December, 16, 2008
For those of you that have been shocked by the fraud committed by former US NASDAQ Stock Exchange Chairman Bernard Madoff in running a Ponzi-scheme disguised as hedge fund that will create an estimated USD $50 billion of losses for investors, you shouldn’t be. Why? Because we all accept and enable a much bigger global Ponzi scheme that dwarfs the fraud committed by Mr. Madoff. For those of you unfamiliar with Ponzi schemes, a Ponzi scheme basically is any business proposition that fulfills returns to investors not through gains achieved by tangible, real investments but through the simple use of subsequent investors’ money. In other words if you invest USD $1,000 in a Ponzi scheme and are promised 15% returns after one year, the Ponzi scheme operator will merely take USD $150 of another investor’s money to provide you with your 15% returns after one year. Read more …
December 16th, 2008
December 8, 2008
Within the past couple of months, there has been a lot of discussion regarding US Treasury Secretary Hank Paulson’s allocation of half of the initial tranche of $700 bailout money, with many describing his spending of $350 billion thus far as appalling, disappointing, and even shocking. During a US Congressional hearing that addressed accountability of Paulson’s choices for spending $350 billion or American taxpayer money thus far, consider the following statements issued by various US Congressmen, Republican and Democrat.
“When the program was passed, very explicit language was included to provide for mortgage foreclosure,” said committee Chairman Barney Frank (D-Mass.). “It is essential that we do something to use some of the TARP funds for the diminution of the rate of mortgage foreclosures.”
“There’s a lack of confidence, it seems to me, both in this body and in the general population,” said Rep. Paul E. Kanjorski (D-Pa.). “Do we have a plan? Where are we going?”
“[Hank Paulson’s use of the bailout money is] the second-largest bait-and-switch scheme that history has ever seen, second only to the reasons given to us to vote for the invasion of Iraq.” Rep. Gary L. Ackerman (D-N.Y.) Read more …
December 8th, 2008
