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Iris Mack

Iris Mack

Posted: November 9, 2010 10:59 AM

A couple of my readers contacted me regarding my recent blog article Inspector General Barofsky: U.S. Treasury Hid A.I.G. Loss.


Christopher Hill of Krisken Managment in Geneva, Switzerland said:

After reading this information, I ask, how is it possible that the Treasury will own 92% of A.I.G. that it will eventually sell to the public? Does the public not already own the company? The public is the tax payer who bailed these managers out.

For the taxpayer to lose money, it means someone has to win money. The money does not disappear. From simple accounting, one can depreciate an asset to the value of 10 dollars, sell it to the institutional clients who will revalue the company and push its price to over 50 dollars.

So the Treasury is guilty of negligence or collusion to defraud the tax payer. Come on, how stupid do they think the American taxpayer is?

Of course Goldman Sachs, JP Morgan and the other banks that get free money from the Treasury -- via the Federal Reserve -- are being subsidized to buy these shares.

Why can't they subsidize Americans who want a job? It would be best to give all those shares to each American and or to use the proceeds of the sale to repurchase foreclosed homes and to give them back to their rightful owners who were naively encouraged to buy houses that they could not afford, yet made payments up to a certain date.

Did the banks not get to write off the losses on their tax returns? Now, I read that Swiss Bank UBS is getting off clean, even though they actively organized tax evasion for many citizens in the U.S. Is it not racketeering? There is no loss. It is an accounting entry, that reflects commissions and fees charged by intermediaries.

Think of how much money was paid to banks and auditors to tell people that -- oops -- we auditors and accountants screwed up, but we can show you how to understand our screw up. Of course we have our disclaimer and you have to pay us 5 billion dollars in case we go bust and are fired. We need to maintain our standard of living, because we have fancy schools to pay for, hairdressers for our wives, and for those who have mistresses, well, we have to pay to play.

 
 
 

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A couple of my readers contacted me regarding my recent blog article Inspector General Barofsky: U.S. Treasury Hid A.I.G. Loss. Christopher Hill of Krisken Managment in Geneva, Switzerland said...
A couple of my readers contacted me regarding my recent blog article Inspector General Barofsky: U.S. Treasury Hid A.I.G. Loss. Christopher Hill of Krisken Managment in Geneva, Switzerland said...
 
 
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HUFFPOST SUPER USER
Joe Goforth
01:25 AM on 11/13/2010
Throw the bums out!
11:45 AM on 11/10/2010
You ask how stupid the American public is? Look at composition and agenda of 112th Congress setting up for the next two years of gridlock, subpeonas and contention, while the top 1% waltz off with even more than current 24% of total wealth...
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HUFFPOST SUPER USER
Hiqutipie
Independent... Don't talk just Kiss ...
10:49 AM on 11/10/2010
Thanks Dr Iris: The more things change the more they stay the same...You can throw in there the GM great deal where they don't have to pay taxes for 20 years or so...The bridge to nowhere may not be built in Alaska but it is still being sold to Americans just like the Fanny & Freddie Treasure Chest that Americans will also pay for...

You can call all this "Accounting Tricks for Dummies". Where the hell are they getting their accountants "Al Queda"...

The bottom line is Americans are still divided by parties..The Reps did it... the Dems did it...HELLO the elite of both parties did it and are still doing it and until you the American people realize this and demand better from your Representatives and the media that is suppose to watch over them, nothing is going to change...The Devil is always in the details...

United you can change things while your opinions will divide you as the Devil sorts out the loot...
01:20 PM on 11/10/2010
Yes, we should all be thanking folks like Dr. Mack - who understand what the hell is going on, has the courage to speak up and is good at explaining things to the layperson. Obama are you listening?
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EdCorner
fiat iustitia, et pereat mundus
11:41 PM on 11/09/2010
They want to sell us what we already own? Their time is going to come. End the Federal Reserve and break up the bankster cartel and throw the whole lot in jail.
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HUFFPOST SUPER USER
Jim Welke
08:29 PM on 11/09/2010
I second Mr. Hill's emotion. Why, I wonder, does Treasury and everyone else operating in the rarefied realm of finance think the rest of us are a bunch of f***nuts? Could this be blowback from the Tea Party extravaganza? Look at the people we elect to lead us? Of course the wizards of felonious finance think we are dimwitted.

Collectively, we are.

And what about those "GOP Young Guns?" Are they serious?
More about the guns here:
http://completelybaked.blogspot.com/p/t-h-e-d-u-n-g-g-u-n-s.html
07:31 PM on 11/09/2010
The Federal prosecutions in all this mess have barely begun. Just as heads eventually rolled after the S&L collapse the culprits behind this banking fiasco will someday be summoned to a courtroom and hopefully escorted to the inside of a jail cell. The complicit are already being questioned in front of Judges and guilt is being established as the greedy attack and devour each other over their own losses. Once the DOJ discovers where the illegally gotten gains are hidden the IRS will follow right behind them. Difference this time is we are not just talking about billions of dollars, but multiples of trillions of dollars are involved. In some case, the solvency of entire nations are at stake.
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07:00 PM on 11/09/2010
"How stupid do they think the American taxpayers is?"

You got your answer to that one in the recent election when we put the House back in control of the party that created this disaster in the first place.
12:15 PM on 11/10/2010
True what a pity. "for the people, by the people.." what ever happened to that?
05:38 PM on 11/09/2010
And the Goddess of Karma might smite the fund manager with a liver disease requiring a transplant. I wonder how many of Dr. Milo's colleagues would do surgery on him? He might have to go to China for that surgery.
12:48 PM on 11/10/2010
A rather childish remark. You must be a Tea Party person who judges the world based on watching reality TV. Your remark reminds of a few bankers (Republicans and Tea Party) who complained that Madoff got busted. These bankers (Americans) took their millions and complained that would have to wait a while to be able to get back in the GAME. The 2nd biggest fraud in US history committed by the former head of NASDAQ. Take a long look in the mirror and think of all the Goddesses, sorry for the headache.
HUFFPOST SUPER USER
emma richmond
04:59 PM on 11/09/2010
Why is the Swiss Whining, what's going on, they can't make money, they are the one's who was hidding debts Of AIG and JP Morgan, if we are not Mistaken, these are the same Swiss Banks that the American Rich was hidding they Money to keep from paying Tax's, until last year the United States demanded them to pay Taxes on all the Money abroad that the Americans was hidding, go back and check 2009 Citizen hidding money in the Swiss Banks. The Swiss Bankers are whining, because Compliance: IRS pushes banks to put pressure on Tax Evaders, Last year the Swiss was force to pay 780 Million Dollars in Settlement, there was 4000 US Clients , 14 ,700 evaders from 70 Cuontries had to Diclose they Income forward to Offshore Secret Account, last month a son and father team of a Real Estate developer was convicted for failing to report more than 49 Million to the IRS. The Swiss Banks don't know where the US, DOJ, will hit next., the Swiss banks are trying to divert the attention, we are glad we do our own Research and we don't belive everything people tell us. While you people whining about what the Swiss Bank saying the Swiss Banks are not talking about the Tax Evaders, how the tax's evader are hidding their money and leave the Middle Class and Poor to pay their taxes while they gett richer and the poor get get poorer.
06:41 PM on 11/09/2010
Emma Richmond, you must not have read the entire short article. Mr. Hill states - "Now, I read that Swiss Bank UBS is getting off clean...".

So what's your beef? He - a Swiss - said in one sentence what it took for you to say in about a hundred.

No wonder the US government is able to pull the whole over the eyes of most Americans. You can't read English.

Even NY Mayor Bloomberg recently said that Americans can't/don't read. Scary!
06:43 PM on 11/09/2010
Sorry about the typo in my post. I meant to type

Emma Richmond, you must not have read the entire short article. Mr. Hill states - "Now, I read that Swiss Bank UBS is getting off clean...".

So what's your beef? He - a Swiss - said in one sentence what it took for you to say in about a hundred.

No wonder the US government is able to pull the WOOL over the eyes of most Americans. You can't read English.

Even NY Mayor Bloomberg recently said that Americans can't/don't read. Scary!
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joebaggadonuts
Civilization: Evolutionary pathway of choice.
04:33 PM on 11/09/2010
Thinking is not required. They have proof.
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mannapat
Truthiness shines a light.
04:05 PM on 11/09/2010
Just...Wow!
03:28 PM on 11/09/2010
Christopher Hill's comment should be broadcast as widely as possible to inform as many people in this country as can be accomplished.
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01:03 PM on 11/09/2010
American society wasn't what many are calling them (stupid/asleep etc.) The American people had trust in their official since the banking system was created.
The same way they believe in the government, to be there and protect the citizenry. [perfectly-normal]

Now all that become a myth of the past.[we all know that] But what I can see here [from the swiss] Is the hypocrisy [in a way] To say about the treasury hidding. When since the world is round.

The Swiss where not only "Hidding" but protecting as well. Private accounts from millionaires, and billonaires outlaws of the world [including the americans]
12:54 PM on 11/09/2010
These guys need to be yanked up on a short leash.
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HUFFPOST SUPER USER
frank day
Republican = FAIL
12:37 PM on 11/09/2010
If Americans had good jobs, How could politicians use fear to get elected?
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joebaggadonuts
Civilization: Evolutionary pathway of choice.
04:35 PM on 11/09/2010
Excellent question Frank.
12:33 PM on 11/10/2010
Bravo. I read a few months ago, that many elected people have very poor track records when it comes to finances and ethics. Apparently Tim Geithner failed to file his tax returns on time.