Armstrong Economics Blog/Corruption
Re-Posted Sep 28, 2020 by Martin Armstrong
Nevertheless, this document has cast new light on the Bidens’ suspicious business dealings. Democrats will never be moved by this any more than they were with Hillary’s brother getting a mining contract in Hati when he was not a miner.
The level of corruption in Washington with family members hauling in millions has been standard operating procedure. It’s more than a swamp — it’s an ocean. Die-hard voters never seem to care.
[Minneapolis–Sept. 27, 2020] Project Veritas investigators revealed a ballot harvesting scheme here involving clan and political allies and associates of Rep. Ilhan Omar (D.-Minn.) in the first of a series of reports.
[…] Central to the Project Veritas investigation was Omar Jamal, a political insider active in the city’s Somali community. Jamal works with the Ramsey County Sheriff Department and is the chairman of the Somali Watchdog Group. “I have been involved in the community for the last 20 years.” (read more)
Once again the New York Times attempts to make an issue out of President Trump’s real estate holdings working as a tax shelter and reducing income taxes.
In the article the Times completely obfuscates the way income taxes are strategically offset by depreciation, mortgage interest and the entire reason why real estate ownership is viewed as a business.
John Carney writing for Breitbart gets it:
[…] So imagine our guy took out an $8 million mortgage at five percent, paying $2 million cash. Now he’s got to pay $400,000 in mortgage payments. He wants to make at least that much so he charges tenants an aggregate of $425,000, which after upkeep comes out to $410,000 of net income. (Remember, if the bank didn’t think he could make more in rent than the mortgage payment, it probably wouldn’t have lent him the money.) The interest payment on the loan–let’s call it $390,000–is deductible from his income, leaving him with $20,000 in net income. He gets to keep that and pay no taxes on it, however, because he still gets to apply the $370,000 depreciation charge. He tells the IRS he lost $350,000.
Under our tax code, ordinary business expenses can be deducted in the year they are incurred. But when a business pays for a long-lasting item expected to produce income–like machinery, vehicles, or an apartment building–it is considered a capital investment. Instead of getting to write-off the cost all at once, the business is required to write it off over the course of decades. After the 1986 tax code, this was set at 27.5 years for residential real estate. (more)
Anyone who has ever operated a business knows that offsetting income is one of the primary reasons to be self-employed. Additionally, the Times completely skips over the tens-of-millions in payroll taxes paid by the Trump organization and tens-of-millions in property and sales taxes paid by all of the various Trump properties.
In the commercial real estate market it is common sense to offset income tax liabilities with a host of valid annual expenses, long-term capital depreciation and mortgage interest payments. With over 500 individual business entities within the Trump organization the ability to offset income in one asset with expenses in another is simply good accounting.
Additionally, President Trump donates his $400,000 government salary back to the U.S. government. So to accuse President Trump of only paying $750 in income taxes totally ignores all of the other donations and tax payments he makes.
In practical terms no President before Trump has ever had his actual business portfolio so deeply connected to the success of the American economy. It doesn’t cost the American taxpayer a dime to have President Trump in office…. Now let’s figure out how DC politicians making $200k/yr are able to become multi-millionaires while holding office.
Chairman of the Homeland Security Committee, Senator Ron Johnson, is fired up in this interview with Maria Bartiromo. Senator Johnson starts by outlining the documents and evidence of Hunter Biden corrupt activity the media refuse to cover…… and then Johnson goes full wolverine on FBI Director Christopher Wray for concealing evidence.
A few notes. While Johnson’s frustration is righteous, his committee staff did not appear to have a grasp on the majority of evidence that existed prior to mid-2020. That said, we all know FBI Director Wray is part of the ‘resistance’; that’s the reason why AG Barr had to fire FBI legal counsel Dana Boente when Chris Wray refused to do so.
Secondly, something to contemplate -specifically for those who understand how DC information is selectively controlled- there is no better person to deliver the ‘spygate’ gut punch than Maria Bartiromo. Question those “sources” and we might just locate some sketchy narrative engineers presenting themselves as ‘friends’ of the truth.
Senate Judiciary Chairman Lindsey Graham appears on Sunday Morning Futures to discuss the latest DC events surrounding senate investigations and the confirmation process for Supreme Court nominee Judge Amy Coney Barrett. Senate Judiciary hearings begin October 12th, committee nomination likely October 22nd to Mitch McConnell.
As an outcome of his own can-kicking and ‘over-promise/under-deliver’ disappointments Senator Graham has diminished support from the republican base in South Carolina. As a direct result, Graham uses this appearance to request money for his own reelection effort.
The document production by USAO Jeff Jensen to Michael Flynn attorney, Sidney Powell, provides an opportunity for me to share a detached research opinion from my ongoing time outside the wire in the center of the swamp.
No matter what open source information is collected; and no matter what evidence congress can assemble; the toxic political environment in DC is the primary driver of DOJ investigative events. It shouldn’t be, but the reality of action reflects an uncomfortable truth. Here’s my opinion on what is happening.
Attorney General Bill Barr is trying to split the baby against two competing narratives.
♦ On one hand there is enough evidence to indict former officials for gross abuses of power, falsifying information to a FISA court (violating fourth amendment protections); manipulating investigative effort for political purposes; weaponizing the intelligence apparatus of the U.S. to target political opposition, and then using their positions to cover-up their corrupt and unlawful conduct.
♦ On the other hand there is a current highly toxic political environment; consisting of elected politicians and a fully vested branch of government; attempting to cloud the reality that corrupt former government officials worked hand-in-glove with deceitful media, which includes agents of Lawfare, who collaborated in the effort.
This leads to current DC officials and people within those remaining institutions saying: “there are delicate balances.”
In my opinion, in an effort to thread this needle -and considering the timing of the 2020 election- Bill Barr is using the document production from Missouri USAO Jeff Jensen as a backdoor method to provide the information he will not/cannot put forth in a press conference, report or series of indictments. This is why Jensen is providing new information to Michael Flynn’s defense attorney Sidney Powell.
The U.S. Attorney General knows Powell will make this information public; therefore Powell becomes a conduit to receive significant amounts of evidence previously hidden by the Special Counsel (Weissmann/Mueller) cover-up operation; the “insurance policy” of sorts. Barr is essentially funneling information through Powell in lieu of a report which would include much of the same evidence.
This is just how all indications align. Occam’s razor.
Much of the released information has no direct bearing on Flynn *IF* there was going to be an alternate use of the evidence.
Bill Barr is splitting the baby.
More to come….
Michael Flynn defense attorney, Sidney Powell, calls-in to Lou Dobbs to discuss the explosive new evidence released to her by the DOJ.
In an update to briefings before the court Sidney Powell released today a set of previously hidden text messages within the FBI investigative unit highlighting the fraudulent and corrupt premise behind the targeting of her client [pdf link]. The documents are also embedded below.
Ms. Powell discusses the stunning nature of the release and how the texts and documents show a targeted effort against candidate Trump, President-elect Trump, President Trump and her client Michael Flynn who was the incoming National Security Advisor. This release is perhaps the most damning so far. WATCH:
The corrupt units within the FBI and CIA even went so far as to purchase professional liability insurance after the election because they knew their prior activity could lead to criminal, civil and financial lawsuits. A stunning internal admission.
I would be remiss if I did not remind everyone the DOJ (Barr and Durham) asked the FISA court for guidance in sharing classified and corrupt FISA associated information with litigants in civil (and criminal proceedings). Ergo, given the nature of their activity this insurance issue by the corrupt officials has some substantive context for legal exposure.
Here’s the FULL RELEASE:
I will have more on this issue later. There is a lot to unpack.
Share your review in the comments, thanks.
Two media reports today point toward an aspect CTH had noticed happening in the background of the Durham/Aldenberg investigation.
The Washington Examiner and New York Times are writing about Durham investigating 2016 efforts from Main Justice DOJ to block FBI efforts to investigate the Clinton Foundation. The interesting part is what the media ignore (emphasis mine):
WASH EXAMINER– […] The New York Times report Thursday said that Clinton Cash “caught the attention of FBI agents, who viewed some of its contents as additional justification to obtain a subpoena for foundation records,” but former officials said “top Justice Department officials denied a request in 2016 from senior FBI managers in Washington to secure a subpoena.” The outlet said that “the decision frustrated some agents who believed they had enough evidence beyond the book, including a discussion that touched on the foundation and was captured on a wiretap in an unrelated investigation.” (more)
Who was one of the “top Justice Department officials” in position to deny the 2016 request from senior FBI managers in Washington? As TechnoFog notes: “The DOJ Criminal Division Fraud Section (FSCD) would have overseen prosecutions relating to the Foreign Corrupt Practices Act (ie. bribery that crosses borders).”
Who was Chief, of the DOJ Criminal Division Fraud Section in 2016?
That would be Andrew Weissmann, the same corrupt epicenter of the Robert Mueller investigation. So how did the New York Times get their information about what Durham is looking into? (again, emphasis mine)
(New York Times) […] The Clinton Foundation investigation began about five years ago, under the Obama administration, and stalled in part because some former career law enforcement officials viewed the case as too weak to issue subpoenas. Ultimately, prosecutors in Arkansas secured a subpoena for the charity in early 2018. To date, the case has not resulted in criminal charges.
Some former law enforcement officials declined to talk to Mr. Durham’s team about the foundation investigation because they felt the nature of his inquiry was highly unusual, according to people familiar with the investigation. Mr. Durham’s staff members sought information about the debate over the subpoenas that the F.B.I. tried to obtain in 2016 and have also approached current agents about the matter, but it is not clear what they told investigators.
A spokesman for Mr. Durham declined to comment. (more)
Weissmann squealing to the New York Times for help…
Now this makes sense:
Senators Ron Johnson, chairman of the Senate Homeland Security and Governmental Affairs Committee, and Chuck Grassley, chairman of the Senate Finance Committee, released a report today showing millions in sketchy payments to the son of former Vice-President Joe Biden that showcase compromise and blackmail material.
Included in the release are details of payments made by the wife of the former Mayor of Moscow and what appear to be eastern European prostitutes provided to Hunter Biden.
The Senate report reveals millions of dollars were funneled to Hunter Biden during a series of questionable financial transactions between Biden, his associates and foreign individuals. The report outlines a system of influence sales that were “very awkward for all U.S. officials pushing an anticorruption agenda in Ukraine.”
Additionally, the senate report highlights the potential for blackmail against the Biden family, the former vice-president and the U.S. government if Joe Biden was to remain in public office. The report is damning. Highlights include:
- In early 2015 former Deputy Chief of Mission at the U.S. Embassy in Kyiv, Ukraine, George Kent raised concerns to officials in Vice President Joe Biden’s office about the perception of a conflict of interest with respect to Hunter Biden’s role on Burisma’s board. Kent’s concerns went unaddressed and in September 2016, he emphasized in an email to his colleagues, “Furthermore, the presence of Hunter Biden on the Burisma board was very awkward for all U.S. officials pushing an anticorruption agenda in Ukraine.”
- In October 2015, senior State Department official Amos Hochstein raised concerns with Vice President Biden, as well as with Hunter Biden, that Hunter Biden’s position on Burisma’s board enabled Russian disinformation efforts and risked undermining U.S. policy in Ukraine.
- Hunter Biden was serving on Burisma’s board (supposedly consulting on corporate governance and transparency) when Burisma owner Mykola Zlochevsky allegedly paid a $7 million bribe to officials serving under Ukraine’s prosecutor general, Vitaly Yarema, to “shut the case against Zlochevsky.” George Kent testified that this bribe occurred in December 2014 (seven months after Hunter Biden joined Burisma’s board), and, after learning about it, he and the resident legal adviser reported this allegation to the FBI.
- In addition to the over four million dollars paid by Burisma to Hunter Biden and his business partner, Devon Archer, for membership on the board, Hunter, his family, and Archer received millions of dollars from foreign nationals with questionable backgrounds.
- Devon Archer received $142,300 from Kenges Rakishev of Kazakhstan, purportedly for a car, the same day Vice President Joe Biden appeared with Ukrainian Prime Minister Arsemy Yasenyuk and addressed Ukrainian legislators in Kyiv regarding Russia’s actions in Crimea.
- Hunter Biden received a $3.5 million wire transfer from Elena Baturina. Ms. Baturina is the wife (widow) of the former mayor of Moscow.
- Hunter Biden had business associations with Ye Jianming, Gongwen Dong, and other Chinese nationals linked to the Communist government and People’s Liberation Army. Those associations resulted in millions of dollars in questionable transactions.
- Hunter Biden opened a bank account with Gongwen Dong that financed a $100,000 global spending spree with James Biden and Sara Biden.
- Hunter Biden also moved millions of dollars from his law firm to James Biden’s and Sara Biden’s firm. Upon being questioned about the transaction, Sara Biden refused to provide supporting documentation and information to more clearly explain the activity. The bank subsequently closed the account.
- Hunter Biden paid nonresident women who were nationals of Russia or other Eastern European countries and who appear to be linked to an “Eastern European prostitution or human trafficking ring.”
Ultimately what the senate investigation and report reveals is a remarkable and consistent pattern of the Biden family selling influence and policy manipulation for personal financial benefit. However, that said, the media will likely play-down the report in an effort to support their preferred 2020 presidential candidate Joe Biden.