The Golden Truth: Just When You Think The Taxpayer Bailout Of Real Estate Crooks And Banks

Monday, August 9, 2010

Just When You Think The Taxpayer Bailout Of Real Estate Crooks And Banks

can't get any more absurd, you wake up to this (sourced from zerohedge.com) disclosure that the commercial real estate lobby is asking for Congress to borrow even more money and give it to the banks to bail them out of their commercial real estate disasters:

The undersigned commercial real estate industry associations strongly support the Community Recovery and Enhancement Act (CRE Act), important legislation introduced by Congresswoman Shelley Berkley to help incentivize equity investment in distressed commercial real estate assets and to address the pending crisis threatening community banks that currently hold significant real estate debt on their books.

Here's the link: It's Gets More Absurd

Please note that this pathetic entreaty specifically refers to community banks as being the primary beneficiary. Let me state for the record that the real problem with underwater CRE loans is sitting on the balance sheets of Citicorp, Bank of America, JP Morgan and other big banks. I know this for a fact. I know from a very good friend of mine who is a commercial real estate investment consultant to pension funds that these big banks do not mark down their real estate assets at all until a forced restructuring occurs. And many of the mega-deals that are at least 50% underwater. This means the equity is wiped out and the bank loans yet be restructured are worth, AT MOST, 50 cents on the dollar.
The big banks don't care about the community/regional banks other than to let them die so the big banks can pick over the carcasses. Make no mistake, this is another big bank bailout in process. Is everyone interested in seeing more of their tax money going into the pockets of the big banks and the people who run them? That's where this is headed...

The Congressman who introduced this - Shelley Berkley from Las Vegas - is a lifelong politician and no doubt has been heavily controlled and likely PAC-subsidized by the casino industry (i.e. lots of corruptions and graft to toss around). Here's her bio: Scumbag The casino industry has completely overbuilt Vegas and the big banks have underwritten most of the debt to finance the overbuilding. Here is a breakdown of Berkeley's money-givers: The Less You Bet, The More You Lose When You Win

5 comments:

JoeMonday, 09 August, 2010
These people will bailout everything in sight until the USD is completely destroyed.

Joe M.
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AnonymousMonday, 09 August, 2010
Dave,

SofaKing is going to buy you a tin foil hat.

http://www.zerohedge.com/article/matt-simmons-has-died-heart-attack
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Dave in DenverMonday, 09 August, 2010
LOL SK - another banker found dead in his pool/hot tub...
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RothbardMonday, 09 August, 2010
At first I thought this was a joke. UNBELIEVABLE!

Everyone should go to King World News and listen to his interviews. He was the LONE 'mainstream' voice that told a different view of BP's disaster. TOTALLY different.

HE drowned in a 4 ft hot tub, no he had a heart attack. I guess that's better than, 'He died from hanging himself, but an autopsy revealed bullet entry points in the back of his head.'
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AnonymousWednesday, 11 August, 2010
Time to start threatening death to any politician that votes for bank bailouts.
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Why Gold?

Gold is the world's oldest currency. You exchange your fiat currency (dollars, euros, yen, yuan) into gold as an insurance policy against catastrophic Central Bank and Government policies which serve to destroy the value of fiat currencies and destroy democracy.

Gold can ONLY be considered an investment to the extent that it remains significantly and historically undervalued in relation to the fiat currencies against which its value is measured. Otherwise it remains the world's oldest currency and is completely free from the counterparty risk associated with currency by Government fiat (i.e. fiat currencies rely on a Government's "full faith and credit.")

Quote Of The Month Courtesy of "Jesse"

Unfortunately for Larry Summers, Ben Bernanke, and their friends at the BIS, they have not yet figured out how to print physical gold, silver, and other essential commodities, and the world is reaching the point where it might simply start ignoring the New York based markets with respect to essential commodities such as basic materials, oil, foodstuffs, and the like, as they become increasingly irrelevant, fraudulent, and Orwellian. And then where will the financial engineers be, except with no more excuses and no place to hide?

Here is the link to his entire commentary, well worth a read:

http://jessescrossroadscafe.blogspot.com/2010/07/gold-daily-chart-shock-and-awe-for.html

Great Quote From Jim Rogers On Govt CPI Reporting

JR: I mean, we have inflation now. If you go to the shop, whether it’s groceries, or education or insurance or health care, prices are going up for everything. The government lies about it in the US. Some countries lie, many countries don’t: Australia, China, India and Norway. Many countries don’t lie about it and acknowledge that we have inflation. Others lie about it, the UK and the US, but if you go shopping you know prices are up.

Q: Are you saying that the American Consumer Price Index (CPI) published by the US Bureau of Labor Statistics is a lie?

JR: In my opinion, yes, of course it is. Have you looked at it? They’ve changed their accounting several times in the past few decades. When housing was 20% to 25% of the CPI and housing was going up, they didn’t count it, saying rents weren’t going up, and then when home prices started going down, they counted it. It’s the same with many things. It’s staggering some of the tortuous reasoning that the BLS has used over the past 25 or 30 years. When the price of gasoline goes up, they say it’s not really going up because it’s better gasoline, better quality, therefore you’re getting more for your money. I mean, it’s endless, the stuff that they say and for some reason people sit there, although more and more people are catching on, and accept what the government says.

source: www.clusterstock.com

Quote of the Week

"The primary function of a Central Bank is to engage in the massive transfer of wealth from the middle class to the wealthy elite. The Federal Reserve was set up to do this with the blessing and support of Congress." - Dave in Denver

If you refuse to believe the above, please read "The Creature From Jekyll Island: A Second Look at the Federal Reserve" by G. Edward Griffin and then explain to me why the Senate voted down the Vitter Amendment and Congress refuses to pass a law requiring a full audit of the Fed, even though the Fed is using taxpayer-backed money to bailout Wall Street and Europe.