well with the. technology innovation all the developments around russia we've got the future covered. up back here with a reminder of the top stories trying to see eye to eye the leaders of russia and the u.s. meet of the g. twenty summit in mexico to mull over a divisive issues president obama agreed that syria should be sold through diplomacy and pledge to keep seeking a compromise on the european missile the fans. also at the summit world leaders raising alarm over a lack of progress in dealing with the eurozone debt crisis which they say threatens to bring the global economy crushing down this is as agrees struggles to form a coalition government plunging the debt laden country deeper into trouble. plus

nuclear powered iran stands firm on its right to peaceful as western officials try to pressure the country into submission during an international conference in moscow tough new american and european sanctions against the islamic state are due to come into force within weeks. money man next kaiser takes a closer look at the financial stories making headlines around the world the kaiser report is next. i am max kaiser this is the kaiser report thanks again for all your concern over the comments i'm feeling much better and recovering from my chicken pox. stationer what's happening in the financial ledger domain well max keiser the globe is not recovering from its pox the pox on the house of goldman sachs the pox on the house of j.p. morgan now i want to focus on these headlines here why elites fail this is from

chris hayes who is a t.v. presenter on m.s.n. b c and he's an editor of the nation and he's suggesting that somehow the elites are failing by the system destabilized like it is and it reminded me of jim cramer when he was also on c.m. b.c. and he looked at jamie diamond sitting in front of congress in front of the senate and he called him this he said this so you think we've got to yours. it's a system part when you think about the stumble that a loser in by the way let me say something he agrees with me there is a myth being pushed by m.s.m. b. c. by c. and b. c. max that somehow the elites have failed by jamie diamond having having to go to this show trial in which his innocence is proclaimed that somehow he has failed that he's stupid the fact that the eurozone is collapsing a euro zone devised by unelected alif that the fact that it's collapse and that

somehow they're losing they failed no no no no it used to be that in order to communicate inside information to congress yeah to go through back channels now diamond can go in front of congress and tell them outright his in plans for insider information and market manipulation he knows that's the only basis of growth in the american economy is fraud and he is the ground point of overthrowing and i don't see where cramer comes off calling him a loser he is a magnificent accomplishment in american culture the fraud king as as here oh well you know it's a show trial in the soviet union they said show trials that they would pluck some guy who had the wrong ideas and they would put him on trial to say that was justice that we see we found we put him through a trial and he was found guilty here they take really guilty people who have

devastated lives across the world and they put him on trial for a little thing like how did you lose two billion dollars on a tree which is a fraction of the bad bets that we're paying for elsewhere the bad fraud committed elsewhere that we're paying for and now they're proclaiming him innocent well it was just a little mistake. but importantly he was wearing the presidential seal in front of the senators now every single senator there wants to be president he's signaling to them i. stand between you and the presidency you cannot become president without my money that is why obama is down on his knees kissing my butt because he wants to maintain his position as president but yes this is all clear i hope to anyone watching the proceedings that diamon is the kingmaker but you know my interest is not in the crimes he just committed and they are outright fraud and crimes it's on

just indisputed but my interest is in his next crime wave and the nature of the next securities fraud that he'll be committed will be in the euro zone or will it be some other fraud i think that's the more interesting point is where will the strike next a serial killer when you observe a serial killer they're always trying to find out word of the serial killer is going to strike next we already know where you already struck we only know that jamie don is going to evolve into a serial killing like episode of financial fraud and terrorism in america that's resulted in death and destruction and the a complete discrimination of the american narrative but the question is who's going to kill max test that's the that's the cliffhanger who are you going to kill next to me that's the interesting bit well going back to the story and you mention the american narrative why elites fail in order to it live up to its ideals a meritocracy must comply with two principles the first is the principle of difference i the smartest guy the person with the best ideas should rise to the top

and the principle of mobility over time there must be some continuous competitive selection process and surest performance is rewarded and failure punished we still have a system where performance is rewarded but failure is never punished and we see that over and over would be done with lloyd blankfein with larry summers with with all the too big to fail banks. well performance is misunderstood because they equate g.d.p. growth with performance but g.d.p. growth is tied to the levels of fraud that are rising like a tsunami in the system so to that degree someone like jamie dimon is certainly representative of a great success story in that he's mad if they think of all the banker bonuses he's created but there's huge wealth and income gap there's a return to medieval ism there isn't described vision of the entire enlightenment there's a there's a certain definite cation on the constitution from jamie diamond but none of that

matters anymore especially in a drug addled population with the short term memory of a gnat who can think back to hours much less two hundred forty years ago so again he's a gaming hero to this gaming culture because he can push buttons really fast and still faster than anybody else that makes him a hero these are he's a guitar hero we've done i can still faster than anyone else in the world but i got the pros don't you'll go for lunch to prove it so when we go from the us where jamie diamond obviously rules of roast where he stands between you and your social mobility up to the presidency for and from which there you can become the smartest guy in the enron room or the smartest guy in the goldman sachs room where the smartest guy in the next fraudulent scheme that is devised now we turn to the eurozone which we see melting down some elite guys came up with an idea to you know

create a currency union and the question is whether they have failed or not or was this the plan either court to hear e.c.b. greeks swap file suit as euro threat and so this was on thursday before the election this is bloomberg news and they're suing the e.c.b. to find out to get information about the greek swap deals with goldman sachs a court will hear a lawsuit seeking disclosure of european central bank file. that may show how greece used derivatives to hide its borrowings helping to spark a crisis that threatens the region's currency union the e.c.b. in its defense is arguing that they should have discretion to decide what is in the public interest and releasing the papers could damage the e.c.b. counter parties hurt markets and undermine e.u. policy but what lula papers there is already on the internet there's thirteen specific trades conducted by goldman to commit fraud that's not a something that's

a hidden under some in a bureaucrat drawer this is max they're what they're seeking they know this they know for a fact that these deals were done between goldman sachs and greece they know for an absolute one hundred percent fact what they're trying to see is if the e.c. be. the documents may be proof that there was a tacit kulu zhen between the e.u. and greece that no action was taken so they're saying that they were cool looting that the e.c.b. knew they greece was hiding its debt and therefore they should have known that all of the following debts were odious that they were engaged in a bogus deal with goldman sachs right and they will find that collusion took place number two they'll pass a law making collusion legal number three it'll be retroactive making all past collusion unprosecuted full and for the continue to do it we say in america with the verizon deal spying they pass laws to make it legal when goldman sachs breaks

the law they passed a law saying now that's legal in j.p. morgan pet breaks a law they passed a new look saying now it's legal now that's gone global break the law will pass a law saying it's legal so when they hope to accomplish what to further their own bureaucratic ends again by q staying in some bureaucratic office for another month or so to pick up another paycheck at the expense of the many means nothing well so until the decision comes out from the e.c.b. all we have is that we do know for a fact we do know for a fact that it is the largest debt restructuring in history that has happened in greece but it's a two hundred forty billion euro bailout now max. two hundred forty billion euros in business is that something you as a broker would have liked to have but of course this is a great piece of business for them the commissions are fantastic and it will be much more than that it has already been much more than that and any opposition

party or anybody attempts to challenge it of course markets can be manipulated at the drop of a hat to influence public opinion this is something that people have not yet realized that the prices that they see for these markets are generated by by design or not generated by supply and demand i remember when we interviewed yanis varoufakis before the elections in greece he said that greece was forced to take a loan from the f.s.f. in order to give to the e.c.b. nine hundred million euros in profit on their discounted bonds they bought from greece but i understand there's an interest in looking at all these past transgressions and trying to come to terms with what to do with the criminal acts that have taken place but i guess i have to point out that the global economy is fast heading over the cliff and we will soon be talking about something quite a bit greater in magnitude than the crisis in any part of the crisis of thus far

that it's very interesting that people are now waking up to the fact that there is this incredible miscarriage of justice but people it's way way too late to be talking about that well so bloomberg writes goldman secret greece loan shows to sinners as client on ravelled so on the day the two thousand and one deal was struck the government of greece owed the bank about six hundred million euros more than the two point eight billion euros they borrowed within two years or three years that was double the amount so that that bloomberg notes in an interview with gustava pigo author of derivatives and public debt management in secret deals intermediaries have the hand upper. and use it to squeeze tax payers so across the united states from j.p. morgan's municipal rigging of the bond markets to the e.c.b. and all of these bonds and the new bonds and all bonds and wrapped up into one bond into a new bond into the euro bond into that redemption bond into the redemption fund

every single step of the way the population the taxpayer in europe the taxpayer in america the taxpayers in asia who are also funding the i.m.f. and all of these bailouts they're being defrauded every step of the way yes and as a result of the collapse is coming and this is what we've been waiting for this is what we've been hoping for because the only way to get rid of this kleptocracy is through a collapse and there's no political will to engineer or politicize or to elect leaders that will remove the kleptocrats we must allow the system to collapse so this is great and if you're looking for a collapse which is in now in c. to we you must cheer this collapse into its fruition which is a massive global banking collapse and bank failures and capital controls and bank runs they're there in progress they're happening this is what we've been talking about this is what we want this is what how we're going to get rid of this

generation of kleptocrats is the only way a scorched earth policy of a collapse there's nothing left there has been no political will to stop the likes of the jamie diamonds up there hopefully you're ready for it with your gold and silver if not then you're part of history steve. thanks so much for being on the kaiser report thank you max all right don't go away much more coming your way stay right there. there hasn't been anything good on t.v. . it is to get the max. political impact. material is what helps keep journalism we. we want to position. something else.

welcome back i'm max kaiser time now to go to economist professor and member of parliament in tunisia. mon stuff welcome to the kaiser report. thanks for the invitation all right month seth i first met you in july of two thousand and nine when you sat opposite me on france twenty four is debate show where we debated a wall street has it learned its lesson and the answer obviously is yes they have learned how to steal and steal and stealing get away with it again and again your

thoughts well my thought my thought is that when there the communism died with the fall of the berlin wall we know that capitalism died the same day because real careful ism is not working anymore and that's true that most of the people who all three are throwing to get money but not but not growing to premieres the real economy job creation and the creation well it's interesting you bring up the fall of the berlin wall and the collapse of communism and you say that there is a collapse of capitalism at the same time i would posit that what we saw was a continuation of central planning the central planning ball was picked up by the federal reserve bank and the banks on wall street who stopped competing at least when the air they had a major adversary in the world they were competing but wants to walk down they had

no more competition in america it became essentially plant federal reserve central banker plan economy where the wealth and income gap skyrocketed to levels that you have to go back to the previous. time in history jeems to to have a comparison to your max you see fiery i really love to discuss with you because you're always one step ahead of me here by talking about central planning or a world wide gospel a and that is done by those who are seeking the profits without creating greedy in the riches to the world is that the name of the gate but are you with are more interested in the cures how can we. we faced that up how can we stop that so really kind of it's a name of the game not virtual economy some primes are big is the virtual economy and fortunately i said the captain is a good japanese and die because today what is back in the dollar look at the what

is called by the new york times the this scheme behind the dollar the strata of things that have no value and still the dollar is having a value against the other currencies of the world today we need to go back to real economics and gear the goods and services and currencies the value that is real behind them and not the fairy value that is behind them all right well picking up on that thought let's talk about greece specific play and your idea about having a real economy based on real values and not the fake. banking legerdemain of the i.m.f. the e.c.b. the year of the so-called troika so what went right now to introduce something real into the economy. ok what is real in greece is that spending is taking

place now why is the budget of greece has been in a deficit in such a large deficit for such a long time if you look at it you find that most of the expenses did not benefit the people of the greece twenty four percent of the people of greece are living under the bar poverty in spite of that the spending the expenditure on armaments on arms by greece is totally crazy and where are those arms bar in germany and in the united states so if we look at the system we see that the budget is not there to create real jobs to finance real projects in infrastructure and education in health but it is there to spend money in order to serve the best interests of those who are selling arms and make the eastern mediterranean look

like as if it were it big war machine where the only problem is that there is the little problem of cyprus and it doesn't require all their money their research has been spending why the people of greece was deprived from it yeah i just read an editorial i guess you could call it in the financial times from the leader of. a left wing party talking about an end and need to improve growth but not once did he mention and the military spending which is completely out of control because i guess months after a point is that you still have to be a populist in the sense that you need to appeal to the voters base and staying instead of their economic interests the voters are basically economically illiterate not so much in tunisia a month into an easy. they figured out that economically they were not doing well they staged

a revolution and telson how are things doing in tunisia now months well do you need here is like a boat that has left a bank river where there has been corruption in the data ship there were as you have said very rightly sick and tired because a couple of families were grasping the wealth of the country so they made the revolution the boat has left the bank and once you reach the other one is the other bank is the bank of real democracy what the people really want in the bank of the fighting of corruption and false economy but now we see them the middle of the three of course this dream is turbulent but in spite of that tunisia is doing all right because every morning it is suing this same go three year eight doing real well creating jobs and sharing it in a way that makes people feel their every day life is getting better their sons are

not inheriting the cancer of the western societies today which is the debts huge debts we don't want that we want the kids in tunisia to inherit all of three and not debts right well the biggest obstacle there i would imagine in getting all the way and the boat all the way across to democratic reforms would be an entrenched clips craddick nightmare like a goldman sachs for example goldman sachs in as bloomberg sues the airplane central bank to try to get papers that may prove the collusion between various e.u. bodies and greece in hiding greece's debt to get them into the european union this is a better story that's been around for a while now they're finally getting around to focusing on it the fact that common sacks help greece high debts goldman sachs of course a big player in causing financial disruption around the world your thoughts. well i

was reading in the declaration of the head of. goldman sachs yesterday mr blankfein and he was she saying that he wishes to stay on forever so only his bank but he will be staying on forever and this reminds me that when we had our debate unfortunately i did not know that goldman sachs was advising greece not for the sake of greece but for the sake of goldman sachs so it was advise in greece of telling them how to hide some statistics to hide the real bad shape of the economy but on the other hand there was the same time apparently betting against the bonds of greece there would be two types of countries no longer developed and underdeveloped no longer rich and poor you're going to have two types

of countries in the world today emerging countries and submerge countries emerging countries that will be growing musings read economy get in a way of such bankers that are playing their future at risk there are using high frequency trading to have make shift profits and on the other hand real bankers bankers that come to you and say hey you want finance what do you want to do with this money what real projects do you want to friend is how many jobs are you creating how are these jobs going to be distributed so that macroeconomics goes properly so the world now is looking eastward not because china or russia or india or brazil still or mexico or south africa are very sexy it's because those people know how to manage banks banks are at the service of reed economy and in the formerly rich world the economy is that the service of banks.

but months surf we know that to grow an economy using legitimate banking practices you're talking about a growth rate that is on a linear path whereas if you're crashing an economy using paper contracts and high frequency trading you can make a lot of money in exponentially quick terms so how do you overcome this incentivized financial terrorism armed with. infinite amounts of virtue all paper in which to snuff out any attempt by anyone to have a legitimate economy that's going to grow in a legitimate way. your comments below after your very very important remark here first come in when i started teaching finance international finance if the graduate school of business administration of paris i got some shock in the early two

thousand when a top professor research are coming from the east coast of the united states big university what showing us a model of some bad financial products they like gate hand grenade that have bugged two birds and he was telling us this is the model that will tell you when to buy it and when to sell it at the very very last moment before it bursts in the hands of the next buyer and then you make the highest profit out of that i was shocked because no one was asking any moral question about this and this is exactly what you are the describing here my second remark is that what is happening through this grasping the profit now explain then surely you're right and not only in your early is exactly what is happening in the body of the person that has cancer the cancerous cells suck blood ten times more than the

event the safe cells but the at the end what's going to happen if there is no cure if there is no treatment then the body will die are we going to let great economies like the western economies today die because some cells in the system are second in the blood and letting the rest of the buggy of the whole cells look so pale this is the question that all those demonstrations it was three in paris in canada and everywhere are saying the kids say we don't want any cancerous cells to suck the blood of our country are a monster. good luck with the tunisian revolution and thanks so much for being on the kaiser report thank you very much for having me here inspired to my depending somehow it point of view about goldman sachs three years ago well we'll have you back on again real soon or we look forward to that in tunis probably ireland very

few they're fantastic and that's going to do it for this edition of the kaiser report with me max kaiser and stacy herbert our thank my guests. shake roof who if you want to send an e-mail please do so at kaiser report at r t t v dot ru until next time x. guys are saying by all.