Manipulation Suit Filed in NYC Against Goldman – HSBC – BASF – Standard Bank

SDNY

Four firms have been named in a lawsuit that was filed in the most corrupt court in the nation – the Southern District of New York where judges are free to change the very words spoken in court. I have constantly warned not to file suits there – they seem to go nowhere and are routinely dismissed protecting the banks. Goldman Sachs and HSBC are among four platinum and palladium dealers to be sued in New York for allegedly fixing the price of the metals. The four companies are said to have rigged prices for eight years. BASF and Standard bank were also named in the lawsuit.

A Florida-based maker of jewelry and police badges filed the complaint in Manhattan federal court.The defendants stand accused of having conspired since 2007 to rig the twice-daily platinum and palladium fixings. It is alleged that the companies illegally shared customer data and then used that information to engage in front running. This is really standard in all markets and has been part of the business overall since the 1970s. Proving that in court is an entirely different story.

Of course, front running is a form of market manipulation in which traders profit by using information about their clients’ trading intentions. This does not create systemic manipulation as to setting in motion a given trend. It will tend to accelerate a trend, but not change the direction of the market as a whole.

For years, floor traders knew where the stops were above and below the current market price. They would then often gun for the stops and at times even track how a particular client places their orders and what their positions would be.

Last month , the London Metal Exchange said it will take charge of platinum and palladium price-fixing, and use a new electronic platform from the December 1st. The fixings were alleged to be deliberately set to kick-off stops. The lawsuit is relying of these findings and has argued their manipulations are fact and that these changes “have come too late”.

International regulators have tightened scrutiny of pricing benchmarks in recent years. However, the regulators are typically in bed with the banks in the USA. Hope of winning this suit in NYC is not very high. They should have filed in London. One has to wonder why US lawyers run to NYC when they should know they never win. It seems more like just ripping off clients for big fees for a job they know is impossible.

 

The RSS Feed May Have Been Hacked – Visit the Site For Now

Hacker

It is amazing that the RSS feed to this site has suddenly been changed and it now removes the name Armstrong Economics replacing it with Word Press. This is a clever trick that appears to have started on Sunday the 23rd one day after the Premier.  We suggest that people check the site directly for now. At the Premier there was an incident where someone yelled into the theater to get out trying to start a panic.

Clearly, these incidents are very curious and are in a long list of attempts to stop this film. The producers had their offices broken into and their camera stolen. They did not get the film since back-ups existed. The film site was hacked and shut down when it first appeared and someone when on Youtube posting comments nobody should bother to see this film that they removed from the trailers as spam

The efforts to stop this film seem to be endless. This is why I agreed to go with a European producer for I feared the film would be killed if it was American. This is the same reason Snowden had to go to the Guardian in London. The film is out in Europe. I suspect there will be some effort to stop it from appearing in America.

The truth is coming out and the more these people try to stop this film the more it proves that it is on point. We face a very serious road ahead. It has been my hope to explain the problems we face in an effort to inform people of the truth who will then put political pressure when it is most needed.

These people ONLY see their own self-interest. They are TOO involved to maintain the status quo at the cost of all our lives and those of our posterity. Banking and Investment Banks MUST be separated as it was after the Great Depression. Trading is instant money – lending long-term has risks. The repeal of Glass-Steagall was opening the gates to HELL. It has fundamentally changed the global financial system and has contributed to the economic decline by reducing lending to small business that has contributed to the rising unemployment.

The last G20 meeting shifted the burden of banks to the people away from Government without explaining to the public what those risks truly are. This was uncalled for. There is zero concern for society and the assumption merely remains that the power and status quo can be sustained by sheer force. Historically – that has NEVER worked even once.

The EU Commissioner

Juncker Jean-Claude

The EU President Jean-Claude Juncker has announced a €315 bn investment scheme is yet another attempt to try to kick-start the economy claiming this will create 1.3 million jobs. These schemes are hopeless because they keep hunting capital and raising taxes. Without confidence in the future, people will not invest or expand their business to offset the unemployment. This is not theory that is going to work – we need practical solutions that are proven to have worked in the past. The problem has been we keep using the same theories that are employed every time and have just never worked.

Juncker also faces a no-confidence vote as he plays down his role in overseeing Luxembourg’s highly controversial tax system. The tax administration does not have to report to the finance minister after several big international companies paid no tax. This has been a sore spot to say the least.

There is a rising third-party trend in politics that our computer has been warning comes in 2016. There is a new crop of politicians rising who will have the right ideas of changing the old and in with the new. There is hope we can see political change, but that will not come without economic pain.

Constancio Says ECB Will Buy Sovereign Debt Next Quarter

Constancio Vice President Vitor

 

Here begins the Bond Bubble. The ECB will buy sovereign debt itself. This really makes little sense insofar as economics. Just print the money and stop pretending they are running anything from a conservative perspective. This is like moving $20 from your left pocket to your right and then claiming you have $20 in assets in your right pocket (bond from the left) and the left has the $20. Hence you now doubled your money.

Protests Spread in Large US cities against Arbitrary Police

ferguson-Aug-2014 Militarization

In the US city of Ferguson many buildings and cars were destroyed in the face of violence. Currently there is the National Guard in the city. In seven US cities run demonstrations against the militarization of the police and arbitrary justice. Police simply always shoot to kill regardless of the crime. They fire whatever is in their clip. This is seriously unconstitutional and is inhuman to say the least.

Spanish Protest Party Taking Lead

Madrid-Palacio_de_Comunicaciones

The Spanish protest party Podemos has further extended its lead over the established political parties. Recent polls show that the movement with approximately 28.3% of the vote is just two percentage points ahead of the ruling party of Prime Minister Rajoy. Spanish media speak of a “whirlwind”, that is sweeping Spain on the political landscape. We are seeing this trend everywhere from Romania to the US Elections. Whoever is in power is being thrown out.

Ferguson – What Did You Expect? A Real Jury Decision? The System is Not Designed That Way

Ferguson-Monday-night

Unfortunately, this is as expected as the Missouri grand jury decided not to indict a white police officer over the fatal shooting of an unarmed black teenager in August. I have explained that this need not even be racist because the grand jury system has become a joke. The government only needs to present whatever evidence they want. There is no obligation to present all the evidence because the Supreme Court has ruled that the Grand Jury is NOT entitled to all the evidence, since the trial jury will correct any deficiencies. The problem – indictments are not rendered against government people and handed out like candy for their enemies.

Angry crowds took to the streets around the Ferguson police department after the grand jury determined there was no probable cause to charge officer Darren Wilson with any crime for the shooting of 18-year-old Michael Brown. This stupid decision is very serious. There should have been an indictment and then let the PUBLIC see all the evidence. Hiding this incident in such a manner will NEVER satisfy not merely the black community, but the entire world. This was a very stupid decision and this decision will only now feed into the war cycle on the civil unrest side. Ferguson is a spark that ignites a new trend that will be national. To save one officer, they will set in motion the deaths of so many others. This should have gone to trial and let the people decide.

The worst of the worst is that the Grand Jury proceedings are secret. No judge is present at the proceedings which are led by a prosecutor who is routinely pro-government. The target “defendant” has no right to even be present his case or  to be informed of the proceedings secretly being conducted behind the scenes. There is no right to a lawyer in the Grand Jury. Among the legal community, Grand Jury indictments are considered a JOKE and the typical phase one hears among lawyers concern the rules are so one sided, the government could indict a “ham sandwich”.

Venetian-MouthOfTruthThe argument for such secrecy was unanimously upheld by the Supreme Court in Douglas Oil Co. of Cal. v. Petrol Stops Northwest441 US 211 (1979). The dissenting opinion was joined by Justices Burger and Stewart still concurred with the Court’s opinion as to the importance and rationale of grand jury secrecy. The gist of that secrecy was people would be afraid to appear and rat out others the government wanted to indict if they were not protected. That was the same reasoning behind the Venetian Mouth of Truth and the other side is that fake evidence enters because there is no check and balance against witnesses who can then say anything to sway the Grand Jury to whatever direction the government desires. Very, very bad decision. There is no accountability whatsoever.

The history of the grand jury is rooted in the common and civil law, extending back to Athens, pre-Norman England, and the Assize of Clarendon promulgated by Henry II. The right seems to have been first mentioned in the colonies in the Charter of Liberties and Privileges of 1683, which was passed by the first assembly permitted to be elected in the colony of New York. Included from the first in Madison’s introduced draft of the Bill of Rights, the provision elicited no recorded debate and no opposition. “The grand jury is an English institution, brought to this country by the early colonists and incorporated in the Constitution by the Founders. There is every reason to believe that our constitutional grand jury was intended to operate substantially like its English progenitor.

The basic purpose of the English grand jury was to provide a fair method for instituting criminal proceedings against persons believed to have committed crimes. Grand jurors were selected from the body of the people and their work was not hampered by rigid procedural or evidential rules. In fact, grand jurors could act on their own knowledge and were free to make their presentments or indictments on such information as they deemed satisfactory. Despite its broad power to institute criminal proceedings the grand jury grew in popular favor with the years. It acquired an independence in England free from control by the Crown or judges. Its adoption in our Constitution as the sole method for preferring charges in serious criminal cases shows the high place it held as an instrument of justice. And in the USA as in England of old the grand jury has convened as a body of laymen, free from technical rules, acting in secret, pledged to indict no one because of prejudice and to free no one because of special favor.

The idea that only the people can indict is very nice. But as Stalin said about elections, it does not matter how people vote, it is those who count the votes who decide elections. Well this is the same nonsense. The rules have been inverted so ONLY the government has a right to indict anyone and they ALWAYS protect their own. This type of corruption should be expected. The Grand Jury is a joke when there is secret proceedings and no right to present both sides so the Grand Jury can be deaf, dumb, and blind. The Grand Jury was originally the people standing between the people and the government. To protect government, they simply changed the rule to ensure the government need not tell the Grand Jury the truth. What Stalin said about elections applies to Grand Juries. The Government can indeed indict a ham sandwich. They mean nothing if not even less.

Here comes the civil unrest because indeed we need major political reform in virtually every branch of government.  Sorry – but he should have been indicted and he should have been given a full and fair PUBLIC TRIAL to show the world what is the truth. Now there will always be a debate as to the evidence submitted in secret.