i would take i know there are a lot of similar case out of the supreme court like the first three throughout and outside pressure the would be five year up from three and i was the nation's lily on a single are out now i did want to take a minute to apologize to those of you who tuned in earlier and missed the full interview with the nation's jeremy scahill this hour we had a small technical glitch but as always you can watch the entire interview on our you tube channel or tune right back here at eight pm for the parking and unfortunately that has a for now for more on the stories because these are our t. dot com slash usa and check out our you tube page and see if you've got home r t america you can also follow me on twitter at lucie county now we'll see you back here some.

of the. next guys are welcome other guys report lars von trier on the danish filmmaker he's in the news recently the cannes film festival making some highly controversial remarks regarding nazis germans. but check this out let's look at some of these other stories that are circulating and tell me whether

or not this seems a bit odd to tell us i think you're referring to my first headline here we can agree says prostitutes attended reward party i'm not that's not the shocking thing ok this is we can agree the big three insurance company they had a little division called ergo and they held a reward party to reward the insurance high performing agents and there were one hundred executives that attended and twenty prostitutes but get this women wore color coded bands with red it for hostesses yellow for those available for sexual favors and white for women reserved for executives and top agents after each trip to beds set up near the thermal baths a woman would receive a stamp on her for someone to stray from munich re a financial terrorist responsible for creating ghettos financially disadvantaged

folks who are on the short end of the ghetto if occasion of the financial terrorist schemes of general really are forced to wear yellow armbands n.b.c. sex slaves four of their german. hosts whom he has and then be stamped on their own who are to prove that they were used and let's not forget the. the little serial code stamped on the wrist as part of the package but max the story here is that this goes from the very bottom these are just agents going door to door selling insurance products in the financial services industry top of the pyramid of banking. establishment is dominic strauss kahn because this is the culture isn't done much transcon is part of the banking culture where there is going to trial it's gone lloyd blankfein jamie diamond described panned it over it's citibank the c.e.o.

just paid him so forty two million dollars for stealing four hundred twenty million dollars they have a culture of predatory behavior where once you like a serial killer you know once you steal money from people with mortgage fraud or with banking fees that are illegitimate or with collateralized debt obligation to get a taste for the serial financial killing you just go you graduate to these higher crimes and you become adamic strauss kahn or a lloyd blankfein or or jamie diamond where serial financial murder is part of your day to day life that's the culture you live in and well speaking of color coded max let's move on to the next headline because this does have color coded threat warnings in this story financial repression coming to america el erian so this is mohamed el erian one of the heads of pimco the largest bond fund in the world and he was commenting on the global debt problems and signal and noted that there are some countries already signaling red like greece ireland and portugal he said then quote others are flashing orange like the u.s.

and already require future sacrifices most likely through a combination of higher inflation austerity and importantly financial repression l. arion classifies financial repression is seeking to impose negative real rates of returns on savers write well it's a good story to follow up on financial repression or wealth confiscation again the ghetto model from the thirty's and forty's people have their wealth confiscated by the church and of the democratic process by the national socialist party and they were put in ghettos and they were eventually killed i mean here now we're seeing the same process in europe in greece and ireland and what this gentleman is referring to is the same thing coming to the united states and the key there is negative rates for savers we've said all along that the global cons. it is not ideological a stunt religious it's savers versus speculators people who should get three or four or five percent on savings because they work hard and they save money are are subsidizing other being penalized by the speculators who are at the point of

a gun got ben bernanke in the e.c.b. to keep rates near zero to finance their speculation and this is the true conflict this engulfing the war and the true reason why you've got people in cairo in wisconsin in tunisia now in madrid it's savers versus specular it is financial repression in pressuring it and i might add though of course we are being held hostage all the savers of the world on the workers of the world by those very guys who were with prostitutes and yellow armbands you know this is the theory as a speculator war well that develops so i said it's a serial killer once you start to just steal wantonly without any accountability and they call it moral hazard i mean do you call a serial killer you know he's his problem is judges go moral hazard he murdered thirty seven people he suffers from moral hazard that's a euphemism for serial financial murder well if you're looking for an end to this

financial repression max the next headline does not bode well inflation jumps again but adds more intel's king to keep rates low so this is george osborne the chancellor of the exchequer in the u.k. and mervyn king the head of the bank of england inflation jumped to four point five percent and is due to hit five percent by the end of the year but despite this they're saying i don't raise the rate this is exactly i'm talking about inflation is rising the price of food and energy is rising but they won't let interest rates or wages rise because they want to keep rates near zero to finance their speculation and whenever they make a bad bet of course they get bailed out by the taxpayer who the. it has to suffer austerity measures to pay off these deaths it is financial repression it's using the globalized financial networks to impose that what i call the casino ghoul leg model of economics and mervyn king is being again like others in the system he's

got a gun to a said osborn the tory from the u.k. is a financial serial murderer we remember the big bang started in the u.k. when margaret thatcher unleashed this model upon us and one of the very first assets transferred from the public domain to the private banking class was the public transport system and i want to know one thing about the public transport system in these inflation numbers public transport fares rose by five point three percent on the month of april and by twenty two point three per cent on the year so remember we're told that with the transfer it into the private sector because they're so much more efficient and lower prices for us on the services that we'll hand to them oh that was a scam government is good at running stuff like transportation and co-operative networks that's what they're good at economies of scale they get the best price

private sector is good for introducing stuff like apple computers and computer gadgets and stuff like that but you can't want the same people who are competing selling sort of running the transportation sector already end up with exactly this problem rampant inflation high prices they walk away from it look at happened if you shimon there's a private contractor tepco it blew up and where they are hiding under their beds at least have the decency to put a sort of yard and commit ceremonial suppler well speaking of killing yourself max that's the next headline the very same guys that blew up our global financial economy with financial weapons of mass destruction that exploded probably while they had some prostitute wearing a yellow armband. that's to rivet is emerge from montana risks the long devotee risk is that you and i in people watching might live too long goldman sachs the white sebag and j.p. morgan chase which bundled and sold billions of dollars of mortgage loans now want

to help investors bet on people's deaths. i've often said as i've said on the show if auschwitz was listed on the new york stock exchange today they would have never invaded germany or try to put an end to world war two because too many americans and british people would be profiting off the business model of auschwitz this is the final solution for the derivatives model is to exterminate millions of people using financial oppression now what don't you understand about that as well because that bust up oh go go over your bed again you frickin it is well the article of bloomberg points out that the closest thing to this is the synthetic c.d.o. is that blew up the financial economy because you're betting on the outcome of something that is not associates not you taking out life insurance on your own life it's goldman sachs j.p.

morgan and toys your bank taking out an insurance on your life well again this is all made possible by interest rates being at near zero percent you can you can create these huge ponzi schemes that are self-referential that are tied to indexes that are created out of the anal orifice of some kuantan wall street who is the only guy not getting laid and then you try to market that to hedge funds and pension funds and you make huge fees but at the end of the day you're not talking about anything that would qualify as economics this is the casino goulet oppression in action and it's killing you. well it is tied to also the financial repression of attacking savers because these guys have to steal the savings of people who have savings and they are marketing this product to these derivatives towards the pension funds are sitting on more than twenty three trillion of assets just another

form of austerity they don't all of the unsustainable risk in the pension funds and then they say oh the pension funds are losing money and by the way you have no pension why because they stole it these are the this backdoor thing using derivatives as financial death derivatives put the final nail in the coffin of our western economies we're moving into a new world order apparently according to this next headline china's central bank lays it down new i.m.f. leadership should reflect new world order so this is a quote from the chinese central bank governor who wants somebody to head the i.m.f. who is from china or brazil or a developing nation. so i want to look at one final headline here to see what this new world order might be and whether it might not look a whole lot like the old old world order excluding watermelons put spotlight on chinese farming practices fields of watermelons exploded when

a farmer and other agricultural workers in eastern china mistakenly applied for chloroform nor on a growth accelerator everything is just over high and it's over stimulated and it's all blowing up so well maybe they might take this growth accelerator and now apply it to their own economy and i think they might just be ready to take on the world the world financial system right where we left off. that's what we need more artificial growth stimulation that. stacy were paying so much for being on the kaiser report thank you rex don't go away much more coming your way so stay there.

welcome back to the kaiser report sign out to go to los angeles speak with nomi prins now me is a former senior executive at both goldman sachs and bear stearns she's the author

of it takes a pillage and only welcome back to the kaiser report thanks max. now me i want to touch on this. article for rolling stone the people versus goldman sachs of course you worked goldman sachs as a managing director and i also want to bring into this little discussion some comments made by a wall street bucket shop that goes by the name of stone street advisors. in the in the story about me that stoned street advisors is takes exception to one of the things they bring up right away is lloyd blankfein c.e.o. of goldman sachs of course is being accused by carl levin a lying before congress and lying to its clients your thoughts on carl levin's accusation the lloyd blankfein was lying to his clients and was he

lying to congress with respect to his clients and those are some points that were brought up by levin and also in in math article there was an issue around certain deals one for example was hudson where goldman in order to get clients to buy those deals indicated that it would be taking a position on the side of those same clients within those same deals so the hudson deal for example was a one point two billion dollar deal goldman was going to take a sliver of a six million dollars position in that deal and because of that that was one of the sort of carrots the bait to bring clients into the deal and as the documents show and as the order mentions it turned out that goldman had a two billion dollars short position against the deal so it's sort of like there was this little teeny carrot and then there was this whole dumping of sludge on the other side and the clients who came in were caught in between and there was

a number of deals for which that was the case and different in different ways so the legal aspect of that is whether or not you know goldman has to indicate everything. also it's doing to the clients that it's trying to get into these deals into which they're also sticking really bad securities toxic assets things that are just. stuff they want to get off their books because they don't want to deal with that which is the crux of all of these c.d.o. is that were created around the later part of zero six and zero seven they were they were stuff that goldman is trying to jump away from its books so we could get first flat and then short and it was significantly short which brings us to work we're playing for i was saying in front of carl levin in the committee they weren't significantly short well they they were so so that on its face is is a is a bold faced lie that they were short they were short against the deals they were sure in general against the market but the legal question and i think it can be hard to prove is whether or not not that he lied because he was short but what

assured me and it's that sort of clinton asked what is is is what blankfein comes back with is that he is making or goldman sachs are making a market and within that phrase making a market you can hide an awful lot of sins and it's course is the problem on wall street with the elimination of glass steagall and other regulations is that you have groups like goldman sachs claiming that they're making a market of course it's not their job is it but the fact that they can claim they're making the market gives them a gives them a blank check they can say almost anything and they get away with murder is not correct goes i mean goldman's profits were predicated eighty percent on their trading revenues and not distinguishing those trading revenues from market making revenues in which they're taking positions they could be buying for one client they could be selling for another client and what the decimation of glass steagall did. the notion of of lasting going away allowed investment banks to find

a way and push away in washington to be able to leverage to be able to borrow to be able to do whatever it was they wanted. to do to create profits in a very risky way and there's a lot of argument that says glass to go nothing to do with a company like goldman sachs making profits but the fact is it spurred a company like goldman sachs to go and create leverage and find leverage and lobby for leverage and create all these risky products so there was a direct result between the repeal of that act and investment banks like goldman sachs doing what it is they do the problem though because of that is that there was never a return to the idea of what's the difference between a market maker and this is lloyd blankfein argument and a company an investment house that's creating securities on behalf of its clients so from the perspective of goldman from the spread of the legal poorly regulated investment banking system and banking system the company is allowed to do what it calls the market making to be sure to be long to do whatever it needs to do and how

this responsibility to its shareholders to itself be a profitable company which they also hide behind and to create these securities it used to be that issuers and this will was like the world class siegel was created in some ways to to delineate issuers who are technically on the side of their clients if they issue debt for a company if they brought clients along into that debt issuance they were supposed to have some notion that that company was going to do well but when you get into something as complex as a c.d.o. we're throwing in all of this we're throwing in the deals that you have on your books that you don't want where you're trying to stuff them away as quickly as you can the notion of what's good and what's bad and what was what's responsible and what's ethical is completely mirka by now there's another problem with this making a market argument that they take aside from the gross. carried of everything that would pertain to being competitive of course is completely empty

competitive and that's why so many of these competitors are being destroyed because of their being gobbled up by a few main behave like goldman but there's another problem if they're making the more. it seems to me that when it suits them they can go in front of congress and they can effectively threaten to close the market if they don't get their way they have this kind of power now to put a gun figuratively to congress and said as we saw in two thousand and eight with paulson and other wall street types if you don't give us what we want because we are quote unquote market makers we are the market we can just close the market and they threaten financial armageddon is that too much of a spin on it or correct you know you have to take it for the bottom up and because it's not just the spin it's really the whole mechanism from creating the securities to creating the market part of part of mass article part of what happened to the investigation was that there was a deal for example timberwolf which is one of the c.d.o. deals where. you bought an investment within it and then wanted to get out and it

couldn't get out goldman wouldn't make the market to basically take back the just sold and instead try to extract from this company more money more margin because they were going to be more losses in the deal they had just sold so on the one hand they can stop a market almost immediately after creating it and on the other hand you take that up to a larger conclusion and they can basically be in and out of markets at will on a larger scale and it goes back to the fact that we don't have a banking system and we don't have the appropriate regulations to dissect companies that are merely there to take sides and yes they can hedge them side but hedging is not taking a thirteen billion dollar position which is what will mean alternately took it was fifty four percent of their overall risk at one time which is indicated in some of those documents that were in the report that that's not a little position that's on market making position that's a betting position there's nothing legally in regulatory to keep them from betting

there is nothing beyond ethics to keep them from betting against certain clients when they want to get with other clients depending on where they feel they're going to make the most money so yes it all goes into the definition of. what's a market maker versus what's. classic investment bank that is that is creating a situation whereby customers can access funds and investors can come in and supply those funds and those are two very different things yet in our loosely regulated banking environment they fall into one place like the goldman the bigger more powerful companies as you mentioned take more and more of this role and that is stabilize the entire financial system and yet after everything we saw after all the bailouts after all of the pain that is still going on there is no change being discussed in that regulatory structure to keep this stuff from occurring or becoming an even bigger problem in the future which therefore it will right now we prince and former managing director of goldman sachs you are familiar with the

culture of wall street your professional career starting out was tied to the highest echelons of wall street now what do you make of this statement. coming out of the stone street advisor group they say basically they're attacking this mets a.d.p.s and one of the things mentioned here is that well maybe goldman lied to congress book quote everyone lies to congress so these legitimising institutional kind of disregard for the law and this goes in print and there's no outcry about this and it's and given the of what we saw with the adamic star struck on the i.m.'s behavior recently and this is part and parcel of a culture of wall street of lawlessness of transgression of any any rules or regulations and it seems as though you've got a culture that's gone just from. law breaking to being

predatory almost collegial like collegial a capitalist they're going absolutely gone. down there what is that how you lived in the culture what is that's going on with these people whoever is able to sort of you know discard. their central morality and in in a lot of ethics and in just you know basic human kindness tends to rise in in these firms and to run them and if you take that outside of the wall street arena into you know what the i.m.f. is doing with with peripheral weaker countries in europe versus the poor countries of the i.m.f. you know represents even though it's supposedly you know body that represents one hundred eighty seven nations it does it it basically represents the stronger nations the wall street firms represent their stronger selves the people that rise in these companies are the people they want the power and the influence to maintain what they have and should grow what they have and unfortunately this kind of power begets more power more influence it's concentrated within

a few banks that operate globally the more influence that's concentrated it you know some of the members of the i.m.f. some of the member countries that hurts some of the others more power that's concentrated at the fed that bails out a banking system and then and then moans about the fact that the united states has to raise its debt cap which is only representative of debt that was created to float the banking system and take that away from public programs which is which is the i.m.f. loan as well you know that creates a situation where the weaker countries the weaker people the individual mortgage holders you know howard if you look at it with every level throughout the globe continue to get hurt at the hands of people who really just want power and influence which continues to. manifest itself into more power and more influence right now only plans we have about one minute left just i'm reading something you wrote just this week talking about the i.m.f. and the austerity measures and what's going on in europe and the basic deal of the

offer their slumping debt for austerity we've got about really less than a minute left just walk us through their modus operandi oh it's again. what the i.m.f. does it looks a double digit an unemployment and tremendously weak indebted nations that became indebted because their banks either all money to the core banks or because they opened their doors as they were said to have to do by the e.u. by the i.m.f. to international capital international capital left leaving them with with with just a junky economy and impoverished and unemployed people and the solution of the i.m.f. is putting upon this is to say are all do more of that you know continue to progress continue to reduce your social programs continue to create austerity measures so that we can loan you money so that you can float whatever international capital whatever mistakes of the banking system within your country private banks or extra no banks have made and we will continue in that manner to make your economy worse while we try to float these investors as long as we can all right the

only brands thanks so much once again for being on the kaiser report thank you all right and that's going to do it for this edition of the kaiser report with me max keiser and stacy herbert and i thank my guests know me prince author of it takes pillage if you want to send me an email please do so at kaiser report r t t v are you until next time is it nice guys are saying bye go.

it is abusive. posts.