general the service. on our team. tonight is kevin with you these are all top stories thank you sanctions the evil embargo in syria could backfire as energy firms are cashing in another two months before the very regime they condemn a top story. also southern europe braces for austerity italy and spain try to push through more savage cuts while the arduous effort to save greece and. suspends all trade military ties with israel is relations things with them you know because israel will apologize for killing nine activists in last year's gaza flotilla raid. some past eleven pm time next max and stacey take on those who

are robbing the poor to pay the rich but the bankers who deal in toxic assets yet still expect taxpayers to bail them out yes report is on the. this is the kaiser report. seems to be drawn and quartered. 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 and liquidity to deal with such

extreme tail of events 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 defining who is basically shaking you know his finger at the public and saying how ha 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 posterity measures that's an occupation that's not a free government that's not acceptable. ok max well it sounds like your mass is spreading throughout the u.k. because they would send 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 shit. well she sent 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 economics 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 bust out 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 there terrorist to get paid per acts of terrorism in vandalism that's why i say those cities and rioted in london if you gave them brokers license the u.k. economy would grow they were cameras missing a huge bet here all the ability to put them in jail in 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 backslid it all but thirty thousand of the market well 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 like russia you know in the u.s. are important for the month zero jobs and the last time the surplus lighting for

thought 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 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 well 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 used to be that the world work 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 it's just a matter of mathematical formulas that are being spread out of

a cheese whiz can be held by christie look guard that's all they have the assets there there's no money it's just a fractional claim on a debt that will never be repaid i notice you're on like some sort of familiar term with christy liberty she calls me up 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 good scene is so nineteenth century eighteenth century you need something something new wow about waterboarding yeah that could be you know that's

a modern way to extract became 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 the status quo to avoid the consequences of its own error and fraud if you 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 combs 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 learn are secretly talking to the bank regulators

and frightened 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 isn't a fact subsidizing the criminality. and so let's look at how this fraud and austerity measures are being posed across the world italy cuts tax on high earners from austerity package so you know silvio berlusconi 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 bag donuts but that number forty five point five billion euros max made me think of something from two years ago no 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 but aren't 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 an 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 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 the news apologies the governments the local banks by securities german banks but 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 them with themselves they bought them with the b.n.p. they exchange the banks occurs with each other for a fee and their fees pay them as a bonus and now however the implosion is taking place do the revelation that there is no white knight coming there is no bailout that will get a ponzi scheme go. again there is no stimulus package that will take unemployment any more 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 deutsche bank those are the three real heart and the nexus of these global derivatives j.p. morgan in particular owns the largest rheumatiz book in the world but what's amazing is that j.p. morgan will sell it is about here some countries some fake toxic derivative securities and then to protect themselves from any blowback they'll say offset the trade with a critical fault swap somewhere in another equally corrupt market and so if it does

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 who saw the security side clutter credit default 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 and reason fix the curate they do insurance at the same time and when that thing blows up as one hundred percent will do they get paid triple back. well max what i'm saying out 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 minus the polities 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 schemes 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 mints own money to fight austerity this is the italian town of philip tino and they have introduced a new currency called the fiorito and order 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 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 into 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 as a global t.v. show kaiser report 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 as with perhaps a deal kaiser kaiser absolutely or a new sar the news. is our use our yeah yeah the news our imax so teen or stacy teen max or stacy team. so we're going to we're going to print our own issue our own collateralized max and stacey money things that actually end well you can have out as a free to freeze instead of in god we trust you to say evaluate your own risk. oh

that could be a problem all right stacy ever thanks much for being on the kaiser report thank you max away much more coming right up stay right there. we'll. bring you the latest in science and technology from around the world. we've got the future of coverage hungry for the full story we've got. the biggest issues get an invoice face to face with the news makers. mission. critical three. point three. three. three. three.

three broken mediocre for your media project a free media don carty dot com. welcome back to the kaiser report i'm max keiser time now to go to sunny a los angeles and speak with artist alex schaefer it was recently questioned by police for his art work featuring chase manhattan bank j.p. morgan burning down a low aleksei for imax nice to be chewed up to be hi stacey. all right looks show the people the artwork show the people oh my god it's too hot for t.v. . yeah look 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 the prices skyrocketing people understand that the art wave of today is 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 when 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 cézanne of arson yeah i guess is that maybe the monet you know you know who was a big artistic revolutionary was

a good stuff core bay yes i've seen some of his works here in the museum an easy 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 of art supplies and i set up at a bus stop right across the street from the bridge 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 avoid people and and it usually takes about three or four hours five hours to do to do a decent painting and. that 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 thugs. and and then at some point about three hours into it i saw a police cruiser go up van 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 how did the interaction get well 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 be 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 it 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 at the hive gallery so i showed them just another beautiful landscape and they thought all of 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 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 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 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 interest rates at zero percent yet present a club or see the cops is there a new sense of police oppression in america has it come to that you're living out there in los angeles or that other cops really everywhere and that the reports that we hear as 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 the eighty's and you know you can get a ticket and watch 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 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 kind of along the line if your state and for the question i said well you know i don't hate the banks 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 at the c.c. and the c f.t.c. and other regulatory bodies but unfortunately those regulatory bodies are not 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 to over to my twitter account that's my max kaiser king. our twitter account and i asked for questions for you because i told my twitter folks that you would be on the show from lisa tadeo she asks that will there be prince available all of this painting and other banks on fire paintings i will be able to meet prince yes so i you know maybe we could do it on one of these websites about coffee mugs and mouse pads and. this could be the happy

face logo that defines a generation big 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 looking at another question from my twitter account from mr canning he says to ask alex shaper did you use oil as a symbol for the u.s. insatiable appetite for oil or pastel paints in your painting one 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 could actually drink linseed oil or take a real taste even a gret dressing out of it. but no i didn't take my my symbolism that far i hate to

be the guy who turned to the console into a salad dressing on a lark and threw away fifty or sixty million dollars all right so i'll cheer 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 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 either someone who came from you know a lot of street in the eighty's and you probably remember what that was like and there was a big art 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 that you have a plans to burn and the other banks yeah actually i've got a couple more chased. runs 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 kind of 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 a choice of currency now there's a famous phrase liar liar pants on fire so keeping him at the game how about a lloyd blankfein or jamie diamond portrait with their pants on fire yeah liar liar banks on fire about that yeah actually it 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 because a reported r t t v are you until next time this is nice guys are saying high elf.

it.