Here it is over a year later and now they are asking for this authority to unwind the TBTF (blackholebanks) only so that in case the public decides to actually object to more bankheists, they will have this one handy–keep an eye out, i am sure there will be something in the legislation to pass more free money to the banksters.

1) getting rid of accounting practices that legalize criminality…disallow off balance sheet transactions and SPE’s SPV’s…

2) Immediate and absolute reinstatement of Glass-Steagall Act, and give all firms 6 months to break up and put up the wall again.

3) Revoke TARP. Call for an investigation of all TARP recipients, their positions in Lehman CDS’s, and LEH shorts, and a retroactive audit to the day before Lehman was left to fail instead of giving them bank holding status and a 6 billion dollar bridge loan.

3) AUDIT THE FED per S604
( The link below directs you to a site where you can look up contact info for your local elected officials. Just type in your zip code, then your elected officials’ contact info pop’s up and a personalized letter is there for you to copy and paste into a letter for you to either email, fax or mail to your representatives, and senators. I suggest you also take this link, and this info and email it to ALL your contacts—if WE THE PEOPLE don’t use our power to VOTE, we may lose our republic! Our future has been robbed and it is time for justice!

http://www.ronpaul.com/2009-07-21/ron-paul-ask-your-senators-to-support-audit-the-fed-bill-s-604/ )

4) prepare to campaign against all senators who do not support auditing the fed…if there isn’t a 2/3 majority, a presidential veto will stick.

5) Insist that our legislators stop acting as bought and paid for puppets for the privately held federal reserve and the rest of the bank cartel.

6) Spread the word about our corrupt legislators and insist on their doing their job to represent the US citizens, not just the banking cartel.

7) Recognize that if we don’t stop the groupthink ideas that we are required to bail out banks, all American’s and all of our heirs will be enslaved to the machine that charges us interest for the whim of their bankheists.

8) I am for everyone reading The Creature from Jekyll Island.

9) I am for believing that there are enough good people in our country to require the current criminals legislating to either act right, or to leave and let honest public servants take their place.

Has it now become “provocative” to want a stable banking system where we don’t have to go through 6+ iterations during crisis time to make sure deposits are stable and safe from robbery of some guys working in the derivatives/CDS department??? I wonder what wealthy suburb Tarullo grew up in???

http://americaspeaksink.com/2009/10/charlie-crist-and-the-film-outrage/

Even if we could solve the administration problems we might find we have initiated a tax revenue source but the original problem is still alive and kicking.

Then again we would find some places offering a ‘no tax’ business regime. Two guys exchanging a piece of paper would be anonymous in extremis?

Allowing an investment bank to roll the dice with trading and savings bank funds topped up with taxpayer dollars is the main problem so separating trading and investment banking is as essential and feasible now as it was in the 1930′s. Benefits targeted would be:-
1. Fix TBTF problem immediately and no public funds required
2. Choke off lifeblood to the gambling habit

Other solutions required for
a. Dark pool sleight of hand tricks (same day registration of off-market deals?)
b. Foreign dealing evasion (limit legality – tax at registration, Basel III?)
c. True asset vslues and business health concealed – (restore mark-to-market. Market offer, even zero, is the valuation).

Note: progressive hits on the problem set are possible and probably more politically acceptable?
Maybe something like this could be connected with your tax idea?

An organization takes its character from the top down, and the prevailing “tone at the top” of these institutions is one of self-absorbed greed and hunger for power. It is that value system that has lead to the predicament in which we now find ourselves, and that will not change by putting temporary governors on executive compensation that likely can be circumvented, directly or indirectly in some fashion. The same executives with those same amoral value systems are still at the helm.

Because of the marginal utility of the dollar, at some relatively low level additional salary or bonuses makes little or no change in an executive’s lifestyle. Hence, money becomes increasingly inefficient – probably on a geometric basis – above that point as an incentive. And at that point, additional compensation only becomes a proxy for power, and power is VERY expensive to buy. Thus, we are seeking to have our companies in the hands of those who are power hungry.

Contrast, if you will, the compensation given to our great generals: what incentive did we have to give Patton, Bradley, Marshall, MacArthur or, more recently, Powell, Schwarzkopf or Petreus? While generals do live as emperors while they are in power, they do not cost our country substantial sums. These men are, however, motivated by their sense of honour, of duty.

Note, too, that the vast majority of highly successful entrepreneurs who create massive enterprises do not seek to pillage their companies for $100MM compensation packages. That is because they have the unselfish team and service driven value system that nurtures a company, and that dos not create a culture of greed, avarice and hunger for power for self aggrandizement purposes.

We need to change the culture, or render them less powerful.

Richard L Wise
RLW@WiseAdvice.biz

But as Wendy points out the political issues are what matters here – and the political points have to be made straight-forward so that the public understands what is at stake.

In a democracy, the ONLY institution that can be “Too Big To Fail” is our nation. Look, we have CITIES that have gone into bankruptcy. For financial institutions to assert a TBTF status is tantamount to their takeover of our political system. A silent revolution is underway.

A tax of 2% on $600 trillion derivative contracts would produce $12 trillion, roughly equal to the principal of our National Debt. Disclosure of derivative bets would make most of them useless for evading tax and regulatory laws. The only reason not to tax and register derivatives is to continue enabling banker fraud.

paskudnyaks.blogspot.com details proposed legislation.

why not get some smart legal minds with real world paper-pushing experience into conclave and let them come up with a system that synchs interest rates and revenues and thus makes the feasting painful???

preaching manners/consideration/behaviour is just pathetic and makes the preachers look like helpless victims

http://www.slate.com/id/2233310/

“Companies that liberated themselves from the shackles of the TARP are feasting on low-interest rates and other government efforts to prop up markets—and they’re partying like its 2007.”

Late nite musings. Lite throneroom reading.

The vacant lot: Lay the new foundation. (Let’s see how far we can push the analogy). IIRC, Paul Krugman is a big fan of Asimov’s Foundation series. Maybe worthwhile to talk to him to see if this informs his thoughts on long-term planning. Before we begin the framework, we need a consensus regarding the shape and dimensions of the final structure. How do we work towards a consensus? Perhaps we need to demoralize the citizens of the most powerful countries — put them through a depression, and maybe even a war. During the depression, folks will clamor for a strong leader who will tell them how to organize, and how to contribute for the good of the whole. This leader will be able to spoon-feed them the consensus. (Not my idea of how to do it; just my idea of what’s happening).

If you want to engineer consensus on a global scale, you’ve got create a huge common enemy. Global Warming seems to fit that bill, and swine flu. These two threats and others, if needed, will catalyze international cooperation; get everyone rowing together.

Anything built will probably only need to last 50-100 years as science threatens to obviate many of our meat-based activities like working, eating, etc.

I just don’t see patching up the old cottage anymore. Its foundation is crumbling to dust.