gerry and scam somebody apparently answered one of them a south korean man received an e-mail promising him tens of millions of dollars in a lottery scheme and he traveled to south africa when he fell for it of course the scam serves then promptly kidnapped him and his daughter and held them for ransom now the offer turned out to be a so-called for one nine scam on an epic scale the article says the term for a one nine scam is used to describe a confidence trick and it refers to section four one nine of the nigerian criminal code for taining property through fraud wow so all the spam finally paid off only five trillion spams later. they're really pioneering the nigerians on the whole fraud basis you know all these banks on wall should've gone to school on this of course and they're building their models around the nigerian fraud so this is really the trend setter around the globe but it's

a theme that we've been focusing on over the last few years of report however max here's these guys these nigerian guys they're like four or five of them hard work and they had to send out five trillion emails to get this one guy to come down and they're entrepreneurs wall street does this over and over again and who rescues us nobody there is one potential rescuer here oakshott tackles goldman sachs so liberal democrat peer lord in an interview on sky news said it's been known for some time that goldman helped grease rig the figures to get into the euro and not meet all the tests they should have done that something that lord macdonald and i will be taking up further in the lords this brings up something first of all we've been talking about this for years now that goldman cooked greece's books as part of the fraudulent euro scheme going back to two thousand. but you know when i read this sunday times this past weekend rupert murdoch's rag they were covering this

story and they said two things number one well technically it's not illegal but then later on in the story they said of course goldman sachs did rig the markets which of course is illegal so here you have the problem on the mainstream media front they've been told to leave the article by saying technically it's not legal and then later on in the article they have a crisis of conscience and they say well yes they are rigging the markets goldman sachs they are committing financial fraud but for propaganda purposes they fail to put that in the lead so let's correct that error right now goldman sachs committed fraud as it relates to greeks inclusion in the euro by rigging markets. exactly they've defrauded not only the taxpayers but bondholders and investors around the world who invested in the stuff based on goldman sachs as a lie of which only they knew and the insiders in the greek government who also were able to make huge profits on betting against their own debt absolutely this

came out as well insiders were buying and selling those part of the false wops booking huge games based on this fraud perpetrated by goldman sachs now suddenly ten years later they're saying oh well the whole greek unraveling the whole ratings downgrade unraveling well it has its genesis and that basic frog you know what i'm surprised goldman sachs doesn't try to buy these die jury and e-mail scams stirrers and incorporate them down there it eighty five broad street or ever there were their offices are in wall street because there could be doing great business for you but the important thing here max is that we laugh at the south koreans who answered this email and it took five trillion emails to finally get somebody to believe in a scam people are still buying to this day various scam sold to them by goldman sachs and j.p. morgan and it should be just as ridiculous that people even believe the credit derivative fraud scams the four one nine scams of credit derivatives that people

believe that well goldman sachs traders are on the phone cold calling pension funds and grandmas and orphans trying to push junk into these accounts as the old wall street fast calling fast calls fast talking wall street junk sellers and goldman sachs is just the same as anybody else they've got a boiler room going to act as a boiler room they sell a lot of really horrible junk into people's accounts and they suffer horribly at least the sunday times did mention that people are suffering pain and misery as a result of it so it goes beyond just stealing money goldman sachs i mean they're actually causing physical pain and in some cases death you know that this greek credit. debt crisis is has trumped all other news even the downgrade of various european nations i reason most concerned about greece and you know the creditors are now in greece trying to renegotiate this deal greece's debt talks with creditors stall and made coupon dispute so that was last week when the creditors

had walked away from the talks after failing to agree with the greek government about how much money investors will lose by swapping their bonds and increasing the risk of the euro area's first sovereign default so apparently it's the hedge funds in particular who want to make as much profit as possible and the only way therefore they're demanding one hundred percent repayment on these bonds or an outright default they don't want to voluntary arrangement because they want to be paid off on their credit default swaps who people should understand that leading up to the crisis was the result of financial masochism these are financial firms like goldman sachs masochistically destroying countries like greece and ireland portugal and others now that we found the result of the crisis and they're trying to eke out austerity measures this is sadism so it's sadomasochism economics is the preferred metal model of the wall street bankers and one only assumes that lloyd

blankfein puts on you know one of those a red ball around the neck with the in the mouth against the gimp goldman sachs's tim geithner's gimp so never tim geithner needs to push some more really bad sovereign debt he says call up to give up and then the floor comes lloyd blankfein with one of those contraptions on a leather you know latex lathe stripped suit and then some good old boy some rednecks i was away with and it was shotguns i wish we had that on video well about these failed talks between the greek government and the creditors. here's what carl denham greece the fuses in the box the greeks have figured out that when you owe someone money and borrowed it unsecured as is always true for sovereigns you have the trump patent so greece is finally recognizing. but there they all billions and billions of dollars and they're the ones that have the negotiating power in this situation why are they sitting at

a table with these guys who are demanding one hundred percent repayment just walk away and say i'll give you two cents on the dollar for even suggesting that absolutely i mean again the article the times was very revealing because it talked about how after goldman sachs was losing money hand over fist after the nine eleven attacks because volume a dried up and it was some trainer in europe who came up steve she found the loophole that allowed for goldman to sell greek fraudulent paper without getting quote unquote caught and this is set the stage for this massive journey into a fraudulent black hole now greece is waking up to the fact that wait a minute you're the ones who stand to lose even if we default on all of our bonds two or three years later we can sell new bonds look at iceland iceland was able to sell new bonds two or three years after they defaulted look at argentina they sold new bonds after they defaulted the idea they won't notice obama's if you default is bogus it's that's a an idea sold to you by the same people who put you in this untenable position i

only wish arlen would figure this out arlen still believes that they have to kowtow to the terrorist the financial terrorists that are holding them hostage that's not true at the top of the show we talked about this for one nine scam on an epic scale then karl denninger basically suggests that's what these no default risk of sovereign bonds is as well because he says they're right the greeks to walk away incidentally the utter and complete fraud in our banking structures that allow institutions to hold these sorts of debts as quote unquote risk free requiring no reserves and no capital behind them is an outrage it is systemic an intentional fraud perpetrated upon the world for the sole benefit of making possible national overspending with impunity destroying. any sort of market disciplined aimed at budgetary deficits right and to add to the psychosis the rating agencies remember

last year they were saying countries like greece and ireland they need to impose austerity measures no other to maintain their terrible rating it will be downgraded now after these renegades these have downgraded all these european countries they're saying the reason is because of the austerity measures and the inability for these countries to pay their debt due to the austerity measures it's complete psychosis remember two or three years ago they gave collateralized debt obligations that were ninety nine percent worthless junk and one percent aaa paper a overall aaa rating it's reverse drug dealing imagine a cocaine dealer who's selling you drugs he will take some cocaine and mix it in with baby laxative and sell it to you like it's all cocaine the rating agencies s. and p. moody's and fitch they do the reverse they take a socially junk paper and they cut it with just a little bit of aaa paper that's the baby laxative the aaa paper and they call the whole thing to play so it's reversed drug dealing by rating agencies of things of

sovereign debt and unfortunately ireland but. on this worthless stuff and as a result they're dicta to it and they all need to be put in rehab well of course this fraud that these are risk free is what happened with m.f. global and that's why that whole scam fell apart and why the investors were looted and their funds stolen because you know one of the guys the former governor former goldman sachs dude john chorus line thought that the all these european peripheral debts would be belled out at one hundred cents on the dollar because this is the way things operate in this scam quick quick little aside here you mention john kors on the money still hasn't been recovered it's known now that jamie diamond stole from his own customers he hasn't been facing any questions by congress or any authority or. police or anything like this so outright confiscation of wealth. laws confiscation of the y. market public that lead the slippery slope down president and the new laws in the

us of course support that the n.b.a. etc yeah but that's what an a for one nine scam is this confiscation of property through fraud and deception and that's what john chorus line operated but when you mention austerity max and here's a headline that just shows you the mentality of these likes of these banks and the oligarchs are running our world downing street rejects diamond jubilee royal yacht idea so education secretary michael gove had proposed tax payers fund a gift likely to cost at least sixty million pounds to mark momentous occasion of the queen's diamond jubilee he said in spite and perhaps because of the austerity times the celebration should go beyond those of previous jubilees a mark the greater achievement and the diamond anniversary represents now downing street has rejected this royal yacht but it just shows you the mentality that they

think austerity there's never enough austerity for the peasants but if the peasants must suffer then we lords we feel so bad that you must make us feel better and bias yachts because it will make you feel better the trickle down joy to you peasants will be so grand how about a royal enema. to help flush out the cooling things over thanks so much for being on the kaiser report thank you max don't go away much more coming your way so stay right there.

when clinton comparable question leads to a grave accusation the world sues moore's you know fog. the president who isn't supposed to hide anything. someone asking why do you make a secret of it when the powers to be suppress the voice of those who think different. when you go experiencing very serious problems off of the saakashvili government came to power in two thousand and three but. that was when the problems

began piling up. interviews were now off limits to our journalists they were all from peace not been humiliated in public when the attempt to protect property puts life in real danger. we have been deprived of the only nice living i have gone to the original super only papers. the ownership rights on the basis of companies freedom becomes just. like a bag of the kaiser report on max kaiser time now to go to new york and speak with warren pollack a son my retired wall street executive who now blogs blogs at w e pollack dot com warrant welcome to the kaiser report hi max i warrant on. we've gone over the details of the m.f. global crime scene a few times here on the kaiser report tell us what you think is the bigger story of

m.f. global right now we're watching law being changed to selective interest the interests of j.p. morgan goldman sachs and the banking cartel and what they're trying to do right now is set themselves up for a bank holiday and what they're saying is that their speculation will always be subsidized by customer funds and when you look at the amount of speculation which is in place it's trillions of dollars versus real assets which are only perhaps one one hundredth of that amount so when losses are sustained which they will be through this financial crisis in europe and in the u.s. the only source of savings that can be tapped is in fact customer funds so we're watching j.p. morgan in the in bankruptcy court trying to claw back customer forms and trying to change facts so that it can have priority over funds which were supposed to be segregated in the first place and they're building a model for

a global bank holiday in which you will see savings just basically rate from every person that has money in the system in a supposedly safe place including pensions bank accounts brokerage accounts and that's the process which is for under way it's the setting a precedent to steal people's money in our pockets say that we're watching laws being changed for a selective interest ottawa straight but that's not new that's been the story for thirty errors going all the way back to the big burst of activity right after reagan became president and certainly after the savings and loan crisis the lesson that wall street learned was change the laws so when we do the crimes again we won't get caught that's right so what's that what's that what's what's changed here i mean this is the same old story well what's chain. is that the ability to sustain this looting and theft is running of it then and of the looting is rampant and we're now at the point where we are in

a totally lawless situation and as we continue into this lawless process things will start to destabilize and what's so interesting with m.f. global is if there is a physical world results to do the m.f. global insolvency it's going to affect how farmers farm how miners mine how oil gets explored and it's going to have dramatic implications in the physical world and we're going to see a translation from this financial crisis into a physical world crisis and that's all occurring because law is bent so out of shape that everything has become distorted i would say at this point we're we're at a point of maximum denial where we have real world physical events issues fukushima which are not in the news the for the states not covering them and this means that people are ignoring the obvious the obvious ramifications to this crisis in the physical world and fukushima two is

a financial problem they don't want to count for nuclear energy properly don't want to suppose of nuclear waste they don't want to cost nuclear meltdowns into the equation and that's how the whole system works it works right now since world war two to concentrate wealth in the hands of a select few and we've been watching the model that was established through empire after world war two slowly degrade and become nonfunctional to the point where that we will see physical world breakdown and that will be expressed first through a bank holiday which i think is on the near term horizon ok so i want pod clients are demanding the am i have global atrocities take action against j.p. morgan to its two hundred million was transferred the day before m.f. global declared bankruptcy and your thoughts on j.p. morgan's are all in the crime well j.p. morgan sent a. a letter out to m.f. global which was a comfort letter in which m.f. global was so supposed to say that no the funds that you're dipping into our customer funds never got a response from m.f.

global so you think that their hands were in the pot in that regard that they sort of never got the comfort level of what they went ahead and sort of took customer collateral we know that the trustee has one point five billion dollars that he has which he could distribute that would get customers about ninety percent whole yet he's holding back on those funds why because it's another m.f. global entity called m.f. global holdings and j.p. morgan is trying to claw back across the balance sheet once again and to grab that grab that money from m.f. global holdings into the m.f. global customer couse yet once again we've louis freeh managing a second bankruptcy but this is all an a in accounting problem when you have trillions of dollars worth of derivatives a small percentage loss results in a in a debt that cannot be covered so customer funds always have to be tapped in that regard and it's not just m.f. global it's everyone that has an a bank account and j.p.

morgan chase it has a bank account at bank of america that has a brokerage account that is hypothecated rate hypothecated it's everyone that's living in the physical world that is reliant on an accounting system which is broken you rely on oil which is not properly cost accounting we have u.s. military projection one point two trillion dollars a year in total and that is not counted into the price of oil and we see em pop us empire breaking down in middle east north africa we see the us desperate to try to keep global trade active and we all monitor the financial aspects of this breakdown crisis because it's something that we can see we can see that it's fortunes caused by m.f. global as j.p. morgan and other entities try to claw back customer money that's not theirs to cover bad debt but we don't see is a larger picture which is that. of total physical world breakdown empire breakdown empire us is failing and it is going to be expressed monetary only with

a bank holiday and you're going to see that in europe and then shortly thereafter we'll see the united states and maybe a little bit ahead in timing i was regarding mortgage backed securities but m.f. global is the canary in the coal mine and the same criminals are at work writing laws to selective interest those of criminals in the u.s. congress in the u.s. senate in the highest levels of banking in m.f. global i was able to talk to everybody yes talk to people a chairman or chiltons marshall and i spoke to the chairman lawyer to see if you see i reached up to the c.e.o. of the c m e and had words with him the only party that was not accessible to me were executives at j.p. morgan chase and that's their strategy right now is to stonewall stonewall stonewall and change facts selectively and that's typical of the whole news cycle here in the u.s. the facts are selective no one knows what the truth is the truth is it's a breakdown crisis we're watching empire america fail its expressed monetarily

first and we're going to see that nothing is safe in terms of savings i suggest to reemphasize this point. that you're making errors that when the fraudsters and the bank starts start mucking about and committing fraud in the commodities markets or oil for the weight market we favor things that are a this as a norm as real real life real world consequences it's a lot different than just let's the s. and p. futures contracts are currently fifth contracts are a lot of big banks and hedge funds are playing games with them solvent kind of financial masterbation up in a cash in on that game but once that extends into real world commodities then you have things like food prices skyrocketing in the middle east and revolutions taking place and one minor standing is that. my observation is that wants food prices get over forty percent of income you do have a rebel revolution in america that's about fifteen percent but all certainly be it

forty percent and we will see that kind of revolution in america and i read a lot of the c.m.a. tells a more of just matzoh tell us more about the letter who is the c.m.a. group what's their role in this m.f. global crime story well we have a c.m.e. which is basically a marketplace and then we have m.f. global and then we have the customers and really when you look at it at the c m e they were the primary regulator at d.s.r. o. and they were responsible for conducting orbits and for also making sure that regulations were in place at all of these dealers and as such i think that they have a fiduciary responsibility or responsibility to m.f. global customers to make sure that all their mark rich is parents are acting ethically and what's so interesting is when i had talks with the c.e.o. of the c.e.o. me brian durkin he said that m.f. global customers warned his customers and i find that sort of an outrageous statement on his part so my letter to the seamy was them say look you have

a responsibility not only to your member firms but you also have a responsibility to everyone who is giving you commissions by making a market at your exchange and they don't seem to have that connection in place and that was my open letter to the seamy to say ok wake up what responsibility do you have to everyone else and when you talk to all these big financial institutions none of them feel that they have a public for the public to do share responsibility but when you look at the way they were all historically organized to have mutual companies in place for insurance. new york stock exchange was a mutual company simi was a mutual company and these companies could draw back on their member firms to make good for losses and they no longer want to do that because they have stockholders and the reason they have stockholders is because it was a profitable and. price to take a nice banking company and make it a public company and we were able to concentrate well through the i.p.o.

process real to concentrate wealth the stock holders and everything is working against this idea that you banking companies must be utility companies and they must provide a public benefit and that's something which none of these banking companies and none of these finance companies understand because they've been allowed to speculate and less needles humpty dumpty fell off the wall and instead of humpty dumpty not being able to be put back together again the foxes are just eating the egg that has broken on the floor and that is where we are today as customers we are the last person in line when these firms go bankrupt and that is the precedent now being set by the bankruptcy work. if mansion that bank holiday a couple of times so i want to describe maurice precisely what that means what the timetable might pay and what people can expect well with that with a bank holiday it would have catastrophic it has traffic results we would see the banks closed both in europe and in the united states at which point all savings

would be revalued and we'd watch a lot of this debt that's been in place the trillions of dollars recently roofs be worked out and netted and what they would be would find is that all of these risks which are supposed to be neutral zero risk have extreme amounts of risk and what they'll do is use savers money to cover those bad bets and you'll wake up one morning and you'll have new dollars or new year as in your pocket and you'll see the purchasing power of those monitor instruments change you might get. one dollar for every five that you have in savings but you'll find that your new dollar has the purchasing power of half it did previous to the bank holiday and that's exactly what has to happen here in europe and also in the united states you know that. everything gets created through a war process and we see that occurring right now or in pop rata time but back

soon thanks for being on the kaiser report thanks max all right that's going to do it for this edition of the kaiser report with me max kaiser and stacey herbert our thank my guest warren pollack i want to send me an e-mail please do so at kaiser report it r.t.t. dot are you or you can follow us on twitter or facebook so next time this is max keiser saying by all.

and bring you the top news headlines from. moscow russia this is are you with us it's a good look at those headlines right now. between a rock and a hard place london now owns up to spying inside russia using an electronic gadget inside a fake stone founded by russian security services in moscow six years ago it is the first british conformational with a former top aide to axe prime minister tony blair saying it was embarrassing the british have been caught. with the arab league mission in syria seeking to broker peace drawing to an end the bloodshed continues with sixty dead on

thursday alone and around six hundred killed by security forces since the mission began a month ago meanwhile the e.u. urges more tough sanctions against the assad regime. plus rage on the streets of romania with crowds demanding the resignation of their government for imposing austerity measures and higher taxes to please the international monetary fund in return for another fight alone violent clashes among protesters and police and arrest have left scores injured. those are the headlines next artie's spotlight with the focus shining on marches russian presidential election. hello again a welcome to spotlight the end.