Please donate here to support this vital work.
Revealing News For a Better World

News Stories
Excerpts of Key News Stories in Major Media


Below are highly revealing excerpts of key news stories from the major media that suggest major cover-ups and corruption. Links are provided to the full stories on their media websites. If any link fails to function, read this webpage. These news stories are listed by date posted. You can explore the same list by order of importance or by date of news story. By choosing to educate ourselves and to spread the word, we can and will build a brighter future.

Note: This comprehensive list of news stories is usually updated once a week. Explore our full index to revealing excerpts of key major media news stories on several dozen engaging topics. And don't miss amazing excerpts from 20 of the most revealing news articles ever published.


Yes, It Was Torture, and Illegal
2010-01-04, New York Times
Posted: 2010-01-11 12:17:31
http://www.nytimes.com/2010/01/04/opinion/04mon1.html

Bush administration officials came up with all kinds of ridiculously offensive rationalizations for torturing prisoners. It's not torture if you don't mean it to be. It's not torture if you don't nearly kill the victim. It's not torture if the president says it's not torture. It was deeply distressing to watch the United States Court of Appeals for the District of Columbia Circuit sink to that standard in April when it dismissed a civil case brought by four former Guantánamo detainees never charged with any offense. The court said former Secretary of Defense Donald Rumsfeld and the senior military officers charged in the complaint could not be held responsible for violating the plaintiffs' rights because at the time of their detention ... it was not "clearly established" that torture was illegal. The Supreme Court could have corrected that outlandish reading of the Constitution, legal precedent, and domestic and international statutes and treaties. Instead, last month, the justices abdicated their legal and moral duty and declined to review the case. The justices surely understood that their failure to accept the case would further undermine the rule of law. In effect, the Supreme Court has granted the government immunity for subjecting people in its custody to terrible mistreatment. It has deprived victims of a remedy and Americans of government accountability, while further damaging the country's standing in the world.

Note: For many reliable reports on the torture used by governments pursuing the "war on terror", click here.


Living on Nothing but Food Stamps
2010-01-03, New York Times
Posted: 2010-01-11 12:15:10
http://www.nytimes.com/2010/01/03/us/03foodstamps.html

About six million Americans receiving food stamps report they have no other income, according to an analysis of state data collected by The New York Times. In declarations that states verify and the federal government audits, they described themselves as unemployed and receiving no cash aid – no welfare, no unemployment insurance, and no pensions, child support or disability pay. Their numbers were rising before the recession as tougher welfare laws made it harder for poor people to get cash aid, but they have soared by about 50 percent over the past two years. About one in 50 Americans now lives in a household with a reported income that consists of nothing but a food-stamp card. Members of this straitened group range from displaced strivers ... to weathered men who sleep in shelters and barter cigarettes. Some draw on savings or sporadic under-the-table jobs. Some move in with relatives. Some get noncash help, like subsidized apartments. While some go without cash incomes only briefly before securing jobs or aid, others rely on food stamps alone for many months. The surge in this precarious way of life has been so swift that few policy makers have noticed. But it attests to the growing role of food stamps within the safety net. One in eight Americans now receives food stamps, including one in four children.

Note: For revealing reports from major media sources on increasing income inequality, click here.


Scientists say dolphins should be treated as 'non-human persons'
2010-01-03, Times of London
Posted: 2010-01-11 12:12:04
http://www.timesonline.co.uk/tol/news/science/article6973994.ece

Dolphins have been declared the world's second most intelligent creatures after humans, with scientists suggesting they are so bright that they should be treated as "non-human persons". Studies into dolphin behaviour have highlighted how similar their communications are to those of humans and that they are brighter than chimpanzees. These have been backed up by anatomical research showing that dolphin brains have many key features associated with high intelligence. The researchers argue that their work shows it is morally unacceptable to keep such intelligent animals in amusement parks or to kill them for food or by accident when fishing. Some 300,000 whales, dolphins and porpoises die in this way each year. "Many dolphin brains are larger than our own and second in mass only to the human brain when corrected for body size," said Lori Marino, a zoologist at Emory University in Atlanta, Georgia, who has used magnetic resonance imaging scans to map the brains of dolphin species and compare them with those of primates. Thomas White, professor of ethics at Loyola Marymount University, Los Angeles, who has written a series of academic studies suggesting dolphins should have rights, [said], "The scientific research ... suggests that dolphins are ‘non-human persons' who qualify for moral standing as individuals."

Note: For many reliable accounts of the wonderful intelligence of marine mammals and how they have been abused by human activities, click here.


The future of brain-controlled devices
2010-01-04, CNN
Posted: 2010-01-11 12:09:37
http://www.cnn.com/2009/TECH/12/30/brain.controlled.computers/index.html

Researchers are already using brain-computer interfaces to aid the disabled, treat diseases like Parkinson's and Alzheimer's, and provide therapy for depression and post-traumatic stress disorder. Work is under way on devices that may eventually let you communicate with friends telepathically, give you superhuman hearing and vision or even let you download data directly into your brain, a la "The Matrix." Researchers are practically giddy over the prospects. "We don't know what the limits are yet," says Melody Moore Jackson, director of Georgia Tech University's BrainLab. At the root of all this technology is the 3-pound generator we all carry in our head. It produces electricity at the microvolt level. But the signals are strong enough to move robots, wheelchairs and prosthetic limbs -- with the help of an external processor. One of the more controversial uses under development is telepathy. It would require at least two people to be implanted with electrodes that send and receive signals. DARPA, the Pentagon's technology research division, is currently working on an initiative called "Silent Talk," which would let soldiers on secret missions communicate with their thoughts alone. This stealth component is attractive, but naysayers fear that such soldiers could become manipulated for evil means.

Note: Remember that secret military research such as that undertaken by DARPA is often years ahead of capabilities publicly acknowledged.


Israel court rules Palestinians can use highway
2009-12-29, BBC News
Posted: 2010-01-11 12:05:39
http://news.bbc.co.uk/2/hi/middle_east/8434174.stm

Israel's Supreme Court has ordered the military to let Palestinians use a road that runs through the West Bank. Palestinians were barred from the Jerusalem to Tel Aviv Highway 443 in 2002 when militants shot dead a number of Israelis in their cars. The case was brought by Palestinians who live in the villages along the 12.5-mile (20-km) West Bank section of the road. Human rights groups hailed the decision saying it was "a huge victory". The court said the military did not have the authority to impose the kind of sweeping limitation that "in effect transforms the road into a route designed for 'internal' Israeli traffic alone". The road was built on land appropriated from the villagers. But villagers are prevented from getting on the highway by concrete barricades and military checkpoints along its length. The military have five months to implement the ruling and dismantle the barriers. It is the second time in recent months the court has ordered the military to open roads to Palestinians. The Association for Civil Rights in Israel, which provided legal representation to the Palestinians, said it was "a huge victory". But the ruling was condemned by Israeli right-wingers.


Generics chafe under big pharma's reform shadow
2009-12-26, CNN/Reuters News
Posted: 2010-01-11 12:03:03
http://money.cnn.com/news/newsfeeds/articles/reuters/MTFH92863_2009-12-24_22-...

The massive U.S. Senate healthcare reform measure passed ... with support from the multibillion drug industry, but makers of cheaper generic rivals are feeling left out in the cold. Generic drugmakers face several obstacles in the bill backed by Democrats that they worry will dampen a potential increase in use even as more people gain access to health insurance and prescription medicines. The hurdles include extensive protections against generic versions of pricey biotech medicines, an incentive for Medicare recipients to use more brand-name drugs, and a possible end to payments from brandname makers to delay the launch of copy-cat medicines. "The bill passed by the Senate unfortunately amounts to a treasure trove to brand drug companies," said Generic Pharmaceutical Association President Kathleen Jaeger. Bill Marth, chief executive of Teva's North American operations, said Democrats missed a chance to further boost [generics] use: "It's frustrating," he said. "Maybe some people have just lost sight of what the bill is supposed to do."

Note: For a powerful analysis by Dr. Marcia Angell, former editor in chief of the New England Journal of Medicine, of the corrupt relationship between the biggest pharmaceutical companies and the federal government, click here. Drug company lobbyists who contribute millions of dollars to the elections campaigns of Congress members have a huge influence which is often detrimental to public health.


President Obama's Secret: Only 100 al Qaeda Now in Afghanistan
2009-12-02, ABC News
Posted: 2010-01-11 11:59:05
http://abcnews.go.com/Blotter/president-obamas-secret-100-al-qaeda-now-afghan...

As he justified sending 30,000 more troops to Afghanistan at a cost of $30 billion a year, President Barack Obama's description ... of the al Qaeda "cancer" in that country left out one key fact: U.S. intelligence officials have concluded there are only about 100 al Qaeda fighters in the entire country. A senior U.S. intelligence official told ABCNews.com the approximate estimate of 100 al Qaeda members left in Afghanistan reflects the conclusion of American intelligence agencies and the Defense Department. The relatively small number was part of the intelligence passed on to the White House as President Obama conducted his deliberations. With 100,000 troops in Afghanistan at an estimated yearly cost of $30 billion, it means that for every one al Qaeda fighter, the U.S. will commit 1,000 troops and $300 million a year. At a Senate hearing, the former CIA Pakistan station chief, Bob Grenier, testified al Qaeda had already been defeated in Afghanistan. "So in terms of 'in Afghanistan,'" asked Sen. John Kerry, D-Mass., "they have been disrupted and dismantled and defeated. They're not in Afghanistan, correct?" "That's true," replied Grenier.

Note: For many reports raising profound questions about the realities of the "war on terror", click here.


Network of Wi-Fi-Enabled Cyborg Insects Hunts Down WMDs
2009-06-07, Popular Science magazine
Posted: 2010-01-11 11:57:28
http://www.popsci.com/military-aviation-amp-space/article/2009-06/insect-wifi...

In its attempts to quash weapons of mass destruction, the Pentagon has been trying novel ways to track down dangerous materiel. For years, DARPA [the Defense Advanced Research Projects Agency] has been trying to train insects and bugs to sniff out toxic substances, providing more sensitive detection, as well as access that conventional sensors might not have. The newest twist on this concept is a plan to link up armies of the cyborg bugs in a peer-to-peer, or insect-to-insect, network that will allow them to communicate with each other and with their human masters. This next approach will implant insects with a chip that reads certain muscle twitches, which correspond to the presence of certain chemicals. The chips will then modify the chirps of insects like cicadas or crickets into an electronic signal that could be transmitted to other chipped insects in the area. Information about detected weaponized chemicals could bounce around this mobile insect network, and then be picked up by humans. The idea of creating a decentralized communication network between free-roaming insects could radically increase the bugs' range of detection.

Note: For a video and more on this, see the New Scientist article at this link.


Kindness taught in Seattle school's online class
2009-12-26, Seattle Times (One of Seattle's leading newspapers)
Posted: 2010-01-11 11:54:35
http://seattletimes.nwsource.com/html/localnews/2010604939_kindnessclass27m.html

If you recently found a shiny gold dollar coin in downtown Bellevue, thank the kindness class. Ditto if you stumbled upon a piece of glass art in Pioneer Square, or a lottery ticket taped to a bus shelter with a note saying, "This may be your lucky day." Since mid-September, the 250 people in Puget Sound Community School's online course learned about kindness by practicing it. Along the way, they took emotional risks, repaired relationships, improved their outlook on the world, and realized that kindness is contagious. Signing up for the class "just felt like the right thing to do in order to step outside of myself and see the world as a helpful, kind place, as opposed to a frightening place," said Barbara Kyllingstad, of Seattle, who enrolled as a way to combat the isolation she's felt since she got laid off from Washington Mutual this year. "I feel a lot more peaceful and positive about the world." The phrase "random acts of kindness" first showed up at least a decade ago, a play on the expression "random acts of violence." Since then, books, movies and even national organizations have sprung up to keep the trend going. Puget Sound Community School's kindness class – now in its 15th year – is a homegrown example that this year drew a record number of students.


A Second Mortgage Disaster On The Horizon?
2008-12-14, CBS 60 Minutes
Posted: 2010-01-11 11:51:35
http://www.cbsnews.com/stories/2008/12/12/60minutes/main4666112.shtml

When it comes to bailouts of American business, Barney Frank and the Congress may be just getting started. It turns out the abyss is deeper than most people think because there is a second mortgage shock heading for the economy. If you thought sub-primes were insanely reckless wait until you hear what's coming. One of the best guides to the danger ahead is [investment fund manager] Whitney Tilson. "We had the greatest asset bubble in history and now that bubble is bursting. The single biggest piece of the bubble is the U.S. mortgage market and we're probably about halfway through the unwinding and bursting of the bubble," Tilson explains. "It may seem like all the carnage out there, we must be almost finished. But there's still a lot of pain to come in terms of write-downs and losses that have yet to be recognized." The trouble now is that the insanity didn't end with sub-primes. There were two other kinds of exotic mortgages that became popular, called "Alt-A" and "option ARM." The option ARMs, in particular, lured borrowers in with low initial interest rates - so-called teaser rates - sometimes as low as one percent. But after two, three or five years those rates "reset." They went up. And so did the monthly payment. A mortgage of $800 dollars a month could easily jump to $1,500. Now the Alt-A and option ARM loans made back in the heyday are starting to reset, causing the mortgage payments to go up and homeowners to default.

Note: For a six-minute video of this revealing article, click here. For lots more on the realities of the financial crisis, click here.


Coral Castle: Mysterious Monument to Lost Love
2008-02-01, ABC News
Posted: 2010-01-11 11:48:26
http://abcnews.go.com/GMA/story?id=4225517

Like the ancient wonders of Stonehenge or the Great Pyramids of Egypt, there is an incredible and mysterious creation right here in the United States. Coral Castle, in Homestead, Fla., just south of Miami, is an intricate rock garden made of enormous pieces of coral, many of them weighing several tons. But more amazingly, Coral Castle was built entirely by one man -- Latvian immigrant Ed Leedskalnin, who stood just 5 feet tall and weighed 100 pounds. To this day, no one knows how he did it. The castle is an extraordinary feat of engineering, and experts have puzzled over how Leedskalnin, who only had a fourth-grade education, constructed Coral Castle by himself. For example, how did this little man build a 9-ton coral gate constructed so precisely that you can push it open using one finger? There are many theories on how Leedskalnin accomplished this amazing feat. Some say he had help from extraterrestrials, others believe he discovered the secrets behind anti-gravity and levitation. Leedskalnin was a self-taught expert on magnetic currents, and one theory holds that he positioned the site to be perfectly aligned with Earth's poles to eliminate the forces of gravity, allowing him to move stones weighing several tons each. Even Albert Einstein couldn't figure it out.

Note: For a good video of this wonder, click here. For more information on this most intriguing phenomenon, click here. The unusual builder of this site claimed to know the secrets of the pyramids and even Einstein could not imagine how he did it.


Kentucky Town Re-Examines Its Racial History
2007-03-10, National Public Radio
Posted: 2010-01-11 11:45:07
http://www.npr.org/templates/story/story.php?storyId=7772527

David Slone arrived in the small Kentucky town of Corbin in 2005, seeking a haven after Hurricane Katrina ripped through his hometown of Biloxi, Miss. Slone didn't know until he arrived that he would be one of only a few blacks living in Corbin, a town still trying to come to terms with a troubled racial history. In 1919, more than 200 black men worked in Corbin. In what came to be known as Red Summer, white mobs shot and lynched dozens of blacks in more than two dozen locales from Chicago to the Mississippi Delta. Trouble came to Corbin the following fall. A mob drove nearly all the town's black residents to the train station. "They swore at us and said: 'By God we are going to run all Negroes out of this town tonight,'" said longtime black resident John Turner in a signed affidavit a few months after the incident. Between the Civil War and the 1920s, in Corbin and many other American towns, whites forcefully expelled virtually all blacks from their communities. In some cases more than a century has passed since blacks were driven out of these counties, and yet they still remain islands inhabited almost exclusively by whites. Anyone who carefully digs through the history of these islands will often find the evidence of these long-ago eruptions. Almost 90 years later, Corbin's leaders say their town is as welcoming to black people as any other. They just need a chance to prove it.

Note: In Buried in the Bitter Waters, Pulitzer Prize-winning journalist Elliot Jaspin writes about racial cleansings from Central Texas through Georgia. Click on the article link above to read an excerpt. For more on the devastating impact of Hurricane Katrina, click here.


Flight 253 hero recounts thwarting Christmas bombing attempt
2009-12-30, CNN
Posted: 2010-01-04 14:44:50
http://www.cnn.com/2009/US/12/30/terror.passenger.account

As Northwest Flight 253 made its final approach to Detroit on Christmas, the actions of one man put at risk the lives of nearly 300 passengers on the jetliner -- and the quick thinking of another helped prevent disaster. Jasper Schuringa, a Dutch filmmaker, appeared on CNN's "Larry King Live". "First, it was just 'bang,'" he said. "And you're trying to look around, like where's this bang coming from." Immediately afterward, someone screamed "Fire!" Schuringa said he noticed a man on the left side of the aisle, sitting still while on fire. "And he was still holding it in his hands. And I had to, like, rip the bomb out of his hands." Schuringa said the man just stared at him, but did not let go of whatever he was holding onto. Schuringa described how he yanked the object from the man, stamped out the fire with his hands and tossed it. Through it all, the man appeared dazed. "He was staring into nothing," Schuringa said. Among the passengers on the Friday flight were Wisconsin native Richelle Keepman and her family. On "Larry King Live" she [remembered] one odd detail. Amid the commotion, a man about 10 seats in front of Keepman was capturing it all with a camcorder. "It was definitely a little out of the ordinary," she said. "I mean, I don't know why he was standing up and we were supposed to be seated and he was filming it."

Note: There are many other very strange things related to this flight reported in the media. For those interested in exploring more verifiable facts around this incident, click here.


Ex-Homeland Security chief head said to abuse public trust by touting body scanners
2010-01-01, Washington Post
Posted: 2010-01-04 14:42:04
http://www.washingtonpost.com/wp-dyn/content/article/2009/12/31/AR20091231028...

Since the attempted bombing of a U.S. airliner on Christmas Day, former Homeland Security secretary Michael Chertoff has given dozens of media interviews touting the need for the federal government to buy more full-body scanners for airports. What he has made little mention of is that the Chertoff Group, his security consulting agency, includes a client that manufactures the machines. An airport passengers' rights group ... criticized Chertoff, who left office less than a year ago, for using his former government credentials to advocate for a product that benefits his clients. "Mr. Chertoff should not be allowed to ... privately gain from the sale of full-body scanners under the pretense that the scanners would have detected this particular type of explosive," said Kate Hanni, founder of FlyersRights.org, which opposes the use of the scanners. Chertoff's advocacy for the technology dates back to his time in the Bush administration. In 2005, Homeland Security ordered the government's first batch of the scanners. Today, 40 body scanners are in use at 19 U.S. airports. The number is expected to skyrocket at least in part because of the Christmas Day incident. The Transportation Security Administration this week said it will order 300 more machines.

Note: For lots more on the profiteering that underlies "the war on terror," click here.


Osama bin Laden’s missing family found in secret compound in Iran
2009-12-23, Times of London
Posted: 2010-01-04 14:37:53
http://www.timesonline.co.uk/tol/news/world/article6965756.ece

Osama bin Laden’s closest relatives are living in a secret compound in Iran, members of the family said. They include a wife and children who disappeared from his Afghan camp at the time of the 9/11 attacks on the United States. There has been uncertainty about the family’s whereabouts for the past eight years, with reports that some of the children had been killed in bombings. However, relatives said that they found out last month that the group, including one of Osama’s wives, six of his children and 11 of his grandchildren, had been kept in a high-security compound outside Tehran. Members of the bin Laden family are now appealing for the group to be allowed to leave Iran and described them as the “forgotten victims of 9/11”. Omar Ossama bin Laden, 29, [Osama bin Laden's] fourth-eldest son, said he had no idea that his brothers and sisters were still alive until they called him in November. They told him how they had fled Afghanistan just before the 9/11 attacks and walked to the Iranian border. They were taken to a walled compound outside Tehran where guards said they were not allowed to leave “for their own safety”.

Note: This article fails to mention that the US government secretly assisted many bin Laden family members to escape the US within days of the 9/11 attacks, as reported in the major media. For more on this, click here. For many other reports by the major media raising serious questions about the involvement of rogue elements of government in 9/11, click here.


Commons shut down, opposition furious
2009-12-31, Toronto Star (One of Canada's leading newspapers)
Posted: 2010-01-04 14:35:18
http://www.thestar.com/news/canada/article/744459--commons-shut-down-oppositi...

Furious opposition MPs accused Prime Minister Stephen Harper of muzzling the House of Commons after he moved for the second time in a little more than a year to suspend Parliament. Mired in controversy over an alleged cover-up on the torture of Afghan prisoners and eager to increase the Conservatives' power in the Senate, the government is closing down Parliament until March 3, the Prime Minister's Office said Wednesday. The decision is "about one thing and one thing only – avoiding the scrutiny of Parliament at a time when this government is facing tough questions about their conduct in covering up the detainee scandal," Liberal Leader Michael Ignatieff said in a statement. "Mr. Harper is showing his disregard for the democratic institutions of our country." Harper spoke Wednesday by telephone with Governor-General Michaëlle Jean, who agreed to the suspension. The prorogation of Parliament until after the Winter Olympics in Vancouver will likely scuttle dozens of pieces of legislation, and give the Tories a chance to increase their representation on Senate committees. The government has been on the defensive for weeks over allegations it failed to act on information that prisoners being passed to Afghan authorities by Canadian soldiers were at risk of being tortured.

Note: This is only the second time in Canadian history the Prime Minister has shut down parliament, with the governor-general's permission. Note that the governor-general is the English representative in Canadian government who is believed to have only nominal power, yet if you read this CNN article, you will see how England has more power over Canada than many believe.


With Bigger Bonuses, Another Upside for Banks
2010-01-01, New York Times
Posted: 2010-01-04 14:31:52
http://www.nytimes.com/2010/01/01/business/01bonus.html

Along with Wall Street’s resurgent bonuses will come a jump in an ancillary benefit: tax breaks. For all banks and Wall Street firms, “I’m sure we’re talking $200 billion total compensation, which would create a tax savings for the firms of $80 billion,” said Robert Willens, an accounting and tax analyst in New York. The tax deductions, which will increase the bottom line of the banks, are perfectly legal and not new. They come as compensation for 2009 has roared back after the largest banks paid back billions of dollars in federal aid, an outlay still fresh in the minds of taxpayers. As pay goes up, so do the deductions. Many American banks already pay minuscule federal income taxes. Because of various deductions and clever tax planning the payout-related breaks will reduce their tax bills further in coming years. The biggest tax break will go to Goldman Sachs. It expects to award its employees $23 billion in bonuses — the most in its history. Because most employee compensation is a deductible expense under tax laws, Goldman Sachs ... will save about $9 billion in federal income taxes on the bonuses it pays out for 2009.

Note: For a treasure trove of reliable reports on the government bailout of Wall Street, click here.


Aughts were a lost decade for U.S. economy, workers
2010-01-02, Washington Post
Posted: 2010-01-04 14:28:47
http://www.washingtonpost.com/wp-dyn/content/article/2010/01/01/AR20100101011...

For most of the past 70 years, the U.S. economy has grown at a steady clip, generating perpetually higher incomes and wealth for American households. But since 2000, the story is starkly different. The past decade was the worst for the U.S. economy in modern times, a sharp reversal from a long period of prosperity. It was, according to a wide range of data, a lost decade for American workers. The decade began in a moment of triumphalism -- there was a current of thought among economists in 1999 that recessions were a thing of the past. By the end, there were two, bookends to a debt-driven expansion that was neither robust nor sustainable. There has been zero net job creation since December 1999. No previous decade going back to the 1940s had job growth of less than 20 percent. Economic output rose at its slowest rate of any decade since the 1930s as well. Middle-income households made less in 2008, when adjusted for inflation, than they did in 1999 -- and the number is sure to have declined further during a difficult 2009. The Aughts were the first decade of falling median incomes since figures were first compiled in the 1960s. And the net worth of American households ... has also declined when adjusted for inflation, compared with sharp gains in every previous decade since data were initially collected in the 1950s.

Note: For revealing reports from major media sources on the realities of the economic crisis, click here.


Bankers Get $4 Trillion Gift From Barney Frank
2009-12-30, Bloomberg News
Posted: 2010-01-04 14:25:53
http://www.bloomberg.com/apps/news?pid=20601039&sid=a48c8UpUMxKQ

H.R. 4173 [is] the financial-reform legislation passed earlier this month by the House of Representatives. The Senate has yet to pass its own reform plan. The baby of Financial Services Committee Chairman Barney Frank, the House bill is meant to address everything from too-big-to-fail banks to asleep-at-the-switch credit-ratings companies to the protection of consumers from greedy lenders. At 1,279 pages, the “Wall Street Reform and Consumer Protection Act” is a real slog. While banks opposed the legislation, they should cheer for its passage by the full Congress in the New Year: There are huge giveaways insuring the government will again rescue banks and Wall Street if the need arises. For all its heft, the bill doesn’t once mention the words “too-big-to-fail,” the main issue confronting the financial system. Instead, it supports the biggest banks. It authorizes Federal Reserve banks to provide as much as $4 trillion in emergency funding the next time Wall Street crashes. So much for “no-more-bailouts” talk. The bill also allows the government, in a crisis, to back financial firms’ debts. Bondholders can sleep easy -- there are more bailouts to come.

Note: For a treasure trove of reliable reports on the government bailout of Wall Street, click here.


Banks Bundled Bad Debt, Bet Against It and Won
2009-12-24, New York Times
Posted: 2010-01-04 14:23:48
http://www.nytimes.com/2009/12/24/business/24trading.html

Pension funds and insurance companies lost billions of dollars on securities that they believed were solid investments, according to former Goldman employees with direct knowledge of the deals who asked not to be identified because they have confidentiality agreements with the firm. Goldman was not the only firm that peddled these complex securities ... and then made financial bets against them, called selling short in Wall Street parlance. Others that created similar securities and then bet they would fail ... include Deutsche Bank and Morgan Stanley, as well as smaller firms like Tricadia Inc., an investment company whose parent firm was overseen by Lewis A. Sachs, who this year became a special counselor to Treasury Secretary Timothy F. Geithner. How these disastrously performing securities were devised is now the subject of scrutiny by investigators in Congress, at the Securities and Exchange Commission and at the Financial Industry Regulatory Authority. While the investigations are in the early phases, authorities appear to be looking at whether securities laws or rules of fair dealing were violated by firms that created and sold these mortgage-linked debt instruments and then bet against the clients who purchased them, people briefed on the matter say.

Note: So the banks were betting that their own customers would lose money on their products. Hmmmm. For lots of reliable, eye-opening reports on banking secrecy and corruption, click here.


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

Kindly donate here to support this inspiring work.

Subscribe to our free email list of underreported news.

newsarticles.media is a PEERS empowerment website

"Dedicated to the greatest good of all who share our beautiful world"