This is an open letter to President Obama and every Citizen of America.
As we have witnessed the fabricated results coming from the "banking" industry over the past week; it is near impossible to believe that the numbers being released can be anywhere near Legal, not to mention real. Goldman Sachs made this Fact perfectly clear. It wasn't difficult to recognize the Fraudulent Accounting; though it is impossible to believe that the American Government is permitting this Fraud to continue, given the nature and Mammoth size of the scams brought to light in the recent past. One Enron, World Com or Madoff is enough. Wall Street and the "banking" industry are corrupt at its core, and Taxing the life out of the American Citizen.
We have a huge fight taking place with respects to Bankruptcy Judges having the jurisdiction to adjust down mortgages, and keep people in their homes. Of course, the "banks" are crying foul citing contract law, and binding agreements. Can't the same be said for the Terms of Credit? To allow these "banks" to gouge their credit customers, who are the taxpayers bailing them out, is absolutely reprehensible and another TAX levied upon Americans. While the Fed supplies these "banks" with money at zero percent, these "institutions" are assessing Loan Shark rates to customers with great credit -- as a Loss provision. And, they are doing it by changing the Terms of the Contract entered into with each client, at will.
These tactics combined with the latitude to mark their books to a fictional value, along with a myriad of other "creative" Accounting Techniques; have allowed for some interesting "earnings" releases. Interesting due to the complete lack of regard for Transparency or Fact. Sounds like a "Liar Loan" to me! When Goldman Sachs reports absolute Fictional results that show straight up Accounting Fraud, then they go to market with a 5 Billion dollar offering; where's the Justice? J.P. Morgan is just a tad different, they rigged their books with the same Mark to Hope accounting -- but, they have also been stealing from their customers. Yes, I consider the outrageous Interest being collected by this institution, to be theft. JPM rubbed salt into the wound by issuing 'unsecured' debt, at a reasonable rate for the bank, 3.5% over Treasury.
So, What Exactly has Changed? Besides the interest rates on Americans Credit Lines and the skyrocketing Tax Burden?
President Obama, you promised Americans a TRANSPARENT view of the Financials and Accountability for monies spent. The only thing that has become absolutely clear is that it is "business as usual" for the Banking Industry. The Good Will of the American public is soon to run out. President Obama, you do not have four years to prove yourself. The proof of who you are and what you are about is happening in the now. Now is the time to enforce the Laws we already have on the "books." Now is the time to show that you care about the fiscal health of Americans. Now is the time to clean up the corruption. Now is the time to take a stand against a terroristic welding of credit. Now is the time to say NO to Fraudulent Accounting. Now is the time to put an end to the pervasive Corruption of our banking system. Now!
We need to see an end to the manipulation and lies that describe the way of life in Washington and on Wall Street. You can start by ridding the Government of all ties to Goldman Sachs. GS represents everything that is wrong with the system. Then send in a Task Force to examine the Hedges Goldman had on its AIG exposure.
Here's what you will find. Goldman Sachs issued the Collateral Call that started a run on AIG. At the same time they had a boatload of "PUTS" on AIG; and then their traders actively shorted the stock, jamming it down. Next thing you know AIG is insolvent (out of business) without the backing of the American Tax Payer. Examine the other Counter Parties paid off by AIG and you will find that some of the Money was routed right back to Goldman Sachs via the exercise of those Puts. Goldman didn't double dip, they quadruple dipped. Dipping right into the pockets of the American taxpayer. And they Still found it necessary to take an additional 10 Billion in TARP, convert into a "bank holding company", feed off the Treasury, Cook the Books and raise 5 Billion in another Secondary. Goldman Sachs NEEDED the Tarp, let's stop with the farce claiming otherwise.
It is clear that Goldman Sachs has serious capital problems. An extraordinary amount of Credit is being issued to this company that provides nothing more than Market Making, CDS & CDO "insurance", and by their own admission huge risk taking strategies to game the marketplace. We cannot afford to support this corrupt system, especially as the Citizens of this country find themselves helpless to the whims of the credit card companies such as J P Morgan; who jack up rates to Loan Shark levels.
America is being short changed. That is the only change that we can see. Stop the Lies, Manipulation and Fraud -- give us change we can believe in!
Disclosure: No Current Positions.