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tv   [untitled]    June 27, 2013 3:30pm-4:01pm EDT

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a senior executive at anglo-irish who had just returned from a meeting with the central bank of ireland and another senior manager peter fitzgerald and peter fitzgerald asks john breaux where did you get the seven billion euro figure that you presented to the central bank that we need immediately and here's his answer. you know. that i think you could actually be more. you know you're trying to. get the picture going to be checking. for you want to you know you're you're you're you're you're you're pretty good. you know. you don't really. want to thank you know if i actually. really like. well the great thing about being
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a banker myself next banker is that i talk to these guys all the time and this is what i try to tell people is what they say behind the scenes they're laughing at people they're laughing at the irish people angle irish bankers through friends of friends they would say this to myself and others that they're pulling numbers out of there as they say they're gaming the system they're making a monkey out of the government they are disrespecting the entire rule of law and they're laughing about it and i tell this to people in ireland and a lot of people say yes are upset about it but a lot of people say no we have a contract we have to obey the contract we are subservient to the empire we don't have any self-respect and now it's come out that in fact that they're just being treated like idiots well as that as dumbo says there had the taxpayer had the government on behalf of the tax there been aware of the full genuine cost of the bailout now as you saw anglo irish bankers knew it was going to be tens of
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billions of euros more in fact was more than four times the seven billion euros which they asked when they knew the full extent but they said clearly that had the taxpayer been fully aware of the disaster on their hands they might have met made a better choice i still allow the bankruptcy of this bank the collapse of it the wipe out of the bond holders who were paid off in full thanks to the taxpayers now enduring extreme. austerity right angle irish was a gauge of the massive housing related ponzi scheme they were committing massive fraud the ponzi scheme blew up they had to get a bailout from the government they picked a number that they thought the government would go for because if they told the truth about what they knew they disclosed the extent of their losses then the government probably would have had to been faced with an icelandic situation allowed the banks to crash the economy to crash in ireland today would be a sovereign state instead of a vassal of the troika instead of a vassal the i.m.f.
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but no they failed to disclose which again it's illegal to do so and here's the really interesting bit stacy is that the seven billion euro number that they lied about is really much higher the current banks in ireland are sitting on undisclosed debts right now by my contacts thirty billion euros that will worry quire another bailout right now they haven't yet disclosed the extent of the debts today so in two or three years time or here another group of bankers are laughing behind the scenes collecting their bonuses they're not disclosing the debts in ireland today or greece or the u.s. or anywhere else of these big bankers are are are are centered well as we pointed out several years ago i doubt most bankers revealed that they need one hundred trillion that's the true figure we're only at about fifteen twenty thirty trillion at this point so we still have a lot further to go they've already revealed that to extend to what they think is the black hole is probably double that is probably two hundred trillion now and
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a canny the prime minister of ireland has promised a banking inquiry it was a probe this situation of course as these guys have pulled it out of their bottom it's going to have to be some sort of colonoscopy and i thought that and i thought that you know the auditors of these banks from now on are going to have to start performing colin oscar piece on these programs there's all of us to pay i recently had on so i know how to pronounce that. but then john boded mentioned drummer which is short for david drumm who was the c.e.o. at the time of anglo-irish and here's another headline regarding anglo-irish and these tapes that hash tag anglo tapes get this money in tape so drum happy to abuse state guarantee so david john the former chief executive of anglo irish bank laughed at the prospect of abusing the state guarantee the latest revelations from the tapes reveal he said we won't do anything blatant but we have to get the money
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in get the money and get it in he tells the senior manager of the bank john breaux now this guy david drumm where is he he's in boston seeking bankruptcy protection of the u.s. courts because he owes eight point five million euros to anglo irish bank in a dubious sort of loan to buy shares i was on the pact and in shell last year. in kilkenny and i told pat on his t.v. show that the bankers are laughing at the irish people and they're engaged in failing to disclose big debts essentially telling him breaking this story on the pact any show and i said they have the moral equivalency of pet a file because there's a big pedophile scandal in ireland with the catholic church and he said to me you can't use the word pedophile in relation to a banker and they threw me off that show now here we are less than a year later pat kenny and you once again have let down your country r.t.e. the state broadcaster once again as lead down the country i'm telling you right now
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there's more deaths that have yet to be disclosed but you won't carry that news you want best to get that news and the county by failing to disclose let me point this out that is the definition of tyranny same thing in the u.s. however that's why parliamentarian in the dot to dale the irish parliament doyle the irish parliament stood up and accused barack obama of war crimes because of this type of banking terrorism that's why edward snowden is involved in blowing the whistle on. like booz allen allegedly involved in financial terrorism market regaining forex lie boric cetera it's all connected as i've been saying for years now where you mention edward snowden so i want to relate the story where here you have david drumm who's l.o.l. ling trolling the irish population laughing and escaping to boston where he's free from any sort of justice or consequences to his crimes anglo-irish edward snowden out of sight as u.s. asks russia to hand him over so the particular point in this article in the new
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york times i'd like to focus on is that ricardo patino said ecuador was free to exercise its sovereignty as it saw fit with regard to snowden and added that a decision not to exceed to the wishes of washington would be akin to u.s. refuels rules to extradite bankers convicted of crimes in ecuador so apparently ecuador has asked on several occasions to for the us to extradite back to the ecuador several ecuadorian citizens who are bank stirrers who defrauded the their nation millions of customers in ecuador of banking crimes but the u.s. refuses to extradite them right now about the icelandic request to extradite bankers from london back to iceland for crimes of financial terrorism people think that there's no victims and financial terrorism but take a country like america is not growing they're bankrupt they employ these consultants and they employ the n.s.a. and the cia just spy to get data to manipulate markets to aggregate funds to
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underwrite their wars because there's no underlying economy to support the war so any serviceman in america that's dead because they went to a foreign country are fighting for booz allen is manipulation they're fighting for goldman sachs market manipulation that's what you're dying for. well you know this last boat is sailing through wall street as well and into america because these you know these these lulls banks toure's have had their way and now the u.s. is all. these banks are is that they've set loose on the world fed fights back against feral hogs a top u.s. central banker on monday warned the feral hogs the financial markets against trying to force the federal reserve to shelve plans to slow its bond buying as the yields on u.s. treasuries climbed to their highest level since august twenty seventh this is richard fisher the president of the dallas fed and he's warning the feral hogs of wall street from trying to force them through the bond markets to continue with the quantitative easing program right there used to be
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a thing called the bond vigilantes under the clinton administration which kept the economy on the straight and narrow and without too much debt being accumulated now the pharaoh now suddenly wall street is trying to force the government to do things that are not directly slumping the feral dogs you know just throwing money at them to sort of. yeah. you know ben bernanke a member you said we're going to pull back on the quantitative easing the market sold off that's nonsense she can't pull back and quantitative easing is back tracked already they're going to go from eighty five billion on mountain mortgage backed security by other interest rate bearing security buys are going to double that triple that they're not going back ever well fisher or liken this to the one thousand nine hundred two attack on the bank of england exchange rate mechanism by george soros and he warned that markets should not think the fed would end up propping up the economy indefinitely but as we saw from the top of the show with
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the anglo irish bank or is there trolling they're laughing their bottoms off as where from where they pull all the figures and they know that they're going to get the fed to print whatever they want and they're laughing they are if we could hear the audio tapes now not only would you hear the one but you would hear them laughing hysterically at the same time of course the fed is going to prop up the government indefinitely as the federal the central banker has merged with the central intelligence to create the central american style soviet era central planning that you know this russia has moved on from that idea that's why america and russia are two ships passing in the night russia is heading away from central planning and the ravages of naziism and the stasi and the us is heading in that direction go figure well i think it's time to give these feral hogs a little cold. well if they're over fifty years old i suggest anyone get
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a call on us. just a point of keeping oneself and good health as i have fought it out over fifty years old i had a colonoscopy and everything is great man though tell tip for you so mr fisher did warn finally that i don't want to go from wild turkey to cold turkey overnight so he's already capitulating he's already saying ok we're going to. ease off a little bit because the feral hogs are upset that i'm going to pretend to break them but in fact i'm saying i'm not going to go cold turkey from wild turkey so he's easing the way into capitulating to their demands they're laughing he hauling snorting demands because he's drunk on wild turkey and he's a dead duck. i stayed there with thanks much being on the kaiser report. states of a second half. or.
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they were ready to do anything for their country to me is to love the country more than yourself if you join the military for any other reason that you're probably not going to have a good day they were tools in the hands of the state now they live remembering the past which is impossible to get rid of. the war. but however good people to get hurt. and i've heard good people empty silent. a lot. but would prefer not to be sometimes i feel like. i should have died over there. because i. i saw some people who are tired and. there is cheaper than tariffs.
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on our. welcome back to the kaiser report imax kaiser don out at cern to andrew we get again author of the great university gamble money markets and the future of higher
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education andrew welcome to the kaiser even more next on so the invitation it's great that you're on the show we saw you the other day we had to come in and mediately because you've got some really interesting stuff here you are responsible for breaking this story regarding this secret report for the coalition government regarding selling off the forty billion pounds in student loans project yes hero project hero. project hero is the code name for a report that was commissioned by the government from a bank. they appointed him sometime around may two thousand and ten and the report run for eighteen months is basically a feasibility study into how to turn the outstanding student loan balances into an investment grade pro to be sold in a kind of a reason not to distribute model right now the student loans of course going back a few years. if i remember correctly they were sold to the public as being top up fees that the government just needed a few bob to cover the cost of education and as we predicted this would escalate
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and now it's become multi thousand pounds per student per year and now because the government is in a situation where they are outsourcing so much of what they do to bankers all the time they're trying to package this forty billion pound student loan package out to some investors so here you have we're all child bank there's tank to make this attractive for outside investors we want you to retroactively go back break the contracts and raise the interest on these loans correct we were going to do the loans were any available for living costs for maintenance and in the instance when they introduced a top up the that was a means tested one thousand pounds upfront fee but in two. thousand and six after a lot of shenanigans in parliament the labor government go through a motion to raise that she was the to three thousand pounds but part of the deal was bringing the three thousand pounds jewish and the loan into it sort of fish tuition fee into the loan package so then from two thousand and six people were
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taking out loans for maintenance and fees and then obviously last september we have to new change coming in which fees go up to nine thousand pounds and again there's a loan to cover that and all of this loan is currently backed by the states so you've got people currently graduating with debts were around seventeen eighteen thousand pounds on average in two thousand and fifteen when this lot of people in the new package graduate they're likely to have to around forty forty thousand pounds and the idea was always that if you developed a nice originate to distribute motile you could issue the loans and then immediately turn it into an investment product and people would buy it and you'd have it on the balance sheet but that's been the that's been the problem but this is a common theme in this and this government both both sides of government the labor and the conservative say gone down the path of these p.p.i. schemes private public initiatives where they go into business with bankers they construct projects where they risk their project on the interest rate side supposedly insulated from the government but we find out because they've been
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missed all derivatives are the good miss salt these projects from bankers that explode in the face of the government and the taxpayer always ends up having to foot the bill so here once again you've got an escalation of the fees that are required now by students as the whole idea of the welfare state in britain collapses under the foot and or jack boot of these banks who are continually. kind of taking over the function of what you expect government to work but once again i want to return to this idea that the interest rates on these loans they're wrong quarter the rothschild report they want to go back and retroactively raise them right. you know loans are kind of complicated to set up but basically there was a protection and probably legislation that determined that these were would be low interest rate loans and there would be a cap in the cap was you would pay the higher of either r.p.i. or bank base rate plus one currently bank plus one is one point five but r.p.i.
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is three point six and the r.p.i. they'll be using for the next year will be three point four but the bank base rates are for a while so at the moment is a two point one percentage point spread between those two different potential interest rates and that's what investors don't like they don't want to take on a product which is potentially delivering returns under inflation over the next twenty thirty years these are these are loans are long life times the loans are proposing to sell. in the end there is a right of clues that if you have an outstanding balance when you retire that outstanding balance is written off with people who graduated in two thousand and one potentially they're not looking at her tomlinson to twenty forty's so the people who are potentially buying this is looking at taking on something for a long time and this involves central bank games interest rate games statistical games and gaming the public because you're saying that is the lesser of two rates based rater r.p.i. you know first of all r.p.i. i don't even quote anymore because it's higher on and on the on the website would be on even this at the moment that's right yeah so let's just tickle game so it's
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higher than c.p.i. which thou they use because r.p.i. which is the old figure was tracking a little bit higher than the new c.p.i. number which is a false accounting of the inflationary trends in this country they just stood for the actual cost of stuff people buy on a daily basis the true rate of inflation in those countries between five and a half and six percent that's been proven statistically by folks who track this stuff who are mirroring the shadowstats. work that's done in the united states and here you have the idea that inflation is something that an investor has to worry about but something that the ordinary citizen doesn't have to worry about because of what the base rate the base rate just kept art of was reflecting the graduates are fairly low which is creating this ponzi scheme in the u.k. and giving birth to george osborne's help the bicycle ponzi scheme and now this just so law student loans forty billion pounds of this little deal on the tiles
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along some of those government i mean you know the pricing this day sixty three in the pound of outstanding balance now rose to reporters from november two thousand and seven and that's on the government thought it was the value of keeping the loans on books with seven c.p. in the pound so there's a seven piece spread there you shift shift these loans off the book brings down the public sector and that fine. and figure you get a bit of cash from now but in the long run the long term of these loans you know you've gone an income stream with your lot of the moment you're locking in the last yeah so what for decades in sentences you have to question the economic numeracy of a decision like this where the government has an even lower rate of borrowing than the potential purchases but in order to sell it then has to offer officially reproduce and that's that same interest rate for the bias and therefore takes on the loss itself because the government and the consultants who work with the government think all in the next to the next quarter yes or three or four major because of the short termism which is killing the economy so they're selling the
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cow to buy the milk and it's the u.k. the other houses in the room with the post office all these things there's all these sort of subsidies written in the. big losses and no way to pay him back because economies are growing well the other option they were last going to get the economy be expected to grow if this class of students graduating right now is graduating out of the owners of huge debts that they are being told that they'll never have to pay off for you have to ask how much i could get demands being taken out of the system by that nine percent over fifteen thousand sixteen thousand pounds repayment threshold for all graduates a tremendous amount of aggregate demand because we know that all the interest card before all of these games right adds up to the double or almost two point seven times the amount of money being saved by these artificially low interest rates on the other side of the ledger book from the mortgage owners. one of the things is there were two options on the table one was to go and change the interest rates full bore was and so the individual boards would stay in the system for them
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because it took them longer to erode their outstanding balances so they would make additional repayments at the end the other proposal the last trouble making was what they're calling a synthetic hedge and this would be where the government would artificially replicate that change by it providing those cash stream for other than the individual board was and again because the long lived on its loans with the government it today is effectively saying is we will sign the contract with the purchaser but whoever whoever is in government in twenty five. thirty years time they'll be the ones who pick up those cash flows and pay them to so again it kicks the can down the road in a different way whether it's taxpayer or individual borrow and some of these people are going to be graduates and taxpayers so they may even be paying twice over and that is tom i think we should just mention that although this is you know sounds like the u.k. england specific problem is an extent in america where you have a different problem of student debt they are looking to this scheme we have in england that's the kind of solution to the student debt crisis you have over there well in america they have sallie mae which is effectively the g.-man are the fannie
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mae freddie mac. of the student loan market and they're bankrupt as well they're seeking a massive bail out everything goes back out of the central bank's balance sheet weathers to bank of england's balance sheet went from eight hundred billion pound losses to over three trillion under mervyn king the federal reserve bank in the united states is interrogate now something upwards of five trillion dollars worth of new debt in the last i think what twenty five you know twenty four months or so so this all comes back to the same kind of accounting fraud that we're see endemic throughout the world now. what's the current default rate on the forty billion pounds of student loans and what's the state of this what's the default rate because that's the one way that will judge your loan book well this is why the different loans you can actually default on them because their income contingent you paying that's like a tax you pay nine thousand over an earnings threshold in repayments dischargeable in bankruptcy you can enter into individual voluntary arrangements to get out of them and in certain sense it's only death or disability. you know has the balances written off or this long term rights of policy for people with the earliest loans
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when they were tom and for the last iteration twenty five years into this current generation will be graduating forty thousand that's a thirty year run itself now that's what the government estimates at the moment for the new loans is going to lose thirty five p. for every pound it lands so this is not a you know this is not a commercial operation they only think they can get seventy feet five p. back over thirty plus years so people. in this september there are write offs are going to occur in twenty forty six and the current official valuations is that seventy five p. for the pound will come back and also different did a dash or servitude well you have the policy right off so it's not what you were indentured to his nine percent over and earnings threshold so the rings are collapsing because banks are from yesterday during the economy the report that came out yesterday from the student loan company which relates to tax year two thousand and twelve suggested that there are eight hundred thousand borrowers who are below the earnings threshold of sixteen thousand pounds roughly or and four hundred
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thousand pounds of him or see has how much he's revenue and customs has no record of them in employment now total borrower's is about. four hundred million twenty four million and a million of them are still in the systems that are open for payments in the four hundred thousand have already paid back what they borrowed but hey we've got eight hundred thousand people who are paying back anything because the economy is tanking and picking those people who graduated in two thousand and nine two thousand and ten two thousand and eleven what we can see on their debts is their increasing despite this this low interest rate cap because they just know earning enough to pay back. all right was tim george osborne's going to apply for a little see at some point five percent a claim that's somehow good for the economy all right a time thank so much being on the kaiser report and you get again thank you very much my all right that's all the time we have for this episode of guys a report with me max kaiser and stacy herbert i'd like to thank our guest andrew mcgettigan if you'd like to get in touch tweet us at kaiser report until next time
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that's kind of thing i go. real damage in complexity of this oil spill was not something you just by looking at dirty birds we have between four to five million people in this directly affected area of the coast and it's pretty clear why it's not being reported because b.p. can't afford to have a reported all along the gulf coast are clean they are safe and they're open for business to b.p. is the single largest oil contributor to the pentagon the u.s. war machine is heavily reliant upon b.p. and their oil this is a huge step backwards for democracy it's a step forward i would go and he corrects it is toxic it looked
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a long like spray. it was it was not a picture that either the government or b.p. really wanted to have out there i don't want dispersant. to be the agent orange. this bill still. we speak your language anybody will not advance. news programs and documentaries and spanish what matters to you breaking news a little tonnage of angles keaton's stories. you hear. live all teach spanish find out more visit eye to eye. teeth. a little bit of olympic. live. your life live clean.
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goodspeed i am chief. curry. and i. wish i. looked a little bit slim good at least. lifts me to look at him. and i. find i'm a better little.
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coming up on our t.v. new developments in the n.s.a. surveillance scandal along with phone metadata government agencies also tracked e-mail not as a bell on american citizens for over a decade more on that in a moment. stuck in limbo n.s.a. whistleblower edward snowden is still grounded in the moscow airport and american politicians are putting pressure on any country that might offer him asylum an update from moscow coming up. president obama starts his african trip to the nation of senegal but he might not have the star status he once claimed critics are questioning america's interest in the region more on this story later in today's show.


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