Thursday, December 8, 2011

New Jersey's Loss is MF Global's Loss

That darn Chris Christie. Had he not knocked Jon Corzine out of the Governor's mansion, the investors would be $1.2 billion richer.

I am hesitant to comment on any financial scandal for a couple of reasons. One, the public and the press cannot distinguish between fraud and violation of SEC regulations. Two, the press and the public cannot distinguish between fraud and violation of laws of extremely dubious merit. The broad brush of financial scandal is applied with vigor. And of course, the public relations machines are prepared to grind their political axes even before the scandal materializes. The Corzine hearings commence and immediately a Democrat (Peterson from Minnesota) bandstands for Dodd/Frank. The 2008 fiasco had not even materialized when the press had blamed a mythical deregulation that unfortunately, never took place.

So it is with caution that I bash Jon Corzine. But make no mistake about it: If a firm misplaces their client's funds, that firm is guilty of either negligence or fraud. No exceptions. If one can account for a client's loss, one is guilty of ineptitude. You are not assigned a dunce cap, not orange coveralls. Conversely, if you cannot account for a client's funds you might still be assigned a dunce cap but you might also be deemed a threat to society.

To summarize:

Insider trading does not equal fraud.

Parking stocks does not equal fraud.

Losing a client's funds through unwise investments does not equal fraud.

Losing--as in to lose track of or account of--a client's funds is either fraud or gross negligence. No exceptions.

If an investment firm cannot account for one cent of a client's funds, corrective action is required. Accounting perfection is the industry standard. MF Global cannot account for $1.2 billion. This folks, is a genuine scandal!

Jon Corzine will be remembered as either a doofus, a crook or both. The silver lining to this sordid tale is that the good people of New Jersey now have a governor with integrity. MF Global clients are not so fortunate.

Generic Republican Now Leads Obama By Eight Points.

This according to Rasmussen. No, I am not linking you to the most accurate pollster in America, the king of all polling, the man who transformer a bogus industry into a field now dotted with oracles. you should already be linked to Rasmussen.

Now, if we can just get Mr. Generic to step forward...

Tuesday, December 6, 2011

We Had No Idea How Bad The Problem Was or The Inherited Mess Fairy Tale

I won't go into the minutia that prompted this blurb but it still blows my mind that three years after the presidential election, we are still hearing fairy tales about The Anointed One. The Inherited Mess Fairy Tale is easily so easily discredited but pundits rarely bother to do so. The Dems took contro of both Houses of Congress in 2006. From 2007 to 2009 Bush was declawed, defanged and constantly defamed. The Dems were given the reins. Bush was given the blame. Nice deal if you can get it.

The fable continues. Shortly after inauguration Barack and his advisors were given access to the sacred ledger that George Bush hid away under his bed in the White House. Only then could the magi make an informed decision.

Cut the crap! Here comes a reality check.

1. Barack Obama was elected to the Senate in 2004.

2. The Dems took control of both houses in 2006.

3. As such, Obama did not "inherit" anything. He was a co-creator of whatever happened to the USA from January 2005 until January 2009. US Senators wield a great deal of power (with little or no accountability in Obama's case.)

4. President Obama was not privy to financial information unavailable to Senator Obama. Nada. US Senators are not just allowed to look at the books, they are the ones who "write" the books. If President Obama faced any surprises, it was only because Senator Obama was not paying attention. No other explanations are credible.

Still, we have one more Poor Barack tale that just will not go away. Poor, Poor Barack. Thirty years from now the loyalists will still recite this fairy tale.

Sunday, December 4, 2011

Is George Soros Behind The Ongoing Attacks On Peter Schiff?

Wonder what George Soros' Open Society Funds? Here is a nice overview.

Certain characteristics run through Soros' creations like thread through a tapestry.

1. Astroturf surface: Open Society does want to reveal itself as an 800 pound octopus. They fund smaller organizations that try real, real hard to look like a warm and cuddly grass roots organization.

2. Routine misinformation. We examined the Robert Reich falsehoods advanced by in a previous post. That is par for the course with most things Soros.

3. A high degree of personal attacks, insults and character assassination. The Left applies the Alinsky Model routinely because the facts are rarely on their side. Thus, they cannot argue substance. Attack. Attack. Attack. Truth be damned.

Do the ongoing series of attacks on Peter Schiff lead back to George Soros? I don't know. There is no smoking gun but there is definitely some astroturf getting installed. The following youtube site is called the SchittReport in honor of TheSchiffReport.

The site posts dozens upon dozens of videos bashing Peter Schiff. Under "Other Channels" they list SchiffNemesis that has uploaded 10 videos. They also list AntiSchiff, a channel with 120 uploads and "The Schitt Report Too" that has uploaded 60 videos.

The channels pretend to be run by individuals but this seems to be a group effort. A lot of similar "style" is consistent throughout the channels. Their collective output suggests a group effort. Most lefties are, what is the right term? Willfully blind? Deliberately ignorant? Most of the OWS crowd have no idea who Peter Schiff is and they don't care to be enlightened.

It is suspicious that unrelated individuals who have no political agenda comb through every word of Peter Schiff, as well as every word of anyone who disagrees with Peter Schiff, spend a hell of a lot of time splicing and producing youtube videos loaded with off the shelf insults that do not necessarily fit the subject at hand and they do it all for recreational purposes. Something is wrong with the picture.