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LIBOR Fraud Signals Beginning-of-the-End For Banksters

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Precious metals investors are understandably frustrated after the latest in a series of bankster ambushes on the gold and silver markets. It is part of the illusory nature of time that “change” is almost always imperceptible – until some major change is almost complete. Thus many market participants may have formed the conclusion (with seeming justification) that “things will never change” when it comes to the Western financial crime syndicate.

Such people couldn’t be more wrong. While I share their frustration, I have not come close to succumbing to their sense of hopelessness. My own sense of certainty is formed from one part logic, and one part observation.

Logic tells us that the massive, criminal, paper Empire of the Wall Street Vampires must come tumbling down. The reason is simple: all crime syndicates ultimately destroy themselves. They are undone by their own baser instincts – primarily greed. While some readers may have considered it mere rhetoric, I have continually maintained that “all Evil is self-destructive” as an elementary aspect of human behavior. By its very nature, Evil represents an instant-gratification mentality.

It is a fact of history that when humans work cooperatively that we all benefit to the maximum degree. Thus the origin of all evil is the obsession of a (fortunately) small minority of individuals with obtaining more for themselves, now. And here we see the fatal flaw in the evil psyche: it is always, unfailingly short-sighted. Evil actors, by their very nature, are incapable of considering anything other than what produces the best result for themselves today.

We can illustrate the inevitable self-destructive quality of short-sightedness in many ways. Chess provides a simple, yet eternal example of this doctrine. One can have the most brilliant mind, and be capable of devising the most effective strategies. However, until such an individual developed the capacity to analyze a game of chess by seeing several moves ahead, such a player would be consistently and inevitably defeated by any chess-player of even modest ability – who had developed the capacity to look ahead.

In less abstract terms, we need only look to the Crash of ’08 as a classic example of the self-destructive quality of short-sighted thinking. As I’ve mentioned before, market sheep have been conditioned by the propaganda-machine to be entirely focused on short-term micro-indicators of our economy, and to never pay any heed to “big picture” representations, precisely because it leaves them so completely vulnerable to manipulation.

The result of the entire “herd” in our markets being conditioned to short-sightedness? They were all “surprised” when the U.S. housing-bubble burst – the largest and most blatantly fraudulent asset-bubble in the history of humanity (at that time). However, the truly remarkable aspect of the Crash of ’08 is that the banksters who created all of the asset-bubbles, and scams, and who orchestrated the “crash” itself through deliberately cannibalizing Lehman Brothers managed to also be “surprised” by these events. This is what has necessitated more than $15 trillion in hand-outs to this crime syndicate so far (and counting).

Obviously it is taking the flaw of short-sightedness to an absurd extreme when scammers can actually be “surprised” by the consequences of their own scam. However this absurd extreme in short-sightedness is simply commensurate with the absurd extreme in the greed of this class of parasite. And so we now see the banksters on the verge of completing their own self-destruction.

While it would be extremely difficult to attempt to narrow-down the endless litany of banker fraud to three pivotal events, I will endeavour to do so – as each event illustrates a different aspect of the inadvertent suicide committed by these evil actors.

In just the last few months we have seen the banksters systematically shredding what little “integrity” they are perceived to possess by the brainwashed masses who have allowed their crime-spree to continue this long. The first of these events was the plundering of customer cash from MF Global accounts. While there were various outrageous aspects to this enormous crime (including the near-complete indifference of so-called “regulators”), the perception it left in the minds of the general public can be summed up very succinctly.

The bankers steal.

This event was followed by two even more recent developments. First of all we have had the $60+ trillion fraud known as the credit default swap market exposed as nothing but a gigantic sham of pretend-insurance by the Wall Street Vampires. I’ve written about this in much greater detail previously, so I’ll summarize the largest single scam in the history of humanity as the Wall Street banksters writing-up over $60 trillion in pseudo-insurance contracts – which they obviously never intended to honour, and which they have now openly refused to honour. The perception this is leaving in the minds of the general public is simple.

The bankers cheat.

The third event in this trilogy of mammoth, banker fraud is (finally) the uncovering of the even more absurd fraud known by the acronym of “LIBOR” (London Inter-Bank Offer Rate). What is almost equally “criminal” here is that the vast majority of the general public is still completely oblivious to a blatant sham which the bankers have used for years to rig prices on (today) $360 trillion in financial transactions.

Behind closed doors (with absolutely zero public scrutiny), a group of anonymous bankers set the official interest rate on this $360 trillion mountain of paper – based upon the bankers (claiming they were) honestly disclosing what they are being charged on their own debt instruments. In other words, the interest rate on $360 trillion of banker paper is set by a group of bankers operating on “the honour system”. (I’ll give regular readers some time to recover from their laughter.)

Belatedly, this system for “fixing” interest rates (literally) is being investigated by authorities on both sides of the Atlantic. Even the see-no-Evil, hear-no-Evil, speak-no-Evil U.S. Department of Justice has brushed the cob-webs off of some of its own investigators and assigned them to a criminal investigation dissecting this obvious fraud. With the bankers’ association which has been producing this fraud now publicly backing away from its own responsibility in perpetrating the sham, the perception being created in the eyes of the general public is crystal-clear.

The bankers lie.

For most readers, seeing/hearing that bankers are lying, cheating, and stealing is no more newsworthy than reports of dogs chasing cats. However, what makes the exposure of these gigantic banker-frauds (arguably) pivotal events is the combination of the size of the crimes involved, and the audacity and utter lack of integrity which seems to be conclusively demonstrated by the facts in each example.

Sadly, the “serfs” who make up the vast majority of 21st century Western populations expect those on top to steal from them a little (or even a lot). For decades (centuries?) they have meekly “turned the other cheek” to such plundering. However, what is taking place at the dawn of a new century is this entire class of financial criminals attempting to steal everything. Literally.

The limitless greed of the bankers: simply stealing more and more and more and more – unless/until they are stopped – has always guaranteed both that they would expose their conduct in totally unequivocal parameters (as they have now done), quickly followed by rising public anger creating the will necessary to sweep away the corrupt banker-servants in our own governments who have been protecting this crime syndicate (with relentless zeal) over the past decade.

While our craven, unprincipled politicians deserve little credit for anything, their own obsession with preserving their power/privilege has always meant that most are quite adept at “reading the writing on the wall”. Ultimately as our political cowards see the bankers going down, most of those rats will flee that sinking ship – and switch their allegiance back toward their own people (i.e. the ones operating the guillotines).

Just as the havoc wreaked by a plague of locusts must ultimately be finite, so too is the equally rapacious crime-wave of Western banking Oligarchs. The locusts kill themselves off when they have consumed all edible matter – and thus they end up starving themselves to death.

We see a similar process taking place with the Wall Street Vampires. Apart from their overall Empire being on the verge of crashing down, individually we have seen these banksters use up and destroy one “market” after another in which they have been preying upon victims. Indeed, evidence has been emerging that already these Oligarchs are only able to delay their own financial oblivion through the combination of laundering $trillions of “dirty money” and having endless quantities of counterfeited U.S. dollars funneled into their vaults.

I think I hear the “fat lady” warming up her vocal chords…

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Comments (8)Add Comment
Jeff Nielson
...
written by Jeff Nielson, March 10, 2012
Thanks Earl!

I've said in the past that I wouldn't trust anything less than a "regulatory straitjacket" to keep the banksters properly restrained, and by the time they have finished shredding what remains of their reputations, that would seem to be exactly what they will end up with...eventually. smilies/wink.gif
Earl
...
written by Tim, March 10, 2012
Jeff,
I've read this one three or four times. To see DayOwl comment (who is like a HAWK on this kind of topic). Just show's "you shed light in very dark places". I for one, appreciate the "education", from you and fellow members.

Thank You
Earl
Jeff Nielson
...
written by Jeff Nielson, March 09, 2012
Will this be appearing on other sites?



DayOwl, TheStreet.com informed me that this one was a little 'too spicy' for them. Although I won't complain, as they publish MOST of what I send them.

Definitely this piece is getting wide circulation on ALTERNATIVE sites like "Sgt Report" and Turd Ferguson's blog, and other FINE sources for internet information - along with LeMetropole, and many other precious metals sites.
DayOwl
...
written by Becky Shelton, March 09, 2012
Most eloquent, Jeff. Will this be appearing on other sites?
Jeff Nielson
...
written by Jeff Nielson, March 08, 2012
...the whole ponzi scheme is held together with Sheeple faith -- the very same reason that 99% odd of the people we try to explain this to are incapable of fathoming the situation. This is a result of many decades of a relatively stable dollar reinforcing normalcy bias. "This is the way its always been and therefore it must continue. Dollars are hard units that stand the test of time".
This currently works in the oligarchs' favour but when the monetary system does finally collapse that trust / faith on the part of Joe Bloe will have been lost for the next 2 generations. Then the bankers will never again be able to establish a debt based fiat currency. Add to this the fact that debt based fiat currencies require perpetual economic growth to function, and since the world is now at Peak Oil it will soon begin contracting at an ever increasing rate, and the long term prospects for bankers do not look good. If they can morph into a military dictatorship and effect their control through physical means rather than their current modus operandi of monetary manipulation, they may be able to continue some degree of control but I doubt this will last long because they don't understand Peak Oil and are only skilled at manipulating the current system...


Null, much of what you discuss explains the economic "cycles" we experience which have been called either the Kondratieff Cycle or Kondratieff Winter. Basically, once every COMPLETE "lifetime" (now approaching a century), our species collectively "forgets" everything they learned about NOT getting exploited by those on top.

What follows is what we have seen over the past 25 years: our economies (and our own personal wealth) is RELENTLESSLY plundered - until the system is so hollowed-out it collapses.

Unfortunately, the CURRENT crop of banksters has created something "special": the end of a 300-year mega-cycle, which will collapse into a global depression such as hasn't been seen in centuries. All that remains to be seen is the timing. smilies/sad.gif
Jeff Nielson
...
written by Jeff Nielson, March 08, 2012
I can remember when the Rule of Law actually meant something and was enforced. To be sure there were constant reminders of money/power getting a pass on some egregious transgressions (I lived next door to the Kennedy's on the Cape---Chappaquidick was very real time and close by for me). Yes I am that old. I really understand what we (western civilization) have lost since. But I am constantly amazed by the blatancy of the criminality--in full view for those who can connect the dots. Aye, that's the rub; few can do so, and until the majority understands, I am afraid that the status quo will exist longer than either you or I can imagine.


Apberusdisvet, the line I use is "I'm old enough to remember when wealthy Western democracies didn't have homeless people."

So yes, when we look back we can see all that we have lost over those years/decades. At the same time it illustrates my point about the imperceptible nature of change. We have had these HUGE changes take place in our society - and go almost unnoticed by the sheep.

Things can change for the GOOD in the same manner (but not with the current Oligarchs in charge)...
Null
...
written by Null, March 08, 2012
What the banksters have going for them / against them is that the whole ponzi scheme is held together with Sheeple faith -- the very same reason that 99% odd of the people we try to explain this to are incapable of fathoming the situation. This is a result of many decades of a relatively stable dollar reinforcing normalcy bias. "This is the way its always been and therefore it must continue. Dollars are hard units that stand the test of time".
This currently works in the oligarchs' favour but when the monetary system does finally collapse that trust / faith on the part of Joe Bloe will have been lost for the next 2 generations. Then the bankers will never again be able to establish a debt based fiat currency. Add to this the fact that debt based fiat currencies require perpetual economic growth to function, and since the world is now at Peak Oil it will soon begin contracting at an ever increasing rate, and the long term prospects for bankers do not look good. If they can morph into a military dictatorship and effect their control through physical means rather than their current modus operandi of monetary manipulation, they may be able to continue some degree of control but I doubt this will last long because they don't understand Peak Oil and are only skilled at manipulating the current system. There are a lot of nationalist liberty fighter sentiments in the US and when the system collapses I don't think the people will stand for a military dictatorship. There is always the Constitution to fall back on, which is something dear to many Americans I believe so after a few years of very rough times I think the US will again revert back to something more like it was a hundred years ago, albeit with much less physical wealth since it has few energy natural resources left.

The only option going forward after the collapse is a gold standard or some other such thing.
apberusdisvet
...
written by Andy Bergeron, March 07, 2012
Nice rant, Jeff. My perspective is different than yours in one respect. I can remember when the Rule of Law actually meant something and was enforced. To be sure there were constant reminders of money/power getting a pass on some egregious transgressions (I lived next door to the Kennedy's on the Cape---Chappaquidick was very real time and close by for me). Yes I am that old. I really understand what we (western civilization) have lost since. But I am constantly amazed by the blatancy of the criminality--in full view for those who can connect the dots. Aye, that's the rub; few can do so, and until the majority understands, I am afraid that the status quo will exist longer than either you or I can imagine.

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