lauren lyster host of the capital account great to hear that and that's going to wrap it up for this hour you can check back with us in a half hour see that's. wealthy british style. markets why not. find out what's really happening to the global economy with max cons are a no holds barred look at the global financial headlines tune into cars a report on our.

imax keyser this is the kaiser report well you know more bankers or shenanigans. max keiser when you look into this mirror who do you see. well in fact you may be seeing jeannie diamond i think if you read this first headline chase c.e.o. placing blame hurt to qana me look no further than the mirror if you want to know why the economy remains so sluggish says the c.e.o. of the j.p. morgan chase and company it's because of us we scapegoat each other we point fingers said jamie diamond while touring ohio no mirror mirror on the wall who's the cricket is banker of the malts jamie diamond this is a classic blame the victim routine i think he's implying that. we're just gonna give it the old college try and try harder to overcome the stagnation of the economy the fact that diamond cut off billions of people from bank accounts because

they were discoursing enough you have legal shakedown money the fact is going to evolve an innumerable crooked scams over the past years. paid a small fine and bankrupted the economy none of them plays it's all about jimmy's vanity well they talked about him being in a tent next to a j.p. morgan chase branch there in ohio and he's meeting all these guys all the employees have to live in the tents now because he's pregnant when the economy is called to go for a hoover a bill jamie bell. he was getting in like a bus going from place to place and i thought well this isn't so we're it sounds like of course is the heartland where all the presidential candidates are touring to eating corn dogs and doing things like that telling everybody how much they love them and vote for us i thought well when we all know timothy geitner is about to leave the treasury is this him on a tour preparing for the replacement as as him as a replacement for timothy geithner you know this is all politics because of course

jamie diamond will be the new treasury secretary geithner will move over as head of goldman sachs or something and they make that news they make that announcement you know the public outrage will be there for a few seconds i'll be like oh my god another banks or another revolving door another political bank's third trifecta we're all going to get financially hoodwinked once again then they'll put this great photo up of jamie with the people in ohio and as cardigan sweater and golf club you know shaking hands hello i'm a normal birth and i'm not a an automatic blah program to steal all your money and destroy your family no no i'm a human being i'm jamie doran and i'm going to join us recently. ok so let's move on from there so jamie dimon said we scapegoat each other we point fingers which i kind of think is him seeing all the farmers along the highway on his bus tour saying there's the guy jamie diamond he's the one that took our money from emma global so let's move to another part of the heartland of america an important

voting state nevada vegas billboard with suicide dummy hope you're happy wall street well according to our first headline jamie dimon is very happy you're taking responsibility you're dangling. the billboard in vegas says you see from these images those are the actual victims of wall street those are suicide dummies and this is trickle down economics suicide i think you see here though you know i don't know why people assume this is i mean this is exactly predictable i told you that when you still money from somebody they blame themselves you know i think what people on wall street know this and i know when i was working on wall street if you still somebody has money they blame themselves so these people are put are committing suicide in effigy upon themselves whether they have hanging up a bank or the guy who stole the money that's the psychology that's the psychology that makes wall street very very rich the victim always blames themselves well the victim blades themselves especially in a casino gulag and here in vegas is the heart of the casino gulag also it's

important to note that here is a work of art which i compared to banksy in terms of how much it's reflecting in telling you as a society to look at yourself and look at the society around us and instead this is what the responses although the billboard alarmed drivers it's unclear whether regulations in the area ban roadside signs with graphic depictions of suicide a spokesman for the nevada department of transportation said there didn't appear to be state regulations on the matter and a spokeswoman for clark county was also not aware rules against the subject matter so they're talking only about whether or not you're allowed to hang a suicide effigy up on a billboard and not whether we should reflect upon the nature of our financial and banking system. jamie diamond would love it if every if thirty million americans committed to it would make his day that's less food stamps is going to process all that forgot the food stamp process saying it's who needs it all you know you'd rather have love for thirty million americans commit less indians on the

reservation less amounts to feed less hassle so jamie diamond however could be very happy to look forward and up with the department of justice and the us. department of treasury where he might be very soon and find some allies there because they're not pointing fingers at any of those banks there is a tweet from reuters flash no criminal charges against goldman sachs or employees for subprime deal justice department says so there you have it look at the we were you peasants out there it wasn't goldman sachs who defrauded you investors and you pension funds around the world with their abacus deal yes they were selling you toxic products but it's your fault of course there's not a problem of justice there's not a problem of justice going to cover wall street because i don't know this guy our caller he's to head of it what does he do all day but because of those does he actually do a gosh darn thing to go after criminals i mean you've got truckloads of evidence piling up outside the white house there where every things is pat and it's nothing

but pure evidence without any reasonable doubt pure scavengers from the will of the wall from sea to shining sea the live up of the book cougars eric. what's wrong with you are you value. but there are some do gooders out there some guys with some programs to sell you who are seeking to help you all how do you spot the next big banking scandal there's a new company out there called digital reasoning and it says it can help financial institutions spot fraud by analyzing terabytes of internal e-mails now the c.e.o. hopes financial institutions will buy the software because he says he believes there's a pressing need financial institutions he says could save billions by spotting fraud or insider trading by employees or catching financial advisors giving on up

the coal or illegal advice u.s. senate hearings later revealed that in two thousand and seven before the financial meltdown goldman sachs employees wrote e-mails bragging of selling blatantly terrible investments to clients the c.e.o. of this company says his software could have helped compliance departments catch such activity the problem is the spawning fraud the problem is they don't have a problem spotting from we just we just thirty seconds ago said goldman sachs was found committing fraud so the problem is not can we find the frog we're swimming in it though this company of course will probably go public in a fraudulent way brought public by the same fraudulent banks and then they'll discover more fraud and then the justice department will be not going to be bad it's ok so here we have the department of justice. you know agreeing with jamie diamond that there are no banks there is in this global economy now we have them again morgan stanley price fixing pact fall by a.a.r.p.

wins ok so this is the american association of retired people and a federal judge grudgingly approved morgan stanley's four point eight million dollars settlement of electricity price fixing charges overactivity estimated to have cost new york consumers about three hundred million dollars turning aside claims by the a.a.r.p. that they are court let the bank off too easily the case which also involved electricity generator key span corp was the first in which the u.s. department of justice said it tried to recover improper profit from a financial services company that used to riveted to foster anti-competitive behavior morgan stanley made twenty one point six million dollars from derivatives minute relation of the energy market which cost consumers three hundred million dollars they made twenty one point six million the department of justice said over basically what the judge was going to decide which they were guilty and said no just make them pay four point six million dollars from

a normally they're preparing like three times damages or close to a billion dollars in funds and the company would be put out of business but because or soon as a friend of jimmy geithner then they're allowed to stay in business as long as they can milk the cow forever and. there's plenty of fraud in those to go to milk them some more of those what we do on wall street we've. looked for him you go there is our problem or and we've gotten all we ever do us district judge william pauley in manhattan said quote given the government's stark allegation of manipulative conduct against morgan stanley disgorgement a four point eight million dollars is a rather relatively mild sanction there is a risk that a large financial services firm like morgan stanley could view such a modest penalty as merely a cost of doing business. dawg you don't think so but despite this court's misgivings the government decision to settle for less than full damages is entitle

to judicial deference particularly in view of the novelty of the government's theory right and to pay the pittance of four million and change they're going to be involved in more illegal activity and still more pension money rick more municipal bond rigging rig more live board type rigging launder more money for terrorists launder more money for drug cartels you know paid a pittance so you don't put the criminals in jail and you incentivize them to commit crime then they're going to commit crime and then your society is falling apart oh there's a shooting in wisconsin or there's a shooting in taxes oh other societies breaking apart i wonder why because you're authorizing looting by the transcript ocracy and the pay for their looting they completely undermine the integrity of society that's obama's legacy he killed america beric yes let's turn back to those images of which now is just are those are effigies of people who are the victims of banking crimes committing suicide dangling off the advertising billboards on which you may find

a chase bank advertisement well that's the future is going to be real you know that jamie diamond lover thirty million americans kill themselves today jamie diamond of be here is smiling less food stamps for us the process less let's bother people all yeah for me i'm jamie and you can go kill yourself that's to be the message from chase j.p. morgan we're chase j.p. morgan bank kill yourself thank you have a nice day since your attention was going to cause report thank you monks don't go in as we're going away. my parents really truly honestly believe that what had happened was as a result of my father's exposure to agent orange i was born with multiple problems . i was missing my leg. and my fingers and my big toe on my right foot i use my hands a lot in my artwork i find myself drying my hands quite a bit to me for my hands you know just as if anyone. but

they do tell a story they tell us a story of. oxen. download the official application itself choose your language stream quality and enjoy your favorites from alzheimer's now t.v. is not required to watch our two all you need is your mobile device to watch our team any time.

quarter back to the kaiser report on max keiser time out a goatee and his kingdom talk with john as ease of these are nomics dot com john as

e's welcome to the kaiser report fantastic review maps are out john aziz there was no liability lesser crime there was no sir prime studio crime so why is everyone so upset with the bankers everyone's upset with the bankers because since the year nine hundred seventy one the bankers are got a much much much much richer and everyone else has got much much much poorer as a percentage of g.d.p. you know corporate profits and. the financial sector profits have shot through the roof in those years. wages of shot through for i think i think the biggest. problem with the financial sector is the level of disparity. it's ween them and i want us right well imagine nine hundred seventy one of course that's when nixon closed the gold went out we just embarked on this global experiment of currencies all the world's currencies refer to each other there's

nothing collateralized in any of this currency of any substance and now are into weird phase john where the bankers are trying to come back with arguments that they don't have any actual collateral on their books but they have flow they have deal flow and somehow this is their collateral your thoughts they have really high population you know if you have if you have a very very tight and full of assets and you're just read up on the gains in re up against the reality of the gating them then it's going to look like you have a bigger economy but if ultimately you're not producing much and if ultimately people's wages are going down and ultimately if people are getting poorer then the financial sector is paid i mean the key. to all of this is a financial sector does not produce anything what it does is it kind of reallocates capital resources and that's what ultimately we have in the west since nine hundred

seventy one they've been set free to read off the case and to reallocate resources based on their preferences and ultimately it's not really working out for the wider society it's working very well for them to their wages and that the profits in the bonuses are going up you know on tyler from zero hatch certainly a graph and it showed very clearly that as the level of leverage those up it's correlated very very strongly with love of the bank of bonuses and that's what we've got is what we're getting the bankers are operating for themselves they're looting and pillaging and they're not going to stop and say let's stop it. or not john we had another banking scandal last week with standard chartered they're being they're being looked into now as part of

a money laundering scheme and their response from the u.k. from boris johnson from folks in the city is that the u.s. is taking a very anti burnish approach to this that they are calling the kettle black that they're not looking at their own back yard on wall street but the fact remains john aziza i'm curious what you think about this a i g lehman brothers m.f. global the london whale barclays libel or a just a p.c. money laundering standard charter they all went through london and it all touches on something you've been talking about here really hypothecation because only in london do you have infinite really hypothecation that is to say you can sell the same security an infinite number of times with no collateral correct and that's the problem you know glossed ego was repealed because the

u.s. banks felt like they could be true london where you had infinite area of the geisha so i do i think there is something sick of the heart of the city and i think that thing is the ability to multiply up a tiny base of collateral to whatever level you want i think i think that's absolutely connected with. all of all of these scandals i'm not i don't i don't i'm not completely convinced that what standard chartered has done is particularly awful because i'm not sure the united states really has any right to be dictating. to individuals and businesses which countries they can do business with while this is another aspect to this growing crisis john aziz because here you have internal e-mail e-mails at standard chartered from individuals at the banks saying who is that f.

ing america to tell us how to do our business. and so here you have a conflict which is now morphing from just a bad rogue bankers in a corrupt system shield by central bank shenanigans and corruption now it's feeding into this glowing political crisis so my understanding john is that at the moment standard charter got the word from this. financial services authority in new york city that was calling him up on the carpet the tim geitner shut them down and now it's all back to business as usual so for a moment there though it looked as though there was going to be a bit of a conflict for real between bankers who want their own soft a termination and bankers in new york who say no it's our world pay us or your tribute or we'll put you out of business well i think one of the. one of the good things about the financial sector being in the destructive and corrupt. mode that

it's in is that ultimately the bank is going to destroy themselves and when you when you do have a financial system. you know competing in a completely under strain way to grab as much as they possibly got there when the tribe trampling each other down hard john you talk about banks destroying each other and of course you can't have banks destroying its other without central banks assisting and destroying each other and of course central banks policy of quantitative easing out of the say keep rates artificially low only to benefit a select few and meaning the savers around the world subsidize criminality in the city of london and wall street isn't that also part of this kind of suicide mission were all the banks are lined up in a circular firing squad all absolutely. quantitative easing is demonstrable way and imperatively shown to enrich the financial sector at

the expense of everyone else because of an effect known as the cancel out of facts whereby when you introduce new money into the system it doesn't i then the purchasing power or does it transfers the purchasing power from the old money to the new money so what what what we have is. the banks they get is the money and they get the old per cent and the people who are. with the old money the people are the retirees. and want holding dollars is purchasing power for the benefit of the backs. right so to put this in terms of a security is transaction there's two terms people can look up on google after this interview want to be the council on a fact but the other would be the cram down so when you introduce more money you

are effectively cramming down all of the existing holders of money and those who have been crammed down with this new layer of money get all the benefits those who were there before their benefits have been crammed down or diluted down to something a very little in terms of equity and this is a continuation if lot of people refer to this as a policy scheme which is kind of like the you imagine a floating upwards in a pyramid scheme but it's actually a perpetual cram down scheme where new money quantitative easing is constantly used to financially repress the population into a blue via giving only the few insiders the benefit direct absolutely but it's not it's not just quantitative easing as well i phones looking to looking at the danger since one nine hundred seventy what is the the financial wealth of the financial sector goes up. as more on the straights it wire the sense transmission mechanism

which is interest rates buys and to a much money supply goes up. the the financial sector gets richer so it's it this is just a new phenomenon since quantitative easing this is been operating in us slowly and consistently. since. and somewhat. john you mentioned this term transmission mechanism which is enter gall in any notion about free market capitalism or free markets and price discovery that is to say that when a certain supply and demand curves are happening in one area of the economy there is a transmission mechanism that will affect them another area of the economy we see this right now between the euro and the dollar the euro is going through interesting times and there's a transmission mechanism visa via the global banking system where the dollar is

perceived to benefit but in this new world john isner true that it we don't have transmission mechanism vala transmission mechanisms that should be operating freely are now being blocked by thinks extraordinary tools of central bankers and primary bankers and commercial bankers who have raised the fee to do business and have destroyed the market so grievously with high frequency trading we end up with price fixing and commanding control economy in a global soviet era monell culture economy free market essentially is debt correct absolutely. well what we see. when the central bank chooses to act and redistribute purchasing power is the central bank is actually determining who gets to decide what in the economy when the central bank transfers purchasing out of the banks through quantitative easing. it transfers real power to

command the economy. to the financial sector and away from the productive. industries and business people and entrepreneurs and individuals and so as the financial sector of the operates more power it controls move for the economy and so if it is effectively central and the central bank is saying the fine that the sec is it should have more power all right final question john the global economy. if we know that the only outcome is going to be a debt jubilee of some sort because there's no way five hundred trillion and more in debt it's going to be paid off with a global economy of a sixty or seventy trillion g.d.p. output so what's the timing on this and now what will be the winners and losers well there are three of us yet there is the debt to the what we forgive the debt

and start again larry's lic the nation weather system crashes the banks go to zero and the jubilee happens that way and there's a third way which is hyperinflation and i'm not going to say which ones likeliest but given that we're in it to leverage and drop and that we can grow organically you know as. without the debt being severely reduced i i'm absolutely virtually certain that it's going to be one of those three options and it's going to be very very messy and the winners and losers i can't say although i i i would guess the banks are going to game the system from the political. the political side for that so that benefit i can see the winners the losers but the timing. could be any time from now up to

you know twenty seventeen twenty twenty two twenty twenty five because the. the back is in the politicians and everyone with a vested interest in maintaining a standing system is going to try as hard as they can eat kicking kicking kicking kicking kicking kicking the cat i was just a matter of i'll go on until the roof falls it is going to one of those three things like well i should that all huge jubilation all right john aziz of zs anomic so that's all the time we have thanks so much for being on the kaiser report last max all right that's going to do it for this edition of the kaiser report with made max keiser and stacy herbert i want to thank my guest john. dot com about us and we need now please do so at kaiser reported r t t v dot ru in the next imax guys are saying by oh.

my parents really truly honestly believe that what had happened was as a result of my father's exposure to agent orange i was born with multiple problems . i was missing my leg and my fingers and my big toe on my right foot i use my hands a lot in my artwork i find myself drying my hands quite a bit i mean. for my hands you know just as anyone would but they do tell a story they tell a story of. the oxen.