he starts on t.v. dot com. breaking news for you this hour here on our team at least eighty seven people killed and thousands of homes devastated all of this after rains and flash floods in a popular southern russian resort. livy is a first election in half a century gets off to a turbulent start with cheers in the capital contrasting sharply with boycotts other types across the country. and the deadline for julian assange extradition to sweden expires on saturday but the whistleblower remains in the safety of those london embassy still waiting for an answer to his plea. by now it's time for max keiser and stacy herbert to one more salacious secrets behind the financial

headlines and now the keiser report. guys are this is the kaiser report we specialize in eating their faces bankers and brokers because they're cannibals them zombies stacy kaiser so i'm going to go to the most important news of the week and that is that tom cruise and katie holmes are getting divorced. oh wait no i think my brain's been hijacked by c.n.n. and m s n b c and c n b c. rosemary's baby part two some call roman polanski well i'm talking about these latest piece he says why is nobody freaking out about the live or banking scandal and he said he turns on the news in the biggest story is tom cruise and katie holmes the fact that katie holmes can now wear high heels not

one single mention of the rigging of global interest rates by barclays and the bank of england and perhaps the labor government. and he says you know perhaps we want to look at our own selves and ask if this was happening over there if bob diamond and paul tucker were having these talks about libel or is it fair to wonder what else hank paulson and lloyd blankfein were talking about in the twenty four discussions they had in the six days following the ai g. disaster when paulson had a secret meeting with the entire board of goldman sachs and of all places his hotel suite in moscow in june of two thousand and eight or what other material nonpublic information was exchanged when paulson met with a gang of hedge fund chiefs of the offices of eden park management in july two thousand and eight and laid out for them a possible scenario for putting fannie and freddie into receivership well this is the heart of the scandal going back to the two thousand and eight collapse but going back even further than that because the central banks are now implicated in

working with banks like barclays and the other primary dealers in rigging interest rates and they rig interest rates down. theme that we've hit on the show hit upon during the show many times is that you've got a war between speculators versus savers speculators want low interest rates because they want cheap funds to speculate and their bets go bad and the government forces the losses on to the many in terms of austerity savers are constantly being penalized they're constantly underwriting the speculators this proves though that the central banks are in cahoots with these other banks to further this collusion of interest rate manipulation and rigging to favor the speculators and the people who are unaware of this or don't take umbrage at this are people who feel like they're benefiting and somehow by having a clip talk or see of central bankers run their lives until such time as they get thrown under the austerity bus but i'm going to look at some other possible reasons

for why americans are not being told about live war perhaps for example one reason is that there have blackouts any time that type. he turns on the television he only gets it between the blackouts j.p. morgan investigated over possible power market manipulation u.s. energy regulators have subpoenaed j.p. morgan chase and company twice in the past three months as part of an investigation into whether the bank manipulated power markets in california and the midwest the filing mark the first time the federal energy regulatory commission refer has revealed a formal probe into j.p. morgan bidding practices for said the bank may have inflated electricity costs by at least seventy three million dollars ok well when you manipulate energy cost you do so using cheap credit which is i'm able buy a complicit central bank so now you have the bank of england involved barclays you know that ron paul has been trying to audit the fed for years and we know the

e.c.b. is that implicated in a massive ponzi scheme in europe so all of these central banks are colluding to disenfranchise the savers the workers the people who supply the capital now as far as j.p. morgan goes of course they're implicated in rigging the energy markets because j.p. morgan is the next enron if you took away interest rate manipulation we do in j.p. morgan the fed you would have a balance sheet worth zero that's less stock is going it's going the way of enron it's going to zero but here again we see j.p. morgan involved in the bid rigging involved with a municipal bond market bid rigging in the library market big breaking here anytime is a public auction. we see rigging of that auction if they're doing it in every other auction they're involved in surely as market makers. they're raiding the financial markets as well there is only one modus operandi when these group of bankers get together and that is market rigging and there's no regulatory authority to step in

the way to stop this rigging from taking place in fact the regulators are in on the scam because it is by definition a racket the rating agencies are involved to the regulators are involved the banks the central bank this is what i want to emphasize here is that now we have clear evidence that the central banks are involved in market rigging this is a new dimension to the scandal on above and beyond what we've been reporting this is really unbelievably important because it cuts to the very heart of the entire global system and behind this scandal is eight hundred trillion in toxic debt that is going to blow in the dam breaks it all flow of these global economies and a deflationary tsunami which is going to completely obliterate these economies and of course the only refuge at that point is going to be gold and silver well in this rigging of the power markets barclays is also being investigated so of course this

is part of the problem with not hanging the bankers without resting the bankers that these guys continue to get away with it because there is no penalty to their crimes so let's move on to this next headline from bloomberg how wall street scams counties into bankruptcy this could be another reason why people are not able to watch the news about libel or is because they're there but we are told repeatedly that when wall street's deeply flawed incentive system least to one bad outcome after another year after year it will never happen again yet it does and you can add this vital business to the list the way state local government officials hire wall street firms to raise the billions of dollars in municipalities need to build schools hospitals airports and sewers and provide other essential services for some reason wall street never seems to get the message that bing government officials and paying each other are. off to get access to a lucrative municipal bond underwriting business is illegal wall street has never learned this lesson because the minuscule price it ends up having to pay for misbehaving has absolutely no deterrent value whatsoever and the rigging of

interest rates to fuel fraud as in this municipal bond rigging or in barclays business model or j.p. morgan's business model has given way to institutionalized rigging of interest rates in programs called quantitative easing that's all quantitative easing is the central bank manipulating interest rates lower they're putting forth the idea that this is what's required to get the economy started if there's no evidence either today or historically that actions would ever stimulate the economy what we do see is wholesale subsidy of speculators who are using the money they get from the central banks to cold worse lawmakers to pass laws to make it easier to speculate and to make it easier to impose austerity measures well speaking of coercion and bribery that's in the next headline max glaxo smith kline fined three billion dollars after bribing doctors to increase drug sales sales reps in the u.s.

encouraged to mis sell antidepressants paxil and well but trend and asthma treatment advair the company encouraged sales reps in the u.s. to miss sell three drugs to doctors and lavished hospitality and kickbacks on those who greed to write extra prescriptions including trips to resorts and commuter to make a in california so this could be another reason why the americans don't care about the lives or scandal is that they're so drug addled by these you know these big pharmaceutical companies pushing doctors to prescribe these medications over prescribe them but also to prescribe them for things that they don't even treat right and the penalty would be to pay a fine and the some of the fine if you place it on the positive the fed you make money on a positive interest rate arbitrage. in other words you get paid to commit fraud here's a drug company they're committing fraud they're over subscribing and a depression is because america are trying to medicate themselves into oblivion as

they watch their democracy flushed down the toilet so here's a pharmaceutical company that's saying ha ha not only are we able to mis sell all these products and put millions of people's own lives in jeopardy but the final word charge are going to put on the deposit of the fed and make money in the positive interest rate spread so our business model of course is def frog interested mutilation and cozying up to central bankers well that's fine max is three billion dollars which is about ten percent of their profits on these three drugs so as you see it's a minuscule share of it there's no incentive for them to not do it and in fact bribery commercial bribery in the us across state lines as they were doing is a felony and it usually a normal person a non well corporate person would face years in prison a least five years so nobody here is being threatened with any jail time instead they're getting away with it so for every ten dollars in fraud they commit they pay a dollar in fines the prosecution said the company paid two hundred seventy five thousand dollars to dr drew pinsky who hosted

a popular radio show to promote one of the drugs on this program in particular for unapproved uses glaxo smith kline claimed it would treat weight gain sexual dysfunction eighty eight. pinsky who had not declared his g s k in come to listeners said well but trent could give women sixty orgasms a night i wonder if there was any placebo effect on that sixty orgasms a night present correct. well max two occasions so far in this situation maybe these people were having a placebo effect and therefore too busy to watch the news to see that libel or that they're being defrauded in the library markets that they're being defrauded the municipal bond markets that j.p. morgan is defrauding them in the energy markets so they're too busy with this with listening to dr pinsky and talking about sixty fake orgasms that they're going to have that night and also you can relate it to the story of live or so this is price perception propaganda he's telling them a fake in for information in order to sell more stuff so here libel war was set too

low they were telling you you could have as much free money as you want because we're all healthy we're sound this economy is great our banking system is fantastic it's perfect so it was creating sort of like sixty orgasms in the financial markets people or markets were rising rising rising so you're saying to answer my question why doesn't the public notice the fact that they're getting ripped off with there's interest rate arbitrage manipulation central bank fraud is because the pharmaceutical companies are successfully marketing an orgasm a drum yeah they were having sixty fake orgasms at. a fake orgasms well that's something completely different as. ever and finally another reason why they might not be paying attention to the live or story is just like what you saw in tunisia or egypt for thirty years they had dictators that got away with it because people knew if you went to the police and complained you got killed you got penalized

because nothing happens to the guys connected to the power to the elite nothing will happen to anybody now involved with this libel rigging because now we know the government and the central bank were helping it so following barclays scandal stiglitz says send bankers to jail without threat of prosecution says nobel economist expect little to change in an interview with the. independent on monday stiglitz argued that bankers without threat of prosecution or jail time would continue to use their elevated status to exploit weak regulations consolidate power and avoid accountability. it's just copying the kaiser report thanks very much thanks so much for being on the kaiser report thank you go away much more coming away stay right there. in the. world. technology innovation all the latest developments from

around russia we've got the future covered. welcome back to the cause report imax keyser bit of a uplifting story here we're going to turn to kevin sorrow chairman of two new or one of the largest scale solar export projects in the world kevin welcome to cause report thank you and nice to me to max all right this is a really interesting story you have a massive solar project and newly liberated tunisia tells about the project when

did it start how much will be invested in what is a start producing energy is a lot there but well i guess we started back in two thousand and nine it was still before the air well before the arab spring and i guess what will start producing electricity and two thousand and sixteen it's still a few few years away but we're delivering that electricity to europe through a summering cable to italy and so huge. actually to be the largest single foreign investment intent that tunisia has ever seen it's a ten billion euro project or it's also talked about the technology just for a second and it's not actually solar panels from what i understand but it reflective mirror surfaces are pointing toward water the water boils and it turns a turbine basically correct that's right max we're using a technology called c s p solar thermal and basically they're fields of mirrors that concentrate the sunlight to a solar tower to the point of

a tower where as you describe it boils water make steam and then that steam generates electricity just like a nuclear power plants but instead of using nuclear fuel we're using the sun and fuel and then we also and this is the big difference then with the solar panels we're able to store the heat at night and so we can continue generating power after the sun goes down so how does this compare with let's say another new technology that's out there fracking which is geological fracturing where miner standing is it's an enter energy negative technology and it's very short lived and there's an environmental catastrophe out of the atoms the energy the production stack up against fracking and other new technologies and more efficient well look. it's completely different we're talking about a renewable energy once we install this stuff it just keeps on producing energy for free forever very small operation and maintenance costs fracking i mean and ok the

other aspect and this really compares well with fracking. the environmental impact is minimal you know we don't even for four or mirrors in the desert we don't even have to put in concrete foundation we just like screw these metals big metal screws in the ground and we hold or mirrors like that so it's a really really you know we can keep the environment intact and frankly there's a lot of environmental issues it's not. clear weather affects the water table and we're sitting on top of a huge aquifer and the last thing the tunisians want is any threat to that act or for having it polluted right now of course the middle east you've got the big players and the oil business but do you see some of these big oil companies countries in the mid east becoming bigger players in solar what kind of export of energy is possible for the region because you know in saudi arabia for example they're developing nuclear plants they see the oil taps running out at some point they don't weigh prepare for the day they don't want to export so much excited or

is solar going to be all across the region is there any talk about this well it's funny you mention the saudis because a few weeks ago they announced the largest solar program in the world including solar thermal you know they they're going to be installing more solar thermal than solar p.v. because they understand with the panels you can generate electricity twenty four seven but with the c s p it's a technology that's a valving and you'll be able to really provide what they call base load power you know power around the clock that you can use for industry and residential uses especially when the sun when the sun goes out so they've announced a large a c s p solar program in the world and so we are seeing these oil production producing countries getting into the solar power business simply because they're starting consumed more more oil it's hurting their export revenues and they're keeping an eye on their national budgets. your background is actually in banking and finance and actually you know i were on wall street about the same time

and we've kind of gone through the last twenty five years watching global banking and financial ization become the dominant force in economies around the world and to some degree push out other businesses and so my question is projects like this solar projects is are capital available for these projects sufficient capital or do we have this problem of most of the capital flowing to this coterie of banks that are involved in interest rate manipulation interest rate scandals that everything is going on the banking sector is causing everyone you know heart palpitations is this crowding out some of the projects in the solar industry and going forward and you think you see that changing now let's face the facts you know these big soward year olds and even wind farms are only closing because of the involvement of governments export credit agencies and multilateral institutions they're the ones who are really providing the backbone of financing for a large solar and renewable energy projects today the banking system is not doing

the job that it should be doing they should be out there financing this energy transition financing the large solar projects the large when projects and you know they're there but very timidly and only if a multilateral steps in first and there's some kind of credit support or credit guarantee from from the state multilateral referring to well the european investment bank for example they just lead a big financing of a wind farm in the north sea. we're seeing in north africa for large solar projects it's really the world bank group which is playing a key role in putting down the initial money and so then you know timidly the private sector banks come alongside underneath the cover of the world bank and underneath and then they require additional cover you know getting some kind of export guarantee credits from there the nations that they come. from let's talk about the economies of scale for a second in geo thermal and and solar and geo solar the world is facing huge

credit crisis the i.m.f. is beating his chest saying that austerity measures must be imposed on various countries and there's a credit crunch everywhere and of course the economy the number one business of the globe is oil business the oil and energy business and the banking business is the go the oil industry is one of the economies of scale of using this type of technology this type of program what kind of impact would it have if there was a global effort actually to wean the globe off. non-renewable oil and switched over to this type of technology on a macro basis macro banking put your banking had on on a macro basis the hundreds of billions of euros that are being talked about needed to bail out europe and other countries would have a significant impact on swaying those numbers in a significant way if this type of initiative was put forward if you get my what a word it would in fact the germans are doing it you know they've made the choice

they want long term sustainable economy and sustainable energy they believe in renewable energy they believe that they can they can just completely cut down their well and gas important bill by investing massively and solar and in wind and they're doing and they're putting their money where their mouth is and there's still i mean they're the basically the last man standing in europe and i expect them to remain that way now let's talk about germany for a second because their reaction to the fukushima disaster was a shutdown all nukes that's right that's right japan is just restarted a nuke again yeah and it's controversial in japan and germany is taking the political decision to say no we're not going to go down this path anymore and they are i believe have a goal of being energy the renewable renewed but renewable sources independent completely within a certain time frame other countries in europe. i also have a similar goal of being completely energy independent generating renewable energy within a certain timeframe is that working are these countries getting to that goal in

wardak maybe a couple of other countries that are on the same mindset yeah i mean what's on is on the same mindset i think. and germany is definitely leading the way and i think they're going to get there i mean at one point they're producing half of their or their power from from solar panels on a sunny day a few weeks ago and they do have some challenges and they have to make some adjustments to their grid and vesa little bit in the transmission infrastructure so they can move electricity to where it's needed it's always being generated that's the thing with the renewable actressy you know where the sun the strong and in a lot a lot of the hot spot of electricity there when the wind is strong a different part of country all the hotspot of electricity there so you got to be able to move these electrons around to where they're actually needed and germany needs to make investments and they've recently improved a very large investment program to make those investments and also there's a new technology which is the german companies are starting to invest in on a massive scale which is energy storage i talked to a little bit about at the beginning of the interview about how you you can you know

c s p is really interesting because you can store the heat and then release a night well in germany they're trying to figure out a way to store the electrons even generate from wind and release that when it's written needed at night when the wind is not blowing and so once germany master these new technologies you know improve their grid they often called the intelligent grid or the smart grid and integrates these new storage technologies into their grid their home free they don't have to pay any more money to anybody for their energy requirements and they're going to be and what their game is is to obtain market industrial leadership in these new technologies and export around the world like they've been doing for technologies and other sectors for the last hundred years ok let me ask you a bit of a mixed question a philosophical question the world is. facing unprecedented toxicity in the but global banking system and we have revelations that banks like barclays and others

have been engaged in massive fraud and the result is a it's about some rogue elements within the banks that are doing a few one offs and bad things or b. is this banking industry can you make the equation to a let's say exxon valdez when it hit that coast of alaska it's built millions of gallons of oil and it created a pollution a toxic event in this case a bank like barclays is releasing toxic derivatives toxic practices why doesn't greenpeace cover barclays as being in other words they they the banking industry needs an environmental upgrade because they are releasing risky toxicity into the system because i ask this because you straddle both worlds here on wall street you're doing renewable energy where you think of that idea well look i think that we have crossed some kind of rubicon with with this park especially if there's any collusion on the part of the national authorities now the bank of england that's

where everything falls apart because who trusts now and then there's any collusion between in the us between the administration and some of the big wall street firms then we have a real problem because the citizens can no longer trust their governments on the very very basic fundamental tenets of the economic structure so you know what's there were words were can we believe and so it's a real i think there's a real citizenry crisis of confidence which is emerging you know we're going to start seeing i don't know what the repercussions are going to be but i mean if i was in banking i'd want to be in a bank that basically took deposits and made loans and knew the knew their customers and that's it you know there's other stuff well francis thinking about rolling about out just such a bank yeah and probably that's. good idea n. to get back to our earlier comments about germany that's what they do in germany they've got a big state owned bank called k f w which is credited to keeping their their small

medium size businesses strong and giving them export credits where they need it right k f w yeah i'd love to talk about it more but we're out of time kevin sarah thanks so much for being on the kaiser report hey thanks max pleasure and that's going to do it for this edition of the kaiser report with me max kaiser and stacy herbert and with my guest kevin sara he's the chairman of two nur this is a huge new solar export project in tunisia and check it out so next time this is mike's guys are saying by all of us i mean email please do so because reported r t t v dot are you by all.

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