chocolate factory. Heal thyself physician. Heal thyself. The empire is on an automated collision course, with itself. You might want to re-examine that stepping stone; it’s a plunger.

An apple a day keeps the doctor away.

Judo.

Tick tock Captain Hook, tick tock.

America is not a place; it’s a being, where content of character counts. When the time comes, and it is coming, it is not going to be the Krugmans or Bernankes of the world that you seek to pull you from the fire you started.

No other critter is stupid enough to build (hospital) memorials to its own stupidity, and labor doesn’t care if capital is stupid enough to pay government a tariff for the privilege of euthanizing itself. The show must go on, it will go on, and you are in the way. Caves are great for resurrections, a parlor trick, and that’s about it.

Charge the customer for creating a problem and then again for “fixing” it, in growing iterations. That’s what empires do, build boxes inside of boxes inside of boxes, all of which amount to nothing relative to God. You might want to start writing a new Book on that TABLET of yours, because Christianity, like all mythologies, has run its course. It’s still feudalism, and obsessing over Christ is not love, which is the one and only path to God, the unknowable.

Logic and emotion are lenses, and neither is of any utility without the other, leaving them both dead in the no sail zone, quarrelling in prisonerS dilemma, which is why the sanctity of marriage is The Imperative. Don’t hand your kids over to peer pressure, with lies instead of skills in black hole navigation, and expect anything other than stupid times stupid.

Apple vinegar and hiking is the prescription. Division by zero is no more imaginary than the rest of the number line. You will only find truth at the intersection of the alpha and the omega. Everything else is misdirection. Now, go FORTH and multiply.

Timing is everything.

Fri, 04/27/2012 - 13:30 | 2380584 MarsInScorpio
MarsInScorpio's picture

The entire system is criminal - so what's new?

 

I'm amazed anyone can think that the same people who allowed Corzine to stay free with $1.2-billion in "vaporized" funds, that didn't prosecute Timmy for tax evasion, that hasn't filed charges against a single first-tier manager for robo-signing, that is destroying the Middle Class while the top .1% no longer face any risk of loss so long as they are "good little boys and girls" and don't rip off their fellow financial elites, are now prosecuting EJ.

 

You didn't honestly think they were going to let these outsiders become insiders on their own volition did you? How naive. Do you think it's a coincidence that the only law school deemed qualified to submit a candidate for the US Supreme Court is Harvard? (Nine out of 9 ain't bad . . .) I can hear the elites in the Harvard Club now: "Who do these uppity ni . . . excuse me, upstarts . . . think they are?"

 

As I noted the other day, the concentration of wealth is becoming such that the other 99% don't really matter any more. The elites control the government, the FED, the stock, bond and commodity markets, The Banks That Matter . . . you name it, they control it. They screw up, they cover it up.

 

The press is now controlled by them as well. It used to be they were an independent force in America; no more. Journalists are as afraid of losing their jobs as much as any other wage slave, and so they toe the party line. Why does that surprise - or more tellingly - infuriate you?

 

What do you expect them to do - tell their Executive Editor they aren't going to write the story the way the owners want it written? Then obviously you've forgotten that Freedom of the Press belongs to the person who owns it.

 

The only reason to vote for Romney over Obama is that MAYBE we'll get the Black Racists out of the "Just Us" department. Other than that, nothing is going to change. The election is as close to meaningless as it can be. No matter who wins, the Middle Class loses.

 

So, just as the British officers held a formal ball the night before the Japanese attacked Singapore, so too enjoy the evening before the end comes. "Eat, drink, and be merry - for tomorrow we die."

 

Unless you happen to be among the .1%. They always survive the war.

-30-

 

Fri, 04/27/2012 - 18:29 | 2381313 Not Too Important
Not Too Important's picture

They won't survive Fukushima. And they know it. So, what's next?

Fri, 04/27/2012 - 13:28 | 2380599 earleflorida
earleflorida's picture

#1)        McGraw Hill Companies, Inc. ___ Division - 'S&P Rating Agency'  [Rothschild had a controlling interest until *2008/09?]  Note: US Domiciled 

 

#2)        Berkshire Hathaway Inc. [Holding Company] ___ owns a controlling stake in 'Moody's Rating Agency'   ( Warren Buffett has since **2008/09?] sold portions of holdings)  Note: US Domiciled

 

#3)         FIMALAC Holding Co. ___ Holder - 'Fitch Rating Co.' ([Lazard Fer`res et.el.] [incestual relationship on BOD with U.S et.el., although domiciled in France]) Note: *** NRSRO Rule 17g-5 [2009] ___ HSBC/ JPMC etc., etc.,

Ref: http://hugin.info/143461/R/1515675/451964.pdf  [ref. pgs. 151-163 pdf]          http://who.bod/content/fitch-group    note: just click on 'oops' box - sorry

 Ps. These rating agencies aren't about profit - their main objective is steering the profits in the shadow of, and for, thy - 'eminence grise'!

jmo

Fri, 04/27/2012 - 14:56 | 2380835 fuu
fuu's picture

\EJ/

Fri, 04/27/2012 - 23:47 | 2381726 Herdee
Herdee's picture

Read about DeepCapture.This one isn't going to settle,meaning that when she's all finally exposed it'll finish off the banks.Just a question of time.A few years I agree with but all the stalling in the world isn't going to help.She's all coming down eventually but how will all the elements blend?

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