U.S. Secretary of the Treasury Timothy Geithner delivers his opening remarks June 7, 2012 at the Treasury Department in Washington during the Development Impact Honors ceremony. | Photo: Gary Cameron
Currently a massive exposure of our global crony-capitalistic system has taken place. If you have watched the mainstream media, you have most likely missed it, or only given shadow details of the LIBOR scandal.
LIBOR is the London Interbank Offered Rate (LIBOR), and is composed of global financial firms (more on them in a minute) who manipulate interest rates on everything from credit cards to mortgages. They base this "judgment" on the health of the overall economy; good times equal lower interest rates, while a strained market will see higher rates.
The interest rigging by this cartel of financial firms, lead by CEO's who also sit on regulatory boards like our New York Federal Reserve, were in collision with central bankers all around the world. By manipulating their LIBOR rate, financial firms could appear as if they had more money than they actually had, and thus were lent more money at lower rates than they should have rightfully been lent. This created a significant amount of moral hazard in the marketplace, which lead to fantastic rewards for the greedy, and enormous debt for the uninvolved and innocent taxpayer.
This is unfair not only because it's completely illegal, it cheats the honest person, the honest business, the honest investor, and instead rewards the wicked and rotten. It's everything that is wrong with crony-capitalism in a government controlled market.
I had to review over 20 documents and videos to piece together 7 of the 24 top financial institutions that make up LIBOR, if anyone can find the other members, that would be appreciated.
- Barclays (Received over $8.5 billion in bailout funds by U.S. taxpayers)
- JP Morgan (Received over $30 billion in bailout funds by U.S. taxpayers)
- Bank of America (Received over $50 billion in bailout funds by U.S. taxpayers)
- Deutsche Bank (Received over $15 billion in bailout funds by U.S. taxpayers)
- Citibank (Received over $50 billion in bailout funds by U.S. taxpayers)
- Royal Bank of Canada (Received over $10 billion in bailout funds by U.S. taxpayers)
- HSBC (Received over $5 billion in bailout funds by U.S. taxpayers)
What becomes immediately clear is that this is just not a European scandal; Skank of America is actually owned by the U.S. government, so how is that only a European problem?
Where were the regulators you might ask? Of course Timothy Geithner claims he only found out about the LIBOR scandal in 2008, although he was the head of the NY Federal Reserve in 2003, and the LIBOR scandal had been occurring since 1991. Which is further proof the Geithner is the world'
|What becomes immediately clear is that this is just not a European scandal...|
;s worst regulator, or a complete na´ve moron, or in on the scam.
But this is not Timothy Geithner's fault, he is merely just one pawn placed across the entire scope of our regulatory apparatus by mega corporations and banks, it's a practice known as regulatory capture, and if done correctly, is fantastically profitable.
Of course the taxpayers and anyone not in on the scam suffer the consequences, and pay for all the fallout, which is ultimately our own fault. Until we get serious about actually having a free market, and bringing an end to Keynesian driven central bank policies, our economy will never recover and thrive for all of us, only for those .01%'s in on the scam.
|The London Interbank Offered Rate (LIBOR) is the average interest rate estimated by leading banks in London that they would be charged if borrowing from other banks. It is the primary benchmark, along with the Euribor, for short term interest rates around the world. | Photo: Archives|