Monday, November 7, 2011

Ron Paul should come out ferociously in favor of investigations and prosecutions of the 1000s of cases of fraud committed during the banking fiasco.

The Occupy movement is an organically assembled group of Americans that are truly pissed off. And they have every reason to be angry. The United States has become the dominion of the 1% and the rest of us are taking it on the chin. The government pays no attention to the electorate. For instance, the great majority of Americans were against each of the various the bailouts of the banks both nationally and even more, internationally. But the government and the Fed simply don't care. They do what they please. And what the government pleases, is whatever the big international banks want. What the big banks have wanted is lots of cheap money, so the Fed doubled the money supply after 2003 and it keeps pumping more new money into the economy today.
That easy money did what unlimited easy money always does. It led to malinvestment and fraud. The frauds led to the collapse of the financial system and to a serious recession in the real economy. Thanks to that criminal behavior and irresponsibility, the unemployment rate is way over 10%, the real value of wages is going down and the cost of living is going up. At the same time, the income of people that work in "Financial Industry" has multiplied. This is all the result of the meltdown caused by easy money from the bankers over the last 15 years.
The good people on the streets demonstrating as part of the OWS movement, see the effects of the criminal rackets, ie: the Primary Dealer banks, but they don't seem to see that it only happens because the banks are protected by the very government that is supposed to regulate them. The OWS are confused as to what needs to be done, they think that empowering the government that protects the banks and giving that government new regulatory powers will rein in the criminal activity. That's crazy. Ron Paul should show the OWS people that regulation and bureacracy are not the answer, what is missing is the rule of law. This is an opportunity to use populism as it should be used, to promote real and positive change. Let's put the criminals in jail! If Ron shares this message his support will grow.
He should show that the Too-Big-To-Fail banks' entire business plan is based on fraud. For instance, JC Morgan has a big stack of silver ingots that it has bought as the manager of the SLV etf. You buy shares in SLV and Morgan buys more silver. But Morgan uses that same stack of silver to short silver in the futures market, driving the price down and ripping off their own customers in SLV. That is a crime. Millions of crimes have gone unpunished. They haven't even been investigated! Another for instance: Goldman and others built CDOs and other mortgage backed securities with what they called "dog vomit", sold them as AAA bonds and then bought Credit Default Swaps betting against their own products and made billions. That is fraud. Fraud is crime. The bankers are criminals. 
If Paul would go to the Wall Street and speak to the OWS crowd and tell them that regulation is NOT the answer, but hiring Bill Black and 1000 assistants to investigate corporate crime IS the answer, he would get a huge boost in support and publicity. And once elected it is what he should do! What's to lose? I don't see that the Wall Street bankers are going to be voting for Dr. Paul anyway.

Please write the Paul campaign and suggest that he makes this an issue. Post this () on twitter. Send the link to Jack Hunter on twitter. This is a great opportunity for the good doctor.

Bill Black, interviewed at Occupy Wall Street

Bill Black, interviewed by Bill Moyers in 2009