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Remember: It is not a conspiracy when you can prove that there's a strategy!

Background: About Money | Networks | Opium Trade | Plutocracy | Off Shore Banking | Tax Havens




MrTonyD "I've known several senior executives in Silicon Valley and they all had many offshore stocks. Once you got to know them, they freely admitted it (they were legal, and set up by the Big 3 or Big 5 accounting firms.) But they usually didn't talk about how offshore stocks were also used to "reward" competitors for killing the right products, or dropping prices against other competitors. And they were also used to finance other offshore companies providing fake services to the US-based companies - so that profit could be turned to loss and hidden offshore for individual executives or groups of executives. This has been standard practice for decades. And people wonder why the .1% has so much of our society's money -- while others claim that it is just free market economy working fairly. I wish they would catch a clue and make these financial instruments illegal except in very rare and transparent cases."

Can we just remind ourselves that the #PanamaPapers are from just ONE law firm, in just ONE tax haven. Tip of the proverbial iceberg.

over 11 million documents held by the Panama-based law firm Mossack Fonseca was leaked to German newspaper Suddeutsche Zeitung. In turn, the paper shared the information with the International Consortium of Investigative Journalists (ICIJ) — which is made up of 107 media organisations in 78 countries.
ICIJ.ORG 2016 A massive leak of documents exposes the offshore holdings of 12 current and former world leaders and reveals how associates of Russian President Vladimir Putin secretly shuffled as much as $2 billion through banks and shadow companies.  The leak also provides details of the hidden financial dealings of 128 more politicians and public officials around the world.  The cache of 11.5 million records shows how a global industry of law firms and big banks sells financial secrecy to politicians, fraudsters and drug traffickers as well as billionaires, celebrities and sports stars.
  • LAW FIRM @mossfon  Mossack Fonseca #PanamaPapers #MossacFonseca
    "Don't be a fraud, transfer your money abroad." #MossackFonsecaSlogan
    Panama Papers: Mossack Fonseca leak reveals elite's tax havens Panama Papers reveal how associates hide billions of dollars offshore. The documents, containing 2.6 terabytes of data, cover nearly 40 years of records and are currently being investigated and analysed by the International Consortium of Investigative Journalists. On 3 April 2016, it was announced that 11 million confidential documents have been leaked. These Pan
  • Lawyers from the firm have been sent to foreign countries as informal ambassadors for doing business in Panama and Panamanian financial products, as well as serving on panels in Panama discussing changes in the Panamanian financial industry. It has also been interviewed for expert opinion on international legal issues dealing with companies incorporating in Panama. The firm is also active in charity work within the communities of its offices. Its offices include nine in China,several in Latin America, US and Europe, with two in Switzerland.  The company has been alleged to help foreign citizens circumvent their local tax laws and of being involved in money laundering and tax evasion schemes in connection with Commerzbank. It has also been accused of working with associates of Middle Eastern and African dictators to allegedly help them circumvent international sanctions. Current and former world leaders in the data include prime ministers of Iceland and Pakistan, the president of Ukraine, and the king of Saudi Arabia
  • More than 214,000 offshore entities appear in the leak, connected to people in more than 200 countries and territories
  • Major banks have driven the creation of hard-to-trace companies in offshore havens 
  • 2012 The two largest providers offshore may each have 10% of the global market, estimates Jason Sharman, an Australian professor who studies the industry. Onshore markets are more concentrated.
    Two firms handle two-thirds of all Delaware companies: CT Corporation (part of Wolters Kluwer of the Netherlands) and CSC—though both companies' websites give little hint of this, focusing on their less controversial compliance services.  Among contenders for the top spot offshore is OIL, which has benefited from an Asian fondness for companies from the British Virgin Islands (on paper the second-largest investor in China in 2010, after Hong Kong). It is said to set up more than 10,000 BVI firms a year for Asian clients. Chinese investors use “BVIs” as a synonym for offshore firms.



Personal wealth is distributed so unevenly across the world that the richest two per cent of adults own more than 50 per cent of the world's assets while the poorest half hold only 1 per cent of wealth. A survey released on Tuesday shows that middle-income countries with high growth rates still have a long way to go before they have a hope of catching up with the levels of prosperity of the richest. Adults with more than $2,200 of assets were in the top half of the global wealth league table, while those with more than $61,000 were in the top 10 per cent, according to the data from the World Institute fpr Development Economics Research of the United Nations University (UNU-Wider). To belong to the top 1 per cent of the world's wealthiest adults you would need more than $500,000, something that 37m adults have achieved. Almost 90 per cent of the world's wealth is held in North America, Europe and high-income Asian and Pacific countries, such as Japan and Australia. While North America has 6 per cent of the world's adult population, it accounts for 34 per cent of household wealth. The concentration of wealth in different countries varies considerably, with the top 10 percent in the US holding 70 percent of the country's wealth, compared with 61 percent in France, 56 percent in the UK, 44 percent in Germany and 39 percent in Japan. “China fails to feature strongly among the super-rich because average wealth is modest and wealth is evenly spread by international standards”, he said.


“Our figures show that the top group of people—the 80 people now—and of the billionaires… about a third now inherited their wealth. And that figure’s increasing all the time. And this is the point the French economist Piketty made in his famous book last year, that we’re rapidly returning to an era that we thought had been consigned to the history books, an era that we associate with The Great Gatsby or maybe Victorian times in Britain where wealth is inherited and all of the things that come with that. So it’s not just the capture of political power in this generation, it’s about using your money to shore up the future of your children and your children’s prospects.



Where's the outrage? Congress changes savings accounts and retirement funds, and America sleeps

Congress has passed, and President Obama has said he would sign, a budget bill that allows banks to use your savings when they make giant financial bets called derivatives. Again.

And because those savings are insured by the federal government, you, the taxpayer, would be on the hook if those bets go south. Again. These are the exact financial mechanisms that led to the global crisis just six (short!) years ago. The Dodd-Frank reform law that was passed in the wake of that crisis forbade this from ever happening. It has now been totally gutted and we are exactly in the same position the banks put us in before 2008.

Nothing is permanent in this wicked world except banks getting whatever they want, whenever they want, regardless of the risk to their own customers. Two major provisions in the US budget bill spell doom for US savers and retirees

  • Savings accounts are at risk as long as JP Morgan CEO gets his way
  • $1.1trn budget deal imperiled by taxpayer revolt
  • Wall Street and Washington want you to believe the stock market isn’t rigged. Guess what? It is




Golden Rules for Making Money by P. T. Barnum 1880

This may sound like the world's silliest question, but it's not. In every society, most of the wealth falls into the hands of a minority. People often write this off as a fact of life--something we can do nothing about--but economists have always struggled to explain why the wealthy take such a big slice of the pie.
If Jean-Philippe Bouchaud and Marc Mézard are right, it is more than a fact of life: it's a law of nature. These two scientists have discovered a link between the physics of materials and the movements of money, a link that explains why wealth is distributed in much the same way in all modern economies. Their theory holds out a scrap of hope to the poor of the world: there may be some surprising ways to make society a bit more equal. And it promises a new fundamental science of money. Economic theory is about to grow up.
Mézard and Bouchaud have now discovered that the equations for this directed polymer model are identical to those for their economy (Physica A, vol 282, p 536)
Mass behavior is mass behavior, whether your tired, poor, and huddled masses (and your fat cat rich ones) are made up of humans, bacteria, or water molecules. The same equations that describe the behavior of “ill-condensed” societies of molecules describe the human social flow we call economics. In fact, the equations governing ill-condensed glasses, alloys, and polymers describe the flow of goods and services between humans far better than the traditional equations of economists. The basic rule that works at both the molecular and the human level is Pareto's Law. Expressed one way, Pareto's Law says that about 20% of the population end up with most of the wealth. Expressed another, Pareto's Law says that about 20% of the population produce most of the good ideas, or generate most of the productivity. The article below also implies that the basic rule of “To he who hath it shall be given. From he who hath not, even what he hath will be taken away” might be reflected in both the equations of ill-condensed materials, in the economic formulae based on these equations, and in Pareto's Law. Says the author, Mark Buchanan: “Life's so unfair. The rich get richer, while the rest of us just scrape by.” -- By Chris Giles, Economics Editor in London 12/ 5/06

Banned TED Talk: Nick Hanauer "Rich people don't create jobs"
2012 Via Business Insider: "As the war over income inequality wages on, super-rich Seattle entrepreneur Nick Hanauer has been raising the hackles of his fellow 1-percenters, espousing the contrarian argument that rich people don't actually create jobs. The position is controversial — so much so that TED is refusing to post a talk that Hanauer gave on the subject. National Journal reports today that TED officials decided not to put Hanauer's March 1 speech up online after deeming his remarks "too politically controversial" for the site...".



Wealth Distribution "Of The 1%, By The 1%, For The 1%", by Joseph E. Stiglitz May 2011
Americans have been watching protests against oppressive regimes that concentrate massive wealth in the hands of an elite few. Yet in our own democracy, 1% of the people take nearly a quarter of the nation's income — an inequality even the wealthy will come to regret. In the May issue of "Vanity Fair". It cites the now well-circulated, but not well-circulated enough, statistics that the top 1% of Americans make almost a quarter of the income and that this same 1% controls 40% of the wealth. It really comes down to power.  Learn about the rich people who spew disinformation about taxation of the rich hurting the poor. The rich use their money to gain power and keep it.

Joseph E. Stiglitz Video

It's no use pretending that what has obviously happened has not in fact happened. The upper 1% of Americans are now taking in nearly a quarter of the nation's income every year. In terms of wealth rather than income, the top 1% control 40%. Their lot in life has improved considerably. Twenty-five years ago, the corresponding figures were 12% and 33%. One response might be to celebrate the ingenuity and drive that brought good fortune to these people, and to contend that a rising tide lifts all boats. That response would be misguided. While the top 1 percent have seen their incomes rise 18% over the past decade, those in the middle have actually seen their incomes fall. For men with only high-school degrees, the decline has been precipitous —12% in the last quarter-century alone. All the growth in recent decades—and more — has gone to those at the top. In terms of income equality, America lags behind any country in the old, ossified Europe that President George W. Bush used to deride. Among our closest counterparts are Russia with its oligarchs and Iran. While many of the old centers of inequality in Latin America, such as Brazil, have been striving in recent years, rather successfully, to improve the plight of the poor and reduce gaps in income, America has allowed inequality to grow.
Economists long ago tried to justify the vast inequalities that seemed so troubling in the mid-19th century—inequalities that are but a pale shadow of what we are seeing in America today. The justification they came up with was called “marginal-productivity theory.” In a nutshell, this theory associated higher incomes with higher productivity and a greater contribution to society. It is a theory that has always been cherished by the rich. Evidence for its validity, however, remains thin. The corporate executives who helped bring on the recession of the past three years—whose contribution to our society, and to their own companies, has been massively negative—went on to receive large bonuses. In some cases, companies were so embarrassed about calling such rewards “performance bonuses” that they felt compelled to change the name to “retention bonuses” (even if the only thing being retained was bad performance). Those who have contributed great positive innovations to our society, from the pioneers of genetic understanding to the pioneers of the Information Age, have received a pittance compared with those responsible for the financial innovations that brought our global economy to the brink of ruin.
Some people look at income inequality and shrug their shoulders. So what if this person gains and that person loses? What matters, they argue, is not how the pie is divided but the size of the pie. That argument is fundamentally wrong. An economy in which most citizens are doing worse year after year—an economy like America's—is not likely to do well over the long haul. There are several reasons for this.


The Matthew Effect



The Matthew effect, a phenomenon under which the rich get richer while the poor get poorer.

When the economic slowdown dampens demand and pushes up costs, large and medium-sized private companies are more likely to survive and lead the recovery with support of policy and finance as well as other resources due to their scale. Small players not having those advantages will struggle to keep their business afloat, and their failure will lead to big ones taking up more market share. Another notable trend is that the rich are diversifying their business into the money-spinning finance sector.


The Power Elite

The Power Elite, describes the relationship between individuals at the pinnacles of political, military, and economic institutions, noting that these people share a common world view.​ The term was coined by Charles Wright Mills in his 1956 book, The Power Elite. 

The Power Elite is described as consisting of members of the corporate community, academia, politicians, media editors, military service personnel, and high-profile journalists. The power elite include David Rockefeller, Averell Harriman and Robert McNamara. This power elite has historically dominated the three major sectors of US society: economy, government, and military. Elites circulate from one sector to another, consolidating their power as they go. source

The Mayfair Set, E3: Destroy the Technostructure - THE FREE MARKET Propaganda
 starts at :22 "Chainsaw" Al Dunlap, who invented term "downsizing"  has lots of preditory animals decorating his office.




The House of Burgesses continued to meet, but its influence became severely restricted. Despite limitations on its actions, the assembly listed within its later ranks such notables as George Washington, Thomas Jefferson and Patrick Henry, and would assume a major leadership role in the movement toward independence.

Thomas Jefferson

Henry Soane (1622-1661) was a Virginia politician and landowner. He served in the House of Burgesses 1652-55, 1658, and 1660 - 61, and was its Speaker in 1661. He is also the great-great grandfather of Thomas Jefferson.

Henry Soane (1622-1661) was a Virginia politician and landowner. He served in the House of Burgesses 1652-55, 1658, and 1660 - 61, and was its Speaker in 1661.
He is also the great-great grandfather of Thomas Jefferson. Henry Soane, bapt. 17 Nov. 1622, Brighton, Sussex, England - d. ca. 1661/2, James City Co. Va.; m. ca. 1642/3, Lewes, Sussex. He emigrated to Virginia around 1651, settling in James City County along the Chickahominy River.

Henry Soane, 1660-61 A list of Governors, Councillors and Other Higher Officials, and also of Members of the House of Burgesses, and the Revolutionary Conventions of the Colony of Virginia 

Henry Soane. Given the connections between Carewe and Soame, and between them and Crane, it seems reasonable to suggest that Henry Soane was of the Soame family aforementioned.
"The founder of this family in Virgina was Col. Henry Soane. His English origin is unknown but a family of that name was long settled in the county of Suffolk. The year of Col. Henry Soane's arrival in Va. is not known but on 11-31-1651 he was granted 297 acres in James City Co. on the east side of the Chickahominy River known as 'Hoggs land' for importing Henry Soane Sr., Henry Soane Jr.; Judith Soane Sr.; Judith Soane Jr.; and Elizabeth Soane to the colony. (Nugent- 222).



By David Cay Johnston / February 4, 2014 

- "... The founders, despite decades of rancorous disagreements about almost every other aspect of their grand experiment, agreed that America would survive and thrive only if there was widespread ownership of land and businesses.

- "John Adams, feared "monopolies of land" would destroy the nation and that a business aristocracy born of inequality would manipulate voters, creating "a system of subordination to all... The capricious will of one or a very few" dominating the rest. Unless constrained, Adams wrote, "the rich and the proud" would wield economic and political power that "will destroy all the equality and liberty ..."

- "James Madison, the Constitution's main author, described inequality as an evil, saying government should prevent "an immoderate, and especially unmerited, accumulation of riches." He favored "the silent operation of laws which, without violating the rights of property, reduce extreme wealth towards a state of mediocrity, and raise extreme indigents towards a state of comfort."

- "Alexander Hamilton, who championed manufacturing and banking as the first Treasury secretary, also argued for widespread ownership of assets, warning in 1782 that, "whenever a discretionary power is lodged in any set of men over the property of their neighbors, they will abuse it."

- Adams, pessimistic about whether the republic would endure, wrote that the goal of the democratic government was not to help the wealthy and powerful but to achieve "the greatest happiness for the greatest number."

Our economic system is based on an ingenious theory purporting to show how greed can be harnessed to serve the interests of people in general. There are, indeed, cases where the drive to maximize profit can have beneficial side effects, but, in the real world, it's a lot easier to find important situations where the effects of greedy behavior in the free market are costly to most individuals and to society. One major problem is that there is no free market mechanism for effectively deterring environmental abuse. Even the free market itself cannot survive without strongly enforced laws against cartels and monopolies. My effort to explain the situation is accessible at:


The True Barbarians



It's only about performance.
You wonder why we live in a culturally bankrupt society, with no socially redeeming values. It's meaningless to the power elite who are the true barbarians, as you will see.

The Alliances of the Power Elite Form the Basis for Collusion

From the Beginnings of Jekyll Island Federal Reserve Onward

The Founding Fathers of the Federal Reserve:

The 1910 "duck hunt" on Jekyll Island included Senator Nelson Aldrich, his personal secretary Arthur Shelton, former Harvard University professor of economics Dr. A. Piatt Andrew, J.P. Morgan & Co. partner Henry P. Davison, National City Bank president Frank A.Vanderlip and Kuhn, Loeb, and Co. partner Paul M. Warburg. From the start the group proceeded covertly. They began by shunning the use of their last names and met quietly at Aldrich's private railway car in New Jersey. In 1916, B. C. Forbes discussed the Jekyll conference in his book Men Who Are Making America and illuminates, "To this day these financiers are Frank and Harry and Paul [and Piatt] to one another and the late Senator remained 'Nelson' to them until his death. Later,
[ following the Jekyll conference ] Benjamin Strong, Jr. was called into frequent consultation and he joined the 'First-Name Club' as 'Ben.'" This book as well as a magazine article by Forbes is the only public mention to the conference until around 1930, when Paul Warburg's book The Federal Reserve System: Its Origin and Growth and Nathaniel Wright Stephenson's book Nelson W. Aldrich: A Leader in American Politics were published.


The Social Contract

The Trap: What Happened to Our Dream of Freedom?: 

is a BBC documentary series by English filmmaker Adam Curtis, well known for other documentaries including The Century of the Self and The Power of Nightmares. It began airing on BBC Two on 11 March 2007. The series consists of three, one-hour programs which explore the concept and definition of freedom, specifically "how a simplistic model of human beings as self-seeking, almost robotic, creatures led to today's idea of freedom."


"FREE MARKET" Debunked


I pledge allegiance to the United Corpocracy of America

Our economic system is based on an ingenious theory purporting to show how greed can be harnessed to serve the interests of people in general. There are, indeed, cases where the drive to maximize profit can have beneficial side effects, but, in the real world, it's a lot easier to find important situations where the effects of greedy behavior in the free market are costly to most individuals and to society. One major problem is that there is no free market mechanism for effectively deterring environmental abuse. Even the free market itself cannot survive without strongly enforced laws against cartels and monopolies.  

more videos

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Political Power Rigs the Game in Their Favor


The government which was designed for the people, has got into the hands of their bosses and their employers, the special interests. An invisible empire has been set up above the forms of democracy. ~ Woodrow Wilson

Many rich inherit their initial wealth: they're grandfathered in to the lifestyle. They influence lawmakers, etc. The player and game often go hand in hand where corruption and corrupting influence is concerned.

Michael Gross wrote "740 Park: The Story of the World's Richest Apartment Building". 
Home to more billionaires than any other city in the United States. Truly the Masters of the Universe live there.  Jackie Kennedy's home built by her Grandfather James T. Lee with a consortium of people who were considered responsible for the market crash of 1929 and the depression that followed.

The Ruling Class for the rich boys

The Ultimate Class! It's A Closed Corporation. Maybe this K12 Financial Literacy Curriculum will get through to the public.

Who Rules America 


The Ruling Class - Feeder Schools and Networks for the rich boys  Gore Vidal: The power elite are all trained at  very exclusive schools to manage the rest of society. What's interesting or rather more illuminating is Vidal admitting that even within the power elite, there's the wealthy and the super wealthy. He also raises the point that George Carlin used in his comedy routines, which is that there is often no conspiracy for this super wealthy power-elite group in many many instances. The American Empire and the Republic for which is does not stand.


​California’s Bohemian Grove:
Millionaires, billionaires, people who control the world, control the central banks, and build nuclear weapons meet in Near Sonoma State University. This is their summer playground,” Sonoma State University sociology professor Peter Phillips told RT in 2011. “We know for sure that Richard Nixon and Ronald Reagan sat down and had conversation about who was going to run for president when and they made a deal.” The Washington Post has even reported that a planning meeting for the Manhattan Project occurred at the grove in 1942, leading eventually to the creation of the atom bomb.
Attending the elusive Bohemian Grove retreat should be a priority for former UK Prime Minister Tony Blair, News Corp executive Andrew Knight allegedly writes in an email to US Gen. Colin Powell obtained by RT.
The mysterious computer hacker known only as Guccifer has once again supplied RT with a trove of presumed personal emails in which the private correspondence between some of the world’s most influential men is put under the looking glass. The hacker’s target is once again former Secretary of State Colin Powell, and this time the discourse dives into a topic rarely discussed: the annual summer retreat at California’s Bohemian Grove.
Guccifer has previously taken credit for hacking Gen. Powell’s Facebook, compromising what are believed to be sensitive emails sent to former-President George W. Bush and even uncovering emails about last year’s Benghazi, Libya terrorist attack allegedly sent to former Secretary of State Hillary Clinton. In the latest leaked emails sent to RT, Guccifer showcases a number of emails reportedly sent to Colin Powell’s AOL account during the last few years.

The few dozen emails forwarded to RT offer what appears on the surface to be little insight into Gen. Powell’s personal habits, but one email in particular referenced enough other well-known individuals that it couldn’t help but raise a red flag: in correspondence dated March 21, 2012, Knight asks Gen. Powell to have a few words with Mr. Blair about preparing for that year’s Bohemian Grove retreat, an annual gathering of the rich and powerful that has stayed so elusive for decades that countless documentaries and books have been written about the event — and journalists like Vanity Fair’s Alex Shoumatoff has even been arrested trying to infiltrate it. [...]


Take Away: There is no integrity in the world of finance.

Financial Engineering for the world based on the whims of the 1% and their finger wagging blame game against the poor but never blaming  Wall Street pirates.



 The Reinhart-Rogoff Study [HARVARD] on Debt turns out to be a mistake because the the core empirical points providing the intellectual foundation for the global move to austerity in the early 2010s was based on bad data - some "mathematician" accidentally <yeah sure!> not updating a row formula in Excel.

So what do Herndon-Ash-Pollin conclude?
They find "the average real GDP growth rate for countries carrying a public debt-to-GDP ratio of over 90 percent is actually 2.2 percent, not -0.1 percent as [Reinhart-Rogoff claim]." Going further into the data, they are unable to find a breakpoint where growth falls quickly and significantly. Quite apart from being "clumsy" with their Excel model, they forgot the first rule of research: correlation does not imply causation. So when are they going to resign, and when are the various central bankers who used their model to impose austerity going to change tack? More Delusions


SLAP DOWN -- Hear Thomas Herndon take down Reinhart and Rogoff 4:10 Growth In The Time of Debt. 4/23/13

5/30/2013 Harvard eCONomists Reinhart And Rogoff's Pro-Austerity Research Now Even More Thoroughly Debunked By Studies
Their ultimate austerity-justifying conclusion: That too much debt hurts growth which has been used to justify austerity programs around the world has now been disproved by two new studies, which suggest the opposite might in fact be true: Slow growth leads to higher debt, not the other way around. The human costs of this error have been enormous. In a post at Quartz, University of Michigan economics professor Miles Kimball and University of Michigan undergraduate student Yichuan Wang write that they have crunched Reinhart and Rogoff's data and found "not even a shred of evidence" that high debt levels lead to slower economic growth.And a new paper by University of Massachusetts professor Arindrajit Dube finds evidence that Reinhart and Rogoff had the relationship between growth and debt backwards: Slow growth appears to cause higher debt, if anything.

Disgusting Allen Greenspan who conveniently and simply admitted that he "failed to come to grips with the power of popular culture and greed in the delusions of crowds as part of the "economic" model".   This is where the money culture has brought us. See Optimal collusion with private information pdf





2014 Prison bankers and state jailers make money off high fees for financial services.

JPay’s outreach extends to state legislatures as well, even though many of the company’s contracts forbid it from using fee revenue to lobby.  The company has  in at least seven states. Shapiro says JPay’s lawyers approved the use of company funds for that purpose. In Ohio, it tapped Thomas Needles, a former aide to President George H. W. Bush. Needles gives generously to Republican candidates and also lobbies for for-profit universities.
In Maryland, JPay hired Bruce Bereano, one of the state's best-paid lobbyists, who was disbarred after a 1994 conviction for overbilling his clients and using the money for campaign donations.  The company also sought to lobby Washington for access to the federal Bureau of Prisons’ 216,000 inmates — what Shapiro has called “the mother ship of all contracts,” which is now held by Bank of America. Most states, including Virginia, now contract with JPay or its main competitor under a master agreement negotiated by Nevada in 2011 on behalf of a multi-state consortium. Participating states can simply sign on to the deal with one or both of the companies without the hassle of separately determining the best company for the job.  JPay is protected from other market forces, as well.

JPay handled nearly 7 million transactions in 2013, generating well over $50 million in revenue. It expects to transfer more than $1 billion this year. Ryan Shapiro, 37, the company’s founder and CEO. NIC Inc., a competitor that helps states set up their websites, charges a flat fee of $2.40 in Maine to send money to inmates. Until recently, Arkansas charged 5 percent to send money through the state’s own Web portal. Floridians pay a fee of 3.5 percent to handle traffic tickets online.  JPay so far has avoided scrutiny by consumer regulators. Prison systems pay nothing to have JPay take over handling financial transfers. And for every payment it accepts in these states — prisoners typically receive about one per month — the company sends between 50 cents and $2.50 back to the prison operator.

These profit-sharing arrangements, which vendors offer as deal-sweeteners in contract negotiations, are known in the industry as “commissions.” They are really Kickbacks. the profit-sharing amounts to a legal kickback. “They charge exhorbitant fees then kick back a percentage of their revenue. … The company doesn’t need that for profit,”

A money order at the post office for $1.25 and mail it to the prison, for a total cost of less than $2. But in March of last year, the Virginia Department of Corrections informed her that JPay Inc., a private company in Florida, would begin handling all deposits into inmates’ accounts.   JPay the fee can be as high as 35 percent. In other states, JPay’s fees approach 45 percent.  After the fee, the state takes out another 15 percent of her money for court fees and a mandatory savings account, which Eddie will receive upon his release in 2021, minus the interest, which goes to the Department of Corrections. Before JPay, Virginia prisons credited money orders to inmates’ accounts in roughly three days, families say. Today, money orders can take more than a month to reach an inmate’s account, Marvin Rodriguez-Barrera, an inmate at Virginia’s high-security Red Onion State Prison, wrote in a letter to prisoners’ rights advocates in February.
By erecting a virtual tollbooth at the prison gate, JPay has become a critical financial conduit for an opaque constellation of vendors that profit from millions of poor families with incarcerated loved ones.  JPay streamlines the flow of cash into prisons, making it easier for corrections agencies to take a cut. Prisons do so directly, by deducting fees and charges before the money hits an inmate’s account. They also allow phone and commissary vendors to charge marked-up prices, then collect a share of the profits generated by these contractors. 

Financial Literacy: It's important to know how to READ BETWEEN THE LINES.

The Consumer Financial Protection Bureau can sue companies for offering unfair, deceptive or abusive financial services. The bureau declined more than a dozen requests to discuss specific issues related to prison financial services.  The Federal Trade Commission, which has consumer-protection authority and the power to ensure that markets are competitive, declined to comment “on specific companies or conduct.”  Regulators in seven states have levied fines totaling $408,500 against JPay for operating without a license. The actions were not designed to disrupt its business, according to the Conference of State Bank Supervisors, a trade group that represents these regulators in Washington.




Remember: It is not a conspiracy when you can prove they have a strategy!

Larry Summers [HARVARD] is the very Definition of a Psychopath
The real world Proof of the Bankster Cartel, the faux criticism by the politicians or Supreme Court Judges on the "moral questions" involved.

This is where the money culture has brought us. Optimal collusion with private information.

8/22/2013 Larry Summers and the Secret "End-Game" Memo By Greg Palast 

​Q: Why in the world would any nation agree to let its banking system be boarded and seized by financial pirates like JP Morgan?

A: every single nation bullied into signing or facing bankruptcy.

​[. . .in the late 1990s, the top US Treasury officials secretly conspired with a small cabal of banker big-shots to rip apart financial regulation across the planet.

The Treasury official playing the bankers' secret End Game was Larry Summers.  Today, Summers is Barack Obama's leading choice for Chairman of the US Federal Reserve, the world's central bank.  If the confidential memo is authentic, then Summers shouldn't be serving on the Fed, he should be serving hard time in some dungeon reserved for the criminally insane of the finance world.

The memo is authentic. The end game: 5 Big Banks:  eliminate controls on banks in every nation on the planet – in one single move.  The bankers' and Summers' game was to use the Financial Services Agreement, an abstruse and benign addendum to the international trade agreements policed by the World Trade Organization. The new rules ginned-up by Summers and the banks would force all nations to accept trade in "bads" – toxic assets like financial derivatives. Until the bankers' re-draft of the FSA, each nation controlled and chartered the banks within their own borders.  The new rules of the game would force every nation to open their markets to Citibank, JP Morgan and their derivatives "products." And all 156 nations in the WTO would have to smash down their own Glass-Steagall divisions between commercial savings banks and the investment banks that gamble with derivatives. The job of turning the FSA into the bankers' battering ram was given to Geithner, who was named Ambassador to the World Trade Organization.



8/26/13 And We’re All Still Hostages to the Big Banks By ANAT R. ADMATI
[... From Wall Street to the City of London comes the same wailing: requiring banks to rely less on borrowing will hurt their ability to lend to companies and individuals. These bankers falsely imply that capital (unborrowed money) is idle cash set aside in a vault. In fact, they want to keep placing new bets at the poker table — while putting taxpayers at risk. When we deposit money in a bank, we are making a loan. JPMorgan Chase, America’s largest bank, had $2.4 trillion in assets as of June 30, and debts of $2.2 trillion: $1.2 trillion in deposits and $1 trillion in other debt (owed to money market funds, other banks, bondholders and the like). It was notable for surviving the crisis, but no bank that is so heavily indebted can be considered truly safe. The six largest American banks — the others are Bank of America, Citigroup, Wells Fargo, Goldman Sachs and Morgan Stanley — collectively owe about $8.7 trillion. Only a fraction of this is used to make loans. JPMorgan Chase used some excess deposits to trade complex derivatives in London — losing more than $6 billion last year in a notoriously bad bet. ]

4/2012 Obama signs Stop Trading on Congressional Knowledge Act law banning insider trading by Congress and for all executive branch employees who currently are required to file financial disclosure statements.\

The bill also requires members of Congress, their senior staff and top-level executive branch officials to disclose the terms of their mortgages every year. Finally in 2012 Federal officials are stopped from trading on insider knowledge just like the 99% us!
The Senate voted 96 to 3 to pass a watered-down STOCK Act, which would bar members of Congress, their staff and some federal workers from profiting from non-public information obtained through their jobs. The final bill dropped a provision in the Senate’s original bill that would have required “political intelligence” operatives to register as lobbyists. These are folks who prowl the halls of Capitol Hill for information that might be useful to hedge funds and other investors.

CNN exclusive: Congressional insider trading ban might not apply to families CNN uncovered that the law that members of Congress thought they voted for earlier this year isn't exactly as advertised. A loophole could still allow family members of some lawmakers to profit from inside information. The STOCK Act requires that any trades of $1,000 or more made on or after July 3 have to be reported to the House and Senate within 45 days. But the House and Senate have two completely different interpretations of that rule. In the Senate, the Ethics Committee released one page of guidelines last month ruling that members and their spouses and dependent children all have to file reports after they make stock or securities trades. But the House Ethics Committee disagreed. Its 14-page memo notifies House members and aides covered by the law that their spouses and children aren't covered. The Office of Government Ethics, which oversees all federal executive branch employees, sided with the House, informing its employees that their spouses and children don't need to file these periodic reports. Both of the lead sponsors of the Senate bill didn't realize the discrepancy until CNN brought it to their attention.


Economics 101 :About Money 
Allen Greenspan conveniently and simply admitted that he
"failed to come to grips with the power of popular culture and greed in the delusions of crowds as part of the "economic" model."

Can I recommend an unreadable book? Being able to read and comprehend "The Big Short", to being able to comprehend the financial system, the essence of Wall Street. THE BIG SHORT, explains how the game is rigged against you, and the powers that be won't grant you a toehold and will excoriate you ad infinitum if you try and challenge them. Everything is business.  But most people don't understand. The anonymous string-pullers get rich behind closed doors. They know it's a scam, they don't want the truth revealed.  They're getting rich and they want no light shed upon their enterprise.

"The Big Short" is like gaining twenty years of Wall Street knowledge in one 266 page book.  It's like starting law school and having to pass the bar exam in thirty days, and defend a criminal in court thirty days after that. That's what these guys are.  Criminals. You don't have to be convicted to be a criminal.  This is the essence of the tax cuts...  Under the fiction of growing the economy, the rich get to keep all their money.  You don't want to kill the economy, do you?  If those rich people don't spend their money you won't have a job and the country will go down the tubes. 


The true purpose of an investment bank - providing necessary financial services, not creating unnecessary products to bolster their own profits.”

PHD Thesis the innocent going to Wall Street and asking the right questions. “Her thesis shows there were ways to discover things that everyone should have wanted to know. That it took a 22-year-old Harvard student to find them out is just outrageous.” Barnett-Hart says she wasn't the most obvious candidate to produce such scholarship. She grew up in Boulder, Colo., the daughter of a physics professor and full-time homemaker. A gifted violinist, Barnett-Hart deferred admission at Harvard to attend Juilliard, where she was accepted into a program studying the violin under Itzhak Perlman. After a year, she headed to Cambridge, Mass., for a broader education. There, with vague designs on being pre-Med, she randomly took "Ec 10," the legendary introductory economics course taught by Martin Feldstein. The rest is history. She went on to deconstruct the fundamental logic and assumptions of her professor and the discipline itself.