this is r.t. top stories now exactly how the russian capital of battle to syria the country's second city aleppo braces for the worst as rebels and government forces go head to head the week long fight for the commercial capital is escalating more clashes are reported in damascus and several other sites. elsewhere in the rest of region and dozens of people in the united arab emirates a fresh protest with the west's blind eye attitude echoing its stance on saudi arabia and bahrain. but can the troubles past the ancient test as politics hangs over support for the syrian squad at the london games the countries out to meet say they are carrying a message of peace is to mask is faces mounting pressure from the. well be that

with a news team with more news stories and other stories for in half an hour from now in the meantime as promised reveal the economic used by financial decision makers to make harsh reality seemingly disappear that's next. i am max kaiser this is the kaiser report you remember the boys from brazil the cloning apocalypse where not wearing clothes well you know that sounded awfully bad but actually there's something much worse much much worse stacey max they've

created the perfect bank stare remember a few weeks ago you said diamond the rat face. yes well apparently they have jamie diamond jellyfish it's a jellyfish robot if you take a look at this video here that's a jellyfish robot made from silicone and the living cells from a rat heart rat heart cells and a jellyfish so it's no spine but the heart of a rat is that not jamie diamond and it's a robotic version of jamie diamond no spine but the heart of a rat and he's a robot like algorithmic trading like high frequency trading that's it dominates the global economy a robotic jellyfish rat heart of jamie diamond clones that's why we're in this mess well max i have a dust scimitar here. this is my little financial decimeter and it tells me when i'm getting too close to any financial crimes any financial toxins and financial

fraud manipulation and inflation deflation and i want to use that as an analogy for the global financial system what's going on we turn to japan right now and this headline here to pan probes under reporting a fukushima radiation dosage to pan's health ministry said it would investigate reports that workers at the stricken fukushima nuclear power plant were urged by a subcontractor called build up to place a lead around radiation detection devices called scimitars in order to stay under earth safety threshold for exposure. they were exposing these workers to lethal doses of radiation having them cover their dissimilar so they would even know that they were being soft killed by tepco tokyo power killing the workers but that's of course not a dissimilar that is a one ounce silver eagle of pure silver and i get your point though that the only

defense against fraud on the scale of a robotic spineless rat hearted jellyfish like jamie diamond is silver and you know here's what i'm telling you out there there's about twenty or thirty trillion in cash socked away in the untaxed shadow economy. you know who you are. put five percent of that to work in silver today these dust scimitars just because you cover it with a lead and the readings don't say that the men are being exposed to high levels of radiation the fact is a few years later they suddenly drop dead and this is what we've seen over the years over and over and over from financial regulators from central bankers from treasury secretaries around the world everybody is engaged in basically covering our dosimeters our financial dissimilar is with lead so whether it's artificially manipulating the libel rates to rigging the dow jones from the plunge protection

team interest rate setting them too low everything is to tell you that it's much safer to go into the market to enter the housing market to enter the equity markets to buy some bonds to buy the dollar to hold the dollar to hold sterling to hold the euro all that are dosimeters are manipulated and covered with it the equivalent of financial lead in order to keep you the population out here from protecting yourself is called a bad price signals ok now here's my thought about what you just said this problem of the global financial crisis is not a problem of macroeconomics so all that roubini and stiglitz and nobel prize winning economist krugman there are macroeconomic solutions are worthless but this is not a macroeconomic problem this is a micro economic problem micro economics concern to some things with things like price discovery and supply and demand issues curves meeting and what the price is

that generated by these two things meeting in the open free market society and what you've just described and i completely agree with you is that the price discovery mechanism the micro economic plateau upon which this global economy sits is totally corrupted and this is the he this insidious. bit about why bore is that it's the macroeconomic grain of sand upon which is built civilization which is that dissolve thing because it is on anchored to anything but the fraudulent intent of those who are manipulating the price in ways that tilt the free market pool table of wealth in ways that were all the balls of wealth go into the pockets of the few it suits my career nomics to stop macroeconomics and as we see the pick up in the decline going on in the global financial collapse this is partly i think because you know we see this massive group of baby boomers starting

to retire in the us and they'd have this little part of their pension funds over there off to the side and the dosimeters have told them oh don't go looking don't go peeking inside your pension fund to see what's there because the dissenters are telling you everything is all all k. you know everything is spot on but now that they're cashing out and starting to have to collect we're seeing over and over now that pension funds are saying oops we're fifty percent underfunded everything is being exposed to put it another way a k. this price action lie bore very syntaxes these give the lay of the land gives you an idea of the you know if you're sailing through the sea of liquidity that would be your barometric pressure or your compass but you know what does it tell you when interest rates of some of these european countries for to your paper or less is negative. ok that tells you that the entire financial system has capsized and that you are now come under water the ability to pay back the debt is now zero

that's not going to happen that's a negative interest rate tells us that the five hundred trillion or eight hundred trillion in debt that is plaguing the global economy will not be paid ever that means either more distortions of austerity for behalf of the ruling class or be revolution or say global forgiveness of all this debt those are the only three outcomes no growth scenario no came to do ism no austerity is going to work that's no fish that's over if you think that's going to happen you're brain dead i might add that many commentators out there and teens ians like krugman are saying those negative interest rates are a sign that the market wants these governments to borrow more. well you see he's an idealogue that we're going to get it back to the top of the show he's totally trapped in his academic theory and no matter how much reality knocks that theory to

the ground he's doubling down on his faulty assumptions if you were managing money he would have gone bankrupt decades ago and we have had never ever heard from paul krugman ever again but because he's an academic and he's a journalist is a writer and it can write all kinds of nonsense all day long without any accountability whatsoever people buy into this nonsense even though it's theoretically preposterous and it's on a practical basis completely meaningless but talking about micro economics we have the micro problem of banks toure's who have become a global macro problem they're very interlinked they're little crimes here and they're adding up to a big macro global problem corrupt allegations major fraud inquiries a senate probe into deals with drug running gangsters in mexico and a luxury yacht welcome to the world of banking twenty twelve so police are poised to press charges against several h. boss bankers and consultants after a two year investigation into a large scale fraud and corruption involving the edinburgh based bank the probe

code named operation hornet is described by a police officer involved as the largest fraud investigation of its type in the u.k. this week well it's probably the only one they could say is the largest because it's the only fraud investigation going on. right that's not they're not big on the whole investigating fraud so this case involves the high risk division of bank of scotland from two thousand and two to two thousand and seven now this part of bank of scotland was run by a guy named linden scour field and you know boss is now owned by lloyds following gordon brown intervening and forcing lloyds to buy h. boss which now meant that lloyds had to be bailed out by the u.k. taxpayer which now owns forty one percent of. lloyds but anyway the crime the fraud pile the toxic jellyfish that the british population now own started with linda scour failed when he required small businesses us that condition for getting

a loan to employ an independent consultancy company specializing in turning around troubled businesses this was key side corporate services it was alleged that a number of businesses ended up in more debt than before i got involved in many cases the company's total borrowings from each boss increased tenfold within a couple of years of david mill who owned the side getting involved he forced them into all these that's basically using this as a way to asset strip right this is a banking model of. of taking on these huge debts getting the government to bail you out and turn acquiring assets for pennies on the dollar which is migrated over to the geo political arena so this is the this is why greece is going bankrupt it's because bankers are loading it up with debt to strip its assets same thing with spain same thing with italy again it's not a macroeconomic problem it's more of a micro economic problem because the microcode moments of price discovery are being co-opted by the jellyfish violence rat heart of jamie diamond and h.

boston lloyds banking of course everyone knew in two thousand and eight that the biggest problem was the too big to fail problem but coming out of two thousand and eight the too big to fail got even bigger to fail or even more so you know all these banks have consolidated even more they've gotten moons through sleep too big to fail you know this is a macro problem because this is the time and time again this every single bank we see whether it's boss whether it's lloyds whether it's h.s.b.c. whether state them or whether it's goldman sachs whether it's bank of america whether it's citi group whether it's deutsche bank whether it's credit agricole whether it's society in general what they've done over and over is the same thing they take out the assets of all these small and medium sized enterprises which are the backbone of the capitalist system of our economies more people are employed by small medium sized enterprises than by these too big to fail there's a long list of small companies that this guy destroyed through his crony sort of

situation here same thing with malcolm glazer and manchester united they loaded up with debt pay themselves a huge multi-billion dollar dividend and now to try to pay off that debt are going to go public but that stockland up in pension accounts and be left to die so five years from now it'll be we're down ninety percent from where it started so that's another huge global thieving campaign well of course all of these crimes from the banking sector are allowed and overseen and aided and abetted by the financial services authority one of the. companies i refer to the long list of british companies that have now gone insolvent due to this scheme a director of one of the victimized companies alleged the f.s.a. main agenda has been to try and cover this thing up since it exposes the catastrophic failures in its own approach to regulating the banking sector what have they done about this sweet f.s.a. . yeah that's right well there are no regulators that are in

a position to do anything about this well no max because actually they are they are able wing it they're helping it they're in engineering and causing it because we were they want to cover the dosimeters with lead they want you to not know that they're your system in which you're swimming with all the jellyfish is corrupt and you're going to be stung by their little tentacles so they're like the mayor in that movie that's trying to tell everybody it's ok to go in the water when the shark there that's the role that they play exactly but you know all of these jellyfish spineless jellyfish with rat hearts they end up singing each other because there is a bit of poetic justice here david mills the guy involved with key side who was devastating all these small and medium sized enterprises across the country well he was the biggest individual creditor of collapsed investment firm m.f. global where he had parked three point six five million pounds but i think that's going to be what ultimately and as the charade of a global banking system is that there's so intermingled in intertwined the fraud

collapses on itself in exactly what you just described here is one of the biggest fraudsters who part as money at another fraudster and went bankrupt so i think that we're going to see more of that that's the only thing that's going to stop this nightmare all right thanks much bigger guys are going thinking about going much more coming why stay right there. in the. technology innovation all the developments around russia we've got the future covered. you know sometimes you see a story and it seems so you think you understand it and then you glimpse something else you hear or see some other part of it and realized everything you thought you knew you don't know i'm tom part of the pacific ocean.

i welcome back to the kaiser report time now to go to london to talk with mark o'byrne of goldcorp dot com mark welcome back to the kaiser report marks around me on the right mark o'byrne if central banks and governments were colluding with private banks to rig libel rates does it make sense to you that they were also ringing precious metals prices. well it's quite possible there's been a lot of circumstantial evidence over the years but i think given the facts of life or scandal there is going to be more scrutiny on the precious metal side of things it's interesting today chilton of the c f t c who has basically been they've been involved a sea of the sea in a four year investigation into allegations of manipulation of the silver market and he basically made today saying that they hope to release the findings the results of their investigation in september i think that was set probably a year or two years ago it's incredible going to four years and even the fact of the second four years suggest that there may be something going on there so there

is definitely a source of motivation why banks and indeed central banks might want the precious metals of gold silver lower well the entire amount of silver that's pulled out of the ground through mining during the course of a year is roughly seven hundred million ounces an occasional a on some days we see a seven hundred billion ounces of silver traded over a water today period so clearly there is no precedent for this in the in the history of markets why that should be so so it's a one hundred percent guarantee that there's fraud going on that everyone knows it is the it's the worst kept secret in the world of markets but when you have a lot boring and you're essentially manipulating the price of money it whether you're directly manipulating gold or silver or not doesn't make any difference because you're manipulating the price of interest rates are you really pulling the price of money itself which is in this case the dollar which is how

commodities all commodities in the world are priced you know going back to those a the revolution in cairo because of the spike in food prices food prices are priced in dollars and dollars tied to live war and libraries manipulated so those revolutionaries in cairo should be on wall street demanding you know a regime change from j.p. morgan right yeah you open your might be on the so in their eyes i mean you hit the . on the head in terms of live or as the global benchmark for interest rates and i'll sleep it's the benchmark key figure that has such a massive run the cation for every single individual every single family every single company corporation and bank in the world for an entire financial system whole economic system and so increasingly that these monetary metals which gold and to a lesser cent silver people are going to diversify into and there is therefore a motivation why central banks would want to keep the prices kept or fixed you know there seems to be a lack of deterrence mark berndt there's no real crimes. punishment for the

crimes being perpetrated by manipulators and or not when i make you make a contrast to what we see coming down in the wake of the penn state scandal penn state of course involved in this massive pedophilia scandal they've now been charged and there's penalties multi tens of millions of dollars penalty the whole football program is being restructured they're being stripped of their titles it's it's quite an impressive list of penalties for penn state did of the sexual predators that were allowed to work there but it doesn't isn't there an equivalency in terms of the more rally when you have let's let's call them financial rapists like a jamie diamond or lloyd blankfein should there be some deterrent for financial right joe yeah absolutely i mean there is i mean off a very different things but the ramifications for the financial times that taken

place are absolutely huge and we're seeing you know families around the world have been financially devastated by it and for sure we're only in the early to middle stages of this and we're going to see a hell of a lot more families and companies and even corporations must be impacted by what's going on and as you said that there doesn't seem to be any punishment that takes place which. just means that the problems we've had in recent years potentially can get worse in the coming years because it seems like the building has been done. and it seems that the banks have in effect captured both directly in the political process and i mean it's clearly seen when you see who the major campaign donations to even president obama on the democratic side on the boat in the public side i'm democratic side has donations going in there and you would have to wonder whether that is every salting in. the lack of punishment on these banks. and i think that's a fundamental question that has to be asked and the woman root cause of this problem

which we identified years ago and many people. but then if i because it's glaringly glaringly obvious what's amazing. and it's not talked about is and i know you've talked about on many talk many occasions is glass steagall and being able to divide out the spectrum side of banks and the prop that's the banks from their plaintiff in the puzzle taking until that stone i mean that's just one of the many things that need to be doing must be leveraged in the financial system downsizing financial systems were massively overbuying to and over financial life and that's strangling the real economy and in the companies all over the world and until these are done then they can be no solution to this crisis what we're talking about there a back last day call for example that would be a micro economic solution by separating at the point of price discovery the negative influences of predatory but all we hear from policymakers around the world in the g. twenty nations are macro economic solutions about monetary solutions about fiscal solutions this top down approach it's hierarchical approach which doesn't seem to

be getting anywhere what about a more fundamental micro economic approach looking at the way that the market actually works on a structural level and understand that on the day to day price discovery mechanism is corrupted that it's all that's fixed you're going to have this incredible giveaway of wealth to the top one tenth of one percent at the expense of everybody else no absolutely hit the nail on the head once again. it's fully the focus is continuous continuously on the solution but ironically dimanche the solution is actually compounding problems and you know it's the cliche that we've used to say by kicking the can down the road but that that is all they're doing and the compounding the issues and the piling death upon debt upon debt and that that is compounding on an annual basis that can never behaved back so and then they talk about bailouts and also what spain today and italy today and even greece is back on the radar again today and they're talking about more bailouts for spain

a sovereign bailout but. the bottom line is they're not bailing out spain or the spanish people they're bailing out the spanish banks who have been loaned to responsibly by other european banks and which has created the risk of contagion so what needs to happen is in these three months of debt right then when these shook them a lot of these banks rather than burdening the taxpayers who are already mostly indebted and mostly overburdened and it's hard to know how you know that this was austerity measures they will unfortunately comparing problems but it's amazing how the likes of paul krugman and the keynesians not even keynesians there actually. are even a different school of economics altogether because keynes would never have abdicated what they have in terms of i suppose the bailing out of the banks as happened in recent years you know. and i think that's a fundamental issue that needs to be addressed that the. measures that we take in recent years to help him solve the thing i'm potentially going to make things a whole lot worse in terms of the devaluation of currencies which is going to be

seen in the coming years yeah no they're not keynesian and they're by a terrorist they're totally imagine the solution that comes up all the time adding debt to more debt again that's a macroeconomic solution the debt that they're adding to the debt the way it's priced is that is tied to a lot more. manipulated therefore the entire solution is based on a faulty assumption that your libel rate is somehow derived from market machinations which is not is derived from fraud so entire mountain of financialization is fraudulent now many argue against the notion that there could ever be manipulation of gold and silver of course you hear this old saw that for every buyer there's a seller but what about the wash trades that now are rampant and not only just old fashioned wash trades i used to do what i was on wall street but new computer aided high frequency watched friends of course lost friends are simultaneously buys and

sells. i was securely at a price either below or above the market created against false price discovery a macro economic nightmare your thoughts yeah well again it's another us opportunity for men to manipulation of this very opaque market there's a huge lack of transparency there and the whole freaking high frequency trading and algorithm trading thing i mean i mean it's a further symptom of the global financial system has been turned into a casino in recent years and the doesn't seem to be any impetus to resolve or to to stop and think it's so you know you don't want to make it a proper market whereby prices risk over us and then consumers and companies benefit from that and ultimately the citizens of nations benefit and that's so yes it is based on the opportunity for for manipulation can be seen clearly in that flight a marketplace this whole thing has been anybody's spoke of a concern because there's in recent years with automatic dismissals as

a conspiracy theorists but i think given what's that like for people to realize that these banks are often conspiring and that's a major conspiracy so when a number of people get together in secret and of for multiple profit or other motives and they have been conspiring against the interests of their both their shareholders and also the wider public. so that it's gone to the realms of the conspiracy theory and we'll see what libel it's going to mainstream and even the gold story this week i picked up by to independent london it's beginning to get picked up on by a lot of the mainstream media who are realizing that there may be questions there to be asked and it's going to be interest and what happens in the coming days and weeks right speaking of didn't appear to ours in ireland the government didn't start too far h.s.b.c. money launderer for the mexican drug cartels they put him in charge of cleaning up your financial system do you have help on that. no i don't have much good hope and that's quite ironic what's happened there. but yeah i try to focus on the

big picture globe. there was most people can get caught up in the. minute here these things not see the world from the trees and the big picture is a said before the husband regularly capture but ultimately that's going to lead to two more instability more volatility in a couple markets and i believe the currency devaluations and potentially we're on the verge of a very very serious recession in the us globally and i'm quite probably at the pressure. scenario rather than focusing on the menu to see and regulation the rest i would suggest that people in families need to be a source buying physical gold and silver and put that away for a rainy day because unfortunately i will enjoy the summer so i'm here for linux along the today there is a rainy day coming very soon all right michael byrne rather time thanks so much for being on the kaiser report thank you 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 think my

guest mark o'beirne of goldcorp going to send me an email please do so at kaiser reported r t t v dot are you into next time nice guys are staying back.