for the. we've got. the biggest issues get a human voice ceased to face with the news makers. eleven thirty am in moscow these iraqi headlines out of the arab league heading to syria to demand an end to the governments of violent crackdown on protesters there this following the e.u. announcing new sanctions against the regime but critics say the ban on oil imports serves the interests of european companies rather than those of the syrian people. spain preparing for a fresh wave of protests ahead of a crucial senate vote on capping the budget deficit a move many fear will lead to social cuts meanwhile european central bank calls for greater financial integration within the euro zone is the only solution to the crisis. pioneers of rallies against social injustice in israel forty years ago

during a recent protests against the same issue members of the black panther movement say they're frustrated the problems in israel have only gotten worse you back with a recap of our top stories in less than a half hour up next our financial pundit max kaiser explores the banks role in the west current economic woes stay with us. guys are this is the cause a report in out the only good banker. seems to be a drawn and quartered banker. yeah you know i'm talking about probably more states ever max i have a feeling you read this first headline here banks still expect taxpayer to for their failure this according to paul fisher of the bank of england's executive director for markets and he disclosed that quote some banks have told us that they

think they should not be required to hold capital in the quiddity to deal with such extreme tayla vents leaving a public sector to be the capital provider of last resort this contradicts what these bankers say in public max well this statement needs to be examined for what it's worth here is somebody representing the bankers who is the flying who is basically shaking you know his finger at the public and saying how ha ha ha ha we've got all your body i mean this is not acceptable well max this is paul fisher and he's saying in private conversations bankers have told him that they don't need to raise capital requirements as the bank of england is requiring them to do they're saying we don't need it because the taxpayer will bail us out look the whole crisis started when goldman sachs became a publicly listed company not that long ago before then the partners had their own capital at risk if they manage bad bet they would lose money then they went public

and we started this era of moral hazard on steroids whenever a banker loses money they put a gun to the head of government and they enforce all staring measures that's an occupation that's not a free government that's not acceptable. ok max well it sounds like your mass is just spreading throughout the u.k. because i was sent this headline from a viewer of this program called on twitter we could ferry sad she describes herself max as pro justice equity freedom of expression and she fraud quangos current irish political system and bell out and pro max kaiser i know the trick. well she said this headline calls amount to punish greedy banks who sparked a credit crunch so this is from the u.k. and people are like union members and activist groups are demanding harsher punishments against the bankers because according to

a report this year by the new economic foundation they said the banks have made sixty billion pounds out of the financial crisis they helped create most of it is due to selling debt to the government it's a cost of scam it's an insurance scam it's arson scam and they get paid out on credit default swaps or other form of insurance so-called insurance and they collect money as mafia terrorist bankers or financial terrorists that's what they are terrorist they get paid per acts of terrorism and vandalism that's why i say those cities a riot in london if you gave them brokers license the u.k. economy would grow david cameron's missing a huge bet here all the ability to put him in jail give the bankers license and start trading on the floor of goldman sachs your economy will grow i can see collateralized hoody obligations that could go big time excellent idea i'll watch thirty thousand at the market but i think that's a good growth market according to the economist if you look at their shoe throwing index in their political unrest their social unrest index it could be

a good winter digression you know in the u.s. a reporter for the month zero jobs and the last time to put a sign he thought america was fighting a war america is fighting a war against a day they're fighting against corrupt bankers and guess what they lost. so here's an editorial i thought was interesting along these lines when we're looking at these fraudulent debts piling up upon our economy and game when debt is fraud debt forgiveness is the last and only remedy and this is from a writer called zeus ya movie ya nice and first of all most importantly he points out that you know policymakers and politicians keep on saying calling them toxic assets he said they're not toxic assets they are fake assets they don't exist they're fraudulent they're fraudulent nothingness that's right they used to be that the world worked on a fractional reserve banking system then we want to zero reserve banking system now run a negative reserve banking system there is no there there is just

a matter of mathematical formulas that are being spread out of a cheese whiz can being held by christine lagarde that's all they have no assets there there's no money it's just a fractional claim on it that that will never be repaid i notice you're on like some sort of familiar term with christie we're going to receive calls you have all the time you know she's trying to get herself out of this mess she created ok well this guy goes on to explain that productive wealth has been trapped in a web of parasitic theft counterfeiting liability evasion non-regulation and prosequi tauriel non accountability all the fundamental attributes of a functioning exchange economy have been warped to reward creative criminals. here that's absolutely correct and you know moral hazard is the polite way to say outright larceny they're arsonists they're looters they're plunderers and. you know

the butane is so nineteenth century eighteenth century you need something something new well how about waterboarding yeah that could be you know that's a modern way to extract. a terrorist waterboarding ok yes well because it's not torture but listen one thing that is torture and we all agree is austerity measures and again in this article the the calls for austerity are nothing more than the delusional efforts of a status quo to avoid the consequences of its own error and fraud into profit ever more well fraud has become the de facto business model that has replaced all productive planks of the economy it's become captured by fraudulent peddlers of nonexistent debts and into that miasma of larceny comes things like g.d.p. growth and c.p.i. numbers which are also completely fraud well yes and all of our economies are spiraling into nothingness as these are scary measures are implemented in order to

bail out those bankers who we now learned are secretly talking to the bank regulators and frank and central banks saying that they actually have no plan on reforming themselves because they plan on dumping all of their fake assets onto the public once again should it all fail again exactly right and everyone who's suffering with a savings account paying zero interest isn't a fact subsidizing the criminality. and so let's look out how this fraud and austerity measures are being posed to cross the world italy cuts tax on high earners from austerity package so you know silvio berlusconi it announced a sixty six billion dollars or forty five point five billion euro austerity package and part of it was a tax on people earning over ninety thousand euros a year apparently he's getting rid of that leaving all the other stuff for the job bag and donuts but that number forty five point five billion euros max made me think of something from two years ago in the land police seize u.b.s. j.p.

morgan deutsche bank funds now this was due to the fraudulent toxic assets or. fake assets that were sold to milan and six hundred italian municipalities were sold thirty five point five billion euros in toxic derivatives present so these municipalities in italy were sold fake securities that went to zero in value because they were fake to begin with and now oh here's berlusconi saying he needs approximately the same amount of money imposed in austerity measures to basically pay now for the toxic securities that were purchased to begin with and this is a pattern we see over and over around the world it's happened when fishing towns in norway it's happened in alabama in america it's happened all over italy happens all over the world i mean it's apologies the governments the local banks by securities german banks what trillions of dollars society general our society general going to

declare bankruptcy in the next ten days because they bought fake securities from wall street they created fake securities they bought the let themselves they bought them with b. and p. they exchange the paper carries with each other for a fee then the fees paid to them as a bonus and now however the implosion is taking place to the revelation that there is no white knight coming there is no bailout that will get the ponzi see and go. again there is no stimulus package that will take unemployment any war over zero and this thing is becoming worse and worse yeah i mean max society in general is one of the perpetrators of these fraudulent fake assets being sold around the world and those names that were referred to in this article u.b.s. j.p. morgan and deutsche bank those are the three real heart and the nexus of these global derivatives j.p. morgan in particular owns the largest derivatives book in the world but what's amazing is that j.p. morgan was selling this apology or some countries some fake toxic to rid of securities and then to protect themselves from any blowback they'll say offset the

trade with a credit default swap somewhere in another equally corrupt market and so if the what it does blow up they get actually they get paid out more than what was lost so you say that they have to impose tens of billions of euros in austerity measures to pay for tens of billions of euros for fake securities the person sort of a security check letter kind of the thought swaps banks that they get paid out double or triple that amount to their bank accounts this is how financial terrorism works they create the financial problem the reason think securities they do insurance at the same time and when the thing blows up as one hundred percent will do they get paid triple back. well max what i'm saying you know is the article about the the land being wiped out by credit default swaps and credit derivatives that's from two years ago that's in two thousand and nine that's thirty five point five billion euro sold six hundred minas apologies around italy two years later it's forty five point five billion euros and austerity measures for italy but you

never hear about this all you hear is about those lazy italians those tax evaders those people who want to retire at fifty five nine out of ten well in fact probably ten out of ten mainstream media articles about italy will be talking about how corrupt and and like you know we still workers they are the occupying force always scapegoats the locals and if in fact these were. shared risk by the people sold them well how the bonus games were there last year on wall street oh record bonuses hundred forty going and then let's move on to this final headline here max italian town minced own money to fight austerity this is the italian town of philip tino and they have introduced a new currency called the fiorito and wanted to avoid these austerity measures which are being imposed across italy so the austerity measures of course as i said have been they're no longer introducing a new tax on the wealthy but they are cutting back on money to municipalities. well

this is what happens when this is actually a good comment to see the whole globalization movement over the past ten twenty thirty years is falling apart forcing local governments and local communities to create their own currency their own trade back and forth and to just subsist secede from the prevailing bank gangster model and so we're going to see a lot more of this and so that makes of course is why people are resorting to the ultimate currency of currencies gold and silver exactly and i have a take on this headline i think we could have is the global t.v. show crisis report mintz own money to fight banks i thought a good idea the same way these guys are fighting the austerity measures we could fight banks through with perhaps. the cons are absolutely are at a new start the new thing yes are you. yeah the news are a max so teen or stacy teen x. or stacy teen. so we're going to turn to our own issue our own collateralized max

and stacy money exactly and while you can how about as a free to freeze instead of in god we trust say evaluate your own risk. that could be a problem all right thanks much for being on the kaiser report thank you max much more coming away so stay right there.

welcome back to the kaiser report i'm max keiser time now to go to sunny a los angeles and speak with artist alex shaffer who was recently questioned by police for his art work featuring chase manhattan bank j.p. morgan burning down oh aleksei for imax nice to be chewed i say hi stacey. all right let's show the people the artwork show the people oh my god it's too hot for t.v. . yeah it looks fantastic look out it out it's hot. yeah i can feel it over here buddy you are burning up the art world you put up on e-bay and it's

already attracting dozens of beads the prices skyrocketing people understand that the wave of today is a burning banks and you're on the bleeding edge of this movement now tell us what exactly gave you that moment of inspiration to create change burning you know i kind of led up to it through a series of paintings that i that i started doing one of them was these sort of fantasy riot scenes because we haven't seen so much of that on television and then there was also a series of just just regular buildings that were on fire but then i combined that the chocolate of my peanut butter was my love for impressionist plane air painting painting on location combined with my with the symbolic fire of of economic destruction that is being wrought upon us so you know

kind of like the season of arson yeah yes is it maybe the monet you know you know who was a big artistic revolutionary was a good stock or bay yes i've seen some of his works are in the news i'm and he's a d'orsay right here in paris fantastic now you were visited by the police what how did interaction go what did they say what did you say ok well when i set out to paint this painting i just brought my easel and my backpack full art supplies and i set up at a bus stop right across the street from the bridge and you know you do a plane there painting it's like it's street art you're always dealing with people knocking around and talking to you especially if you're doing urban landscapes you can't avoid people and it usually takes about three or four hours five hours to do to do a decent painting and. the response of the public of the people blocking by on the sidewalk getting off the bus there was

a lawyers office that i was painting right in front of they all got they all got it you know they they thought that's great they share their own you know misery stories with dealing with banks or what have you and their life. and and then at some point about three hours into it i saw a police cruiser go up then eyes and flip a u. turn and and two two officers stepped out of the cart approached me and they they were asked you some questions a lot of the interaction although there was the first encounter with two officers on the street when i was actually doing the painting and they told me that someone had called in and felt threatened by my work and so they were obligated to to approach me because it became an incident and they took my identification they wrote down all of my information one of the officers asked me questions along the

lines of well this is nine eleven you know post nine eleven you could be a terrorist do you hate the banks and i really thought that the incident that that was the conclusion you know just as a person talking to the police and police are just people i really felt ok this happened and that was going to be it but i think the thing that got it to more of a weird level was three weeks later two officers and uniformed officers came to my house and knocked on my door and said l.a.p.d. and i was home and i opened the door and they said do you know why we're here and i said because of the pain that it and they said yes we need to talk to you about the . that you know do you intend to do that again questioning along the lines of do

you hate the banks this is post nine eleven you know you could be a terrorist we don't know and they wanted to see the painting and at that time i didn't have it it was at the hive gallery so i showed them just another beautiful landscape and i thought oh that's lovely and but you know they showed up and i saw they had their guns and bulletproof vest on and big kind of proof jacket and they were ready for anything i mean i don't know what their what they were thinking but i think when people meet me i come across very you know approachable and friendly and again as a person dealing with two people who are officers i in my mind feel that this issue is concluded that this is the conclusion but again i felt that way the first time so if this gets kicked up to another level then you know three's

a charm it's a had trick it's it's that's going to be definitely as as what google c.e.o. said that's crossing the creepy line well this is interesting alex because. typically artists react to terrorism i'm thinking of picasso's guernica for example famous painting capturing a moment of intense slaughter in history and what you're responding to and what people have responded to is that you're capturing in essence the terrorism being performed by bankers the question should not be do you are you going to do this to banks but the question should be when will bankers stop committing terrorism against us because those flames right on the bank represent america's savings they represent interest rates at zero percent yet present a cutoff mostly by the cops is a new sense of police oppression in america has it come to that you're living out there los angeles and other cops nearly everywhere are going to report that we hear

is that's become a bit of a police state i am not really feeling that you know what i took a trip to new york city and i went to wall street just to visit because i remember going there is a kid eighty's and you know you could get a ticket and watch the the the trading floor and going back there just a few months ago it felt like you know the gaza strip or something it was submachine gun police officers and surveillance vans now there i haven't noticed any locations like that now lay. the with this encounter with the police i really thought that was it i thought ok these officers approached me they talked to me they you know it's funny because one of the officers said well you know do you hate the banks and it's kind of along the line if your state and for the question i said well you know i don't hate the base but i do perceive them now to be criminals it's far is

a lot of the activities that they're doing so i throw it back to the officers and say you know you deal with criminals all day do you hate criminals you know you don't hate criminals. so you just wish criminals didn't do what they do all the crimes of banks are committing are should be covered under various legal restrictions over there at the f.c.c. and the c f.t.c. and other regulatory bodies but unfortunately those regulatory bodies are now owned by the bankers so they don't have any law there is no rule of law in america when it comes to banking crimes but let me i want over to my twitter account that's my max kaiser kiick i se our twitter account and i asked for questions for you because i told my twitter folks that you would be on the show so from least a tad geo she asks that will there be prince available of this painting and other banks on fire paintings i will be able to make prints yes so you know maybe we

could do it on one of these websites have coffee mugs and mouse pads and. this could be the happy face logo that defines a generation. ago i mean it's i got to say that this all this media attention is surreal. and i'm just really stoked to be talking about this and also feeling like i've been completely true to my own art you know and everything i love about making art ok i'm looking at another question from my twitter account from mr canning he says to ask alex shaffer did you use oil as a symbol for the u.s. insatiable appetite for oil or pastel paints in your painting what years a response aleksei for. well you know the oil in oil paint is actually it's a vegetable oil. it's not it's not a petroleum product you could actually drink linseed oil or make a real tasty even

a great dressing out of it. but no i didn't take my my symbolism that far i hate to be the guy who turned his castle into a salad dressing on a lark and threw away fifty or sixty million dollars all right so i'll say for going forward. how is this going to affect your painting career i guess you could say are you going to continue to explore this theme and how has it changed you or you're thinking as an artist. absolutely i mean this is a theme i have a number of themes i love doing just regular old landscapes and nudes and portraits and but because this theme is just so right in line with everything else that i like doing it's just it doesn't even feel like it's outside of my regular work so absolutely and as far as the art world goes you know max years someone who came from you know wall street in the eighty's and you probably remember what that was

like and there was a big bubble in the eighty's and i think my frustration began not with let's say felonious activity or market manipulation on wall street but but as a young and naive artist learning about the quote serious new york art world and coming to the conclusion that it is a game that is played by these big new york bankers and it's like a little fantasy world for them where they can completely manipulate the art market they can create art bubbles they can capitalize and monetize that sort of thing and but it's a lot of art that really doesn't move people now you have a plans to burn any other banks yeah actually i've got a couple more chased. ones i got a b. of a that's work in progress and i was going to go and just do a little small citibank today and just squeeze one in i mean i'm inundated with

with calls and e-mails at the moment and so it's kind of like whoa i'm shifting my priorities a little here from being a nobody who just you know does whatever they want to having to answer all this media requests which is great but yet no i mean we're going to we're going to keep it out if i get that little piece done today and and it's and it's a little gem that i'll put that up on e bay and it will be a price that at two ounces of silver so will start the bidding at eighty dollars. actually a choice of currency now there's a famous phrase liar liar pants on fire so keeping on that theme how about a lloyd blankfein or jamie diamond portrait with their pants on fire yeah liar liar brakes on fire i thought that yeah excellent well alex shaffer that's all the time we have for this week thanks so much for being on the kaiser report thanks for having me on max all right that's going to do it for this edition of the kaiser

report with me max kaiser and stacy herbert and i thank my guest artist alex schaefer if you want to send an e-mail please do so at kaiser reported r t t v are you until next time this is nice guys are saying by all.