Video of the Day – John McCain Threatens Protesters with Arrest, Calls them “Low-Life Scum”

Screen Shot 2015-01-29 at 2.05.49 PMHe’s a thug, and a crook, and a liar, and a pseudo-intellectual and a murderer. Ok? Those things are factually verifiable.

– From the late Christopher Hitchens’ outstanding interview: Christopher Hitchens’ Polemic Against Henry Kissinger

Crazy John McCain is at it again. Nothing gets this guy more riled up than American plebs questioning status quo war criminals. I suspect much of this anger is rooted in his own legitimate fear about how history will remember his own legacy of remarkable stupidity.

Truly remarkable to see a Senator become so easily unhinged when protesters show up to condemn Henry Kissinger. See for yourself:

For a related post on Crazy John McCain, see:

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Meet Loretta Lynch – Obama’s Attorney General Nominee Who Might be Even Worse than Eric Holder

Screen Shot 2015-01-29 at 1.05.44 PMOn matters of policy, Ms. Lynch called capital punishment “an effective penalty” and said she disagreed with Mr. Obama’s statements that marijuana was no more harmful than alcohol. She called the National Security Agency’s collection of American phone records “certainly constitutional, and effective.”

– From the New York Times article: Criticism of Holder Dominates Hearing on Loretta Lynch, Attorney General’s Possible Successor

Eric Holder made a career out of protecting and coddling financial oligarchs (his 1999 memo essentially invented “Too Big to Jail”). This was such a lucrative decision for Mr. Holder, that it allowed him to climb all the way to the top of his profession. The dividends that supporting this man ultimately paid to Wall Street criminals were priceless. Not only were they bailed out despite wrecking the U.S. economy, they have since funneled all of the wealth gains since 2008 to themselves, while remaining above the law. This truly remarkable heist is what both Barack Obama and Eric Holder will be remembered for by history. Congratulations guys.

When Eric Holder announced his resignation, many of us breathed a sigh of relief thinking it can’t get much worse, but not so fast. The authoritarian streak and rampant cronyism of the Obama administration is a well oiled machine. You didn’t think you’d get off that easily did you? Enter Loretta Lynch.

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Former NBC and Bloomberg Executive and Head of the U.S. Broadcasting Board of America Compares RT to Terrorist Groups

Screen Shot 2015-01-29 at 11.35.17 AMAndrew Lack was sworn in this week as the first chief executive of the Broadcasting Board of Governors, putting him in charge of an agency with a $700 million budget and an outsize influence on shaping world opinion about the United States. Foreign policy experts and some critics say the appointment of Mr. Lack, the former president of NBC News and a prominent news media executive, represents a sea change for the often-criticized agency, which oversees United States government-supported civilian international news media such as Voice of America, Radio Free Europe/Radio Liberty, the Middle East Broadcasting Networks and Radio Free Asia.

“We are facing a number of challenges from entities like Russia Today which is out there pushing a point of view, the Islamic State in the Middle East and groups like Boko Haram, “ he said. “But I firmly believe that this agency has a role to play in facing those challenges.”

– From the New York Times article: U.S. Seeking a Stronger World Media Voice

I have appeared on Russia Today (RT) several times in the past. First on Max Keiser and Stacy Herbert’s Keiser Report, but also as a guest the now defunct Capital Account. Before appearing on these shows, no one ever told me what I could or could not say. Rather, we simply talked freely about whatever I was writing on at the time. I am certainly no spokesperson or cheerleader for Russia, as I am against centralized, authoritarian nation-states no matter where they occur. Nevertheless, I am an American citizen, so that is and should be my primary concern. Certainly, I was chosen as a guest because I was an ardent critic of the inept, crony, war criminal executives running the out of control American Empire, but so what?

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Occupied by Wall Street – The Latest TARP Taxpayer Screw-Job is Revealed

Screen Shot 2015-01-28 at 1.25.20 PMThe Treasury-created market has benefited a few savvy investors, while saddling taxpayers with a loss. Three private funds, which the report didn’t name, have won almost half the shares available at auction, often netting either a profit on paper or on the resale, according to the special inspector general for the Troubled Asset Relief Program. The Treasury, which has held 185 auctions to date, said it has raised about $3 billion on TARP investments that were originally valued at $3.8 billion, for a loss of $800 million at the auctions.

The Treasury “set up this market where investors could come in quickly and flip and profit,” said Christy Romero, TARP’s special inspector general, in an interview.

– From the Wall Street Journal article: Hedge Funds, Private Equity Win Big at TARP Auctions

One story that I’ve told several times on this site has to do with the day TARP passed. How I got into work extremely early and starting irately yelling about how TARP represented the end of America as we knew it. There weren’t many people on the trading floor at the time, but my boss was there and he told me to take a “walk around the block.” I politely declined, but continued to seethe at my desk.

It’s almost shocking to see the horrific transformation that has occurred in the subsequent six years. It’s so bad, that many people now take things that would’ve been considered unconscionable just a few years ago as part of the “new normal.” There will be a horrible price to pay for this perspective.

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Teachers’ Retirement Funds are Piling into Manhattan Real Estate at Record High Prices

Screen Shot 2015-01-28 at 11.55.34 AMRather than buying equity interests in buildings, TIAA-CREF and KTCU are seeking to invest in mortgages backed by office towers, retail properties, warehouses and apartments in major U.S. cities. The venture between the two companies, which manage teachers’ savings in their respective countries, is 51 percent owned by TIAA-CREF and 49 percent held by Seoul-based KTCU.

“You invest in a huge office tower in New York because you want a safe place to put your money and a decent return,” over the long-term, he said. “This is more a capital preservation play than it is a capital appreciation play.”

– From the Bloomberg article: Manhattan Towers Lure Koreans in $1 Billion Joint Venture

As soon as I woke up this morning, I saw an email from a very smart friend of mine in the finance industry. He forwarded me an article from the New York Post, about how TIAA-CREF had paid $3,158 per square foot for a building in the Meatpacking area of Manhattan (a record for the area), which isn’t far from where I lived for several years in the mid-2000s.

For those of you who aren’t aware, TIAA-CREF stands for Teachers Insurance and Annuity Association – College Retirement Equities Fund. According to the company’s own website, it:

We specialize in the distinctive needs of those who work in the academic, research, medical and cultural fields. We’re here to listen to you, to advise you, and to help you feel confident about making financial decisions.

So it essentially manages the investments of people who know the least about investing, i.e., muppets. As such, it came as no surprise that TIAA-CREF might serve as an important bag-holding vehicle for bubble assets just before a fall, tempted by juicy 4% yields. As my friend noted: “In other words, teachers and nurses are shattering property records to fund their retirement.”

Here are some excerpts from the article:

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Pure Hypocrisy – As Government Spies on Millions of Americans’ Cars, Police Want Google to Ban Cop Tracking Feature on App

Screen Shot 2015-01-27 at 4.02.19 PMSometime last year, a friend introduced me to the Waze App, which Google had purchased for $966 million in 2013. I immediately thought the concept was awesome, particularly the feature that allows users to crowdsource information on where police are stationed. Considering how dangerous interactions with police have become, with theft or death being an increasingly real possibility, the idea seemed helpful.

Well fast forward a few months, and we find out that several sheriffs are actively campaigning to make Google disable the feature. This is simply incredible to me, since this would effectively be a ban on people informing each other voluntarily where police may be present. A ban on the exchange of information between citizens.

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Meet the Extreme Super Rich – A List of the 80 People Who Own as Much as the World’s Poorest 3.6 Billion

Screen Shot 2015-01-27 at 1.41.05 PMBefore I get into the meat of this post, I want to make it clear that the definition of oligarch, a term I use a lot, does not center solely around money.

Late last year, in the post Inside the Mind of an Oligarch – Sheldon Adelson Proclaims “I Don’t Like Journalism,” I attempted to frame the word oligarch as I use it. I wrote the following:

In a nutshell, while many oligarchs are extremely wealthy (or have access to extreme wealth), not all people with extreme wealth are oligarchs. The term oligarch is reserved for those with extreme wealth who also want to control the political process, policy levers and most other aspects of the lives of the citizenry in a top-down tyrannical and undemocratic manner. They think they know best about pretty much everything, and believe unelected technocrats who share their worldview should be empowered so that they can unilaterally make all of society’s important decisions. The unwashed masses (plebs) in their minds are unnecessary distractions who must to be told what to do. Useless eaters who need to be brainwashed into worshipping the oligarch mindset, or turned into apathetic automatons incapable or unwilling to engage in critical thought. Either outcome is equally acceptable and equally encouraged.

With that out of the way, Five-Thirty-Eight provided the following:

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Comcast Cronyism – How Politicians are Sending Letters Written by Comcast to the FCC as Evidence of Grassroots Support for Time Warner Merger

Screen Shot 2015-01-27 at 11.55.08 AMOn August 21st, 2014, Mayor Jere Wood of Roswell, Georgia, sent a letter to the Federal Communications Commission expressing emphatic support for Comcast’s controversial effort to merge with Time Warner Cable. Not only did the mayor’s letter express personal excitement for the gargantuan deal — which critics say will create a monopoly that will harm millions of consumers — but it also claimed that the entire town of Roswell adored Comcast. “When Comcast makes a promise to act, it is comforting to know that they will always follow through,” Wood’s letter explained. “This is the type of attitude that makes Roswell proud to be involved with such a company,” the letter asserts, “our residents are happy with the services it has provided and continues to provide each day.”

Yet Wood’s letter made one key omission: Neither Wood nor anyone representing Roswell’s residents wrote his letter to the FCC. Instead, a vice president of external affairs at Comcast authored the missive word for word in Mayor Wood’s voice. According to email correspondence obtained through a public records request, the Republican mayor’s office apparently added one sign-off sentence and his signature to the corporate PR document, then sent it to federal regulators on the official letterhead of Roswell, Georgia.

– From The Verge article: Exclusive: Politicians are Supporting Comcast’s TWC Merger with Letters Ghostwritten by Comcast

So what does a mega corporation do when there’s no grassroots support for a mega merger? Invent grassroots support, naturally.

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Edward Snowden Won’t Use an iPhone – Here’s Why

Screen Shot 2015-01-26 at 3.12.43 PM Cell phones are tracking devices that make phone calls.

– Jacob Appelbaum

The above line is one of my favorite quotes describing the current world we inhabit. A succinct description of modern civilization; a place where global connectivity has never been greater, but neither has warrantless surveillance.

With that in mind, here’s what Snowden had to say about the iPhone. From Yahoo:

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As the Middle Class Evaporates, Global Oligarchs Plan Their Escape from the Impoverished Pleb Masses

The middle class has shrunk consistently over the past half-century. Until 2000, the reason was primarily because more Americans moved up the income ladder. But since then, the reason has shifted: There is a greater share of households on the lower rungs of the economic ladder.

– From yesterday’s New York Times article: Middle Class Shrinks Further as More Fall Out Instead of Climbing Up

At a packed session in Davos, former hedge fund director Robert Johnson revealed that worried hedge fund managers were already planning their escapes. “I know hedge fund managers all over the world who are buying airstrips and farms in places like New Zealand because they think they need a getaway,” he said.

– From the Guardian’s article: As Inequality Soars, the Nervous Super Rich are Already Planning Their Escapes

So the other day, President Barack Obama once again demonstrated his contempt for the American public by using his State of the Union address to pejoratively blurt out meaningless phrases such as “but tonight, we turn the page” and: “The verdict is clear. Middle-class economics works. Expanding opportunity works. And these policies will continue to work, as long as politics don’t get in the way.”

Sorry, but why are “we turning the page” tonight? Weren’t you elected over six years ago? Why didn’t you turn the page in 2009?

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