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It is Mother's Day weekend, so I will be spending sparse time on the blog, but I will have some very interesting stuff concerning the government and the banking sector over the next 48 hours or so. In preparation for the posts I urge all readers, visitors and subscribers to familiarize themselves with both the technical, laymen, and legal definitions of "Fraud". Methinks that some members of the government and many of the big banks are, to put it in colloquial terms, "Busted"!

I really would appreciate a grass roots group effort from the legal  minds and academics in the audience as well as I lay out the evidence and framework of what I believe to be the biggest web of deceit in the history of the finance industry. For your reference:

Wikipedia on Fraud (this is the actual definition from Wikipedia, seriously):

In the broadest sense, a fraud is an intentional deception made for personal gain or to damage another individual. The specific legal definition varies by legal jurisdiction. Fraud is a crime, and is also a civil law violation. Defrauding people of money is presumably the most common type of fraud... In criminal law, fraud is the crime or offense of deliberately deceiving another in order to damage them - usually, to obtain property or services unjustly. [1] Fraud can be accomplished through the aid of forged objects. In the criminal law of common law jurisdictions it may be called "theft by deception," "larceny by trick," "larceny by fraud and deception," or something similar (ex. Stress tests, or PPIP).

Fraud for profit involves industry professionals. There are generally multiple loan transactions with several financial institutions involved (ex. PPIP). These frauds include numerous gross misrepresentations including: income is overstated, assets are overstated, collateral is overstated, the length of employment is overstated or fictitious employment is reported, and employment is backstopped by conspirators. The borrower's debts are not fully disclosed, nor is the borrower's credit history, which is often altered.

Now, I want all who participated in the secondary equity and bond offerings, in addition to all retail investor sheep who honestly bought financial stocks in this latest rally or those who lost money going short or bearish in it to keep this Wikipedia definition of fraud in their back pocket, for if it rings true (and I am no lawyer), my understanding that significant damages through the potential of RICO, securities fraud (a practice in which investors make purchase or sale decisions on the basis of false information, frequently resulting in losses, in violation of the securities laws) and a plethora of other remedies may be within reach if you suffer significant damages. You know, damages as in reality settling in, the truth escaping, these insolvent banks stocks dropping back down to earth along with all of your money. Again, I am no lawyer, but these are the thoughts and uneducated legal opinions that pop into a laymen's mind. My next post will start laying the groundwork that I used to come to these conclusions and opinions.