Jim’s Mailbox

Posted at 10:04 AM (CST) by & filed under Jim's Mailbox.

From our very astute friend Robert.

Bill

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Jim/Bill,

You gotta love the Italians. Do not underestimate their resolve to get to the bottom of this, They maybe screwed up with local unresolvable problems but they love to go after external parties.

Years ago, I exposed a cross country tax fraud scheme by providing notarized documentary evidence which resulted in the Italians going after a household corporate name in Holland by having their Dutch head offices raided by Interpol. My employees were taken back at the Italian gratitude when they received police escorts to the tarmac bypassing the usual customs and passport lineups at check in.

Deutsche should be worried as the Italians will extract a pound of flesh. And as a result confidence will continue to erode, in all things German.

Cheers

Robert

Deutsche Bank Sued For Running An “International Criminal Organization” In Italian Court
May 18, 2017

Having been accused, and found guilty, of rigging and manipulating virtually every possible asset class, perhaps it was inevitable that Deutsche Bank, currently on trial in Milan for helping Banca Monte dei Paschi conceal losses (as first reported last October in “Deutsche Bank Charged By Italy For Market Manipulation, Creating False Accounts”) is now facing accusations that it was actually running an international criminal organization at the time.

In the closely watched lawsuit, prosecutors used internal Deutsche Bank documents and emails to persuade a three-judge panel to rule that there were additional, aggravating circumstances to the charges the German lender already faces related to various derivatives transactions. As Bloomberg reported overnight, the material included a London trader’s “well done!” message to a banker who is now on trial.

The reason why prosecutors are seeking expanded charges against the German banking giants is that by allowing prosecutors to argue that the bank’s market manipulation crimes were committed by an organization operating in several countries would lead to higher penalties if they win a conviction.

More…

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“Your understanding” is correct Wolfgang.

Bill

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Jim/Bill,

For those who may still be skeptical.

“Plunge Protection Team” was the nickname given to the Working Group by The Washington Post in 1997. The team was initially perceived by some to have been created solely to shore up the markets or even manipulate them. The team was created in response to the 1987 market crash.

The Working Group on Financial Markets was created by Executive Order 12631, signed on March 18, 1988, by United States President Ronald Reagan.

They are located at 33 Maiden Lane in Downtown NYC.

The PPT Modus Operandi when the markets begin to tank (my understanding):

1) Sell Gold

2) Sell Silver

3) Buy USD/JPY Yen

4) Buy Crude

5) Sell 10 year Notes

6) Buy S&P Futures contracts

Other than that, the Fed is hands off.

CIGA Wolfgang Rech

New York Fed Buys Building Housing Plunge Protection Team
February 28, 2012

Since nobody else has any interest in downtown NY real estate, Goldman’s Bill Dudley, currently incidentally in charge of the New York Fed, has decided to step up. “The Federal Reserve Bank of New York (New York Fed) today announced that it has acquired the building at 33 Maiden Lane for $207.5 million from Merit US Real Estate Fund III, L.P. and established a new, wholly owned limited liability company called Maiden & Nassau LLC to serve as owner of the building. The acquisition provides a cost-effective, long-term alternative to the current practice of leasing space in this and other buildings and allows for greater control over maintenance, operation and security of the building.” As a reminder, the 9th floor of 33 Liberty is where the ever elusive, but always present Plunge Protection Team, pardon the “markets group” at the Federal Reserve is housed (more here). And although in recent days it is no secret that the bulk of Fed open market stock order are routed via that one certain HFT powerhouse out of Chicago, it is always a good idea to keep all the market manipulating facilities under one roof. And so, the Fed now will have full domain over everything that transpires under its own roof. And since the building likely has an extended basement, it provides Dudley, and his muppet Ben Bernanke with a convenient location where to store the soon to be confiscated 107 tons of Greek gold.

More…

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Good’ern Wolfgang! … except Jim is not a seller.

Bill

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Jim/Bill,

I know what you’re thinking.

Did he sell 6 gold coins in his pocket or only 5?

Well, to tell you the truth, in all this monetary excitement I’ve kind of lost track myself.

But being these are gold coins we’re talking about, the most powerful monetary instrument in the world and would blow your investments clear off the books, you’ve got to ask yourself one question – Do I feel lucky? Well, do ya, punk?

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CIGA Wolfgang Rech