Secret Banking Cabal Emerges From AIG Shadows

Posted by majestic on January 29, 2010

David Reilly sounds like he’s about to join the anti-New World Order crowd, writing in a surprising venue—bankers’ staple news source Bloomberg News:

The idea of secret banking cabals that control the country and global economy are a given among conspiracy theorists who stockpile ammo, bottled water and peanut butter. After this week’s congressional hearing into the bailout of American International Group Inc., you have to wonder if those folks are crazy after all.

Wednesday’s hearing described a secretive group deploying billions of dollars to favored banks, operating with little oversight by the public or elected officials.

We’re talking about the Federal Reserve Bank of New York, whose role as the most influential part of the federal-reserve system — apart from the matter of AIG’s bailout — deserves further congressional scrutiny.

The New York Fed is in the hot seat for its decision in November 2008 to buy out, for about $30 billion, insurance contracts AIG sold on toxic debt securities to banks, including Goldman Sachs Group Inc., Merrill Lynch & Co., Societe Generale and Deutsche Bank AG, among others. That decision, critics say, amounted to a back-door bailout for the banks, which received 100 cents on the dollar for contracts that would have been worth far less had AIG been allowed to fail.

That move came a few weeks after the Federal Reserve and Treasury Department propped up AIG in the wake of Lehman Brothers Holdings Inc.’s own mid-September bankruptcy filing.

Treasury Secretary Timothy Geithner was head of the New York Fed at the time of the AIG moves. He maintained during Wednesday’s hearing that the New York bank had to buy the insurance contracts, known as credit default swaps, to keep AIG from failing, which would have threatened the financial system.

The hearing before the House Committee on Oversight and Government Reform also focused on what many in Congress believe was the New York Fed’s subsequent attempt to cover up buyout details and who benefited.

By pursuing this line of inquiry, the hearing revealed some of the inner workings of the New York Fed and the outsized role it plays in banking. This insight is especially valuable given that the New York Fed is a quasi-governmental institution that isn’t subject to citizen intrusions such as freedom of information requests, unlike the Federal Reserve…

Secret Bush-Clinton-Federal Reserve Pakistani Accounts Revealed

Tom Heneghan
May 11, 2009

UNITED STATES of America  -  It can now be reported that the recent resignation of former New York Federal Reserve Bank of New York Chairman, Stephen Frieidman, signals an expanding investigation of New York Attorny General Andrew Cuomo, who is not only focused on the massive New York state financial derivative Ponzi Scheme, but is now centered on money laundry, and possible funding of alleged terrorists in Pakistan.

Note: Cuomo was recently in a state of shock when he looked at new evidence linking Citibank, J. P. Morgan, Goldman Sachs and AIG, to not only a terrorist money laundry in Pakistan, but to evidence tying all of these aforementioned brokerage firms and the Federal Reserve itself to PRE 9/11 knowledge, which allowed them to profit with put options and short positions placed before 9/11. 

This allowed these criminal brokerage firms to benefit from the death of near 3,000 in New York City.

Reference: Friedman, who still sits on the Board of Goldman Sachs, has been recently cooperating with the New York Attorney General, but as you will find out in the rest of this briefing, Friedman has been playing both sides against the middle and is now involved in espionage double-cross.

Sources close to Defense Intelligence and the National Security Division of the U.S. Department of Justice, as well as European INTERPOL, have actually fingered Friedman as the bagman for the Bush-Clinton Crime Family Syndicate involving illegal wire transfers of TRILLIONS of dollars of STOLEN U.S. Treasury funds that were laundred through Goldman Sachs brokerage firm in New York City, the Federal Reserve Bank of New York, the Israel Discount Bank and the Federal Reserve itself to the Israeli Bank Leumi in Tel Aviv onto secret U.S. national security accounts in Pakistan.
Note: Assisting Friedman in looting the U.S. Treasury (the back end of the toxic derivatives) is a Pakistani national who is a joint U.S.-Pakistan CIA Intelligence officer with the initials " K.H. "

KH, who was presumed dead by many in the intelligence community, including Stephen Friedman, is now cooperating with European INTERPOL.

Note: Early Saturday morning on May 9, 2009, foreign born alleged President Barack Obama ordered a missile attack near the Pakistan-Afghanistan border, which was was an alleged attack against so-called Al Qaeda terrorists.

We can now report that it was daddy Bush and his little bitch, Bill Clinton, that ordered Obama to launch the attack given reports that the whistleblower KH was in the vicinity.

Clearly, folks, this was not an attack on terrorists but an assassination attempt on KH that failed.

KH has fingered Stephen Friedman, former Federal Reserve Chairman Alan Greenspan, along with former President George Herbert Walker Bush, former Pakistani President Pervez Musharraf in setting up these secret CIA proprietary accounts in Pakistan tied to none other than the late alleged 9/11 terrorist aka patsy CIA employee Tim Osman aka Osama bin Laden.

Note: Bin Laden, who died of kidney failure in December of 2001 and was a cosignator on these accounts, is claimed to still be alive based on the U.S. media’s big lie that he is still wandering the hills of Afghanistan.

Believe this, folks, he is dead as a door nail!

Should bin Laden’s death be reported, the IRS would have immediate access to these secret accounts that now have rotating access codes aka electronic serial combinations based on biblical chapters and verses.

The Pakistan money laundry has been a piggy bank for the Bush-Clinton Crime Family Syndicate since the 9/11 attack on America.

These accounts have now been frozen by the World Court and the International Monetary Fund (IMF) given the cooperation of the now whistleblower KH in handing over the account numbers and access codes aka the biblical chapters and verses that have now prevented daddy Bush, Bill and Hillary Clinton, along with former Federal Reserve Chairman Alan Greenspan from getting into these accounts.

Reference: It has been reported that the Pakistani government refused Barbara Bush, wife of former President George Herbert Walker Bush, and Andrea Mitchell, wife of former Federal Reserve Chairman Alan Greenspan, and Chelsea Clinton, daughter of former President and daddy Bush’s little bitch, Bill Clinton, entry into Pakistan.

Reference: It was Chelsea Clinton that used funds from a Goldman Sachs hedge fund to arrange the BRIBING of New York Governor David Paterson in order to keep Caroline Kennedy from being appointed the next New York Democratic U.S. Senator.

It is clear now that former Federal Reserve Bank of New York Chairman, Stephen Friedman, is caught in a double cross.

Friedman had been cooperating with the New York state investigation while at the same time keeping secret the existence of these secret Bush-Clinton Crime Family Syndicate’s accounts in Pakistan, which now not only have a possibly link to the Bernard Madoff Ponzi Scheme but to the funding of alleged worldwide Al Qaeda terrorists as well as the 9/11 attack itself.

He clearly thought that KH had died - well he is clearly alive and kicking, folks.

P.S. At this hour the Obama Administration is ignoring a French Intelligence warning of a possible FALSE FLAG terrorist attack that would be staged in New York City around the Broad Street area aka the location of the Goldman Sachs brokerage firm.

We can now divulge that there are tape recorded conversations involving current White House Chief of Staff and former head of the North American Israeli Mossad, Rahm Emanuel, and current Israeli Prime Minister Benjamin Netanyahu, concerning the existence of certain files, documents and computer downloads currently held at Goldman Sachs that involve former Federal Reserve Bank of New York, Chairman Stephen Friedman, the Bernard Madoff Ponzi Scheme and the secret money laundry from the U.S. to Israeli to Pakistan.

French Intelligence sources have, once again, identified certain alleged Al Qaeda types that are linked to the noted 9/11 Israeli Mossad’s Urban Moving Systems espionage group, that is still operating in New Jersey, and have been recently photographed outside the New York financial district.

P.P.S. At this hour there is NO Justice Department as the Obama Administration continues to allow Bush Clinton Crime Family Syndicate rule over the United States.

The bought and paid for U.S. Congress, along with the Department of Homeland Security (DHS), continue to run rampant in attempts to attack the American People.

For example, DHS Secretary Janet Napolitano, who has lunch on occasion with former DHS Secretary Michael Chertoff, still has a terrorist watch list that includes enemies of Karl Rove aka former Democratic Alabama Governor Don Siegelman.

Napolitano and Chertoff have also put together a list called the "Domestic Extremist Lexicon", which classifies individuals as terrorists if they do not agree with corporate, fascist media versions of events.

Not to be left out, radical feminista and tribalist Congresswoman Linda Sanchez (D-CA), is sponsoring legislation (H.R. 1966), which would allow the government to censor the internet if it was determined that internet bloggers brought "emotional distress" to alleged individuals that were being criticized.

Ms. Sanchez is also working on legislation, which would allow the 2nd Amendment rights of the American People to be infringed on should a DHS oversight panel decide that an individual American citizen might be a terrorist and therefore be unable to buy a firearm.

Clearly, according to Ms. Sanchez, if you are critical of Ms. Sanchez you are therefore a "terrorist".

Ms. Sanchez, who favors the illegal invasion of the United States by illegal aliens from Mexico is the REAL terrorist and a THREAT to our U.S. Constitution.

Call the DHS and tell them you have identified a terrorist in our Congress:

     Operator Number: 202-282-8000

     Comment Line: 202-282-8495 

Final note: I want to make it clear to all of our loyal readers that the Bush-Clinton-Federal Reserve Crime Syndicate is desperate.

We, the American People, have uncovered the truth about their TREASONOUS activities.  So, their next step aka the Swine Flu will be to attack us.

Daddy Bush and his little bitch, Bill Clinton, are sociopaths. They are loosing their money and their power and the U.S. Military has told foreign born alleged President Obama that they will not tolerate him enabling any more of this TREASON.

Again, folks, prepare for revolutionary mode.  The best defense is a great offense.

We will do whatever is necessary to save our U.S. Constitution, our beloved Republic, our freedoms and our American way of life and remove these TRAITORS from American soil.

…

We announce to the criminal government and its criminal corporate media enablers:  YOU ARE TOO CORRUPT TO CONTINUE!

We, the American People, who are well armed, will be victorious!

* * *  REMEMBER  * * *

The orders of the day for ALL patriots as we continue to identify the enemies of the American Republic and the American Revolution in the 21st Century and eradicate them:

Oath Keepers: Orders We Will NOT Obey
http://oath-keepers.blogspot.com/2009/03/oath-keepers-declaration-of-orders-we.html

When it comes to the enemies of the American Republic and the American Revolution in the 21st century, we dedicate ourselves to the 2nd American Revolution and making these enemies a memory.

We must remove them from American soil, and DO IT NOW!

Overlord at Yorktown remains relentless and victorious.

At this hour, we live free or die as Lafayette remains at Brandywine and Albert Gore Jr. remains the year 2000 duly eletected, non-inaugurated,  REAL natural born  President of the United States.

AIG blowing up in Obama's face

Posted by Michael S. Rozeff at 12:48 PM

Obama is shifting the spotlight to the AIG executive bonuses, but his own hand-picked Treasury Secretary is responsible for far more of the AIG mess than Obama cares to acknowledge.

Tim Geithner is one of the architects of the fraud-ridden AIG black hole and other bailouts. He's been wrong for years and still is wrong, and so have all those around him who participated in this travesty.

Washington still has announced no definitive procedures to separate banks from their toxic assets, even though the FDIC procedures are readily available for this purpose and could be reasonably fair in zeroing out the equity and subordinate debtholders. The only Washington plan has been to bail out those crony banks and financial firms that have made loans to banks. These creditors deserve their losses. They brought them on to themselves by making such poor investments and not evaluating the risk of their counterparties.

The entire epsiode is the largest single fraud against taxpayers in history. Multi-billions are being and have been paid to AIG's creditors (counterparties), including hedge funds and banks. The millions paid as bonus money to executives need not have been paid anymore than the amounts paid to creditors because the company has been de facto bankrupt for months and would have been de jure bankrupt, had it not been for Geithner's folly, which is also the FED's and Washington's folly.

The Real AIG Conspiracy

by Prof. Michael Hudson

Global Research, March 18, 2009 It may seem odd, but the public outrage against $135 million in AIG bonuses is a godsend to Wall Street, AID scoundrels included. How can the media be so preoccupied with the discovery that there is self-serving greed to be found in the financial sector? Every TV channel and every newspaper in the country, from right to left, have made these bonuses the lead story over the past two days. What is wrong with this picture? Is there not something over-inflated about the outrage led most vociferously by Senator Charles Schumer and Rep. Barney Frank, the two leading shills for the bank giveaways over the past year? And does Pres. Obama perhaps find it convenient that finally, at long last, he has been able to criticize something that he believes Wall Street has done wrong? Even the Wall Street Journal has gotten into the act. The government’s takeover of AIG, it pointed out, "uses the firm as a conduit to bail out other institutions." So much more greed is involved than just that of AIG employees. The firm owed much more to other players – abroad as well as on Wall Street – than the assets it had. That is what drove it to insolvency. And popular opposition has been rising to how Mr. Obama and Mr. McCain could have banded together to support the bailout that, in retrospect, amounts to trillions and trillions of dollars thrown "down the drain." Not really down the drain at all, of course – but given to financial speculators on the winning "smart" side of AIG’s bad financial gambles. "The Washington crowd wants to focus on bonuses because it aims public anger on private actors," it accused in a March 17 editorial. But instead of explaining that the shift is away from Wall Street grabbers of a thousand times the amount of bonuses being contested, it blames its usual all-purpose bete noire: Congress. Where the right and left differ is just whom the public should be directing its anger at! Here’s the problem with all the hoopla over the $135 million in AIG bonuses: This sum is only less than 0.1% – one thousandth – of the $183 BILLION that the U.S. Treasury gave to AIG as a "pass-through" to its counterparties. This sum, over a thousand times the magnitude of the bonuses on which public attention is conveniently being focused by Wall Street promoters, did not stay with AIG. For over six months, the public media and Congressmen have been trying to find out just where this money DID go. Bloomberg brought a lawsuit to find out. Only to be met with a wall of silence. Until finally, on Sunday night, March 15, the government finally released the details. They were indeed highly embarrassing. The largest recipient turned out to be just what earlier financial reporters had said was rumored: Mr. Paulson’s own firm, Goldman Sachs, headed the list. It was owed $13 billion in counterparty claims. So here’s the picture that’s emerging. Last September, Treasury Secretary Paulson, from Goldman Sachs, drew up a terse 3-page memo outlining his bailout proposal. The plan specified that whatever he and other Treasury officials did (thus including his subordinates, also from Goldman Sachs), could not be challenged legally or undone, much less prosecuted. This condition enraged Congress, which rejected the bailout in its first incarnation. It now looks as if Mr. Paulson had good reason to put in a fatal legal clause blocking any clawback of funds given by the Treasury to AIG’s counterparties. This is where public outrage should be focused. Instead, the leading Congressional shepherds of the bailout legislation – along with Mr. Obama, who came out in his final, Friday night presidential debate with Sen. McCain strongly in favor of the bailout in Mr. Paulson’s awful "short" version – have been posing as conspicuously as possible for the media to cover a deflected target – the AIG executives receiving bonuses, not the company’s counterparties. There are two questions that one always must ask when a political operation is being launched. First, qui bono? Who benefits? And second, why now? In my experience, timing almost always is the key to figuring out the dynamics at work. Regarding qui bono, what does Sen. Schumer, Rep. Frank, Pres. Obama and other Wall Street sponsors gain from this public outcry? For starters, it depicts them as hard taskmasters of the banking and financial sector, not its lobbyists carrying water for one giveaway after another. So the AIG kafuffle has muddied the water about where their political loyalties really lie. It enables them to strike a misleading pose – and hence to pose as "honest brokers" next time they dishonestly give away the next few trillion dollars to their major sponsors and campaign contributors. Regarding the timing, I think I have answered that above. Talking about AIG bonuses has effectively distracted attention from the AIG counterparties who received the $183 billion in Treasury giveaways. The "final" sum to be given to its counterparties has been rumored to be $250 billion, do Sen. Schumer, Rep. Frank and Pres. Obama still have a lot more work to do for Wall Street in the coming year or so. To succeed in this work – while mitigating the public outrage already rising against the bad bailouts – they need to strike precisely the pose that they’re striking now. It is an exercise in deception. The moral should be: The wetter the crocodile tears shed over giving bonuses to AIG individuals (who seem to be largely on the healthy, bona fide insurance side of AIG’s business, not its hedge-fund Ponzi-scheme racket), the more they will distract public attention from the $180 billion giveaway, and the better they can position themselves to give away yet more government money (Treasury bonds and Federal Reserve deposits) to their favorite financial charities.