Financial Toxic Waste Continues to Unravel. Loan Assets “Created Out of Thin Air”

Thursday, October 7, 2010
By Paul Martin

The Circumvention of Basel Accord Capital

by Matthias Chang
Global Research
October 6, 2010

DEBTCON-1 (as in DEFCON-1, the highest level of the alarm system for impending military threats/crisis) have been triggered, but the FED, global central banks and regulatory authorities are still in deep denial and treat the ongoing global financial crisis as still in the state of DEBTCON-5 (i.e. DEFCON-5, the lowest threat alert).

Before reading this article, I would like to invite you to revisit my three previous articles posted to my website, FutureFastforward.com, [1] namely:

1) Too Big To Fail Banks Will Collapse Between Now and First Quarter of 2011;

2) Basel III: The Iron Clad Confirmation That Global Banks At The Edge of The Precipice; and

3) BISTRO: Bank of International Settlements Total Rip Off.

The above three articles provide the necessary background and explanations to the issues discussed in this article.

The third article, BISTRO, exposed the banking scam of circumventing the Basel Accords’ capital / asset ratios. This is only one side of the coin. To fully appreciate the global derivative casino scam, we must examine and understand the other side of the coin – how loan assets are created out of thin air, bundled and securitised and transformed into gambling bets.

The recent announcement by JP Morgan to suspend foreclosures, as much as 56,000 pending foreclosures and that Bank of America will put foreclosures on hold in 23 states, is the inevitable result of this scam – the biggest financial fraud in history.

The Rest…HERE

Leave a Reply