Todays winning swindle: West Virginia.

“Step right up folks and see the amazing swindles, it only costs a dollar and there’s a new sucker born every week. Watch how Wall Street rigs bids from local governments the same way they con the big boys on Capital Hill.

It’s amazing folks, and it only costs a buck to witness how derivatives take down your city’s utility company the same way they crashed the world’s economy – so the banksters could engineer the amazing world wide BAILOUT … so step right up, no need to push, there’s room for EVERYBODY …”

This original article was posted in October of 2009. But every week a new municiple debt swindle shows up. As more and more Wall Street losses on municipal debt are exposed, I will update them here. 

New taxes, fees and fines, higher utility and fuel costs, reduced services and a lower standard of living are headed your way, to repay the dishonest winnings of the derivative finance peddlers and to fund their record-breaking bonuses, in: Pennsylvania, Detroit, New Mexico, Atlanta, Oregon, California, Connecticut and Ohio, New Jersey… and Oregon II.

This article by Bloomberg, touches upon a few of the known derivative swindles which have come to the surface in State, County and City finance, all the result of the FED’s strategy to eliminate the interest earning power of the dollar, and turn it into the big driver of derivative speculation–the big profit swindle of the derivatives payout game. Collectively, the Fed and it’s global Casino’s “hooked” municiple fund manager’s all over the world into the “smart” money of derivative swaps and similar scams. 

Such financial mistakes in the $2.8 trillion municipal bond market, are costing U.S. taxpayers as much as $6 billion a year…

But, as with any eventual sting, the smart money ”player” doesn’t look or feel too smart after the scheme collapses and the payouts begin. Thanks to the FED, and it’s deregulated member casinos, the concept of “banks” as responsible stewards of the public trust hardly exists anymore (due in part to the repeal of Glass Steagall) except in the case of smaller regional or local operations.

But I seriously doubt that you’ll find any such derivative swindles tainting the management of State, County or Municiple funds in North Dakota, because that State made a committment to keep such predators from crossing its borders nearly 100 years ago.

As such, the Bank of North Dakota remains the sole, and last true bank in America, in the sense that it is modeled upon the Constitutional principle of Sovereign Credit, AND in that it truly places public service above profit. The Bank of North Dakota’s charter precedes Glass Steagall, and the bank fully, voluntarily, meets the test of separation of banking from speculation (even though the act was repealed many years ago).

As far as our American Constitution is concerned, the Bank of North Dakota embodies the concept of Sovereign Credit implicit in the Consitituton, even as our Constitution appears to be under repeal–though our Federal government has not yet formally announced how and when such an official rebuke is to take place.

Noted economists, historians, public officials and journalists have repeatedly called for a return to Glass Steagall, sorely needed to begin the long struggle back toward fiscal competency, but it is important to recognize that any existing, or newly proposed, Bank can voluntarily abide by Glass Steagall without an enforced regulatory mandate. 

The proposed Bank of Florida, for example, will follow the rule of law implicit both in the United States Constitution, and in the later, remedial measures of Glass Steagall (imposed following the first American Depression due to the same type of speculative risk, asset bubble collapse and credit contraction we see today).

That first Depression, as should become apparent with each new day’s job destruction and the massive shifting of monetized wealth to pay off the speculative claims of the Empire’s “book” of swindles, no longer fits the title of “Great Depression”. 

In fact, the sheer volume of toxic debt and systemic risk, as it sits upon the books of today’s insolvent international casinos is so much greater in proportion to the world’s population and the sum total of all the world’s productive economic capacity, as to make the first Depression appear as a minor blip on the radar of all future graphs and charts that will attempt to explain how civilization as we knew it, almost came to an end — or did come to an end, depending upon measures that either take place or not, in the very near term.

Will real banks start popping up in America to save the day? Or will more profiligate Casino’s open their doors, with an implied license to game the economy implicit in their charter under the guise of “banking”. Your State, and ultimately YOU may decide that fate.

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