Treasury to continue bailing out firms, industries by looting taxpayers’

It seems that the US government and the Federal Reserve are looting taxpayers’ until there is nothing left.

If you take into account what Peter Schiff and Lindsey Williams are telling us….

Peter Schiff: US Dollar is on the verge of collapse; This is hyperinflation; This is Zimbabwe (12/17/2008):
“I am a 100% convinced that anybody who has their wealth in US Dollars will be just as broke as the people who had their money with Madoff.”

Peter Schiff on CNBC: The government is pouring gasoline on a fire that it set (12/29/08):
“We are in the process of creating another Great Depression.”

Lindsey Williams: The Dollar And The US Will Collapse; Saudi Arabia And Dubai Will Fall; US Will Be Third World Country; The Greatest Depression Is Coming

…with the odd timing that there is an ‘Army combat unit to deploy within the U.S.’ plus ‘Pentagon: 20,000 Troops to Bolster Domestic Security’

((Of course those troops need training: Northcom Combat Team Conducts “Humanitarian Support” Exercise in Maryland: “The Armed Forces Press Service has initiated a propaganda campaign designed to convince the American people that deploying the 3rd Infantry Division in the United States in violation of the Posse Comitatus Act is a good thing.”))

…then it does not sound like a crazy conspiracy theory anymore that the government will deploy more and more soldiers within the U.S. in preparation for civil unrest in case US citizens realize that they are betrayed by the government and the Fed, who ‘are’ destroying the future of the US by creating massive debt and hyperinflation, which will ultimately lead to the total collapse of the US.

Soon the government and the Fed will have turned the U.S. into a ‘Third World’ country.


Source: Bloomberg

Treasury Opens Door to Aid for Broad Array of Firms, Industries

Jan. 1 (Bloomberg) — The U.S. Treasury threw the door open to taxpayer financing for a widening array of companies and industries by drafting broad guidelines on aid to the auto industry.

The Treasury’s guidelines, published yesterday, would let officials provide funds to any company they deem important to making or financing cars. That leaves room for the government to provide money from the Troubled Asset Relief Program beyond loans already committed to General Motors Corp., GMAC LLC and Chrysler LLC.

“There are going to be other industries that are going to have just as good a case,” as the auto companies, former St. Louis Federal Reserve Bank President William Poole said in an interview on Bloomberg Television. “We don’t know what those other industries are going to be. Where does this process stop?”

Shares of auto suppliers including American Axle & Manufacturing Holdings Inc. and Lear Corp. jumped yesterday after Treasury announced the guidelines. The Motor & Equipment Manufacturers Association has been lobbying for the use of federal funds as a backstop in case parts makers can’t collect money the auto manufacturers owe them.

Read moreTreasury to continue bailing out firms, industries by looting taxpayers’

Daniel Barenboim: The illusion of victory

If Hamas is destroyed, a more radical group will replace it. Israel’s security depends on wiser action

I have just three wishes for the coming year. The first is for the Israeli government to realise once and for all that the Middle East conflict cannot be solved by military means. The second is for Hamas to realise that its interests are not served by violence, and Israel is here to stay. And the third is for the world to acknowledge that this conflict is unlike any other in history. It is uniquely intricate and sensitive – a conflict between two peoples who are both deeply convinced of their right to live on the same very small piece of land. This is why neither diplomacy nor military action can resolve this conflict.

Read moreDaniel Barenboim: The illusion of victory

Nato troops cut off in Afghanistan as Pakistan fighting flares

Pakistan closed the main highway used to transport supplies to US and Nato troops in Afghanistan after it launched a fresh offensive against Taliban insurgents in the northwest of the country.


The US and Nato are considering other possible supply routes to Afghanistan Photo: AP

The move means that Nato troops will depend on airlifts and less reliable Central Asian routes for essential supplies for the foreseeable future. Commanders said the situation was being keep under review. “We continue to monitor the impact of that,” an ISAF spokesman, Royal Navy Captain Mark Windsor . It is not our only means of (getting) supplies.”

Over 75 per cent of fuel, food and other essential commodities for the Western forces are trucked from the Pakistan port of Karachi to Afghanistan. “Because of these (anti-insurgent) operations supplies have been suspended on this route to and from Afghanistan” said Fazal Mehmood, a civilian administrator in the Khyber region.

Pakistan’s army launched an offensive against Taliban insurgents in the region after they ignored a deadline to surrender and was unable to say how long the route would remain closed.

Read moreNato troops cut off in Afghanistan as Pakistan fighting flares

IMF agrees $2.5bn for Belarus

Belarus has secured an emergency loan of $2.5bn (£1.74bn) from the International Monetary Fund.

It becomes the sixth country after Iceland, Hungary, Ukraine, Latvia, and Pakistan to need a rescue since the crisis began.

The ex-Soviet state – still run by strongman Alexander Lukashenko – has suffered a run on its foreign reserves as the economic downturn engulfs Eastern Europe. The country’s key exports are potash fertilizer and oil products, both hit hard by the commodity crash.

The IMF’s chief, Dominique Strauss-Kahn, said the tough terms of the bail-out include “strict public-sector wage restraint” and cuts in state spending. Russia has pledged a further $2bn.#

Read moreIMF agrees $2.5bn for Belarus

Russia cuts gas to Ukraine over unpaid bills

Gazprom chief executive says full gas shipments to European Union will continue uninterrupted

Russia cut natural gas deliveries to Ukraine today after negotiations failed to resolve a dispute over unpaid bills and the price for supplies this year.

Gazprom, the Russian state-owned gas provider, lowered pressure at 7am GMT in pipelines to Ukraine which also carry in transit about 80% of Russian gas consumed by other countries in Europe.

Ukraine said yesterday that it had paid $1.5bn (£1bn) in debts for supplies in November and December but Gazprom said it had not received that money from RosUkrEnergo, an intermediary company. It is also demanding a further $600m in fines which Ukraine said it is not yet prepared to pay.

The last time exports were terminated – in January 2006 – there was an immediate impact elsewhere in Europe as Ukraine allegedly siphoned off gas meant for onward transit. But the Gazprom chief executive, Alexei Miller, said it would continue full shipments to the European Union, which gets about a quarter of its gas from the Russian company, most of it through pipelines that cross Ukraine.

Read moreRussia cuts gas to Ukraine over unpaid bills

Cost for a single soldier to fight in Iraq or Afghanistan is about $775,000 per year

The U.S. military is now spending more – on a constant dollar basis – than it did in 1968, when the Defense Department had more than 500,000 soldiers stationed in South Vietnam. If you include the cost of the wars in Iraq and Afghanistan, then the U.S. military spent about $580 billion in 2007; that’s about 33 percent more – again, measured in constant (year 2000) dollars – than the United States spent in 1968. Even without the cost of those ongoing wars, America’s military spending is higher now than at any time since 1945.

A recent study by the Center for Strategic and Budgetary Analysis, a Washington-based think tank, provides yet more sobering numbers. The report, written by the CSBA’s Steven M. Kosiak, concludes that “since 2001, some $904 billion has been provided to cover the cost of US military operations. This includes some $687 billion for Iraq, $184 billion for Afghanistan and $33 billion for various homeland security activities.”

Read moreCost for a single soldier to fight in Iraq or Afghanistan is about $775,000 per year

Private firm may track all email and calls

‘Hellhouse’ of personal data will be created, warns former DPP

The private sector will be asked to manage and run a communications database that will keep track of everyone’s calls, emails, texts and internet use under a key option contained in a consultation paper to be published next month by Jacqui Smith, the home secretary.

A cabinet decision to put the management of the multibillion pound database of all UK communications traffic into private hands would be accompanied by tougher legal safeguards to guarantee against leaks and accidental data losses.

But in his strongest criticism yet of the superdatabase, Sir Ken Macdonald, the former director of public prosecutions, who has firsthand experience of working with intelligence and law enforcement agencies, told the Guardian such assurances would prove worthless in the long run and warned it would prove a “hellhouse” of personal private information.

“Authorisations for access might be written into statute. The most senior ministers and officials might be designated as scrutineers. But none of this means anything,” said Macdonald. “All history tells us that reassurances like these are worthless in the long run. In the first security crisis the locks would loosen.”

Read morePrivate firm may track all email and calls

Definitive proof that the Bank of England saw the financial crisis coming

Looking back in our archives this Christmas I came across a rather important article which I had half forgotten about. It dates from 2006, when the credit crisis was a mere apple in the financial system’s eye and the City was enjoying one of its biggest booms in history. The article, which can be found here, reveals that the Bank of England knew precisely what risk was posed by the dangerous build-up of debt which was brewing in the economy.

More strikingly, its Financial Stability Report from 2006 was as far as I can tell the first major institutional missive explicitly warning about the dangerous funding gap building up in the British banking system.

Read moreDefinitive proof that the Bank of England saw the financial crisis coming

Peter Schiff: US Dollar is on the verge of collapse; This is hyperinflation; This is Zimbabwe (12/17/2008)

Peter Schiff: “I am a 100% convinced that anybody who has their wealth in US Dollars will be just as broke as the people who had their money with Madoff.”

(All 6 parts are a must-see.)

Part 1 of 6

Source: YouTube

Read morePeter Schiff: US Dollar is on the verge of collapse; This is hyperinflation; This is Zimbabwe (12/17/2008)