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Secret Fed Loans Gave Banks Undisclosed $13B

Secret Fed Loans Gave Banks Undisclosed $13B
The Federal Reserve and the big banks fought for more than two years to keep details of the largest bailout in U.S. history a secret. Now, the rest of the world can see what it was missing. The Fed didn’t tell anyone which banks were in trouble so deep they required a combined $1.2 trillion on Dec. 5, 2008, their single neediest day. Bankers didn’t mention that they took tens of billions of dollars in emergency loans at the same time they were assuring investors their firms were healthy. And no one calculated until now that banks reaped an estimated $13 billion of income by taking advantage of the Fed’s below-market rates, Bloomberg Markets magazine reports in its January issue. Saved by the bailout, bankers lobbied against government regulations, a job made easier by the Fed, which never disclosed the details of the rescue to lawmakers even as Congress doled out more money and debated new rules aimed at preventing the next collapse. ‘Change Their Votes’ The Fed, headed by Chairman Ben S.

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Chart Of The Day: Fed Interventions Since 2008 The chart below, via Stone McCarthy, shows the months with Fed intervention since December 2008. That in the past 42 or so months, less than one third have been intervention-free, should close any open questions about whether the stock "market" is anything but a policy vehicle used by the Fed to perpetuate a broke(n) status quo now entirely dependent on every market up (and down) tick. We dread to think what would happen to those record low US bond yields if the market were to be left on its own without the backstop of guaranteed Fed intervention in the interest rate market... ironically something which Barclays is in boiling hot water for right about now. And a detailed breakdown:

Kalle Lasn on OWS, the Israel lobby & the New York Times Kalle Lasn in front of the Adbuster’s corporate flag of America. (Photo: Globus) When the Occupy Wall Street protests began to attract attention in the fall, everyone wanted to know where the idea to set up a permanent protest at the heart of Manhattan’s financial district came from. The answer was the mind of Kalle Lasn, the co-editor (along with Micah White) of the anti-consumerist “culture jamming” magazine Adbusters.

HMRC cock up takes money off pensioners (while the Chief lets Goldman Sachs off £10m) Are you a pensioner? Quietly minding your own business, watching Gardener’s World, One Man and his Dog and Last of the Summer Wine on the telly? Have you just received an unpaid tax demand from HMRC for at least £1,000? If so, you are one of the unlucky 146,000 pensioners whose tax code for 2010/11 was wrong. This meant that HMRC failed to collect the tax due on your state pension. The Absolute Moron’s Guide to the Euro Debt Crisis Every day seems to bring another forecast of impending economic doom in Europe. Wild stock market swings, rioting in the streets, "dollar liquidity swap arrangements," leveraging the European Financial Stability Mechanism" — what are these people, with their foreign tongues and funny names, talking about? We’ve put together an FAQ (in English, natch) for those who are not just confused, but hopelessly mired in ignorance.

Evidence Suggests Cover-Up In ATF Scandal, As More Guns Appear At Crime Scenes Just hours after the death of Border Patrol agent Brian Terry, federal officials tried to cover up evidence that the gun that killed Terry was one the government intentionally helped sell to the Mexican cartels in a weapons trafficking program known as Operation Fast and Furious. The revelation comes just days after a huge shake-up of government officials who oversaw the failed anti-gun trafficking program and Congress renewed its demand for more answers. Also late Thursday, Sen. Charles Grassley's office revealed that 31 more Fast and Furious guns have been found at 12 violent crime scenes in Mexico.

Why This Harvard Economist Is Pulling All His Money From Bank Of America A classicial economist... and Harvard professor... preaching to the world that one's money is not safe in the US banking system due to Ben Bernanke's actions? And putting his withdrawal slip where his mouth is and pulling $1 million out of Bank America? Say it isn't so... From Terry Burnham, former Harvard economics professor, author of “Mean Genes” and “Mean Markets and Lizard Brains,” provocative poster on this page and long-time critic of the Federal Reserve, argues that the Fed’s efforts to strengthen America’s banks have perversely weakened them. First posted in PBS. Is your money safe at the bank?

Occupy Denver: Police track down protesters' identities using YouTube (VIDEOS) It's not a new tactic, but for some, it might be a surprising one: One of the ways the Denver Police Department has checked the identities of those faced with warrants for Occupy Denver is through online archival footage, including the average YouTube search. Previously anonymous protesters can be -- and have been -- easily identified through crowd and news coverage of weekend events. Depending on what they're wearing, not even Guy Fawkes masks can keep them anonymous. "We can use that information from videos to help identify individuals suspected of criminal activity, and that's pretty significant," says Detective John White, a DPD spokesman.

Housing benefit cuts will put 800,000 homes out of reach, according to study A further 800,000 homes will be put out of reach of people on housing benefit because of government welfare cuts – leaving low income families the choice of cutting spending on food to pay the rent or moving out, according to a study by housing experts. The Chartered Institute of Housing has found there will be thousands more claimants than properties that are affordable on benefits alone, raising the possibility that the poor will migrate to "benefit ghettoes" in seaside towns or the north of England. From this month, the government has capped housing benefit payments to, for example, a maximum £250 a week on a two-bedroom home. The cut is compounded by the allowances being scaled back by pegging them to the bottom third of rents in any borough.

Is the world too big to fail? The democracy uprising in the Arab world has been a spectacular display of courage, dedication, and commitment by popular forces - coinciding, fortuitously, with a remarkable uprising of tens of thousands in support of working people and democracy in Madison, Wisconsin, and other US cities. If the trajectories of revolt in Cairo and Madison intersected, however, they were headed in opposite directions: in Cairo toward gaining elementary rights denied by the dictatorship, in Madison towards defending rights that had been won in long and hard struggles and are now under severe attack. Each is a microcosm of tendencies in global society, following varied courses. Despite all the changes since, there is every reason to suppose that today's policy-makers basically adhere to the judgment of President Franklin Delano Roosevelt's influential advisor A.A. Berle that control of the incomparable energy reserves of the Middle East would yield "substantial control of the world."

How a big US bank laundered billions from Mexico's murderous drug gangs On 10 April 2006, a DC-9 jet landed in the port city of Ciudad del Carmen, on the Gulf of Mexico, as the sun was setting. Mexican soldiers, waiting to intercept it, found 128 cases packed with 5.7 tons of cocaine, valued at $100m. But something else – more important and far-reaching – was discovered in the paper trail behind the purchase of the plane by the Sinaloa narco-trafficking cartel. During a 22-month investigation by agents from the US Drug Enforcement Administration, the Internal Revenue Service and others, it emerged that the cocaine smugglers had bought the plane with money they had laundered through one of the biggest banks in the United States: Wachovia, now part of the giant Wells Fargo. The authorities uncovered billions of dollars in wire transfers, traveller's cheques and cash shipments through Mexican exchanges into Wachovia accounts. Wachovia was put under immediate investigation for failing to maintain an effective anti-money laundering programme.

The Federal Reserve Explained in 7 Minutes Have you ever caught yourself wondering how nearly every country on earth can be in debt to outside sources? In my world, if I owe a friend $10 and he owes me $5 then I simply give him $5 and we call it “even.” But that’s not how the world of international banking works. If you have a minute, Wikipedia tries to keep an updated National Debt List. Looking at the chart is very eye-opening.

Occupy Philadelphia, Los Angeles protesters ignore threat of eviction; DC could be next - BlogPost Posted at 12:19 PM ET, 11/29/2011 Nov 29, 2011 05:19 PM EST TheWashingtonPost Two weeks after Zuccotti Park, the spiritual home of the Occupy movement, was raided by New York police, protesters in several cities are staying put in their encampments despite city threats of eviction. Jeff Rousset holds a sign during a Occupy Philadelphia demonstration in Dilworth Plaza in defiance of the city’s 5 p.m. eviction order.

Met Police spent £35,000 on 115,000 calls to the speaking clock Staff also spent more than £200,000 calling directory inquiries, figures released under the Freedom of Information Act showed. A spokesman said “evidential and operational reasons” meant that officers and staff, many of whom had no internet access, required the exact time and contact details. Staff spent a total of £16,879 calling the speaking clock in 2010-11, down from £18,402 the previous year.

Austerity Plans Are Based on the Wrong Diagnosis of the Wrong Problem January 4, 2012 | Like this article? Join our email list: Stay up to date with the latest headlines via email. Even if European politicians ‘get their acts together,’ the eurozone crisis will not be solved by a new ‘ Fiscal Compact’ obsessed with austerity, i.e. tight rules for all member states on their spending.

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