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JP Morgan's $4 BILLION Tax Refund

I suppose I should be feeling some additional outrage over the fact that banker-parasite, JP Morgan is once again holding out its hands – this time in anticipation of a $4 billion “tax refund”. However, the truth is that I have been expecting such stories to emerge. As the consummate, corporate welfare-bums, I always knew that JP Morgan and the rest of its ilk would not be content with merely trillions in direct hand-outs, trillions in 0% (subsidized) “loans”, and trillions in “guarantees” (of worthless assets) – they would also obviously try to squeeze billions (and hopefully trillions) out of the U.S. tax system, as well.

The reason it was so easy to see this coming is because of the events of the last two years. As JP Morgan and the rest of the “too big to fail” Oligarchs were allowed to feast on the carcasses of the not “too big to fail” banks, that in addition to the massive subsidies and guarantees they extorted from the U.S. government these fraud factories would also reap a “King's ransom” in tax losses: which turned into the $4 billion refund which JP Morgan is attempting to mooch today.

This latest act of corporate welfare certainly forces us to once again ask the question: why were these Oligarchs ever saved from the consequences of their own reckless greed? As I pointed out at the time, the $10 trillion in loans/hand-outs/guarantees which were immediately pledged to the banksters was more than double the amount needed for the U.S. government to create a brand-new banking system. Not only would that new system have been better-capitalized than the crippled Oligarchs, but it wouldn't have been hiding trillions in the worthless, fraud-products which continue to clog their balance sheets.

It now seems like “ancient history”, but at the time the U.S. housing-bubble burst, the entire U.S. financial sector was leveraged 30:1, with most of that leverage directly tied to the housing-bubble. As a matter of simple arithmetic, losses of only 3% on the underlying assets which were leveraged (i.e. U.S. housing) are enough to take the entire U.S. financial system to zero. In actual fact, U.S. house prices plummeted ten times that far – ten times the decline necessary to take Wall Street's paper-empire to zero...

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