Madoff – Hiding the Real Fraud


Armstrong Economics Blog/Conspiracy Re-Posted Jan 17, 2023 by Martin Armstrong

COMMENT: I know you saved Mercedes making back their $1 billion lost all because they listened to the fake news about how the pound and the dollar would crumble in the face of the euro. I read the 2011 Barron’s article on your forecast. It was OK to publish that when they thought you would be wrong. Where is the follow-up when you proved to be the only one who was correct? The same can be said of the New York Times and especially Bloomberg. It is obvious that they will not report on the success of your forecasts because they are leading society at the direction of the Deep State.

Keep up the good work. We need someone independent in this time of darkening clouds.

JWN

REPLY: Let me explain something. All the hype about Bernie Madoff is also FAKE NEWS. On December 10th, 2008, Madoff’s sons Mark and Andrew covered themselves most likely at their father’s direction, and told authorities that their father had confessed to them that the asset management unit of his firm was a massive Ponzi scheme. They even supposedly told them it was “one big lie”. The next day, agents from the FBI arrested Madoff and charged him with one count of securities fraud. There was no possible way the FBI would arrest someone like that without an independent investigation.

The Securities and Exchange Commission had previously conducted numerous investigations into his business practices. Vere did ANY audit uncover such a massive fraud. It was then on March 12th, 2009, when Bernie Madoff simply pleaded guilty to 11 federal felonies and admitted to turning his wealth management business into a massive Ponzi scheme. He was not even indicted. He pled simply to what is known as an “information” so nothing was even presented to a grand jury. That is UNPRECEDENTED!

The banks all claimed that they had “no idea.” Before he died, Madoff did an interview where the headline was that the Banks had to have known. There is ABSOLUTELY no way that the banks were NOT involved or had no idea.  That is legally impossible. As a client of a bank of that size especially, the bank must fill its files with KNOWN YOUR CLIENT rules.

In my case, we had companies set up for each note in Turks & Caicos. The bank actually sent someone down there to audit the legal structure behind every account. There is simply no way a bank can even claim it had no idea. That was a serious RED FLAG that the Madoff case was not what it appeared.

Everyone just skipped over the fact that the SEC conducted multiple audits and found nothing. That included looking at bank accounts and positions on hand. That did NOT add up to a PONZI scheme where you are taking money from one person to pay another which is the actual structure of Social Security. The current generation’s contributions are tasked to pay the previous generation.

Add to that, HSBC, which has been itself indicted for money laundering more than once, stood out as the largest “victim” of Madoff’s scheme – $1.5 billion. HSBC pays countless fines for every scandal they seem to be in the middle of.

In my case, the Bank said they had no idea where the money was after they stole it. How does $1 billion leave a bank without a withdrawal of some sort? Had it not been for my clients standing with me and doing what I told them to do and then sued HSBC, they would have gotten nothing, the government would have claimed I lost it all and the ban was not responsible. The government then put a gag order on me to stop me from helping my clients against the bank! If the bank was not trying to take my client’s money to cover their losses in Russia, then why put a gag order on me if the bank did not do anything wrong?

Then to hide my profits, the receiver handed the notes we issued to HSBC for them to redeem for $606 million pocketing $400 million profit stolen from my company. A former employee bumped into a former HSBC official and he asked what the hell went on. The bankers bluntly told him, the deal offered by the government was too good to pass up. When I asked a NY lawyer why no banker ever is charged or goes to jail, he laughed and said: “You don’t shit where you eat!”

Remember the 1995 collapse of the British Barings Bank because of a “rogue” trader? Nicholas William Leeson was an English former derivatives trader whose claimed fraudulent, “unauthorized and speculative trades” resulted in the 1995 collapse of Barings Bank, the United Kingdom’s oldest merchant bank. Leeson was convicted of financial crime in Singapore court and served over four years in Changi Prison. At the time, I owned a Brokerage House I was asked to bail out by the Japanese government. At our Hong Kong office, Barings wanted to open an account to trade with Leeson in charge.

I knew the corruption of the banks and if the trade went wrong, they would claim he was not authorized. That was the standard operational procedure. Knowing the inside of the industry out, I insisted on a letter from the Board of Directions expressly laying out the credit line for Leeson they requested from my company. I got the letter. So when Leeson supposedly went belly up, guess what. I was quietly paid when everyone else it was said Leeson was a rogue trader.

The New York Post journalist Isabel Vincent who wrote Gilded Lilly, the wife of Edmond Safra, had called me and asked that since I had said that Republic National Bank, Edmond Safra’s, had been illegally trading in my accounts, did I think they were laundering money for the Russian mafia “as they were doing in Madoff’s?” I said I did not know. All I could tell was there were countless errors constantly being put into my accounts and then backed out. At first, I assumed they were “parking trades” in my accounts to use my cash for their margin. Of course, if the “error” was backed out to a different account, they indeed, they were engaging in money laundering.

The court-appointed forensic accountant even wrote to the court about the unprecedented errors in the accounts. The government refused to provide account information to allow them to audit what was going on. The court-appointed counsel, David Cooper, I believe was doing everything he could to help the government cover everything up. The forensic accountant then sent letters to the Judge, and he took no action.

You now have the FTX scandal. You will see that there will NEVER be a trial that would expose all the money laundering where the Democrats had Zelensky, which supposedly needed money to defend his country and fee starving Ukrainians, hand the money to FTX who then happened to be the #2 donor to the Democrats for the midterms. Guess what! Sam Bankman-Fried was charged in the most corrupt court in the nation – the Southern District of New York. The Court of Appeals admitted on page 97 of US v Ziccehtello, that judges are altering transcripts and changing the very words spoken in court.  That is 20 years in prison if you or I alter court documents. They do it all the time. When I confronted Judge Richard Owen about this practice, so many people showed up in court to see what would happen. The lawyers said you can’t accuse a federal judge of committing a crime. I said you all say they do it. They responded. Yes, but you cannot accuse them of doing it. The judge got scared and admitted it in public but claim it wasn’t material.

All the press was there AP, New York Times, Bloomberg, NT Post, you name it. NOT a single member of the press reported what took place that day. OMG! Exposing the federal courts corruption? Impossible!

If a case is a high profile, you will NEVER see the truth in the media.

A First Amendment Issue Beyond Belief


Armstrong Economics Blog/Rule of Law Re-Posted Dec 8, 2022 by Martin Armstrong

You have to understand that we actually have ZERO rights. The Constitution is NEGATIVE meaning it is actually a restraint upon the GOVERNMENT rather than a positive list of rights that we have. That is how the media and social media have been violating the principles of free speech we thought we had. That is why any private platform can do whatever it wants because we have no actual right to freedom of speech – only that the government SHALL NOT restrict our speech.

This introduced what I believe will be an explosive issue in 2023. Already the Emails between an employee at the United States (US) Centers for Disease Control and Prevention (CDC) and Twitter have revealed that at least one CDC staff member and the US Census Bureau had access to Twitter’s dedicated “Partner Support Portal” which allows approved government partners to flag content to Twitter for censorship. New Zealand has already admitted to having access to Twitter in the same manner to censor speech.

This is a MONUMENTAL event for linking the government to the backdoor of Twitter means that the government has violated the First Amendment right to Free Speech and that then becomes actionable. It will not be long before we see class-action lawsuits and this is not excusable under Sovereign Immunity for this is DELIBERATE. The emails that have been released by the nonprofit organization America First Legal show that Twitter was enrolling a CDC employee into this portal through their personal account in May 2021 (pages 182-194).

Then we have the Missouri v. Biden case which has the potential to become perhaps the most important civil liberties case of 2023 and may rise to that of decades. The case was brought by Missouri and Louisiana, along with other individual plaintiffs and it asks the court to bar the government from colluding with social media companies to limit free speech. Now even Jen Psaki will be deposed.

We are on the verge of cracking open the entire corruption of government insofar as their deliberate acts to skirt the First Amendment by pretending that it is the private sector that is engaging in the Cancel Culture – not at the direction of the government. There is enough ammunition here to possibly blow a hole in this entire Cancel Culture. The problem will be getting the press to report the truth when they are the very people who have conspired with the government to circumvent the First Amendment.

We may be looking at the very beginning of the collapse in confidence long-term, which is what 2032 is all about.

Steve Scalise reacts to Twitter censorship of Hunter Biden


Ainsley Earhardt Published originally on Rumble on December 6, 2022

Steve Scalise reacts to Twitter censorship of Hunter Biden: ‘Going to get exposed’

HHS & Children Sex Trafficing?


Armstrong Economics Blog/Gov’t Incompetence Re-Posted Dec 3, 2022 by Martin Armstrong

Well, Conspiracy No More – Leaked DHS Documents Show Portal Connections Where Govt Officials Backchannel Instructions to Social Media Engineers and Conduct Surveillance


Posted originally on the conservative tree house on October 31, 2022 | sundance

Before getting to the latest revelation/evidence which affirms CTH research for multiple years, let me just remind everyone of the commonsense aspect.  If the Dept of Homeland Security (DHS) was actually doing what I have long said it appeared they were doing, then…

…The databases of the identified social media platforms appear to be integrated with the U.S. intelligence system.  This relationship makes the U.S government a stakeholder in the financial sustainability of the enterprise(s).  Thus, a collaborative effort to financially subsidize the underlying data processing fits the mutual benefit scenario.  ~ Sundance

DHS gets domestic surveillance tools under the guise of ‘national security’.  Meanwhile, massive social media companies get financial offsets for the extreme data processing costs associated with millions of simultaneous users.  That’s the mutual benefit behind “Jack’s Magic Coffee Shop.”  Previously people called it a ‘conspiracy theory‘, I didn’t care, still don’t, it just makes the most sense; Occam’s Razor applies.

Today, all that was almost certain is now brought forth with buckets of evidence showing how social media enterprises have direct portals to DHS to transmit information and receive instructions. It’s a public-private partnership, just like it always appeared.  To quote succinctly, we been knew.

Now before getting all giddy and excited about the documents leaked to The Intercept, proving what CTH has outlined for years, allow me to temper the thirst for immediate I toldyaso’s,   Slow your roll…

Remind yourself when everyone was giddy about getting to see for the first time in history a released ‘top secret’ Title-1 FISA application (Carter Page) and how everyone rushed to review and discuss it without asking the first question(s) first.  We know these are bad actors, so why was it released and who released it?

The same applies here.  We know the change of ownership within Twitter might pose a threat to discovery of government conduct that has taken place inside the enterprise under prior management.  So why is the DHS connection to Twitter, Facebook, Instagram, YouTube etc. and social media being revealed now?  What are their motives, and who is leaking it?  We do not yet know.

As to what is being revealed in the leak, it’s a remarkable affirmation of how the Fourth Branch of Government operates.  Specifically, what CTH has outlined for years about the use of the Dept of Homeland Security, as a political surveillance weapon under the justification of national security.

[The Intercept] – […] Behind closed doors, and through pressure on private platforms, the U.S. government has used its power to try to shape online discourse. According to meeting minutes and other records appended to a lawsuit filed by Missouri Attorney General Eric Schmitt, a Republican who is also running for Senate, discussions have ranged from the scale and scope of government intervention in online discourse to the mechanics of streamlining takedown requests for false or intentionally misleading information.

“Platforms have got to get comfortable with gov’t. It’s really interesting how hesitant they remain,” Microsoft executive Matt Masterson, a former DHS official, texted Jen Easterly, a DHS director, in February.

In a March meeting, Laura Dehmlow, an FBI official, warned that the threat of subversive information on social media could undermine support for the U.S. government. Dehmlow, according to notes of the discussion attended by senior executives from Twitter and JPMorgan Chase, stressed that “we need a media infrastructure that is held accountable.”

“We do not coordinate with other entities when making content moderation decisions, and we independently evaluate content in line with the Twitter Rules,” a spokesperson for Twitter wrote in a statement to The Intercept.

There is also a formalized process for government officials to directly flag content on Facebook or Instagram and request that it be throttled or suppressed through a special Facebook portal that requires a government or law enforcement email to use. At the time of writing, the “content request system” at facebook.com/xtakedowns/login is still live. DHS and Meta, the parent company of Facebook, did not respond to a request for comment. The FBI declined to comment.

[…]  The extent to which the DHS initiatives affect Americans’ daily social feeds is unclear. During the 2020 election, the government flagged numerous posts as suspicious, many of which were then taken down, documents cited in the Missouri attorney general’s lawsuit disclosed. And a 2021 report by the Election Integrity Partnership at Stanford University found that of nearly 4,800 flagged items, technology platforms took action on 35 percent — either removing, labeling, or soft-blocking speech, meaning the users were only able to view content after bypassing a warning screen. The research was done “in consultation with CISA,” the Cybersecurity and Infrastructure Security Agency.

Prior to the 2020 election, tech companies including Twitter, Facebook, Reddit, Discord, Wikipedia, Microsoft, LinkedIn, and Verizon Media met on a monthly basis with the FBI, CISA, and other government representatives. According to NBC News, the meetings were part of an initiative, still ongoing, between the private sector and government to discuss how firms would handle misinformation during the election. (keep reading)

Essentially, the nub of the issue related to the U.S. government telling social media what to remove from the public discussion and what types of information they want monitored.  The social media companies and DHS have a portal between them [EXAMPLE HERE] where these discussions take place.

While there are no specific details as to the human targets of the censoring information, you would have to be obtuse in the extreme not to accept that Donald Trump’s removal from Twitter was one of the larger targeting operations as an outcome of alignment between the activist officials on Twitter and the political officials within the U.S. government [ie. the Fourth Branch].

[…] Intelligence agencies backed new startups designed to monitor the vast flow of information across social networks to better understand emerging narratives and risks.

There it is.

Does anyone need to be beaten with a hammer to accept that “intelligence agencies” funded new subsidiary private sector monitoring networks?

Backed new startups“?  If the U.S. government is going to pay new private sector startup companies to help the intelligence community with social media surveillance, why wouldn’t the same agencies pay to retain the originating system and data processing that establishes the baseline of the data being reviewed?   Please apply common sense.

[…] “The Department has not been fully reauthorized since its inception over fifteen years ago,” the Senate Homeland Security Committee warned in 2018. “As the threat landscape continues to evolve, the Department adjusted its organization and activities to address emerging threats and protect the U.S. homeland. This evolution of the Department’s duties and organization, including the structure and operations of the DHS Headquarters, has never been codified in statute.”

The subsequent military defeat of ISIS forces in Syria and Iraq, along with the withdrawal from Afghanistan, left the homeland security apparatus without a target. Meanwhile, a new threat entered the discourse. The allegation that Russian agents had seeded disinformation on Facebook that tipped the 2016 election toward Donald Trump resulted in the FBI forming the Foreign Influence Task Force, a team devoted to preventing foreign meddling in American elections.

According to DHS meeting minutes from March, the FBI’s Foreign Influence Task Force this year includes 80 individuals focused on curbing “subversive data utilized to drive a wedge between the populace and the government.”

“The Department will spearhead initiatives to raise awareness of disinformation campaigns targeting communities in the United States, providing citizens the tools necessary to identify and halt the spread of information operations intended to promote radicalization to violent extremism or mobilization to violence,” DHS Acting Secretary Kevin McAleenan said in a September 2019 strategic framework.  (read more)

I cannot emphasize the importance of the connections enough.

Surveillance of domestic communication, to include surveillance of all social media platforms, is now the primary mission of DHS.

The information is gathered by social media, funneled by direct portals into the DHS network then distributed to DOJ-NSD and FBI officials as well as the Office of the Director of National Intelligence.   This communication surveillance network is what DHS, created as an outcome of the Patriot Act, is all about.

The four pillars of the Fourth Branch of Government are: DHS, ODNI, DOJ-NSD and the revised/political FBI.  All four pillars were created as an outcome of the Patriot Act. These institutions – as specifically named – represent the domestic surveillance state.  The subsidiary institutions like TSA etc, exist under their authority.  There is no oversight or counterbalance to this system.  The Fourth Branch exists using the shield of “national intelligence” to hide their activity.   Domestic surveillance is done by the intelligence apparatus under one big connected system, operated by the ODNI and DHS.

New York Post – Facebook has been spying on the private messages and data of American users and reporting them to the FBI if they express anti-government or anti-authority sentiments — or question the 2020 election — according to sources within the Department of Justice.

Under the FBI collaboration operation, somebody at Facebook red-flagged these supposedly subversive private messages over the past 19 months and transmitted them in redacted form to the domestic terrorism operational unit at FBI headquarters in Washington, DC, without a subpoena.

“It was done outside the legal process and without probable cause,” alleged one of the sources, who spoke on condition of ­anonymity.

“Facebook provides the FBI with private conversations which are protected by the First Amendment without any subpoena.”

These private messages then have been farmed out as “leads” to FBI field offices around the country, which subsequently requested subpoenas from the partner US Attorney’s Office in their district to officially obtain the private conversations that Facebook already had shown them. (read more)

None of this should be surprising to anyone who has been reading our research about the domestic intelligence apparatus and their connections to the Big Tech platforms.  The largest social media networks are fully compromised by this relationship, and that is exactly why the legislative branch has not done anything to impede (ie. break up) the tech monopoly system that was created.

♦ EXAMPLEJack’s Magic Coffee Shop (Twitter), essentially a global and public commenting system, could not feasibly exist without the support of the U.S. government providing extreme scale data-processing.  Also, specifically because the platform is in a symbiotic relationship with the intelligence apparatus, the IC itself has contracted people working within the platform.

The whole system was admitted in a 2021 Reuters article outlining the networks and their surveillance relationship with DHS.

We have been trying to hammer this issue for a long time, because at the end of this continuum people will eventually be given digital identities.  It’s just the natural outcome if you follow the arc of how this is operating.  Once a digital ID is established, all of your activity is then connected to it and a digital currency system emerges.

♦ 2021, Public-Private Partnership – The modern Fourth Branch of Government is only possible because of a Public-Private partnership with the intelligence apparatus. You do not have to take my word for it, the partnership is so brazen they have made public admissions.

The biggest names in Big Tech announced in June their partnership with the Five Eyes intelligence network, ultimately controlled by the NSA, to: (1) monitor all activity in their platforms; (2) identify extremist content; (3) look for expressions of Domestic Violent Extremism (DVE); and then, (4) put the content details into a database where the Five Eyes intelligence agencies (U.K., U.S., Australia, Canada, New Zealand) can access it.

Facebook, Twitter, Google and Microsoft are all partnering with the intelligence apparatus. It might be difficult to fathom how openly they admit this, but they do. Look at this sentence in the press release (emphasis mine):

[…] “The Group will use lists from intelligence-sharing group Five Eyes adding URLs and PDFs from more groups, including the Proud Boys, the Three Percenters and neo-Nazis.”

Think about that sentence structure very carefully. They are “adding to” the preexisting list…. admitting the group (aka Big Tech) already have access to the the intelligence-sharing database… and also admitting there is a preexisting list created by the Five Eyes consortium.

Obviously, who and what is defined as “extremist content” will be determined by the Big Tech insiders themselves. This provides a gateway, another plausible deniability aspect, to cover the Intelligence Branch from any oversight.

When the Intelligence Branch within government wants to conduct surveillance and monitor American citizens, they run up against problems due to the Constitution of the United States. They get around those legal limitations by sub-contracting the intelligence gathering, the actual data-mining, and allowing outside parties (contractors) to have access to the central database.

The government cannot conduct electronic searches (4th amendment issue) without a warrant; however, private individuals can search and report back as long as they have access. What is being admitted is exactly that preexisting partnership. The difference is that Big Tech will flag the content from within their platforms, and now a secondary database filled with the extracted information will be provided openly for the Intelligence Branch to exploit.

The volume of metadata captured by the NSA has always been a problem because of the filters needed to make the targeting useful. There is a lot of noise in collecting all data that makes the parts you really want to identify more difficult to capture. This new admission puts a new massive filtration system in the metadata that circumvents any privacy protections for individuals.

Previously, the Intelligence Branch worked around the constitutional and unlawful search issue by using resources that were not in the United States. A domestic U.S. agency, working on behalf of the U.S. government, cannot listen on your calls without a warrant. However, if the U.S. agency sub-contracts to say a Canadian group, or foreign ally, the privacy invasion is no longer legally restricted by U.S. law.

What was announced in June 2021 is an alarming admission of a prior relationship along with open intent to define their domestic political opposition as extremists.

July 26, 2021, (Reuters) – A counterterrorism organization formed by some of the biggest U.S. tech companies including Facebook (FB.O) and Microsoft (MSFT.O) is significantly expanding the types of extremist content shared between firms in a key database, aiming to crack down on material from white supremacists and far-right militias, the group told Reuters.

Until now, the Global Internet Forum to Counter Terrorism’s (GIFCT) database has focused on videos and images from terrorist groups on a United Nations list and so has largely consisted of content from Islamist extremist organizations such as Islamic State, al Qaeda and the Taliban.

Over the next few months, the group will add attacker manifestos – often shared by sympathizers after white supremacist violence – and other publications and links flagged by U.N. initiative Tech Against Terrorism. It will use lists from intelligence-sharing group Five Eyes, adding URLs and PDFs from more groups, including the Proud Boys, the Three Percenters and neo-Nazis.

The firms, which include Twitter (TWTR.N) and Alphabet Inc’s (GOOGL.O) YouTube, share “hashes,” unique numerical representations of original pieces of content that have been removed from their services. Other platforms use these to identify the same content on their own sites in order to review or remove it. (read more)

The influence of the Intelligence Branch now reaches into our lives, our personal lives. In the decades before 9/11/01 the intelligence apparatus intersected with government, influenced government, and undoubtedly controlled many institutions with it. The legislative oversight function was weak and growing weaker, but it still existed and could have been used to keep the IC in check. However, after the events of 9/11/01, the short-sighted legislative reactions opened the door to allow the surveillance state to weaponize.

After the Patriot Act was triggered, not coincidentally only six weeks after 9/11, a slow and dangerous fuse was lit that ends with the intelligence apparatus being granted a massive amount of power. The problem with assembled power is always what happens when a Machiavellian network takes control over that power and begins the process to weaponize the tools for their own malicious benefit. That is exactly what the installation of Barack Obama was all about.

The Obama network took pre-assembled intelligence weapons we should never have allowed to be created and turned those weapons into tools for his radical and fundamental change. The target was the essential fabric of our nation. Ultimately, this corrupt political process gave power to create the Fourth Branch of Government, the Intelligence Branch. From that perspective Obama’s “fundamental change” was successful.

It’s all Connected FolksSEE HERE

US Schools Have Worst Test Scores Ever!


jeffahern Published originally on Rumble on October 26, 2022 

The worst math scores ever and the worst reading scores in 30 years. Liberal’s gift to you.

Report, Twitter Employees Draft Letter Demanding Assurances Against Discrimination for Their Political Beliefs


Posted originally on the conservative tree house on October 26, 2022 | Sundance

According to a released article in Time Magazine, Twitter employees have drafted a letter containing several ‘demands.’ In addition to demanding they are not fired, they demand assurances against discrimination for their political beliefs.

(TIME) […] TIME reviewed a draft of the open letter circulating among Twitter employees on Monday. “Elon Musk’s plan to lay off 75% of Twitter workers will hurt Twitter’s ability to serve the public conversation,” said the draft of the letter, which has not yet been published. “A threat of this magnitude is reckless, undermines our users’ and customers’ trust in our platform, and is a transparent act of worker intimidation.”

The letter demands that Musk commits to preserving Twitter’s current headcount if his takeover of the company goes through. It also demands he does not discriminate against employees based on their political beliefs and that he commits to “fair” severance policies and more communication about working conditions. “We demand to be treated with dignity, and to not be treated as mere pawns in a game played by billionaires,” the list of demands says. (read letter here)