welcome back here's a recap of the main stories we're covering today r.t. banking on a sanctions to be used or the embargo on a syria could backfire as energy firms cashier are hoping for another two months fueling the regime it's condemned. southern europe braces for sturdy anger as italy and spain try to push through more savage cuts all the arduous sufferers to save greece appear to be on tackling. also turkey's a stands all trade and military ties with israel as relations sink to a new low because israel won't apologize for killing by activists in last year's

gaza flotilla raid. and the dinner put in throws the switch from a new undersea gas pipeline to europe curbing ukraine's status as a possible middleman which it's news to negotiate discounts rates on spots. all next is the car's a report where max kaiser and stacy herbert expose the bankers who deal in toxic assets and still expect taxpayers to bail them out when trading goes wrong well that's something that's an artsy. easy. this is the kaiser report. the only good bank. to be drawn and quartered. you know what i'm fighting about probably more studies ever max i have a feeling you've read this first headline here banks still expect taxpayer to for

their failure this according to paul fisher 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 and liquidity to deal with such extreme tayla vents leaving the 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 just lying who is basically shaking you know his finger at the public and saying how ha ha ha ha we've got all your money 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 mask is just spreading throughout the u.k. because it was sent us headlines from a viewer of this program call 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 anti bell out and pro max kaiser i know that chick. 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 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 that's a bust 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 off the a terrorist bankers or financial terrorists that's what they are the terrorist they get paid per acts of terrorism in vandalism that's why i say those who do use a ride in london if you gave them brokers license the u.k. economy would grow david cameron's missing a huge bet here although they still put him in jail in the bankers license and start trading on the floor of goldman sachs your economy will grow i can see collateralized could be obligations that could go big time backslid i'll buy to

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. you know in the u.s. are important for the month zero jobs and the last time the circumcising forty five america was fighting a war well 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 that 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 young we are 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 feet assets they don't exist they're fraudulent they're fraudulent nothingness that's right it used to be that

the world worked on a fractional reserve banking system then we want to use 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 spurted out of a cheese whiz can being held by christie look guard that's all they have the 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 call me a call that 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. dear

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 guillotine 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 they the calls for austerity are nothing more than the delusional efforts of the status quo to avoid the consequences of its own error and fraud into profit ever more fraud has become the de facto business model that has replaced all productive planks of the economy it's become captured by a fraudulent pedlers 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 austerity measures are implemented in order to bail out those bankers who we now learn are secretly talking to the bank regulators and frightening and central banks saying that they actually have no plan on reforming themselves because they plan on dumping all of their fate assets onto the public once again should it all fail again exactly right and everyone who's suffering with a savings account things are zero interest is in the fact subsidizing the criminality. and so let's look at how this fraud and austerity measures are being imposed across 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 but apparently he's getting rid of that leaving all the other stuff for the

job i get donuts but that number forty five point five billion euros max made me think of something from two years ago melanne police seize u.b.s. j.p. morgan deutsche of bank funds now this was due to the fraudulent toxic assets or top talent 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 the best they pay now for the toxic securities that were purchased to begin with and this is a pattern we see over and over and 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 buy securities german banks but trillions of dollars society gen y. society general is going to declare bankruptcy in the next ten days because they bought fake securities from wall street they created think securities they bought them with themselves they bought them with the b.n.p. they exchanged the banks occurs with each other for a fee then the fees pay 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 scheme go. again there is no stimulus package that will take unemployment anywhere over zero and this thing is becoming worse and worse yet 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 joyce bank those are the three real heart and the nexus of these global derivatives j.p. morgan in particular owns the largest room in its book in the world but what's

amazing is that j.p. morgan will sell it is about the are some countries some fake toxic derivative 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 saw the securities had callender credit default swaps banks that they get paid out double or triple that amount to their bank accounts and this is how financial terrorism works they create the financial problem and reason fiction purities 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 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 to

six hundred municipalities 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 of the occupying force always scapegoats the locals and if in fact these were. shared risk by the people so all of them well have the bonus schemes were jealous and wall street oh record bonuses hundred forty billion and then let's move on to this final headline here max italian town mintz 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

i think 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 good common 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 just subsist secede from the prevailing bank gangster model and so going to see a lot more of this and so that makes of course is why people are resorting to be 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 kaiser report own money to fight banks i thought a good idea the same way these guys are fighting austerity measures we could fight banks through as with perhaps a deal kaiser public you know kaiser absolutely or in new sar the news was our news our yeah yeah the news our imax so teen or stacy teen max or stacy

teen. so you know we're going to print their own issue our own collateralized max and stacey money. and well you can how about as a free to freeze instead of in god we trust you say evaluate your own risk. oh my gosh that could be a problem all right thank you never thanks much for being on the kaiser report thank you max away much more coming a way to stay right there. and greet for the full story we've got. the biggest issues getting voice face to face with the news makers on the. mission. critical free storage. maintenance free. free. free. free broken videos for your media

project for free media don carty dot com. welcome back to the kaiser report i'm max kaiser 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 a low aleksei for iraq's nice to be chewed i say hi stacey. all right looks show the people the artwork show the people oh my god it's too hot for t.v. . yeah looks fantastic look out at 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 of prices skyrocketing people understand that the art wave of today is the 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've been seeing 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 chocolate in 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're kind of like the season of arson yeah yes maybe the monet you know you know who was a big artistic revolutionary was gustaf kaur bay yes i've seen some of his works

here in the museum and the news a d'orsay right here in paris fantastic now you were visited by the police what how did this interaction bill 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 branch and you know you do a plane or a painting it's like it's street art you're always dealing with people walking around and talking to you especially if you're doing urban landscapes you can't avoid people and 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 walking 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 they're like thumbs up and and then at some point about three hours into it i saw a police cruiser bill up then eyes and flip a u. turn and and two two officers stepped out of the car and approached me and they they were asked you some questions a lot of the interaction go i'll go 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 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 the police or 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 and i did and they said yes we need to talk to you about the. that you know do you intend to do that again question 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 a hive gallery so i showed them just another beautiful landscape and i thought well that's lovely you know and but you know they showed up and i saw they had their guns and bulletproof vest on and big kind of poofy 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 but 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 a trick 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 the bankers stop committing terrorism against us because those flames right on the bank represent america savings they represent the interest rate at zero percent yet present a club carcassi but by the cops is there a new sense of police oppression in america has it come to that you. you're living out in los angeles on the other cops really everywhere with the reports 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 in eighty's and you know you can get a ticket and watch the state of 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 in l.a. . but 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 kind of along the line if your state for the question i said well you know i don't hate the pace 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

hate criminals 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 the f.c.c. and the c.r.t.c. and other regulatory bodies but unfortunately those regulatory bodies are not owned by the bankers so you don't have any law there is no rule of law in america when it comes to banking crimes but let me i want to 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 all. 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 a coffee mugs and mouse pads and. this could be the happy face logo that defines

a generation the yeah you'd never know 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 and you're painting what years a response aleksei for the. well you know the oil in oil is actually it's a vegetable oil. it's not it's not a petroleum product you can actually drink linseed oil or become real tasty even a gret dressing out of it. but no i didn't take my symbolism that far i think it

being the guy who turned his castilla into a salad dressing on a lark and threw away fifty or sixty million dollars all right i'll check for billing for word. i was just 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 are you are 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 you are 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 it relation 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 our models they can capitalize and monetize that sort of thing and but it's a lot of art that really doesn't move people that you have a plans to burn any other banks yeah actually i've got a couple more chased. once 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 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 up 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 i'll price that at two ounces of silver so we'll start the bidding at eighty dollars. actually choice of currency now there's a famous phrase liar liar pants on fire so keeping in acting how about a lloyd blankfein or jamie diamond portrait with their pants on fire yeah liar liar banks on fire how about that yeah actually well now it's safer 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 because a reported r t t v are you until next time this is nice guys are saying heigho.