Saturday, July 28, 2012

Tim Geithner Admits Banks Bailed Out
Using Rigged LIBOR Interest Rate,
Costing Taxpayers Billions

Tim Geithner Admits Banks Bailed Out With Rigged Libor, Costing Taxpayers Huge Amount
Posted: 07/25/2012 11:06 am

Timothy Geithner claimed on Wednesday that the government had no choice during the financial crisis but to lend to banks and AIG using an interest rate, Libor, that everybody knew was flawed.

Call it a back-door bailout: By using an artificially low Libor, the government saved the banks and AIG millions, maybe billions -- and cost the taxpayers the same amount.

The use of Libor in the bailouts also rubber-stamped that hopelessly manipulated interest rate as a market measure, raising still more questions about just how worried Geithner and other regulators really were about it.

In a House Financial Services Committee hearing on Wednesday, Treasury Secretary Geithner was asked why Treasury and the Fed used the London Interbank Offered Rate as a basis for loans to insurance giant American International Group and to U.S. banks under the Term Asset-Backed Securities Loan Facility -- even though Geithner and other regulators had long suspected that Libor was artificially low, as Geithner testified.

"We were in the position of investors around the world," Geithner shrugged. "You have to choose a rate, and we did what everybody did -- use the best rate available at the time."

Geithner repeated his claim that he warned other U.S. and British regulators in the spring of 2008 about possible manipulation of the key interest rate and recommended changes to the way the rate was set.

But he also said that, months later, when it came time to set bailout terms for the Too Big To Fail Set, the government just had no other choice but to use Libor.

Sure, that's one way to look at it. Another, less charitable way to look at it is that the Fed was fully aware that Libor was being manipulated lower, and was fine charging an artificially low rate to lend money to banks and to AIG, in what amounted to yet another kind of bailout. Why make life harder for them, right? They had enough problems dealing with the crisis they had created. Raising red flags about Libor might have only made the crisis worse, making it harder for banks to borrow money.

David Wilcock UPDATE SATURDAY 7/28: POWERFUL THINGS GOING ON




UPDATE SATURDAY 7/28: POWERFUL THINGS GOING ON


I had hoped to finish uploading the rest of this investigation on Wednesday -- but was not able to do so.
 
The investigation itself is still transforming -- on a variety of levels.
 
Powerful events have taken place -- some very positive, and some definitely negative. None of them have affected me personally. I am safe and my associates are safe.
 
Benjamin Fulford did not post an update this week, causing alarm for his readers -- but I can confirm that he is OK. I do not know when he will resume posting, but hopefully soon.
 
I found out that two more massive false-flag attempts have been thwarted by Divine Intervention -- at least so far. Either one of these would have been provocative enough to immediately start World War III.
 
At this time there is still an old, mothballed destroyer in the Persian Gulf that is wired up with charges set to go off -- and be blamed on Iran. However, the charges will not go off and the effort has been a failure.
 
There have been many frantic attempts to set up false-flag events like this, and none of them have been working -- since August of last year, if not earlier.
 
I also found out, from insider contacts, that James Holmes was NOT supposed to have ended up in court, alive, pleading amnesia and looking totally disoriented.
 
The Cabal is horrified by the fact that this was a "botched job", and so many people are waking up to the idea of mind control that it is becoming widely known -- and only hastening their downfall.
 
There are plenty of movies that spell out how this is done -- and the public is waking up to it much faster than they ever had expected.
 
Other significant events have happened as well. Since returning from Chicago I have needed to stop and breathe, get some sleep and live a normal life for a few days.
 
I am getting close to being rested up enough to dive back in to complex production work like this again -- and my goal is to publish as soon as certain issues work themselves out and find resolution.
 

UFO at Olympic Park Fireworks Display

Video URLs courtesy Kauilapele's Blog and The 2012 Scenario







Banker Arrests




Cindy has graciously taken on the task of collecting reports of banker arrests into one list.  You will find a permanent link to her web page at the top of my blog under "BANKERS ARRESTED"

http://consciouslyconnecting.blog.com/2012/07/25/bankers-and-brokers-and-inside-traders-arrested-oh-my/


Out of curiosity I Googled bankers, brokers and inside traders with arrested and July. Here’s the results:
Bankers and Brokers and Inside Traders Arrested, Oh My!
  1. 6/23/12: Social welfare ‘scam’: Two bank officials arrested Muzaffarnagar, India Jul 23 (PTI) Two officials of a public sector bank were arrested for their alleged involvement in a multi-crore Rupee scam in the Uttar Pradesh social welfare department, police said today. The bank’s branch manager Pramod Sharma and cashier Rajender Sharma were arrested yesterday in this connection, SP (City) Raj Kamal Yadav said. He also said that a hunt was on to nab Anil Verma, the main accused in the scam that took place during 2008-09. A former district welfare officer, Rinku Singh Rahi, had alleged a multi-crore scam in the social welfare department by staging a dharna in Lucknow seeking reply to an RTI query in connection with the “scam”. The Samajwadi Party government had ordered a probe into Rahi’s charges after coming to power in March this year.
  2. 6/25/12: Ex-SMBC Banker Arrested Amid Insider Trading Probe - TokyoA former SMBC Nikko Securities Inc. executive was arrested yesterday, becoming the first banker from a major Japanese brokerage to be detained for suspected insider trading since 2008. The Securities and Exchange Surveillance Commission and Yokohama city prosecutors are investigating former SMBC Nikko executive Hiroyoshi Yoshioka, 50, and three other people, the financial watchdog said in a statement.
  3. 6/25/12: Indonesia: Sumatran city of Medan ‘turning into terror financing centre’ –  Jakarta, 25 June (AKI/Jakarta Post) – Indonesian officials said Medan, in North Sumatra, is turning into a centre for terrorism financing, following the arrest of five suspects with assets worth nearly Rp 8 billion (US$848,000), allegedly used to fund paramilitary training and terrorism operations. A suspect led police and armed anti-terrorism personnel to seize four houses, one shop, three cars and seven motorcycles in three locations that were purchased using funds the arrested suspects got from hacking a multi-level marketing website.The members bought the account numbers of bank clients in and outside the country. Some terrorist suspects posed as multi-level marketing members and sought more customers. “The hackers transferred the credit points to their accounts, and then sold them to brokers, who transferred the money equivalent to their bank accounts.”
  4. 6/26/12: The Shmuckler Group Owner Sentenced to 90 Months for Mortgage Rescue Fraud Scheme - (Source: FBI) - ALEXANDRIA, VA—Howard R. Shmuckler, 68, of Virginia Beach, Virginia, was sentenced today to 90 months in prison, followed by three years of supervised release, for running a fraudulent mortgage rescue business that received substantial fees but actually modified clients’ mortgages in only a few cases. “Mr. Shmuckler is a cunning criminal who took advantage of distressed homeowners in desperate need of help,” said U.S. Attorney MacBride. 
  5. 6/26/12: MD Man Indicted in Over $9M Investment Scheme - (Source: FBI) - BALTIMORE—A federal grand jury returned an indictment today charging Larry Michael Parrish, age 48, of Walkersville, Maryland, with offenses arising from an investment scheme. According to the 25-count indictment, Parrish was the president of IV Capital Ltd., which he represented to be an investment and trading company. Parrish devised a scheme to obtain approximately $9.2 million from nearly 70 individuals who agreed to invest in IV Capital.
  6. 6/26/12: Research firm executive arrested on insider trading charges: FBI New York, (Reuters) – Law enforcement authorities said on Tuesday they arrested and charged an executive at an investment research firm as part of the government’s wide-ranging probe of insider trading at the now-defunct Galleon Group hedge fund. Tai Nguyen of research firm Insight Research LLC surrendered to the FBI Tuesday morning, an FBI spokesman said, and was expected to appear in federal court in Manhattan later in the day. Nguyen was facing charges related to insider trading, the FBI said, but the exact charges have not yet been made public. The FBI and federal prosecutors in Manhattan have mounted a campaign to root out insider trading on Wall Street, focusing in part on employees at so-called expert network firms who they say helped funnel corporate secrets from consultants at companies to hedge funds. 
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