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Note: Explore our full index to revealing excerpts of key major media news articles on dozens of engaging topics. And read excerpts from 20 of the most revealing news articles ever published.

Former President Jimmy Carter issued a blistering indictment of the U.S. electoral process ..., saying it is shot through with "financial corruption" that threatens American democracy. Carter said "we have one of the worst election processes in the world right in the United States of America, and it's almost entirely because of the excessive influx of money." The 39th president lamented a recent U.S. Supreme Court decision that allows unlimited contributions to third-party groups that don't have to disclose their donors. The dynamic is fed, Carter said, by an income tax code that exacerbates the gap between the wealthiest Americans and the rest of the electorate, allowing the rich even greater influence over public discourse and electioneering. He added that he hopes the "Supreme Court will reverse that stupid ruling," referring to the case known as Citizens United. He said the United States should return to publicly financed elections for president. The system technically is still in place, but it is voluntary and both President Barack Obama and Republican challenger Mitt Romney have chosen to bypass the taxpayer money because they can amass far more on their own. "You know how much I raised to run against Gerald Ford? Zero," Carter said, referring to his 1976 general election opponent. "You know how much I raised to run against Ronald Reagan? Zero. You know how much will be raised this year by all presidential, Senate and House campaigns? $6 billion. That's 6,000 millions."

Note: For deeply revealing reports from reliable major media sources on our dysfunctional electoral system, click here.

Once again John Paulson is choosing to heavily invest in gold and fellow billionaire George Soros is making a similar bet. Paulson & Co. and Soros Fund Management bumped up exposure to SPDR Gold Trust to 21.8 million shares and 884,000 shares, respectively. The decision by Soros is an interesting one. In 2010, Soros called gold “the ultimate bubble” during an appearance on Reuters television. Paulson & Co. now has 44 percent of its $24 billion fund exposed to bullion. Peter Sorrentino, a senior portfolio manager at Huntington Funds, ... said consumers should not rush out and buy gold. “Historically these moves span roughly a decade and while the last phase is typically the most explosive, the risk is getting out before it rolls over. Sorrentino said ... “the fundamentals behind gold such as available supply coming to market and end demand have not changed in any material way. In fact, gold purchase by central banks in the pacific rim, India and Russia have reached new highs. So from an investor psychology and supply/demand perspective, this looks like every cycle before it during the last decade.” But, despite big bets by two of the nation’s billionaires, he continued, “…There is an old saying among Wall Street traders; ’It’s said with a whisper and not with a shout, when the widows and orphans get in, it’s time to get out.’”

Note: A Fox News report also shows unusually high purchases of gold from central banks, mostly those of developing nations. Yet the price of gold has remained relatively stable in the last 10 months (between $1,550 and $1,800/oz) after rising from around $250/oz in 2002 up to $1,900/oz in August of 2011. Could these purchases be indicators of rocky financial times in the near future? A gold dealer informed WTK founder Fred Burks that gold prices tend to stabilize in election years, which you can verify using the charts at this link.

Authorities granted protesters a four-month extension to continue occupying Freedom Plaza in D.C.. A deadline for protesters with the October 2011/Stop the Machine demonstration to pack up and leave Freedom Plaza came and went Monday afternoon. The protesters were given until 2 p.m. to break down their stage and other equipment after their original four-day permit expired Sunday. While the protesters cleaned the space and took down the stage where they led rallies, made speeches and played music, they didn't leave. At about 2 p.m. Monday, Park Police went to Freedom Plaza and requested a private meeting with protest organizers. They met at National Park Service headquarters about 4 pm. Before leaving Freedom Plaza, the organizers told the crowd they'd stay until they're ready to leave. The organizers returned to a round of applause when they told demonstrators that authorities offered the four-month extension. Park Police realized it was not in their best interests to shut the demonstrators down or make arrests, organizers said, and asked if demonstrators needed to be arrested to make their point. The organizers replied that they don’t need to be arrested over a permit issue and want their issues addressed.

Note: For lots more on the reasons why people all over the world are occupying their city centers, check out our "Banking Bailout" news articles.

In a major legal action alleging misdeeds in the mortgage business, New York's attorney general [Andrew Cuomo] has accused appraisers of helping fuel the nation's foreclosure crisis by pumping up home values at the behest of lenders and other real estate professionals. The lawsuit said that First American eAppraiseIT, a subsidiary of Fortune 500 company First American Corp., caved in to pressure from Washington Mutual to rely on "proven appraisers" who were willing to inflate home prices. Washington Mutual profited from the artificially high appraisals because they allowed the company to close more home loans at greater values, the lawsuit said. First American, a provider of business information, title insurance and related services, wanted to win more business from Washington Mutual, the suit said. The lawsuit comes in the midst of the nation's subprime lending crisis, which industry experts say could cause up to 2 million homes to be lost to foreclosure over the next couple of years. Most subprime foreclosures are caused by a confluence of two factors: mortgage payments that rise when adjustable loans reset, and home prices that are lower than the amount owed on the mortgage. A moribund real estate market has caused prices to flatten or fall. But if home prices were artificially high to begin with - which would be the case if appraisers inflated values, as the lawsuit alleged - the likelihood increases of homeowners owing more on the mortgage than their properties are worth. Cuomo said fraudulent appraisal practices were pervasive in the industry. At a news conference announcing the lawsuit, he said lenders, mortgage brokers, real estate agents and others frequently pressured appraisers to "come in with the right number, the number that justifies the transaction" so that everyone in the chain would receive commissions.

The global financial system has become dangerously unstable and faces an avalanche of bankruptcies that will test social and political stability, a leading monetary theorist has warned. "The situation is worse than it was in 2007. Our macroeconomic ammunition to fight downturns is essentially all used up," said William White, the Swiss-based chairman of the OECD's review committee and former chief economist of the Bank for International Settlements (BIS). "It will become obvious in the next recession that many of these debts will never be serviced or repaid, and this will be uncomfortable for a lot of people who think they own assets that are worth something," he told The Telegraph on the eve of the World Economic Forum in Davos. The warnings have special resonance since Mr White was one of the very few voices in the central banking fraternity who stated loudly and clearly between 2005 and 2008 that Western finance was riding for a fall, and that the global economy was susceptible to a violent crisis. Combined public and private debt has surged to all-time highs to 185pc of GDP in emerging markets and to 265pc of GDP in the OECD club, both up by 35 percentage points since the top of the last credit cycle in 2007. Mr White, who is also chief author of G30's recent report on the post-crisis future of central banking, said it is impossible know what the trigger will be for the next crisis since the global system has lost its anchor and is inherently prone to breakdown.

Note: Since the bailout in 2008, the percentage of US banking assets held by the big banks has almost doubled. Will big banks move to avert the next financial crisis when crisis has proven so profitable for them? For more along these lines, see concise summaries of deeply revealing news articles about corruption in government and in the financial industry.

A little-noticed report on candidates for an open spot on the Securities and Exchange Commission (SEC) reaffirms that the reformist wing of the Democratic Party is winning the tactical battle over financial regulatory personnel. Luis Aguilar, one of three Democratic SEC commissioners on the five-member panel, announced he would step down in May. Initially, the White House floated as a replacement Keir Gumbs, who has passed ... from SEC staff to the white-collar corporate law firm Covington & Burling. Covington & Burling counts most major U.S. banks among its clients, and is the home of former Attorney General Eric Holder and several of his top deputies. While at Covington, Gumbs allegedly gave CEOs tutorials on how to avoid disclosing their corporate political spending. He also represented the American Petroleum Institute before the SEC. Months of criticism of both Gumbs and the SEC’s bank-friendly practices created a delay, with the White House agreeing to vet additional candidates. The Obama administration, despite a clear preference for moderates with Wall Street ties for financial regulatory positions, now must consider a far broader range of personnel. By forming a united front, [party reformers make] it more difficult for future Democratic administrations to use Wall Street as a policymaker talent pool. This significantly changes the landscape of the party, regardless of individual candidate views or the desires of Wall Street-aligned donors.

Note: According to the New York Times, the lines between Washington and Wall Street are blurred. Are government officials finally getting serious about about financial industry corruption?

The rising crescendo of bickering and acrimony within Europe might seem to outsiders to be the inevitable result of the bitter endgame playing out between Greece and its creditors. In fact, European leaders are finally beginning to reveal the true nature of the ongoing debt dispute: it is about power and democracy much more than money and economics. Of course, the economics behind the programme that the "troika" (the European Commission, the European Central Bank, and the International Monetary Fund) foisted on Greece five years ago has been abysmal, resulting in a 25% decline in the country's GDP. I can think of no depression, ever, that has been so deliberate and had such catastrophic consequences: It is startling that the troika has refused to accept responsibility for any of this or admit how bad its forecasts and models have been. But what is even more surprising is ... the troika is still demanding that Greece achieve a primary budget surplus (excluding interest payments) of 3.5% of GDP by 2018. Economists around the world have condemned that target as punitive, because aiming for it will inevitably result in a deeper downturn. Indeed, even if Greece's debt is restructured beyond anything imaginable, the country will remain in depression if voters there commit to the troika's target. Almost none of the huge amount of money loaned to Greece has actually gone there. It has gone to pay out private-sector creditors – including German and French banks. Greece has gotten but a pittance, but it has paid a high price to preserve these countries' banking systems.

Note: Joseph E. Stiglitz, a Nobel laureate in economics, is a professor at Columbia University. Note that as a result of the troika's austerity measures instituted five years ago, Greece’s rate of youth unemployment now exceeds 60%. For more along these lines, see concise summaries of deeply revealing news articles on government corruption from reliable major media sources.

Front companies in the UK are at the heart of an investigation into ... a conspiracy to make $20bn (Ł12.5bn) of dirty money look legitimate. The funds are believed to have come from major criminals and corrupt officials around the world. An investigation by The Independent and the Organised Crime and Corruption Reporting Project, an NGO, has identified dozens of ... front companies in the UK which carried out massive phoney business deals between themselves. These front companies then sued each other in courts in Moldova, demanding the repayment of hundreds of millions of pounds of loans. A judge in Moldova ... would rule in favour of the claimant company, which would then receive the cash from the other front firm – with an all-important signed court document ordering the debt to be paid. But rather than being transferred from one legitimate British company to another, the funds were being routed from Russia, where gangs from around the world go to launder money from corruption, drug dealing, prostitution and people smuggling. Their tainted money would first be put into the UK front companies’ accounts in Moldova before being transferred to another bank in Latvia. This final stage adds to the dirty money’s “clean” appearance. The UK bank accounts involved include ones at UBS in London, HSBC, RBS, NatWest and Citibank.

Note: Here is a diagram of this complex international money laundering scam. For more along these lines, see these concise summaries of deeply revealing articles about widespread corruption in government and banking and finance.

The question in the background of Noam Scheiber's exploration of whether Elizabeth Warren could challenge Hillary Clinton in 2016 is whether, come 2015, Democrats will care very much about cracking down harder on Wall Street. An issue-based challenger needs two things to pose a serious threat to a front-runner. One is an issue that differentiates them from the front-runner. The other is for that issue to be foremost in the minds of voters. Scheiber points out that Warren's background isn't just Wall Street reform. It's protecting the middle class. The Two-Income Trap was a seminal book in defining the mounting pressures on working Americans. And Warren has long tried to protect that dimension of her work from being eclipsed by her unexpected turn as a finreg rockstar. But concern for the middle class doesn't, by and large, differentiate her from Clinton. Clinton, like Warren, believes in higher taxes on the rich and universal health care and higher-education costs and universal pre-k and so on. The danger for Clinton is if Warren is able to persuade Democrats that cracking down on Wall Street reform is the key to helping the middle class or -- perhaps more plausibly -- opposing inequality. On a policy level, that's a harder case to make. But on an emotional, who's-on-your-side level, it might work.

Note: For an excellent video showing the courage and forthrightness of Elizabeth Warren, click here. For more on government corruption, see the deeply revealing reports from reliable major media sources available here.

Lazy people on social services, a spree of borrowed money. That's how the Greek people are being portrayed. But like Wall Street, the streets of Athens are like a crime scene. The Greek people [are] victims of a fraud and cover-up. Greg Palast is a renowned investigative reporter and author of the new book Vultures' Picnic: In Pursuit of Petroleum Pigs, Power Pirates, and High-Finance Carnivores. Greg, how is it that a bank can lend money to a country that has an economy smaller than Dallas, at a level that is this big? Palast: Greece is a crime scene. Goldman Sachs, beginning in 2001 [or] 2002 ... cut a deal to secretly take euros out of the Greek treasury, convert them to yen, convert them back to euros. This is through some fancy derivative action. Goldman takes a multi-billion dollar loss. The Greek government gets a gain. There's no deficit in the Greek treasury. It's only 3%. The Greek economy looks good. Goldman doesn't take billions of dollars in losses. It's a fraud. They've cut a secret deal to get that money back and then some. Goldman charged about $300, $400 million to pull off this scam.

Note: For lots more from reliable sources on the chicaneries of central banks and financial corporations, click here. For other powerful reporting by journalist Greg Palast, click here.

"The facts in the report speak for themselves, but the principles it describes could apply to funds throughout the United States and overseas." That's attorney Philip Khinda, talking about the 75-page report he delivered last week to the California Public Employees' Retirement System on dealings involving former senior executives and board members with so-called placement agents, and how the latter got tens of millions of dollars in questionable fees for their services. The report is the culmination of a 17-month investigation headed by Khinda, a partner at the Washington law firm Steptoe & Johnson, which was hired by CalPERS for the job. Citing the $800 million a year CalPERS was paying out in fees, the report concludes that "the excessive nature created an environment in which external managers were willing and able to pay fees at a level that bore little or no relationship to the services apparently provided by the placement agents ... Many of the abuses relating to placement agent arrangements were, in a sense, a symptom of a larger problem." That larger problem applies, in part, to funds throughout the United States and overseas, ranging from other public pension funds to sovereign wealth funds investing in the United States. With the amount of money at stake, the fat fees involved, and the various middlemen looking for a piece, events similar to what transpired at CalPERS could just as easily appear elsewhere.

Note: For a treasure trove of reports by major media sources on the collusion between government and financial corporations against the public interest, click here.

Julian Assange, the WikiLeaks founder, today pledged to make public the confidential tax details of 2,000 wealthy and prominent individuals, after being passed the data by a Swiss banker who claims the information potentially reveals instances of money-laundering and large-scale illegal tax evasion. Rudolf Elmer, formerly a senior executive at the Swiss bank Julius Baer, based in the Cayman islands, said he was handing the data to WikiLeaks as part of an attempt "to educate society" about the amount of potential tax revenues lost thanks to offshore schemes and money-laundering. "As [a] banker, I have the right to stand up if something is wrong," he said. "I am against the system. I know how the system works and I know the day-to-day business. I want to let society know how this system works because it's damaging our society," he said. Elmer will appear in a Swiss court on Wednesday charged with breaking Swiss banking secrecy laws, forging documents and sending threatening messages to two officials at his former employer. He denies the charges. Assange ... said he would pass the information to the Serious Fraud Office(SFO), examine it to ensure sources were protected, and then release it on the WikiLeaks site, potentially within "a couple of weeks".

Note: For lots more from reliable sources on how the rich cheat the rest with help from lax regulations, click here.

Hillary Rodham Clinton and Barack Obama, who are running for president as economic populists, are benefiting handsomely from Wall Street donations, easily surpassing Republican John McCain in campaign contributions from the troubled financial services sector. It is part of a broader fundraising shift toward Democrats, compared to past campaigns when Republicans were the favorites of Wall Street. The flow of campaign cash is a measure of how open-fisted banks and other financial institutions have been to politicians of both parties. Concern is rising that "no matter who the Democratic nominee is and who wins in November, Wall Street will have a friend in the White House," said Massie Ritsch of the nonprofit Center for Responsive Politics, which tracks campaign donations. "The door will be open to these big banks." Sen. Clinton of New York is leading the way, bringing in at least $6.29 million from the securities and investment industry, compared with $6.03 million for Sen. Obama of Illinois and $2.59 million for McCain. Those figures include donations from the investment companies' employees and political action committees. The candidates' receipts reflect a broader trend that demonstrates how money follows power in Washington. It suggests that the nation's money managers are betting heavily that either Clinton or Obama will capture the White House and that Democrats will retain control of Congress. "What that Wall Street money means is that few people in Washington, including the leading presidential candidates, say a thing when the government moves to bail out Wall Street before it helps homeowners," said David Sirota, a liberal activist and former congressional aide.

Note: For more insight into the relationship between big finance and big government, click here.

A new congressional analysis shows the Iraq war is now costing taxpayers almost $2 billion a week -- nearly twice as much as in the first year of the conflict three years ago and 20 percent more than last year -- as the Pentagon spends more on establishing regional bases. The total cost of military operations at home and abroad since 2001...will top half a trillion dollars. The spike in operating costs -- including a 20 percent increase over last year in Afghanistan, where the mission now costs about $370 million a week -- comes even though troop levels in both countries have remained stable. [A] major factor...is "the building of more extensive infrastructure to support troops and equipment in and around Iraq and Afghanistan," according to the report. Based on Defense Department data, the report suggests that the construction of so-called semi-permanent support bases has picked up in recent months, making it increasingly clear that the US military will have a presence in both countries for years to come. The United States maintains it is not building permanent military bases in Iraq or Afghanistan. "You would expect [operating costs] to level off if you have the same level of people," said the report's principal author, Amy Belasco, a national defense specialist at the Congressional Research Service. "It's a bit mysterious." The Pentagon has not provided Congress with a detailed accounting of all the war funds, making it impossible to conduct a full, independent estimate.

Note: Many hundreds of billions of dollars have been reported missing by top media sources. Do you think it's possible there might be some corruption going on here?

For the ninth consecutive year, certain material weaknesses in internal control and in selected accounting and financial reporting practices resulted in conditions that continued to prevent GAO from being able to provide the Congress and American people an opinion as to whether the consolidated financial statements of the U.S. government are fairly stated in conformity with U.S. generally accepted accounting principles. Until the problems discussed in GAO's audit report on the U.S. government's consolidated financial statements are adequately addressed, they will...hinder the federal government from having reliable financial information to operate in an economical, efficient, and effective manner. The cost to operate the federal government--increased to $760 billion in fiscal year 2005 from $616 billion in fiscal year 2004. This represents an increase of about $144 billion or 23 percent. The federal government's gross debt was about $8 trillion as of September 30, 2005. The federal government's fiscal exposures now total more than $46 trillion, representing close to four times gross domestic product (GDP) in fiscal year 2005 and up from about $20 trillion...in 2000.

Note: For the full 20-page GAO report on the sad state of U.S. government finances, click here. For the text-only version, click here. The GAO is one of the few branches of government which works hard to prevent corruption. Why didn't this devastating report get any press coverage? Why does the media fail to inform the public that the Pentagon cannot account for literally trillions of dollars? (see CBS article on this) For possible answers, see our highly informative mass media summary.

As record numbers of homeowners default on their mortgages, questionable practices among lenders are coming to light in bankruptcy courts, leading some legal specialists to contend that companies instigating foreclosures may be taking advantage of imperiled borrowers. Because there is little oversight of foreclosure practices and the fees that are charged, bankruptcy specialists fear that some consumers may be losing their homes unnecessarily or that mortgage servicers, who collect loan payments, are profiting from foreclosures. Bankruptcy specialists say lenders and loan servicers often do not comply with even the most basic legal requirements, like correctly computing the amount a borrower owes on a foreclosed loan or providing proof of holding the mortgage note in question. “Regulators need to look beyond their current, myopic focus on loan origination and consider how servicers’ calculation and collection practices leave families vulnerable to foreclosure,” said Katherine M. Porter, associate professor of law at the University of Iowa. In an analysis of foreclosures in Chapter 13 bankruptcy, the program intended to help troubled borrowers save their homes, Ms. Porter found that questionable fees had been added to almost half of the loans she examined, and many of the charges were identified only vaguely. Collectively they could raise millions of dollars for loan servicers at a time when the other side of the business, mortgage origination, has faltered. In one example, Ms. Porter found that a lender had filed a claim stating that the borrower owed more than $1 million. But after the loan history was scrutinized, the balance turned out to be $60,000. And a judge in Louisiana is considering an award for sanctions against Wells Fargo in a case in which the bank assessed improper fees and charges that added more than $24,000 to a borrower’s loan.

With its dollar hoard rising at $17 billion a month and about to pass the $1 trillion mark, Beijing is finding out that it is possible to have too much money. Beijing's growing dollar hoard represents the most dangerous imbalance in today's global economy. The United States is both importing heavily from China and borrowing heavily from the country to finance those purchases, pushing the dollar down and putting the two economic superpowers on a collision course.

U..S. non-farm payrolls data—arguably the most closely watched indicator in the world's largest economy—are revised so often and by so much that they can't be trusted, some strategists argued yesterday. Their comments come after Friday's report for October showed huge upward revisions for job creation in August and September. And last month, the Bureau of Labour Statistics said 810,000 more jobs were created between March, 2005, and March, 2006, than originally thought—the biggest revision ever made to the data. "How can you trust a non-farm payroll report that shows such massive revisions—we have never seen this before to such an extent," David Rosenberg, North American economist at Merrill Lynch & Co., railed in a note to clients. The U.S. report—which measures the creation of non-agricultural jobs—is usually released on the first Friday of the month and provides the earliest economic snapshot of the previous month. It tends to be one of the top market-moving indicators, influencing stocks, bonds and currency markets in the U.S. and beyond. "We find it utterly comical and at times almost contemptible that some in our business still wish to trade pending this report," [investment guru] Dennis Gartman wrote in his newsletter yesterday. "Such is nonsense, for the report itself is nonsense."

Important Note: Explore our full index to revealing excerpts of key major media news articles on several dozen engaging topics. And don't miss amazing excerpts from 20 of the most revealing news articles ever published.