Categorized | The Mitchell Report

    Would CNBC Let Gasparino Say This On-Air?

    Charles Gasparino, the CNBC reporter, published an op-ed in The New York Post yesterday.

    Here’s the interesting bit

    Earlier this year, high-flying hedge fund Paulson & Co. retained [former Federal Reserve chief Alan Greenspan] for its “advisory board.” The firm is a noted “short seller” of banks and financial stocks – meaning it makes money when these companies’ shares fall.

    The thing is, Greenspan is making public comments that inevitably influence public policy and the markets – and some of those comments may well have led to his clients making a nice profit.

    In a recent speech to the Economic Club of New York, Greenspan said the recession would likely “be the longest and deepest” since the Great Depression and that Congress might have to allocate more money to save the beleaguered banking system on top of the billions already gone for the Troubled Asset Recovery Program.

    Then he told the Financial Times: “It may be necessary to temporarily nationalize some banks in order to facilitate a swift and orderly restructuring” of their troubled balance sheets.

    Such a move would wipe out stockholders, sending shares of banks even lower – thus likely benefiting Paulson. It would also protect bondholders, helping another Greenspan client, the large bond-firm Pimco.

    The question is: Why didn’t Gasparino, or anybody else, say this on CNBC? Hedge fund crony Paul Kedrosky appeared on the network to criticize Greenspan’s relationship with Pimco, but there was no mention of the former Fed chairman spewing negativity for Paulson’s short selling operation.

    More importantly, no proper journalist at CNBC has reported that short sellers use many other tactics (such as planting false stories on CNBC and manufacturing phantom stock) to demolish public companies and crush the markets.

    At our nation’s leading business network, only Jim Cramer reports on this scandal. Only Jim Cramer tells America about one of the most important causes of the worst financial crisis since the 1930s.

    He does so with funny sound effects while prancing around the Romper Room set of a program that is called “Mad Money.”

    It is surreal, to say the least.

    This post was written by:

    - who has written 87 posts on Deep Capture.


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    137 Responses to “Would CNBC Let Gasparino Say This On-Air?”

    1. Change, please says:

      Why is William Donaldson, x SEC commissioner advising Obama on this mess?

      http://blogs.abcnews.com/politicalpunch/2008/07/two-former-bush.html

      William Donaldson founded Pershing, which has one of the largest or possibly the largest failure to deliver / receive outstanding, according to focus reports. Pershing clears for the market maker Knight, for example.

      http://www.faulkingtruth.com/Articles/Investing101/1019.html

      Four years ago: When Donaldson tried to argue that “short selling is not illegal”, Bennett interrupted him by saying “I approve of short selling, it’s the naked short selling we’re going after.” Donaldson then tried to describe how the recently enacted Regulation SHO dealing with the naked short selling problem, and was again interrupted by Senator Bennett, whose final comment was “My main message here is that the evidence is Rule SHO is not working, so that’s what we need to get into in detail.” He concluded by directing Donaldson to present an “in depth briefing” to the committee.

      Maybe this is why, the thieves stick together?

      President Bush has tapped five fellow Bonesmen to join his administration. Most recently, he selected William Donaldson, Skull and Bones 1953, the head of the Securities and Exchange Commission. Like the President, he’s taken the Bones oath of silence.

    2. Anonymous says:

      Would CNBC Let Gasparino Say This On-Air?

      Mark,
      Only if they (CNBC) think the Atty General has a subpoena with there name on it would they allow this. Look at what a subpoena did for Cramer?

    3. Change, please says:

      CNBC is a special channel for airing Wallstreet funded infomercials. It’s like the national enquirer, you aren’t meant to take it seriously.

      Did you ever notice that Cramer’s callers only have about a half dozen voices? They are actors or possibly staff members.

      And no, they wouldn’t let him say that on air.

    4. James Raider says:

      Are you responsible for your neighbor’s bad decisions?

      http://pacificgatepost.blogspot.com/2009/02/obama-mitigating-mortgage-foreclosures.html

      Obama and Congress appear to think so. Is there any common sense in this program?

    5. Hang_'em_High says:

      Thank you Mr. Mitchell for your expert work. You are one of the finest Investigative Journalists in the world. And, I might add my thanks to Mr. Judd Bagley and, of course, Dr. Patrick Byrne who makes this sole-source of straight-talking Investigative Journalism (www.DeepCapture.com) available to EVERYONE. All of you are performing a valuable-task — which is exposing to the public the corruption in the markets. I cannot thank you good people enough…each of you are American Heros for standing-up in the face of these Financial THUGS.

      The Hedge Fund Devils seem to have captured/influenced everything in sight…CNBC/TV Financial Media, Print Financial Media, Former Federal Reserve Bank Officials, Elected-Legislators and last, but not least – The Regulators! I don’t know where all of this is going to end…but, it’s certainly not a pretty macro-picture. The playing field is totally-controlled by the Hedge Fund Devils.

      At this time, I am thinking…but one thought – The COST to everyone. The Hedge Fund Devils that do the naked-short selling have created direct-destruction in the markets. I consider these master-manipulators to be not only Financial Thugs – but FINANCIAL TERRORISTS. And, I can easily take it one step further… I believe the correct label on them is “ENEMIES WITHIN” AMERICA.

      I believe it is time for MAJOR REGULATORY ACTION via a 9/11-Type Emergency Panel…of which Dr. Byrne had previously recommended in a previous letter to the President. Frankly, I do not want to see these Financial THUG DEVIL TERRORISTS get away with Financial Murder.

      What is the immediate SOLUTION via a new Regulatory Framework? I can think of 3 major actions to take:

      (1) JAIL (Life-in-Prison without Parole) for the Financial Terrorists manipulating the markets;

      (1) BAN all Naked Short Selling — and coordinate the ban among regulators worldwide;

      (2) REINSTATE the Uptick Rule; and

      (3) REGULATE the Powerful Hedge Fund Devil(s) Terrorist(s) that control market direction…by requiring public-disclosure of all “short” positions.

      It is amazing at how far the “reach” is of these Hedge Fund Devils – aka: Domestic Financial TERRORISTS – aka: Enemies Within.

      They must be stopped…or those words, “SYSTEMIC RISK”, may be uttered for the last time – just ahead of “The End” (Total Financial Destruction). In many many cases, the naked-shorting Hedge Fund Devil(s) have caused permanent-damage – to thousands of companies. Poetic Justice would not be good enough. No, just taking away the Hedge Fund Devils’ billions in manipulated-profit would not be good enough. Capital Punishment would be too good for them…not even “hanging” them. For now, one punishment seems rather fitting…. I can think of a good reason to keep GITMO “open”…if the Hedge Fund Devil Terrorists could be their cellmates. That’s right — put the Domestic Terrorists together with the Al-Queda Terrorists.

      The financial system has been “broken” by the Hedge Fund Devil Thug Terrorists. What will it take for the “powers-to-be” to REALIZE that action MUST be taken quickly? Do we have to wait until the Financial Markets are all FROZEN? Do we have to be totally-destroyed at the hands of these TERRORIST DEVILS?

      I want justice.

      Hang_’em_High

      • Joe De Lima says:

        While it seems to take many to skirt around the real problem, it can in fact be stated in a word, Jekyll Island, 1910.

        This website has been visited a number of times in the past, but it NEVER reveals the source of the country’s corruption.

        Here’s a link that is far more lucid than posting that of DeepCapture.com to various heads of government agencies:

        Title: CreatureFromJekyllIslandByG.Edward-G.EdwardGriffin.pdf
        Link: https://archive.org/details/pdfy–Pori1NL6fKm2SnY

        You have NO EXCUSE to avoid the obvious source of the country’s corruption. The rest of Planet Earth is finally waking up. How long will it take the visitors to this website?

        Usually when the elephant in the room is avoided at all costs, it is because the occupants fear the punch bowl will be removed.

    6. Sean says:

      Mark, as I have said it the past with no response from any” It is IMPOSSIBLE to make 3.7 billion dollars in one year as a salary without doing something illegal”. It is also a conflict of interest to have Greenbags work for anyone but a govt. agency. How much money does he need anyway? He should be retired instead of trying (and succeeding mind you) in destroying the American Economy. He has single handedly over the last 20 or so years begun what is now evolving as the destruction of the world economy for the finacial gain of his bosses Paulsen and Pimco. Instead of bickering about political nonsense this is what your readers should be trying to address and alert others too. Lets point out the real criminals and make some noise that we KNOW and won’t stand for this crap anymore. One more important thing that we should all realize is that this whole scenario that is playing out in our Not so capital markets was No Accident” this was an intentional act in the planning for decades. “There are no Coincidences” Great observation Mark, and may CNBC and it cast burn in hell from the sorrow they have caused so many Americans and others in the World!!!

    7. Sean says:

      Not only is Greenmoneybags selling out the country, his wife monopolizes the airwaves on MSNBC and has her own show. You think it was a coincidence that he fought against Hedge Fund regulation. He was doing the bidding of his new employers years in advance. Also if you want a reference on how this works just remember Arthur Sambergs’ words to the gentleman that provided the inside info on Microsoft “With this info. you have already paid for your salary many times over” or something to this effect. Folks this has been going on for years and as Patrick et al have informed us CNBC takes their marching orders from Hedge Funds. How come no one has ever named the party that had made the 1.5 million dollar puts against Bear Stearns and in 2 weeks made 250million because his bet was on the nose. “There are no coincidences” WAKE UP AMERICA!!!

    8. Fintas says:

      Jim Cramer is now a good guy? Only if one ignores what he was saying and doing years ago. But what the heck, he had his epiphany. Maybe it was watching the destruction and damage to MILLIONS that used to be only to a select group. Meaning there was no concern if it were directed at an OVERSTOCK, AMD, JAVA, JDSU. But when he saw the BSC/GS/LEH/MS getting slaughtered in short time frames then he cared. Remember he was suggesting BSC was a TAKE UNDER at 80 just a few weeks before it collpased.! Look, the system was and has been flawed for years and many were doing their impression of THREE BLIND MICE.. Yes many have been complicit. MSM/Journalists, congressman/senators/enforcement etc. Yet it was the STRATEGY of others that used tactics to take down our financial system to exact change and now the majority have been harmed. Gasparino/Faber and gang are a joke. There’s is the game of discussing after the fact. How about exposing it long before it becomes A CRISIS? What is or was it Gasparino, Faber, and others had to say re the illegal use of NSS? UNTIL, some PATRIOTIC crusader does their thing and BAD PEOPLE GO TO JAIL IN MASS, we can sit around the fire and discuss how right we are. AND WE ARE! The solution is simple. Put em in JAIL. Now who has the talent to do it? The NATIONS financial health and millions of families depend on it. It won’t be hard to do. As Cramer does point out. just track the details via tapes, emails or how about just tracking the trades of hmm BSC/LEH/MS or of recent LVS and GE or SPX 500 MARCH FUTURES. That filling of that gap up at 790 March Spx was no coincidence. Nor is the holding back of the plan to avoid a rally until certain tactics are done to implement a strategy. Get that one example and expose the corrupt. Plaster their names/faces all over the place and put em in jail. Yank em out of their mansions, their senate offices, their congressional offices, their regulatory offices, from their cable, tv, studios,Journalists offices office, trading desks. PUT THEM IN JAIL! THEN this crap will stop. it doesn’t take a genious. Just someone with the TALENT and courage to do it.

    9. ACTNOW says:

      after the destruction of our country I wonder where these crooks plan on calling home,do they have a country set aside where the milk and honey flows freely,where no labor is needed to produce milk & honey?? These guys want to control everything to their own demise.

    10. ACTNOW says:

      if you look at those in control of N Korea or Russia they all enjoy a life of luxury surrounding themselves with goods purchased in the west,you destroy the western world you destroy all the luxury items produced in the west,these idiots that control Wall Street are cutting off their nose in spite of their face,Maybe they think they can force people to be productive??

    11. J. L. says:

      In Washington, the lights are on….but nobody is home.
      They are all morally and ethically BANKRUPT!!!!!
      To sell out the backbone(citizens) of this great country for a worthless dollar by
      Wall Street and it’s den of thieves,(CONgressman,Senators,Regulators) tells me that anarchy cannot be to far behind.

    12. rtway says:

      The reason they make camouflague is so that you can disguise yourself as being part of the current picture that is being seen even though you look entirely different than the real picture. Cramer is a master of deception and is using this new approach to blend in with the people who view cnbc. Most of the viewers are there to learn how to or enable themselves to be succesful, that who Cramer is trying to mimic and appeal to.How many viewers would Bernie Madoff or Miliken draw? But Cramer was no different than either of these scum bags, just wearing a new persona uniform.Those who listen and believe him just took delivery of another trojan horse. I need go any further than to say or re-iterate what hang-em-high and Sean have said already. I suggest that every body read their post many times until it sinks in. We need to act quickly. As a side note, the one one person who seems to give a damn at cnbc is Rick Santelli, why not follow up on him more Mark?

    13. rtway says:

      One other reason cnbc has Cramer on doing his new song and dance is what I call the “relief valve” approach. If they were to continue their path of favoring the hedgies and shorties their viewership would move over to Bloomberg or Fox. With Cramer coming on and giving the impression he actually gives a rats ass, he is keeping you from activating the remote and switching channels. Problem is that many people are seeing thru the scripted act he puts on. Bobo, who I miss dearly, said it many times and was the voice of reason,”The whole political machine and regulatory system needs to be thrown out”

    14. Sean says:

      RTWAY I am in 100% agreement with everything you said and thanks for the backing, however I have to disagree respectfully with what Santelli screamed on TV last week . He was way off base and seems to be trying to become another Jim Cramer!!What he did was more to divide the country than bring it together. I would have liked to see him take this stance when they gave 2.7 trillion dollars to the insolvent banks not when they used 75 billion to help TAXPAYERS. We are all on hard times here and these crooks from CNBC helped get us to where we are today, lets not give them anymore credibilty. Thanks again for your kind words and best of luck to us all, we are going to need it!!! Fintas OUTSTANDING POST!!! This is more of what I think we need here. This is the outrage that I was talking about!!!

    15. rtway says:

      Sean, thank you also and it is good to have a dialogue that is what makes America. I might point out that it took Fox news the need for a law suit against FOIA , which Fox won just this Fri., to find out where the 75 bil. has gone. The info must be made public by I believe Mar. 13th, until then I’ll reserve judgement on how well that went. Either way we are on the same page.

    16. rtway says:

      I missed the FINTAS post. What a masterpeice, my thanks also to you FINTAS.

    17. Sean says:

      One other strage thing here, has anyone heard anymore about the SEC investigation into Jim Chanos and Steve Cohen’s hedge funds that was initiated last week for the manipulative actions against Fairfax Ins.(FFH)? I know that I haven’t. Have you? Stange, I did’nt even hear it mentioned on CNBC, very strange indeed!!

    18. Sean says:

      RTWAY, thanks for the very respectful response and you are so right that WE are on the same page, more than you know. One correction I think you meant the 2 trillion not 75 billion that the Treasury won’t tell us which banks they gave the money to. I did not know about the ruling and I also thought that Bloomberg sued for the FOIA request, whichever, as long as we get some sort of answer. These guys are out of control with OUR money. And NOT one person has been arrested, indicted and 7 trillion dollars have been stolen right in front of our faces and one even confessed and he is still out on the street huh. What do these guys have to do to go to jail..kill someone? incredible , just incredible.

    19. irieblue says:

      While it seems like the people in power are dragging their feet on new policy, and the hedge fund lobby will no doubt help shape that policy as evidenced by the Greespan/john Paulson link…. Maybe Patrick and crew could offer up some suggestions that could help us see these miscreants preparing for an encirclement.. e.g

      (1) Make the FTD’s be a real time system rather than 3 months after the fact..
      (2) Make hedge funds disclose their short positions at the end of the day. Mutual funds have to do it on the long side..
      (3) Show the short interest in a stock in realtime not as it’s currently reported.
      (4) Shine more light on these ultra short 2x and 3x ETF’s..

    20. Traveller says:

      Europe to being regulation of hedge funds

      http://online.wsj.com/article/SB123530843444441801.html?mod=testMod

      Think the U.S. will follow suit?

    21. Fintas says:

      Maureen Dowd latest piece DARK DARK DARK is worth a read. AND then for those who do have access to her via the NYT or directly I suggest they pass along a link or opportuntiy to deepcapture and those who are well versed re the topic and nuances. MS DOWD and OTHERS should be educated to understand that the problem is greater than a new pres elect and the solution is very simple if someone really wants to solve such. COURAGE UNDER FIRE wasn’t just a movie but what Gary Aguirre demonstrated in action. At this moment it is clear to this investor that there is an attempt to implement what Dr Decosta has suggested. Unfortunately it comes to a cost to all. Re Rick Santelli? I guess RICK still believes there was NO manipulation in the OIL prices and it was just speculation by you and me as we bought long or sold. Rick is pissed NOW. Maybe RICK should have been more up front back then as Cramer should have been back in 2006 when Cramer implored the Fed to cut rates and then did his historic THEY KNOW NOTHING in 2007. WHY? Jim KNEW who was positioned where and how. Let’s be serious. Mark and Judd have done a FABULOUS job of putting together the details. And those details clearly show how the dots align. Here and now it is about protecting our families and this great nation. And that requires a REAL CRUSADER. NOT a guy with intials of ES that had a political agenda and bullied many to help him get there while feigning concern. Otherwise, a few C execs would have done a perp walk long ago instead of being treated as royalty.

      Hang tough..be monolithic. The comments here are replete with great input/insight and details. If they are being ingored it is INTENTIONAL.Take away the excuses by educating them and then pin them to the wall as they are asked the direct questions as was done to SHELBY. Yet he is still there. The quesion is HOW and WHY? UNITED WE STAND.. DIVIDED we oh oh…HMM and UNITED doesn’t mean BLIND loyalty. PUT THE CROOKS IN JAIL! It’s LONG overdue.HMM maybe they should let SKILLING OUT if he will spill his gutts..

    22. ginger says:

      Has Shelby answered this 3 year old letter?

      http://tinyurl.com/3kerd4

    23. jeff says:

      Corzine, another crooked politician…I’m also amazed at how many people in washinton and in the media are linked to the brash bulgarian billionaire George Soros…a thief beyond belief.

    24. vex says:

      “FINANCIAL TERRORISTS. And, I can easily take it one step further… I believe the correct label on them is “ENEMIES WITHIN” AMERICA.”

      Well said.

    25. Sean says:

      Jeff, Goldman Saks is the key to all of this. All of its disciples hold very high govt offices and weild enormous clout. When the arrests are made a lot of their former and current employees should be included!!! As for Soros he will get his for what he has helped do to our economy in the sake of making money!!

    26. davidn says:

      Fintas, I will keep repeating my snowflake analogy as I think it is important people understand it.

      It can be incredibly frustrating to spend hours writing a letter to a politician and not get a response or to forward an email to a dozen friends and they all accuse you of being a tin hat conspiracy theorist.

      But here’s the thing. Don’t wait for Patrick, Obama, the DOJ, some foreign government, the cops, etc. to fix this problem because they won’t.

      Real change comes from people like you and even if it feels like you aren’t making a difference, you are. The letters that piled up at http://www.thesanitycheck.com mean that it is impossible for the recipients of these letters to claim they didn’t know what was going on, for instance.

      An avalanche, thousands of tons of snow, is triggered by a last snowflake, that is just heavy enough to push the system into disequilibrium and massive sudden change.

      Every little thing you do is like the falling snowflakes and suddenly, that last snowflake will cause a huge paradigm shift. You could be the snowflake that causes the paradigm shift. Don’t give up.

      Look where we were five years ago when the SEC had the nerve to claim there was no naked shorting and total fails were only $6 billion.

      Now, everyone knows the clearing system is corrupt, and even buyers of government treasuries are being ripped off and I think most thieves know it is a matter of time.

      That’s why they are all turning each other in.

      Markopolis, the Madoff whistleblower worked at Rampart Investment Management.

      I don’t know, can someone tell me if it is related to Rampart Securities?

      http://www.rgm.com/articles/kasman.html

      And now Cramer is a force for good?

      I think the snowflakes are piled high enough that the thieves are tiptoing through the snow, but the avalanche of sudden change is still ahead of us and we need you snowflakes to not give up and keep writing those letters and telling those friends.

    27. Sean says:

      Some please give me 100 billion reasons why Madoff and Stanfod are not n jail? Could it be juice or is this thing bigger than we can imagine? I watched a show today when a man with a prosthetic leg, robbed a store ,lost his foot, stole 200 dollars and got 9 (NINE) years in JAIL!!! This guy had a real bad day and did not even use a gun, but look at how justice was served, harshly and swiftly. I ask again what is keeping these guys out of jail? And if they were involved with the Russian Mafia and Latino Cartels should’t those guys be upset about having their money stolen? You tell me!!! Something here does not pass the smell test!!!

    28. Anonymous says:

      I think the fact that the Put Options surrounding 9/11 and United Airlines ( to this day kept secret from MSM) was the unspoken gift ( by those who knew) to the crooks on Wall Street its ok to steal, rob, take that which you do not own and sell it and never deliver it. We got your back….The flood gates of criminal activity was opened and secrecy was maintained by those with knowledge.

    29. ginger says:

      U.S. Suggests, Without Proof, Stock Adviser Knew of 9/11
      By ALEX BERENSON
      Published: May 25, 2002

      A San Diego stock adviser who is accused of bribing an F.B.I. agent to give him confidential government information may have had prior knowledge of the Sept. 11 attacks, a federal prosecutor said yesterday. But a judge disregarded that contention and the adviser’s lawyer called the allegation ludicrous.

      In a court hearing in San Diego, Kenneth Breen, an assistant United States attorney, said the adviser, Amr Ibrahim Elgindy, tried to sell $300,000 in stock on the afternoon of Sept. 10 and told his broker that the stock market would soon plunge. ”Perhaps Mr. Elgindy had preknowledge of Sept. 11, and rather than report it he attempted to profit from it,” Mr. Breen said.

      Mr. Breen, coordinator of the stock market unit of a government task force set up to investigate financing for terrorist groups, offered no other evidence that Mr. Elgindy had prior knowledge of the attacks.

      A lawyer for Mr. Elgindy said the allegation appeared to be motivated by the fact that Mr. Elgindy is Muslim and was born in Egypt. Senior F.B.I. officials also said they had no evidence that Mr. Elgindy had prior knowledge of the attacks.

      In the hearing yesterday, Mr. Breen asked Judge John A. Houston of Federal District Court in San Diego to hold Mr. Elgindy without bond. Mr. Elgindy, also known as Tony Elgindy and Anthony Pacific, recently moved $700,000 to Lebanon and is a serious flight risk, Mr. Breen said.

      Judge Houston disregarded Mr. Breen’s claims about Mr. Elgindy and Sept. 11. But the judge said there was enough other evidence that Mr. Elgindy might flee to justify detaining him at least until a June 6 hearing to determine whether he should be moved to New York for a trial.

      Jeanne Geren Knight, a lawyer for Mr. Elgindy, said after the hearing that Mr. Breen’s allegations were ludicrous and untrue. ”The government, for lack of factual evidence, has decided to smear my client with terrorist innuendoes,” Ms. Knight said. ”This is smacking of racial profiling.”

      Mr. Elgindy and four other people, including one current and one former F.B.I. agent, were charged Wednesday with using confidential government information to manipulate stock prices and extort money from companies. Jeffrey A. Royer, who was an F.B.I. agent before joining Mr. Elgindy’s stock advisory firm in December, accepted $30,000 from a partner of Mr. Elgindy’s in exchange for providing Mr. Elgindy with information about current criminal investigations of companies, prosecutors allege.

      Mr. Elgindy and his partner, Derrick W. Cleveland, sold short the shares of companies that they learned were under investigation, according to the indictment. (Short sellers borrow shares and sell them, hoping to buy them back later at a lower price and pocket the difference.) Then Mr. Elgindy publicized the negative information on two Web sites he ran, hoping that the companies’ stocks would fall, prosecutors say.

      At the hearing yesterday, Mr. Breen said that on the afternoon of Sept. 10, Mr. Elgindy contacted his broker at Salomon Smith Barney and asked him to sell $300,000 in stock in his children’s trust funds. During the Sept. 10 conversation, Mr. Elgindy predicted that the Dow Jones industrial average, which at the time stood at about 9,600, would soon crash to below 3,000, Mr. Breen said. Mr. Elgindy was unable to sell the stock before markets closed Sept. 10, and it was instead sold Sept. 18, the first day that markets reopened for trading after the attacks, Mr. Breen said.

      The Salomon Smith Barney broker contacted the F.B.I. after the attacks to report the conversation, Mr. Breen said. He did not identify the broker. A spokesman for Salomon Smith Barney confirmed that Mr. Elgindy was a client but said that Salomon did not comment on matters relating to its clients.

      Mr. Elgindy also transferred more than $700,000 to Lebanon in the months after the attacks, Mr. Breen said. When F.B.I. agents raided Mr. Elgindy’s home outside San Diego on Wednesday, Mr. Breen said, they found $43,000 in cash, as well as a loose diamond and faxes indicating that Mr. Elgindy had been tipped about the raid and had given his wife a power of attorney to liquidate his assets.

      Ms. Knight, Mr. Elgindy’s lawyer, denied that Mr. Elgindy had any prior knowledge of the attacks.

      Mr. Elgindy’s wife is from Louisiana, Ms. Knight said, adding that his mother was a pediatrician and his father a professor. ”Tony isn’t political at all,” she said. ”He’s a capitalist. He’s not going to move to a third world country.”

      Senior law enforcement officials said yesterday that investigators had no hard evidence that Mr. Elgindy had advance information about the Sept. 11 attacks. So far, they have not found anyone who had prior knowledge of the attacks, they said. But they said the investigation into why Mr. Elgindy tried to sell the shares in his children’s trust accounts before Sept. 11 had raised questions that had not been fully answered.

      Mr. Elgindy has been an active supporter of Muslim causes. In 1999, he arranged to bring 30 Muslim refugees from Kosovo to the United States, according to The Daily Herald of Chicago.

      Mr. Elgindy said the violence in Kosovo, Serbia’s southern province, appalled him, comparing it to the shootings at Columbine High School in Colorado. ”Take Columbine, have it occur five times a day for a year, and that’s Kosovo,” Mr. Elgindy told The Daily Herald.

      Mr. Elgindy’s father and brother are also active in Arab and Muslim causes. His father, Ibrahim Elgindy, founded an umbrella group of Muslim organizations in Chicago and led a 1998 protest on behalf of Muhammad A. Salah, whose assets were seized that year after the United States government linked Mr. Salah to Hamas, the radical Palestinian group. Mr. Elgindy’s brother, Khaled, has worked for several Arab political groups.

      Neither Ibrahim Elgindy nor Khaled Elgindy has ever been linked to terrorism. Khaled Elgindy did not return calls yesterday. Ibrahim Elgindy could not be reached for comment.

      Mr. Elgindy himself publicly criticized the Sept. 11 attacks. In a press release that day, his company, Pacific Equity Investigations, said, ”We must seek, find, apprehend and destroy those who are responsible for this terrorist attack.”

      Two days later, Mr. Elgindy put out another press release, saying that he had forwarded to the F.B.I. and the Securities and Exchange Commission ”many Internet posts and messages that may have relevance on this tragedy and the capture of the responsible parties behind it.” He also asked that investors refrain from selling short the stocks of any United States companies or the United States dollar.

      Mr. Elgindy sold the shares in his children’s trusts five days later.

    30. Anonymous says:

      By: salemshexnwo

      19 Jul 2003, 10:51 AM EDT

      Msg. 8714 of 14434
      Jump to msg. #

      Bushie is dreaming, ain’t gonna happen. Money is plentiful if you know the right people and belong to the right organizations. And people will never stop giving to worthwhile fellowships like the Hamas.

      “I urge the leaders in Europe and around the world to take swift, decisive action against terror groups such Hamas, to cut off their funding and … support, as the United States has done.”

      Praise be the most holy Sheikh Ahmad Yassin!

      On September 10, 2001, one day before 9/11, “SalemsHex12” predicted “lost operatives”, “biosuits/helmets/goggles” and “silver bullets”,

    31. Anonymous says:

      By: SalemsHex12

      10 Sep 2001, 09:26 AM EDT

      Msg. 128045 of 0
      (This msg. is a reply to 128044 by chohenhous.)
      Jump to msg. #

      JH

      NWO Alert Memo:
      Add this Carla “dude” aka “chohenhous” to the list of one of those.

      Engage her in our new game….Ain’t that paranoia shittt fun?.

      Expect to lose some operatives no matter how careful you plan and execute this mission. It’s a dangerous one, Jimbo, and the biosuits/helmets/goggles, while protective against the deadly virus, paranoia helps me tango, they do little to stop those silver bullets.

      And our NWO sensors can’t SEE the virus as it does its tango during a biodome blitz. See Brian “Kelvar” Ayana about rectifing that problem.
      Finally, get all operatives to lure the “tango paranoids” to the “dam”. Proceed with the use of heartbeat sensors to prevent the enemy from detecting us.

      Don’t forget to use silencers to prevent triggering an alarm that may cause the paranoid to believe they’re being watched and/or followed.

      Keep in touch.
      Red Phone mandatory for this game, JH.

      BG

    32. sammy says:

      Censorship test

    33. sammy says:

      For some reason the post is being censored. I’ll try breaking it up to see what paragraph is being automatically censored.

    34. sammy says:

      It’s hard to stay on topic, because so much else from 911, to Diebald voter fraud, to money laundering, to Iran Contra all seems to be tied into the same criminals that see themselves as new world orders.

      But let’s face it, when the only two buildings to run the whole stock market are attacked in a terrorist attack, it is probably tied in.

    35. sammy says:

      I live in NY and the MSM never talks about it, but there was a subway car that was trapped under the World Trade Center. The track was closed and those people perished.

      Was there a diehard two removal of gold to avoid the requests for delivery of naked shorted gold?

      http://tinyurl.com/b5sypm

    36. sammy says:

      Die Bold, Die Hard?

      And my second question, is why is it so hard to ask why naked short king Elgindy was able to use FBI sources to naked short the airlines on 9-10 and why other naked shorts have never been identified?

      His sources were FBI and the other shorts traced to CIA. Can you say inside job?

      http://tinyurl.com/665y7

    37. sammy says:

      My working hypothesis is there is a club of rich guys, that like some kind of parasite, took over the machinery of power in the greatest country in the world.

      Call it illuminati, skull and bones, bilderbergers, whatever, it really doesn’t matter, but they are somehow above the regulators, politicians and media and see democracy and justice as something beneath them unless they need us little people to write them a bail out check.

    38. sammy says:

      It seems to be post 36 that was being censored. Not sure why, but it finally took it when I rewrote that paragraph.

    39. sammy says:

      First link is still being censored, try again.

      http://911research.wtc7.net/wtc/evidence/gold.html

    40. sammy says:

      The central banks sell phantom gold to keep gold prices from rising and competing with the fiat currencies as stores of value.

      In the fall of 2001, there was an orchestrated effort to force delivery of real gold for futures contracts, which would have caused a huge short squeeze.

      When 911 happened, they suspended the requirement for real delivery and required paper delivery.

      In the mean time, what kind of die bold die hard die abolical plan was hatched deep below the tunnels of the world trade centers?

      http://911research.wtc7.net/wtc/evidence/gold.html

    41. Sean says:

      Back on topic, it would seem our friends at the SEC are, if nothing, consistent!!

      Recs: 7 SEC whipped and flogged again.

      All we need now is for them to be cast from the land.

      February 23, 2009

      Regulator Faces Fresh Scrutiny Over Trading Inquiry at Lehman

      By GRETCHEN MORGENSON
      The Securities and Exchange Commission, under fire for failing to heed warnings about the Ponzi scheme that was apparently run by Bernard L. Madoff and lasted for decades, is now under scrutiny for its handling of insider-trading accusations involving former executives at Lehman Brothers.

      In a letter sent to the commission last Thursday, Charles E. Grassley, the Iowa Republican who is the ranking member of the Senate Finance Committee, asked Mary L. Schapiro, the chairwoman of the S.E.C., whether it had followed up on allegations that were brought to its attention last spring involving a unit at Lehman Brothers. Employees in the unit, known as the Product Management Group, appear to have tipped off clients and traders about the content of the firm’s research reports before they were released, a former Lehman analyst said.

      The letter does not disclose who might have received the tips, if they were made.

      The insider trading allegations, and more than 4,000 e-mail messages relating to them, were presented to Linda Thomsen, the former director of enforcement at the S.E.C. last April by Ted Parmigiani, a former analyst at Lehman who followed the semiconductor industry. According to Mr. Grassley’s letter, Mr. Parmigiani spoke with high-level enforcement officials several times both on the phone and in person. An in-person meeting on April 30, 2008, lasted for six hours, the letter said.

      Mr. Parmigiani, who was dismissed by the firm in June 2005 for what it said were performance issues, declined to comment. John Nester, a spokesman for the S.E.C., said he would not discuss whether Ms. Schapiro had responded to Mr. Grassley’s letter or the allegations made by the former analyst. But he said in a statement: “We certainly share the senator’s interest in vigorous enforcement against illegal insider trading.”

      Mr. Grassley noted in his letter that his staff had examined the materials given to S.E.C. enforcement lawyers by Mr. Parmigiani and that “there are many documents that raise suspicions of insider trading.” The e-mail messages and other documents appeared to provide “ample detail to assist in launching an investigation,” Mr. Grassley wrote.

      But the matter appears to have gone nowhere within the S.E.C, the senator contends. “It is unclear whether the S.E.C. has issued a formal order authorizing the enforcement staff to subpoena records and take sworn testimony,” Mr. Grassley wrote. “In light of the S.E.C.’s failure to follow up on repeated warnings about the Madoff Ponzi scheme, I must inquire as to whether these allegations are being acted upon.”

      Mr. Grassley has asked that the S.E.C. brief him privately by the end of this week on any actions it has taken to investigate the analyst’s allegations.

      According to the letter, the documents provided by Mr. Parmigiani indicate that officials in Lehman’s Product Management Group routinely received research reports before they were made public. The case also raises questions of whether the content or gist of the reports was disseminated to select traders in advance.

      When they are published, Wall Street research reports often cause a stock or sector to rise or fall. The Lehman group was in charge of coordinating and broadcasting calls that disclosed new research reports and changes in coverage or analysts’ opinions.

      Tipping off traders to nonpublic information is illegal. And regulatory rules governing securities firms forbid employees who are not directly involved in the compilation of research reports, other than legal or compliance officials, to review them before publication.

      One example cited by Mr. Grassley in his letter involved a company called Amkor Technology, a semiconductor concern followed by Mr. Parmigiani. A series of e-mail messages from June 2005 indicated that in the hours after he submitted a bullish report on Amkor to the Product Management Group, but before the report was made public, the company’s stock began actively trading and rose 12 percent.

      A second case mentioned in the letter involved an e-mail message from a sales executive indicating that he had advance knowledge of a change in another analyst’s rating on a separate company. The sales executive advised Mr. Parmigiani in the message dated March 2005 that he could not attend a meeting because of a “big ratings change looming.” Later that day, Lehman downgraded Commodity Chemicals, a supplier and exporter of basic chemicals.

      The e-mail, Mr. Grassley wrote, seems to demonstrate that this particular executive may have illegally obtained prior knowledge of the Commodity Chemicals downgrade and had acted upon it.

      Ms. Thomsen, who received Mr. Parmigiani’s materials and discussed their content with him, left the S.E.C. this month after being criticized for failing to pursue enforcement cases and tips assiduously. Robert Khuzami, a former federal prosecutor in Manhattan, was appointed to succeed her as director of enforcement last week. Lehman Brothers filed for bankruptcy in mid-September, a victim of the credit crisis.

      Mr. Grassley has been frustrated by the S.E.C.’s response to insider trading allegations before. In 2006, investigators for Mr. Grassley aggressively pursued accusations made by Gary Aguirre, a former staff lawyer at the S.E.C., that his superiors had thwarted his attempts to investigate possible insider trading at Pequot Capital Management, a major hedge fund, and then fired him when he complained.

      The S.E.C.’s investigation into Pequot was closed in 2006 without any actions taken. But a 108-page report issued by the Senate Finance and Judiciary Committees in 2007 found that agency officials had bungled the Pequot investigation by delaying it, by disclosing case information to lawyers for those under scrutiny in the case and other missteps.

      The office of the inspector general at the agency also investigated Mr. Aguirre’s allegations. In a report issued last year, it concluded that enforcement officials involved in the matter “conducted themselves in a manner that raised serious questions about the impartiality and fairness of the insider trading investigation.”

      http://www.nytimes.com/2009/02/23/business/23hedge.html?_r=1&ref=business

    42. Fintas says:

      Snow flakes work over time. And if there were lots of time I’d say yes. Unfortunately as we all know who have been watching or participating for the last 2/8/11/21/28 years, it isn’t about coercing others to do the right thing. Unless one is a sociopath, one KNOWS what they are supposed to do. It is simply a matter of doing it. Each individual can continue to write their emails, send their letters and educate their friends and associates. Yet the simple truth is, ONE RIGHTEOUS person in POSITION can lead this nation out of this. Will SHE? WILL HE? Oh they KNOW who they are. And they KNOW what they are supposed to do. And accountability awaits all who do NOT do what they are supposed to do. Those who have stroke or who have ever had stroke understand what I’m saying. Now where is she or he or perhaps THEM that will end this nefarious behavior. Until though we will be subjected to the smoke and mirrors or a Madoff or a change at the SEC and the use of words to distract the masses. Yet those who KNOW understand it’s a Kansas City Shuffle. The stakes and consequences are too high to be stupid unless one is on side of the miscreants. Maybe TODAY will be the day and if not maybe tomorrow. Until though as Dino used to say. keep sending those cards and letters , SMILE

    43. mhelburn says:

      We need to roll all of the lawmakers and take them off the public dole. They have failed. Some of the good ones would get thrown out, too. Why should they get guaranteed pensions when they failed to protect SS and other pensions?

      Eliminate lobbying.. and re-instate the Constitution.

    44. Judd Bagley says:

      Sammy,
      It looks like your posts were getting flagged as spam because they contained the word “socialism” and our spam filter auto-rejects any post with the word “Cialis” in it (see…you can’t spell soCIALISm without Cialis..ha ha).

    45. Anonymous says:

      “Documents and Command Center Destroyed

      At the time of its destruction, Building 7 housed documents relating to numerous SEC investigations. The files for approximately three to four thousand cases were destroyed, according to the Los Angeles Times. Among the destroyed documents were ones that may have demonstrated the relationship between Citigroup and the WorldCom bankruptcy. 2

      Perhaps even more interesting than the loss of these case files is the fact that WTC 7’s collapse destroyed the OEM’s command center on the 23rd floor. ”

      http://911research.wtc7.net/wtc/analysis/wtc7/index.html

    46. Ted says:

      Judd, that’s funny.

      Is it possible to loosen the spam filter to allow more links in a post?

    47. Feedchipper says:

      Wouldn’t it be better for those leaving comments to provide links to articles rather than pasting them here in their entirety? Also, the multiple posters are becoming monotonous, as are those who stray waaaay off topic. The end result of all this is to dilute the pertinent information and make it difficult to find in the mile-long comments section. I think some discipline and perhaps some editing is called for… at least I’m calling for it!

      Thanks as always to all our brave DC heroes.

    48. Anonymous says:

      Feedchipper,
      Sadly, all the information is very much on topic. That is the point in all this to show just how MASSIVE this issue is and to show all the rabbit holes it takes. Yes, 9/11 attacks does involve massive stock manipulation and cover up just as the recent crash does. It all involves enemies within. Imagine how just by chance the SEC records were wiped out in the the mist of the Worldcom (largest bankruptcy ever) investigation? Massive amounts of GOLD under the WTC had been looted, during the same time people were trying to take physical possession of gold they held in stock, ( which did NOT exist because of naked short selling) at the same time deregulation of these institutions was happening. A much needed market crash was in order, but, there would be no other way to make this happening unless a specular event occurred like 9/11 because there once was an SEC who gave a damn with more Gary Aguirre types and less Thomsen/Schapiro types until they were made to back off by the JUICE IN WALL STREET.

    49. Atlantic says:

      Ladies & Gentlemen. One more time. Yesterday – Banco Ambrosiano. Today – Clearstream. Almost every elected U.S. official has accepted PAC money via UBS Antiguas; according to opensecrets. With no uptick rule, the DTCC mess & Naked Shorting; the game is almost complete. And the Phibro LLC contango will make sure that no American can afford to drive to the much needed protest. Use your vote wisely, while it still counts.

    50. Judd Bagley says:

      Ted,
      The current limit is three links because spammers (whose bots try to post here literally thousands of times each day) seem to prefer four links per comment.

      If we move it up, you’ll be wading through a sea of offensive junk comments.

      So, if you need to include more than three links, please consider breaking your comment up into more than one.

    51. Anonymous says:

      Look at the UBS Lawyers statement….now if that is not saying what we are doing here is illegal, I do not know what is.
      Even more the reason to go after the client list….UBS’s on lawyer is making ADMISSIONS here.

      http://news.yahoo.com/s/ap/20090223/ap_on_bi_ge/ubs_secrets

      “Such violations would expose these (UBS) employees to substantial prison terms, as well as fines, penalties and other sanctions,” the UBS lawyers said in a court filing last week. “There is simply no reason to have, nor equity in having, such an expedited process here.”

    52. sean m zacharie says:

      Now this is what I calINTERESTING and I would love to see the spin on this!!It is Un-spinnable in my opinion.

      http://www.foxbusiness.com/video/index.html?

    53. sean m zacharie says:

      Feedchipper I agree with you 100% we need to concentrate on staying more on topic!!!

    54. RMR says:

      more snowflakes:

      Kucinich on Stanford Group fraud: SEC told to “stand down”..

      watch the video at:
      http://theamericanzombie.blogspot.com/2009/02/if-i-could-get-inside-one-mans-head.html

      Has Deep Capture made direct contact with/ determined whether Kucinich (and other pols) understand the role NSS plays in destroying US financial base?

    55. Fred says:

      When Markopolos testified, he mentioned he was going to meet the SEC that week with information about another scam. What did he tell the SEC?

    56. iStandUp says:

      RMR,

      The video clip you referenced is powerful. Rep Dennis Kucinich as Chairman of the Domestic Policy Committee is looking into reports that the SEC in 2006 was told to stand-down and NOT move against the Stanford Group.

      This looks bigger than a snow flake!

    57. sean m zacharie says:

      Fred , I have a funny feeling in my gut it was Stanford.!!!

    58. Anonymous says:

      I can almost tell you what will be said about the “stand down” statement. The SEC will say they were told to stand down by the FBI, and the FBI will say they were heavily into investigations of drug trafficking and money laundering by the Mexican Cartel as it connected to Stanford and they did not want to jeopardize their investigation.

    59. Sammy says:

      We need to fight these initiatives:

      The Alternative Investment Management Association (AIMA) has gone on the offensive, introducing several initiatives aimed at forestalling wide scale global intervention in the hedge fund industry.

      http://www.hedgefundsreview.com/public/showPage.html?page=841568

      The policy positions include regular reporting and increased transparency of systemically significant positions and risk exposures by managers of large hedge funds to national regulators, an aggregated short position disclosure regime to national regulators, support for policies to reduce settlement failure, including naked short selling, and support for a global manager-authorisation and supervision template based on the UK regulator’s model.

    60. Sammy says:

      It’s a common industry trick. If you see you are about to be regulated, lobby for regulation you’ve written yourself, which is full of loopholes. It placates the politicians and you can continue business as usual.

    61. sean m zacharie says:

      JPM’s Insiders Trading Suspected
      Feb. 23 (Bloomberg) — JPMorgan Chase & Co., the second- largest U.S. bank, slashed its dividend by 87 percent to 5 cents and said it plans to maintain that level “for the time being.” The bank and its predecessors haven’t cut the dividend since 1990. …

      Source: http://www.bloomberg.com/apps/news?pid=20670001&refer=home&sid=aDh7NR3XwXNA

      Now let us take a look at the very recent JPM’s option trading pattern:

      Note how the put/call ratio was at the 90 percentile reading on Feb. 20. Shouldn’t the SEC examine the possibility of insider’s trading at JPM?

      Cheers,

      I found this on the NOVS board on Investorsvillage. I will post link to post in short order as the graph is not copying to the DC website!!

    62. sean says:

      No commenta about the Fox item about the AIG debacle?

    63. Anonymous says:

      What a ticking time bomb. Ben Bernancke :

      http://rawstory.com/news/2008/Bernanke_Reasonable_prospect_recession_will_end_0224.html

      This is laughable. We are in far worse heading to a financial meltdown greater that the Great Depression ever was. Why does BB need to paint such a rosy recession recovery time ? To prop up the dollar so people will not demand the delivery of physical gold which has been naked short sold just like the market as a whole. There is NOT nowhere the amount of physical gold (naked short sold) as what is actually on hand. Many hold IOU’s for non existent Gold. What a mess, What a mess !!!

    64. Deflation Sucks says:

      I hate to side with the banksters for once, but 1929 was a deflationary spiral. There literally wasn’t enough money in the system to fund transactions, so like a game of musical chairs, there weren’t enough seats to go round. If companies can’t borrow or raise money to grow, because that money doesn’t exist, the economy grinds to a halt and everyone becomes unemployed.

      I am vehemently opposed to bailouts as I think failed enterprises should be allowed to fail and anti trust laws should ensure no entity becomes “too big to fail”, but it is right to put cash into the system right now.

      That’s the thing they should have done in 1929.

      I’d sooner see them do it through infrastructure spending, government loans to small enterprises or even having the government write checks to the population as tax rebates or something, but people need to have access to cash. The last place to send it is to the car companies and banks, which should all be allowed to go bankrupt (think of the flurry of Silicon Valley activity if electric car start up companies didn’t have to compete with government subsidized monoliths like GM).

      There is no free lunch and the result will be inflation and debasement of the currency, but the pain of inflation and currency devaluation, where everyone is fully employed is better than one where people can’t feed their kids.

      For the banksters responsible for this mess, they need to abolish privately owned central banks and privately owned depositories and arrest the thieves and charge them with treason.

    65. Deflation Sucks says:

      I can only say it’s too bad they removed the death penalty.

      http://en.wikipedia.org/wiki/Treason#United_States

    66. Anonymous says:

      Since the regulators have severly failed in their duties, they have no choice but to listen to the lone voices who cried foul for many years. There is a new POLICE is in town…will the regulators embrace them (whistleblowers) or once again be captured by the “JUICE” on Wall Street?

      http://www.time.com/time/business/article/0,8599,1881318,00.html

    67. Anonymous says:

      Who does the SEC really work for?

      http://www.investigatethesec.com/drupal-5.5/?q=node/606

      “During the hearing, Congressman Lynch said that current and former SEC employees complained to him about the existence of a “hotline” used by Wall Street firms to call directly to top SEC officials to “stop an investigation or slow it down.”

    68. Anonymous says:

      Whom ever manned the Wall Street Hotline for the SEC needs to be investigated. It would be this person who wheeled and dealed to either halt an investigation, or simply give the WS company a slap on the wrist. Funny thing is, it almost sounds like this line was used to tell the SEC, this is what we are willing to pay in fines. Take it or leave it. Follow the phone records into this SEC/Wall Street hotline and see who came a calling. There you will find your culprits and their inside person in the SEC.

    69. Anonymous says:

      Stanford Had Links to a Fund Run by Bidens

      FEBRUARY 24, 2009
      By SUSAN SCHMIDT, STEVE STECKLOW and JOHN R. EMSHWILLER
      http://online.wsj.com/article/SB123543815326954907.html#

    70. Anonymous says:

      Officials Asked to Return Contributions

      FEBRUARY 24, 2009
      By PETER LANDERS
      http://online.wsj.com/article/SB123544259207255663.html

    71. Anonymous says:

      List of politicians who were asked to return campaign contributions

      Sen. Bill Nelson: $45,900

      Pete Sessions: $41,375

      Sen. John McCain: $28,150

      Sen. Chris Dodd: $27,500

      Sen. John Cornyn: $19,700

      Sen. Charles Schumer: $17,000

      Rep. Charlie Gonzalez: $15,500

      Rep. Gregory Meeks: $15,100

      Rep. Pete Olson: $14,500

      Sen. Richard Shelby: $14,000

      Rep. Charles Rangel: $11,800

      Sen. Roger Wicker: $8,800

      Sen. Harry Reid: $8,500

      Sen. Jack Reed, $7,000

      Sen. Hillary Clinton: $6,900

      Sen. Orrin Hatch: $6,100

      Sen. Patty Murray: $6,000

      Rep. John Boehner: $5,000

      Delegate Donna Christian-Green: $5,000

      Rep. Donald Payne: $5000

      Sen. Jay Rockefeller: $5,000

      Rep. Dan Maffei: $4,550

      Rep. Michael Acuri: $4,000

      Rep. Richard Neal: $4,000

      Sen. Dick Durbin: $3,500

      Sen. Tim Johnson: $3,500

      Sen. Susan Collins: $2,500

      Rep. David Camp: $2,500

      Rep. Paul Kanjorski: $2,500

      Sen. Mary Landrieu: $2,500

      Sen. Mitch McConnell $2,500

      Rep. Adam Putnam: $2,500

      Rep. John Boccieri: $2,300

      Rep. Deborah Halvorson: $2,300

      Rep. Walter Minnick: $2,300

      Rep. Spencer Bachus: $2,000

      Rep. Joe Barton: $2,000

      Rep. Kevin Brady: $2,000

      Sen. Robert Menendez: $2,000

      Rep. Randy Neugebauer: $2,000

      Rep. Lamar Smith: $2,000

      Rep. Patrick Tiberi: $2,000

      Sen. Max Baucus: $1,000

      Rep. Marsha Blackburn: $1,000

      Rep. Barney Frank: $1,000

      Rep. Jack Kingston: $1,000

      Rep. Rubin Hinojosa: $500

      Sen. James Inhofe: $500

      Rep. Jean Schmidt: $500

      Sen. John Thune: $500

      Sen. David Vitter: $500

      Rep. Gregg Harper: $250

      Sen. Tom Udall: $250

    72. Anonymous says:

      Why is the 3rd largest ( recipient ) of Stanford money not on this list?

      President Barak Obama

    73. Anonymous says:

      This could be a mess. Supposedly they gave this money to charity? Now the Receiver is coming for it. Does this mean the Charities have to now fork over the money to the Stanford receiver?

      http://uk.reuters.com/article/UKNews1/idUKTRE51I7NK20090219

    74. Laundromat says:

      Sir” Allen Stanford appears to be yet another multi-billion dollar cog in a network of off-shore banks, corporate contrivances, and folding tent operations. Although Stanford is being investigated for a $8 billion fraud scheme, the U.S. Attorney for the U.S. Virgin Islands, where Stanford has “extensive” holdings on the island of St. Croix, told the Associated Press that the Obama Justice Department is “not actively pursuing” Stanford.

      http://atheonews.blogspot.com/2009/02/stanford-cog-in-us-intelligence-dirty.html

    75. Laundromat says:

      The reason this is so hard to clean up is that the dirty dealings probably tie into national security issues.

      http://www.fas.org/irp/congress/1992_rpt/bcci/11intel.htm

      BCCI was tied to the CIA and it appeared that private individuals in the intelligence community used official secrecy to profit personally. An organization like BCCI is required to launder money.

      Imagine you were involved in the missing billions in reconstruction money in Iraq. You need something like BCCI or naked shorting to launder your ill gotten gains.

      Notice Adnan Khashoggi’s section at the bottom of this article, then remember that he was behind the failure of MJK Clearing, through Valarie Redhorse, Michael Milken’s former office manager.

      Then remember how Refco was brought down when Yasser Arrafat died.

      http://www.rgm.com/articles/refco4.html

      Bawag’s hidden dealings also included an investment company founded by the late Palestinian leader Yasser Arafat, more than $1.3 billion in secret hedge fund losses and a tangle of Caribbean holdings, including phantom bonds Bawag used to disguise bad loans as an investment the bank valued at 350 million euros ($443 million).

    76. Dr. Jim DeCosta says:

      Here’s a link to a paper I just filed with the SEC.Try to gain an appreciation for how powerful “self-generated leverage” really is. It creates a self-fulfilling prophecy namely that if you just keep naked short selling and refusing to deliver that which you sell then you automatically get all of the money of the investors that unknowingly bought fake shares from you. There is no risk whatsoever as long as the DTCC management can be counted on to pretend to be “powerless” to buy-in the resultant “failures to deliver” (FTDs). This version only has 3 of the 83 suggestions made in the larger version.

      http://www.sec.gov/comments/s7-30-08/s73008-77.pdf

    77. Fintas says:

      Dr Jim DeCosta. THANK YOU for your contributions and hard work. IT IS APPRECIATED!.

    78. JimH says:

      The cabal watches over its own…

      SEC?

    79. JimH says:

      Weiss at it again. Unfortunately, no ‘comments’ link to excoriate him:

      http://seekingalpha.com/article/122476-overstock-com-ceo-no-longer-a-risk-factor

    80. sean says:

      Thought you guys might like to see that our Judicial system has been captured too, by the very lawyers that committed the crimes we write about. This is a sad day in this country when this happens and no one sees a conflict of interest!! Read and weep!!

      Plaintiffs lawyers seem to operate on a different ethical plane than mere mortals, in case you hadn’t noticed. Consider the latest news from the notorious Milberg law firm.

      The class-action giant only last year settled a federal indictment over charges it had run a 30-year kickback scheme. The firm paved the way for this nonprosecution agreement by repudiating three partners — Melvyn Weiss, David Bershad and Steven Schulman. Milberg claimed it had been in the dark as to their “illegal activities,” and all three men later pleaded guilty to felonies.

      The Opinion Journal Widget
      Download Opinion Journal’s widget and link to the most important editorials and op-eds of the day from your blog or Web page.

      Only later did we learn and report that Milberg the law firm had agreed to pay indicted partner Melvyn Weiss a slice of the firm’s future lawsuit winnings, and was also picking up his legal fees. The supposedly remorseful firm made sure its founding felon would receive this cash even if he went to prison — which he did. The Justice Department later admitted it had inexplicably sanctioned this sweetheart deal.

      Meantime, as a felon, Melvyn Weiss had to obtain court approval for any fees for legal services he provided. In July of 2008, New York Supreme Court Judge Herman Cahn was asked to pronounce judgment on the Milberg payoff. A month later he agreed to let Melvyn Weiss have his booty, even as the judge acknowledged that law firms are generally barred from sharing legal fees with nonlawyers, and that Melvyn Weiss had forfeited his right to practice law.

      And now for the latest news: In December, Judge Cahn retired from the bench. Last week, the renamed Milberg LLP announced it had hired a “distinguished” new attorney: Herman Cahn. In its press release, the firm listed his most notable cases, though omitting any on which he’d ruled on its behalf.

      To recap: A class-action firm’s name partners are nailed in a 30-year fraud. Class-action firm rewards lead perpetrator with share of future earnings. State judge sanctions the earnings deal. Class-action firm hires state judge. We’ll let our readers decide what they think of this “fact pattern,” as a plaintiffs lawyer might put it.

      Link: http://online.wsj.com/article/SB123552900194266313.html

    81. Anonymous says:

      Sean,
      Nothing surprises me anymore in a world of GREED and CORRUPTION and rules for US and rules for THEM.

    82. Kevin says:

      Little GW article. Not meaning to give the loser free press, but we should know what he’s saying so we can counteract it.

      http://seekingalpha.com/article/122476-overstock-com-ceo-no-longer-a-risk-factor

    83. Anonymous says:

      Kevin,
      Look closely at the Weiss article. There is no comment section. It is his side only. Imagine that !!

    84. Kevin says:

      Bobo suggested we call him “lil gw” rather than mention him by name, to not give him free press to sell his books. The guy makes sweeping generalizations, assassinates Patrick’s character, then provides little facts to back up his assertions.

      He’s to this day never explained what he was doing posting from deep within the DTC offices.

      I have to give Patrick a lot of credit to stand up to these creeps, despite the personal and corporate costs to him and his company.

      That’s the kind of courage that tells me that we will be successful in flushing the corruption from the clearing system.

      Patrick should demand Seeking Alpha give him a column to rebut.

    85. Kevin says:

      Jimh, sorry, I hadn’t noticed you had already posted the link.

    86. ron doc says:

      So free markets and Capitalism failed us?

      BS! WE HAVE BEEN RIPPED OFF FOR LONGER THAN WE KNOW! THERE HAS BEEN NO FREE MARKETS OR ACTUAL CAPITALISM FOR YEARS…IT HAS ALL BEEN A HUGE LIE!

      READ THIS:

      http://www.counterpunch.org/roberts02242009.html

    87. Dr. Jim DeCosta says:

      Sean,

      You think that judge’s going over to the dark side is bad you should see the fate of many legal cases filed against abusive naked short sellers. You sue the DTCC and NSCC for running their totally corrupt “Automated stock borrow program” (SBP) which serves to facilitate NSS attacks. Recall that the SBP allows the same “parcel” of shares which are unfortunately held in an untraceable “anonymously pooled” format at the DTCC to be replicated dozens of times over and simultaneously rented out to dozens of different short sellers.

      The SEC comes along and sends in an amicus brief stating that the SBP is just fine and dandy and that they, the SEC, approved of it many years ago. The SEC pleads with the judge not to let the case proceed into the discovery process. The judge swallows the argument and throws out the case because the “cop on the beat” even says that this obvious “counterfeiting” was OK.

      The DTCC then tells the plaintiffs to go after the clearing firms which are by the way NSCC “participants”. They’ll mention that they, the DTCC, are not responsible for any hanky-panky their participants are involved in via the ex-clearing world. We’re not cops for crying out loud; we are the administrators of a clearance and settlement system

      Then you sue the clearing firms involved for facilitating the attack on the corporation. The clearing firm says that we’re just a dumb clearing firm and that we’re not responsible for the crimes being committed by our “introducing” or “correspondent” broker/dealers. We’re not cops for crying out loud; we’re merely a clearing firm.

      Then you sue the broker/dealer pulling the trigger on the naked short sales. They claim that they’re not cops for crying out loud; go talk to the unregulated hedge funds that placed the sell orders. Besides, our clearing firm never even informed us that our client’s sell orders were resulting in delivery failures. Shame on those nasty hedge funds for using us as a conduit for their crimes.

      Then you go after the hedge funds who are operating out of banking secrecy tax havens only to find out that there is a daisy chain of nominee corporations that TECHNICALLY own that hedge fund. Tracing out the ownership would cost several million dollars so you drop the case.

      What’s reprehensible is that the reason you filed suit in the first place is because the SEC didn’t do its job as the head cop in addressing abusive naked short selling frauds as a means to provide their mandated “investor protection and market integrity”. Then once you do file your suit against the DTCC et. al. the SEC is there to shoot down your only other means to seek justice. It’s one issue not to provide the “investor protection” that Congress mandated you to provide but quite another to block off other efforts to seek justice that need to be made due to the “regulatory vacuum” you are responsible for. THESE ARE the only “securities cops” that can’t deny their being cops that are acting like this for crying out loud. Just think of what the really “bad guys” are up to if the cops are acting like this.

    88. ron doc says:

      In the following you may find that what we have forgot that has spawned many of our current problems.

      Thomas Jefferson in some cases could be called a prophet.

      When we get piled upon one another in large cities, as in Europe, we shall become as corrupt as Europe .
      Thomas Jefferson

      The democracy will cease to exist when you take away from those who are willing to work and give to those who would not.
      Thomas Jefferson

      It is incumbent on every generation to pay its own debts as it goes. A principle which if acted on would save one-half the wars of the world.
      Thomas Jefferson

      I predict future happiness for Americans if they can prevent the government from wasting the labors of the people under the pretense of taking care of them.
      Thomas Jefferson

      My reading of history convinces me that most bad government results from too much government.
      Thomas Jefferson

      No free man shall ever be debarred the use of arms.
      Thomas Jefferson

      The strongest reason for the people to retain the right to keep and bear arms is, as a last resort, to protect themselves against tyranny in government.
      Thomas Jefferson

      The tree of liberty must be refreshed from time to time with the blood of patriots and tyrants.
      Thomas Jefferson

      To compel a man to subsidize with his taxes the propagation of ideas which he disbelieves and abhors is sinful and tyrannical.
      Thomas Jefferson

      Very Interesting Quote

      In light of the present financial crisis, it’s interesting to read what Thomas Jefferson said in 1802:
      ‘I believe that banking institutions are more dangerous to our liberties than standing armies. If the American people ever allow private banks to control the issue of their currency, first by inflation, then by deflation, the banks and corporations that will grow up around the banks will deprive the people of all property until their children wake-up homeless on the continent their fathers conquered.

      ‘WE ARE ALMOST THERE

    89. sean says:

      Dr. DeCosta, the question that I have always had in the back of my mind you have brilliantly answered today and that is “Why has’nt anyone ever sued the SEC and won?” Your answer was what I needed to know and now everyone else will know it too!!Thanks again so much for your expertise in this area, to me it is second to none!!! Also for the rest of our interested viewer and you Anon, here we go again…

      Futures traders charged in alleged $1.3 bln scam
      CFTC says Walsh, Greenwood siphoned money for teddy bears, horses

      http://www.marketwatch.com/news/story/CFTC-charges-futures-traders-alleged/story.aspx?guid=%7B9A86FE3C%2D56D8%2D4D39%2DBA84%2DA2EEE41395F0%7D&dist=hplatest&dist=hplatest

    90. sean says:

      OUR ENTIRE CAPITAL MARKET SYSTEM IS CORRUPT AND A SCAM OR PONZI SCHEME AND NO ONE CAN TELL ME DIFFERENT!!! And there is nothing that we can do about it!! (Sorry about the caps I am just mad as hell!!!)

    91. Anonymous says:

      Sean,
      We keep pluggin and pluggin until we make the masses understand just what is happening. The first step is to understand BOTH political parties are to blame. That has to be realized so the separation does not exist. As long as we are divided, we fall. As long as we keep showing this is A Political and more about the redistribution of wealth by the haves against the have nots. There is a reason the haves acquire their wealth, by inacting laws against the have nots while we are robbed blind right under our noses. Secondly, we need to keep exposing how the law only applies to the have nots. Then continue to educate ourselves while trying to educate to the masses. With the computer, the chance of reaching the masses is greater unless of course our freedom as Americans continue to be violated and lost along the way and then there will be no more CPU. Don’t think that can’t happen. The CPU was instrumental for the Crooks to get richer, as it was for the ordinary citizens to get educated. Time will tell what hard work accomplishes. I NEVER say can’t…neither should you.

    92. Dr. Jim DeCosta says:

      NO YOU DON’T “HAVE TO” STEAL INVESTOR FUNDS

      Do you remember the “CRA” or “Community Reinvestment Act”? Wikipedia summarizes it thusly: “The Community Reinvestment Act of 1977 seeks to address discrimination in loans made to individuals and businesses from different areas or neighborhoods and mandates that all banking institutions that receive FDIC insurance be evaluated by the relevant banking regulatory agencies to determine if the institution has met the credit needs of its entire community in a manner consistent with safe and sound operations.”

      Opportunistic mortgage market intermediaries took this “legal backstop” and converted it into untold wealth and even greater systemic risk ramifications by allowing U.S. citizens to get way over their heads financially on houses they knew they couldn’t afford. The systemic risk implications didn’t seem to be of concern to these mortgage market intermediaries whose “earnings” were privatized as the predictable losses associated with the inevitable defaults became socialized. Why did they do it? They (theoretically) “had to” do it because of the CRA!

      Unfortunately the same “legal backstop” approach seems to be in evidence in the abusive naked short selling (ANSS) community. Several years ago a small U.S. corporation known as “Nanopierce” filed suit against the DTCC for abusive naked short selling crimes. As is their tendency when ANSS frauds are in danger of being revealed through the legal “discovery” process the SEC ran to the aid of the DTCC by filing an “amicus brief” in defense of the DTCC’s actions. In the brief the SEC lawyers made some rather interesting comments to the appellate court judge involved in the case. They include:

      “The fact that a broker-dealer that is an NSCC member fails to receive
      securities that it purchased on behalf of a retail customer does not mean that the customer’s purchase is not completed until the member’s failure to receive is cured. Under Article 8 of the Uniform Commercial Code, a securities broker-dealer may credit a customer’s account with a security even though that security has not yet been delivered to the broker-dealer’s account by NSCC. In that event, the customer receives what is defined under the Uniform Commercial Code as a “securities entitlement,” which requires the broker-dealer to treat the person for whom the account is maintained as entitled to exercise the rights that comprise the security. See UCC Sections 8-104, 8-501.”

      There’s your (theoretical) “legal backstop” for abusive broker/dealers: “We (theoretically) HAVE TO treat the person for whom the account is maintained as entitled to exercise the rights that comprise the security”. This is just like how the mortgage brokers (theoretically) “HAD TO” place systemic risk implications beyond imagination on the shoulders of the public by putting people into houses they obviously couldn’t afford.
      The mindset that the above misrepresentation of the truth gives rise to is since we DTCC “participants” are generously entitling the buyers of these mere “securities entitlements”/IOUs to exercise all of the rights that comprise the security THEN WHAT’S THE BIG RUSH IN GETTING THE SECURITIES DELIVERED ON TIME IF AT ALL.

      ANSWER TO QUESTION: IT’S BECAUSE THE ACCUMULATION OF ALL OF THESE “SECURITIES ENTITLEMENTS” PUTS THE SHARE PRICE OF THE CORPORATION UNDER ATTACK INTO A “DEATH SPIRAL” AND IN A CLEARANCE AND SETTLEMENT SYSTEM ILLEGALLY CONVERTED TO A FOUNDATION OF MERE “COLLATERALIZATION VERSUS PAYMENT” OR “CVP” THIS RESULTS IN THE PURCHASER’S FUNDS UNCONSCIONABLY FLOWING INTO THE WALLETS OF THOSE CONTINUALLY REFUSING TO DELIVER THAT WHICH THEY SOLD. THAT’S WHAT THE “BIG RUSH” IS ALL ABOUT!

      The only problem in regards to abusive naked short selling frauds is that UCC Sections 8-104 and 8-501 say nothing of the sort cited. We’ll discuss that aspect later. The take away is that the mindset of some of the SROs and regulators as well as crooks is this: SINCE the buyers of failed to be delivered securities are allowed to exercise the associated rights comprising that security THEN failing to deliver the securities sold in a timely manner if at all is no big deal because after all this abusive naked short selling injects all of this wonderful “liquidity”.

    93. Dr. Jim DeCosta says:

      By the way there is no such legal entity as a “customer’s purchase being completed”. The trade either legally “settled” or it didn’t. “Settlement” necessitates the “good form delivery” of that which the buyer thought he was purchasing in exchange for the buyer’s funds. The DTCC’s congressional mandate is to “promptly settle” all securities transactions as per Section 17 A of the ’34 Act. The “prompt completion of a customer’s purchase by sandbagging him with a monthly brokerage statement “implying” that what he bought got delivered” isn’t part of any of the 7 securities acts to my knowledge but I’ll keep looking.

    94. Anonymous says:

      Dr. Jim DeCosta,
      You need to hook up with a few Washington elites who are willing to listen and have less blood on their hands. Know any ? You could truly enlighten Congress/Senate on what the Hell has been going on. Perhaps this is over their heads and they are guilty by association? I want to see you in Washington….

    95. Dr. Jim DeCosta says:

      The trouble with UCC-Article 8 which permitted the granting of “securities entitlements” to the purchasers of yet to be delivered shares is that it was done in an open-ended fashion. It should have specified that these “securities entitlements” officially expire perhaps 3 days after the previously agreed to “settlement date” (T+3). Upon expiration the party with the congressional mandate to “promptly settle” all securities transactions (NSCC management) will then buy-in the yet to be delivered shares and promptly forward them to the purchaser.

      Congress’s intent for the timeframe of “prompt settlement” would then match with the lifespan allotted to a “securities entitlement” before a buy-in is mandated.

      The trouble is that the financial beneficiaries of these thefts are the NSCC “participants” which are the bosses of the NSCC management. The authors of UCC-8 did, to their credit, add UCC 8-104 which says that it’s OK to grant “securities entitlements” but don’t you dare grant so many that the number of mere “securities entitlements” plus the number of “shares outstanding” exceeds the # of shares that the corporation involved has “authorized” per its “Charter” or “articles of incorporation”. But nobody is allowed to keep a tally of “securities entitlements” already in existence because it would give away the “rigged” nature of our markets and nobody with an IQ greater than their shoe size would participate in our markets.

    96. Anonymous says:

      ‘There will be blood’
      Harvard economic historian Niall Ferguson predicts prolonged financial hardship, even civil war, before the ‘Great Recession’ ends

      http://www.theglobeandmail.com/servlet/story/RTGAM.20090223.wferguson0223/BNStory/crashandrecovery/home

    97. sean says:

      Now I woud ike to see this ind of outrage against UBS in the U.S. since they have been a significant player in the Naked Shorting debacle!!

      Luxembourg attacks UBS over Madoff fund
      http://www.ft.com/cms/s/0/ed034050-0378-11de-b405-000077b07658.html?nclick_check=1

      Luxembourg attacks UBS over Madoff fund

      By Stanley Pignal in Brussels and Brooke Masters in London

      Published: February 25 2009 20:37 | Last updated: February 25 2009 20:37

      UBS, the Swiss bank, was accused of “serious failure” by Luxembourg’s financial regulator over its custodianship of a $1.4bn fund that funnelled money into Bernard Madoff’s alleged $50bn “Ponzi” scheme.

      The regulator ordered the bank to pay compensation, saying the “poor execution of its due-diligence obligations constitute a serious failure of its surveillance role as a depositary bank.”

      The Commission de Surveillance du Secteur Financier gave the Swiss bank’s local arm three months to pay compensation for its failures and improve procedures and structures.

      The CSSF has already moved to shut down the fund, Luxalpha, but Wednesday’s public denunciation UBS was highly unusual, legal experts said.

      It comes as the Grand Duchy fights charges that investors in Luxembourg are less protected than in other EU countries. Many Luxalpha investors were French.

      UBS said it was “unfair” to blame the bank. An official said: “The investors in Luxalpha were sophisticated and explicitly agreed that the safekeeping of the securities was Madoff’s responsibility and not UBS’s.”

      However she added that UBS remained “keen to continue to co-operate with the authorities.”

      People familiar with CSSF’s negotiations with the Swiss bank said the regulator had been pushing hard for compensation.

      UBS officials have sought to minimise the bank’s role in the Luxalpha feeder fund, saying the bank never actively marketed or recommended the fund.

      Luxalpha was set up in 2004 at the request of a group of investors who already had money with Mr Madoff and wanted to hold their investments through a Luxembourg fund.

      As custodian, it earned fees of less than one hundredth of one per cent, said officials familiar with the arrangement.

      Luxalpha’s Direct investors were required to sign a subscription form that said “the risk of loss of the assets following a default (even if unlikely) of the US registered broker-dealer is borne entirely by the shareholders.”

      Since Mr Madoff’s arrest in December, Luxembourg has been forced to rebuff suggestions that lax regulation has underpinned the success of its financial centre.

      Christine Lagarde, the French finance minister, pointed the finger at Luxembourg last month for its application of EU rules designed to protect investors by placing a regulatory duty on the fund’s depositary bank.

      In a letter to the European Commission, copied to Luxembourg’s prime minister, she argued that “the protection of investors varies from one country to another”, a suggestion Luxembourg’s authorities were quick to rebut.

      A lawyer close to the matter said: “Basically, the blame will either fall on UBS as the depositary bank, or it will fall on the regulator for not doing their jobs.

      “The only way for [Luxembourg] to rebuff French claims is for UBS to take at least a portion of the blame.”

    98. iStandUp says:

      Here is message I put together to respond to those online who seek to discredit anyone who speaks about the WALL STREET COUNTERFEIT MACHINE….

      Everyone should feel FREE to use it as is or modify it…. Also feel free to offer suggestions for improving it…..
      —————————————–
      You need to educate yourself about the WALL STREET COUNTERFEIT MACHINE that has been stealing our money for many years and continues to do so.

      Here is a letter to the SEC by an Expert on Abusive Naked Shorting (Counterfeiting) that is entitled,

      THE “SELF-GENERATED LEVERAGE” (SGL) ACCESSIBLE IN A CLEARANCE AND SYSTEM SYSTEM ILLEGALLY BASED UPON MERE COLLATERALIZATION VERSUS PAYMENT (CVP):

      ( http://www.sec.gov/comments/s7-30-08/s73008-77.pdf )

      This same expert, Dr. Jim DeCosta, explains HOW the SEC PROTECTS the WALL STREET COUNTERFEIT MACHINE:

      “You sue the DTCC and NSCC for running their totally corrupt “Automated stock borrow program” (SBP) which serves to facilitate NSS attacks. Recall that the SBP allows the same “parcel” of shares which are unfortunately held in an untraceable “anonymously pooled” format at the DTCC to be replicated dozens of times over and simultaneously rented out to dozens of different short sellers.

      The SEC comes along and sends in an amicus brief stating that the SBP is just fine and dandy and that they, the SEC, approved of it many years ago. The SEC pleads with the judge not to let the case proceed into the discovery process. The judge swallows the argument and throws out the case because the “cop on the beat” even says that this obvious “counterfeiting” was OK.

      The DTCC then tells the plaintiffs to go after the clearing firms which are by the way NSCC “participants”. They’ll mention that they, the DTCC, are not responsible for any hanky-panky their participants are involved in via the ex-clearing world. We’re not cops for crying out loud; we are the administrators of a clearance and settlement system

      Then you sue the clearing firms involved for facilitating the attack on the corporation. The clearing firm says that we’re just a dumb clearing firm and that we’re not responsible for the crimes being committed by our “introducing” or “correspondent” broker/dealers. We’re not cops for crying out loud; we’re merely a clearing firm.

      Then you sue the broker/dealer pulling the trigger on the naked short sales. They claim that they’re not cops for crying out loud; go talk to the unregulated hedge funds that placed the sell orders. Besides, our clearing firm never even informed us that our client’s sell orders were resulting in delivery failures. Shame on those nasty hedge funds for using us as a conduit for their crimes.

      Then you go after the hedge funds who are operating out of banking secrecy tax havens only to find out that there is a daisy chain of nominee corporations that TECHNICALLY own that hedge fund. Tracing out the ownership would cost several million dollars so you drop the case.

      What’s reprehensible is that the reason you filed suit in the first place is because the SEC didn’t do its job as the head cop in addressing abusive naked short selling frauds as a means to provide their mandated “investor protection and market integrity”. Then once you do file your suit against the DTCC et. al. the SEC is there to shoot down your only other means to seek justice. It’s one issue not to provide the “investor protection” that Congress mandated you to provide but quite another to block off other efforts to seek justice that need to be made due to the “regulatory vacuum” you are responsible for. THESE ARE the only “securities cops” that can’t deny their being cops that are acting like this for crying out loud. Just think of what the really “bad guys” are up to if the cops are acting like this.”

      (Dr. Jim DeCosta Says:
      February 25th, 2009 at 12:26 pm )

      ( https://www.deepcapture.com/would-cnbc-le… )

      And here is second letter to the SEC which on page 13-22 is a description of,

      >>> THE ANATOMY OF A TRILLION DOLLAR HEIST <<<

      ( http://www.sec.gov/comments/s7-30-08/s73008-75.pdf )

    99. iStandUp says:

      Dr. Jim DeCosta,

      Thank you so very much for your continuing efforts to expose the WALL STREET COUNTERFEIT MACHINE, and for offering specific suggestions for shutting down this COUNTERFEIT MACHINE!!

      The time has come for me to starting creating an educational piece for the American public with our help and everyone else’s help.

      First, I need to get a better handle on two important terms:

      > CVP – COLLATERALIZATION VERSUS PAYMENT
      > DVP – Delivery VERSUS PAYMENT

      DVP is as I understand it means:

      In exchange for PAYMENT of purchased stock shares, I would receive DELIVERY of the stock shares………

      CVP is still fuzzy in my mind…. but I think it means:

      In exchange for PAYMENT of purchased stock shares, Wall Street takes my money and converts it into a monetary LOAN, which they can use for any purpose they want.

      Dr. DeCosta, please comment and correct any misunderstanding I have here.

      Thanks again for you continuing help.

    100. iStandUp says:

      For CVP, I should have added a few more words at the end….

      CVP is still fuzzy in my mind…. but I think it means:

      In exchange for PAYMENT of purchased stock shares, Wall Street takes my money and converts it into a monetary LOAN, which they can use for any purpose they want…

      —-vvv— ADD the Following —vvv—
      AND promise to DELIVER my purchased shares sometimes in an indeterminate FUTURE.

    101. davidn says:

      iStandUp, you’re basically right.

      Buyer sends purchase price to clearing house.

      Seller delivers 2% of the cost of the trade to the clearing house.

      The proceeds of the trade and the 2% of the cost of the trade (102%) sit there to collateralize the purchase and your brokerage gets interest on the money for not demanding that you get delivery.

      This collateral is marked to market each day, so as the share price declines, the seller is able to withdraw the money you paid for the purchase and spend it.

      Example:

      Stock is $1, collateral on 1000 shares is $1020 ($20 from the seller, $1000 from the purchaser).

      Stock falls to $.50, collateral is now only $510, seller gets to withdraw $510 even though he hasn’t delivered anything except the original $20 collateral.

    102. iStandUp says:

      Davidn,

      Is there a list of the clearing houses available?

      Can we find out from our brokerage company, who sends us a monthly brokerage statement, if they have demanded delivery or NOT?

    103. Davidn says:

      Here’s the list:

      http://www.dtcc.com/customer/directories/dtc/dtc.php

      So, to follow the trail, shares are registered to Cede & Co., a private partnership dating back to at least 1971. It appears at that time it was probably owned by the privately owned NYSE. Who knows who owns it now that NYSE is public.

      Cede & Co. is the nominee for the DTC who keeps track of the beneficial owners. From its point of view, those owners are the ones on the list in the link above.

      These owners holds claims on these shares in trust for your brokerage and your brokerage holds claims on these shares in trust for you.

      The failure can be at any one of these steps in this long chain of custody.

      Imagine a shareholder in Europe. Then the chain is:

      cede owes foreign depository owes foreign clearing house owes brokerage owes shareholders.

      Smart naked shorters do it from Europe or Asia, outside of regulators reach, but still pushing extra supply into the American market.

    104. Davidn says:

      Here’s where it is confusing. Your brokerage wouldn’t really demand delivery.

      It’s accepted practice for a brokerage to own less shares than their clients think they own. Looking for upstream fails, as long as your brokerage’s statement at the clearinghouse shows the shares are there, they believe they are there.

      They are in the same position as you. Who knows if the statement is valid or not?

    105. iStandUp says:

      Davidn,

      You stated above:

      “The proceeds of the trade and the 2% of the cost of the trade (102%) sit there to collateralize the purchase and your brokerage gets interest on the money for not demanding that you get delivery.”

      My brokerage is getting INTEREST on my money sitting in a Clearing House Bank?

      Does my Brokerage, who sends me monthly brokerage statements, KNOW if they are receiving INTEREST on my money?

    106. Anonymous says:

      What I find amazing is when you try to get physical delivery of your shares in a stock. Since they are suppose to be there, I though maybe it would take a week. Well, 9 weeks later…funny thing is, each time they ALWAYS blamed the TRANSFER AGENT……They let me know real quick in the eyes of the DTCC, the Broker was the owner (held in street name) and that you can not speak to anyone from the DTCC. The brokers are customers of the DTCC, and you are customers of the broker,..in other words, you spend 90% of your time on the phone with the broker who blames the transfer agent religiously, who blames the broker religiously.

    107. Anonymous says:

      Physical delivery via certificate form…..should be included in post 119.

    108. Anonymous says:

      Luxembourg regulator censures UBS over Bernard Madoff

      From The Times
      February 26, 2009
      Christine Seib in New York and Susan Thompson
      http://business.timesonline.co.uk/tol/business/industry_sectors/banking_and_finance/article5805583.ece

      UBS was accused of “serious failure” yesterday by Luxembourg’s financial watchdog as part of its investigation into investments that funds based in the country made in Bernard Madoff’s alleged $50 billion Ponzi scheme.

      Commission de Surveillance du Secteur Financier in particular emphasised the weak execution of the bank’s due diligence obligations over its custodianship of a $1.4 billion fund, Luxalpha, that invested in Mr Madoff’s scheme. The regulator deemed this a serious failing in the bank’s duties. It has given the bank three months to show it has put in place the infrastructure necessary to improve its procedures and structures and to pay compensation.

      UBS disagreed with the accusations and said it will defend itself vigorously. The Swiss banking giant added in a statement: “Documentation for the fund made it very clear the company was not expected to be responsible for the safekeeping of the assets. The fund documentation contained an explicit waiver to that effect. UBS does not have responsibility to these shareholders for the unfortunate results of the Madoff scandal.”
      ————

      American regulators charged four men with fraud yesterday over three separate alleged investment scams worth a total of nearly $700 million. It was the latest flurry of moves by the FBI and the Securities and Exchange Commission (SEC) after high-profile actions against Bernard Madoff and Allen Stanford, the Texan billionaire.

      More frauds are expected to come to light as the recession forces investors to withdraw money from funds, making it impossible for fraudsters to meet redemptions.

      John Pistole, the FBI’s deputy director-general, told Congress this month that the agency was investigating 38 possible corporate frauds directly related to the financial crisis.

      The US Attorney’s office in New York filed criminal charges yesterday against Paul Greenwood and Stephen Walsh, two New York fund managers. It is alleged that between 1996 and this month the men misappropriated about $554 million invested in their company, WG Trading Investors (WGTI).

    109. iStandUp says:

      Anonymous,

      FEBRUARY 24, 2009
      By SUSAN SCHMIDT, STEVE STECKLOW and JOHN R. EMSHWILLER
      http://online.wsj.com/article/SB123543815326954907.html#

      “A fund of hedge funds run by two members of Vice President Joe Biden’s family was marketed exclusively by companies controlled by Texas financier R. Allen Stanford, who is facing Securities and Exchange Commission accusations of engaging in an $8 billion fraud.

      The $50 million fund was jointly branded between the Bidens’ Paradigm Global Advisors LLC and a Stanford Financial Group entity and was known as the Paradigm Stanford Capital Management Core Alternative Fund. Stanford-related companies marketed the fund to investors and also invested about $2.7 million of their own money in the fund, according to a lawyer for Paradigm. …”

      QUESTION?????????????

      How many members of congress have personal money in Hedge Funds?

      Or Hedge Fund type investments?

      Does anyone know if this type of information is in the public domain?

      Or do members of congress have their money in trust funds, which can hide where the money is invested?

    110. iStandUp says:

      Here is a more detailed story about Biden’s Family connnections to Stanford:

      “Biden’s son, brother had business ties to Stanford empire
      By Carol Eisenberg
      February 25, 2009 at 8:55am

      Just when you thought R. Hunter Biden’s retirement as a lobbyist had removed the possibility his business dealings might embarrass his father, comes a report that he and his uncle had business ties with Texas financier R. Allen Stanford.

      The Wall Street Journal reported Tuesday that a fund of hedge funds run by Vice President Joseph Biden’s son and his brother, James, through New York-based Paradigm Global Advisers was marketed exclusively by companies controlled by Stanford….
      ……”

      ( http://news.muckety.com/2009/02/25/bidens-son-and-brother-had-business-links-to-stanford-empire/12061 )

      Go to this link and SEE an Interactive MAP of the connections… The story is also continued there…

    111. Anonymous says:

      iStandUp,
      I am most interested in how many members of the elite ( congress or not) have money over seas dodging taxes. I would think this $1.4 billion fund, Luxalpha, that invested in Mr Madoff’s scheme hold the name of some of the 52,000. I am of the opinion if people continue to pull their money out of the funds for the elite, inside or outside the USA, what we will see is more financial corruption than imaginable. Hopefully, the light will blind these crooks as their corruption opens up for the world to see. The only good thing about the economy crashing is the exposure of the crooks who managed to massively transfer wealth. There are a few more I am anxious to see unfold. A few who have been called out here.
      KEEP TAKING OUT YOUR MONEY SO THE WHITE COLLAR CROOKS ARE IDENTIFIED !!!

    112. Anonymous says:

      I am also interested in how much of the first TARP 350Billion went to some of our hedge fund guest that went largely without regulation. Think about it. You prop them up so the elite who has money with them does not LOSE their many millions. You can bet the MONEY the BIG BANKERS got was used to stabilize/aid and abet funds for our untouchables. Hide the crime by injecting tax payers dollars in these funds to protect the wealthy who are the only ones who can afford money in these funds. Time will tell who got what. Each dime is under scrutiny by the TAX Payers of America and better be accounted for.

    113. Dr. Jim DeCosta says:

      SHARE SWAP ACQUISITIONS “NSCC STYLE”

      To illustrate just how corrupt our DTCC-administered clearance and settlement system is take the case of “acquiringco” (“Aco”) a U.S. corporation that is taking over “beingacquiredco” (“Bco”) via a 1-for-1 share swap acquisition. Assume that both corporations have 100 million shares issued and “outstanding”. Let’s assume further that “Bco” currently has 80 million invisible “securities entitlements” in its share structure resulting from 80 million shares being in a failed to be delivered status that the NSCC has refused to buy-in. This means that the current shareholders of “Bco” have bought and paid for 180 million shares of “Bco”.

      All of these investors will receive monthly brokerage statements “implying” that the clearing firm of their broker/dealer (assuming that they are not “self-clearing”) is “holding long” the securities they purchased. They will have obviously been misled as there are only 100 million legitimate shares of “Bco” in existence.

      Once the transaction is approved by the vote of shareholders the transfer agent of “Aco” will send to the NSCC a certificate for 100 million shares of “Aco” to be distributed to the shareholders of “Bco”. This obviously will not be enough to pay off all of the investors in “Bco”. To address this disparity the NSCC management will allow their clearing firm “participants” to credit the accounts of their investors in “Bco” with 180 million “securities entitlements” in “Aco”.

      After the amalgamation the board of directors of “Aco” will think that there are now 200 million readily sellable shares of “Aco” in existence. They will be wrong as there are now 280 million readily sellable shares and/or readily sellable “securities entitlements” weighing down on the share price of “Aco”.

      Why didn’t the NSCC management or its participants warn the board of directors of “Aco” that there was quite a bit of invisible toxic waste in the shares structure of “Bco” that should have been brought to their attention? During the voting procedure why weren’t the shareholders of “Aco” allowed to learn the whole truth about this acquisition? Neither the NSCC management nor its participants could tell the truth because it would have exposed this entire “industry within an industry” on Wall Street involving the selling of nonexistent shares and refusing to deliver that which you sold in order to invisibly reroute the funds of U.S. investors into their own wallets

      Let’s go a step further, why were the shares of “Bco” sensed by “Aco” to be such a bargain. It’s because of the share price depressant effect of all of those readily sellable “securities entitlements” hidden in the share structure of “Bco”. Shares with massive amounts of unaddressed FTDs will be seen as wonderful bargains and acquired much more often than corporations without any. How many thousands of acquisitions being made by U.S. corporations have resulted in the acquiring company becoming severely but invisibly damaged because the NSCC management refused to buy-in the delivery failures of its abusive participants when it became perfectly obvious that they never had any intent whatsoever in delivering the shares they were selling. All U.S. investors and acquiring corporations have been relegated to be basically buying a “pig in a poke” in our markets due to this refusal to either promptly buy-in the FTDs or at least warn investors of their existence.

    114. sean says:

      Suprise, suprise the SEC was informed as early as 2003 by a whistleblower and NASD or FINRA ignored the warnings!! Now where have we heard this before? If there were only a pattern..

      SEC alerted about Stanford in 2003

      SEC alerted about Stanford in 2003

      By Robert Cookson and Michael Peel in London and Joanna Chung in New York

      Published: February 26 2009 19:30 | Last updated: February 26 2009 19:30

      A whistleblower contacted US regulators more than five years ago with allegations that Sir Allen Stanford’s businesses were involved in an “illegal Ponzi scheme”, the Financial Times has learnt, raising new questions about why authorities waited until last week to shut down the alleged $8bn fraud.

      Leyla Basagoitia, a former Stanford employee, raised a series of red flags about the tycoon’s empire in a 2003 employment dispute with her company at a tribunal run by the finance industry’s self-regulatory body. Ms Basagoitia also alerted the US Securities and Exchange Commission at about the same time, her lawyer said, echoing criticisms the agency ignored early warnings about the alleged $50bn Ponzi scheme run by Bernard Madoff.

      Ms Basagoitia told an arbitration panel at the National Association of Securities Dealers in October 2003 that she suspected that Stanford Group Company, one of Sir Allen’s key businesses, was “engaged in a Ponzi scheme to defraud its clients”, according to case documents seen by the FT. In 2007, the NASD became the Financial Industry Regulatory Authority, which has come under scrutiny since the Stanford allegations emerged.

      In a nine-point critique, Ms Basagoitia pointed to many concerns cited last week by the SEC in its charges against Sir Allen’s businesses, including allegations about the lack of a credible auditor, misselling of investment products and the promise of consistently high returns that did not “correspond to the reality of the markets”.

      Ms Basagoitia’s allegations were denied by Stanford and subsequently dismissed by the dispute resolution panel. In addition, she was ordered to pay Stanford $107,782 in damages, in repayment of a loan advanced to her while an employee of the company.

      Michael Falick, the lawyer who acted for Ms Basagoitia, described the outcome of the case as “very, very sad”. He added his client contacted the SEC with details of the alleged fraud in tandem with her NASD complaint.

      Mr Falick said: “It was really troubling, because the NASD was meant to be a regulatory body.”

      The SEC declined to comment on Ms Basagoitia’s case, although it said that it had begun investigating the Stanford empire in spring 2005, well over a year earlier than officials had indicated previously. Finra did not return a call requesting comment, while Ms Basagoitia could not be reached.

      The revelation marks another blow to US securities regulators, who have been hit with an avalanche of criticism since missing the alleged scheme perpetrated by Mr Madoff.

      http://www.ft.com/cms/s/0/148817be-043b-11de-845b-000077b07658.html?ncli

    115. Douglas says:

      Just wanted to post that the NY Times just printed an article in the business section

      “Elie Wiesel Levels Scorn at Madoff”

      By STEPHANIE STROM

      two of the panelists were Jim Chanos and Harvey Pitt (former chairman of the sec).

      Have they no shame

    116. Anonymous says:

      “Elie Wiesel Levels Scorn at Madoff”

      http://www.nytimes.com/2009/02/27/business/27madoff.html

    117. Anonymous says:

      http://online.wsj.com/article/SB123575572935295811.html

      Why’s buffet sleeping with the enemy? Buying Goldman and naked shorting treasuries?

      “But the U.S. Treasury bond bubble of late 2008 may be regarded as almost equally extraordinary.”

      In late September, he agreed to buy $5 billion of perpetual preferred stock with a 10% yield from Goldman Sachs, which was reeling after the collapse of Lehman Brothers Holdings Inc. Berkshire also received warrants to purchase Goldman common stock at $115 a share. While the vote of confidence in Goldman by the savvy investor temporarily helped stabilize the bank’s share price at around $120, since then Goldman’s stock has wilted to well below $100.

    118. Jason says:

      REDEMPTION!!! Congratulations Patrick Byrne!

      http://www.cnbc.com/id/15840232?video=1237183961&play=1

      Hopefully this catches on like wild fire.

    119. iStandUp says:

      Jason,

      Excellent!!

      Someone on CNBC said that “Patrick Byrne was right all along”!!

      Times and perceptions must be changing!

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