President Donald Trump reached deep into the belly of the beast of Wall Street for his administration’s key economic positions. His choices signal that the U.S. will be subjected to brutal Parasite Guild measures, including privatizations via the Washington Consensus model. Part of this operation involves the shredding of employee pension plans.
This is a blend between Washington Consensus looting and raiding through privatizations and a mechanism called the public-private partnership (PPP, or P3). Both are classic operations to privatize profits for the kleptocratic oligarchical class and socialize losses for average citizens.
Trump called Fed mucky muck Jay Powell to thank him for his end of the bazooka looting operation.
The Fed can establish special purpose vehicles (SPV) and lend to the SPVs, which then buy assets or lend. These SPVs can buy assets the Fed is not allowed to buy and they can lend to entities and individuals in the sistema to buy certain assets. Under the Federal Reserve Act, these SPVs require taxpayer backing from the Treasury Department to protect the Fed from losses.
The Fed lends to its 24 Primary Dealers against collateral, and that collateral can be anything the Fed decides, including now stocks – and in the end thin air.
The insidious TALF is back. The Fed concocted this Term Asset-Backed Securities Lending Facility during the prior Financial Crisis. Under this program, the Fed lends money to an SPV which lends on a non-recourse basis to entities and well-connected individuals so that they can buy recently issued asset-backed securities (ABS) that they post as collateral.
“Non-recourse” means that if the asset blows up, the oligarch can just walk away from it unharmed and let the SPV deal with the debris.
To avoid transferring those losses to the Fed, the Treasury Department, via its Exchange Stabilization Fund (ESF), provides $10 billion in taxpayer money as equity capital.
Once a SPV blows through $10 billion in losses, it just takes a technical adjustment for taxpayers to be on the hook for more.
It is now quite apparent why Trump was allowed to skirt through as president. To understand what is transpiring requires a thorough reading of my two-part articles on Parasite Guild operations and what it takes to counter them. Without a solid understanding of this, you are completely in the dark.
- Part I: The Parasite Guild
- Part II: Countering the Parasite Guild
- Exploring the Dark Lobbies of Vulture Hedge Funds
Winter Watch grades Trump’s selection of Wilbur Ross for commerce secretary as an F, a total and epic fail. Dubbed the “King of Bankruptcy,” Ross is a corporate raider who built his $3 billion fortune through the takeover of struggling companies, then wiping out jobs, wages and pensions of hundreds of thousands of workers. With these methods, he is known for “flipping” entire industries. In recent years, Ross employed Parasite Guild methods in Europe.
For 24 years, Ross worked at the New York office of Rothschild, Inc. where he ran the bankruptcy-restructuring practice. In the 1980s, after quickly expanding the reach of Resorts International to Atlantic City, Trump found himself in financial trouble. It was with the assistance and assurance of Ross, then senior managing director of Rothschild, Inc., Trump was allowed to keep the casinos and rebuild his businesses. Trump is totally beholden to the Cabal Crime Syndicate.
For secretary of Treasury Trump brings in another epic fail, Jewish operative Steven Mnuchin, an associate of vampire squid Goldman Sachs and billionaire George Soros. In 2002, Mnuchin left his 17-year post at Goldman to run a credit fund set up by Soros. In 2004, Mnuchin and two echoberg former Goldman colleagues founded hedge fund Dune Capital Management LP with the financial backing from Soros.
In 2008, IndyMac Bank in Pasadena, Calif., collapsed in one of the largest bank failures in U.S. history. Mnuchin led a group of investors, including funds run by Soros and other hedge-fund and private-equity titans, who bought it from the government for about $1.5 billion. Illustrating in spades how parasite guildists work, the Federal Deposit Insurance Corporation (FDIC) guaranteed to cover a portion of any future loan losses, a lucrative arrangement for Mnuchin and his partners.
If one wanted a model for the next “debt crisis” and to know who will be targeted in the subsequent loot, simply follow the machinations of the hedge fund lobby and the Parasite Guild itself with the following four-step process. This requires a major reality check, including being wise about the tribal Jewish network (oligarchs, not haberdashers) and alertness to how the kleptocratic sistema works. The resumes of Trump’s new cabinet secretaries are prima facie illustrations.
Looting in 4 Simple Steps
Step 1: The bankster Cabal primes and pumps unsustainable economic bubbles conjured from lies and garbage. Then, as planned, it pawns the garbage off onto unsuspecting pasties and Aunt Millies using exotic financial instruments, thereby creating a monster wealth transfer.
Step 2: The Cabal shorts the garbage, thereby facilitating a rout or crash of a debt bubble.
Step 3: During the crisis/collapse stage, the Parasite Guild and Cabal swoop in like vultures to pick up economic gems for a song.
Step 4: Anybody still solvent is robbed to pay off debts in full. This may include pension funds and taxpayers. A key mechanism in this cycle is bank-deposit bail ins- already employed in the European banking crisis.
In Parasite Guild situations and in theory, there can be losers other than the people — namely, the creditors — who have their holdings marked down. But that never seems to occur as little debt is ever outright forgiven or written off. Listen to Ross describe the debt crisis in Puerto Rico and other states. Notice he says, “Puerto Rico schemed its way into heavy debt.” Nowhere does he suggest this was enabled and facilitated by Wall Street and Wall Street infestations within government. It is “just Puerto Rico.” He then mischaracterizes the vulture funds. He goes on to concisely describe his new job and the standard bankster Washington Consensus “reforms” (aka looting).