“The law perverted! And, the police powers of the states perverted along with it!

The law, I say, not only turned from its proper purpose, but also made to follow

an entirely contrary purpose! The law becomes the weapon of every kind of

greed! Instead of checking crime, the law itself is guilty of the evils is supposed

to punish!

If this is true, it is a serious fact, and moral duty requires me to call the attention

of my fellow – citizens to it.” – Frederic Bastiat

“Wall Street banks have the right to express their views to lawmakers and

regulators through lobbying, but the law is clear: If they want to influence

lawmakers, they must disclose their lobbying expenditures.” Elizabeth Warren

“The law courts must appear as a threatening gesture toward secret vice. The

bank must declare: here your money is secure and well looked after by honest

people.”- Adolf Loos

Collusive Bank Theft – White Collar Crime

The major banks of the world are involved in Major White Collar Crime and have been for many

years. I have decided to spell out the truth because I have become disgusted with our Justice

system. The problem is that

 The banks changed the laws to hide their collusive theft – Enacted Graham, Leach, Bliley

and repealed Glass Steagall.

 If caught, the banks changed the law so that they will have their losses covered as being

“too big to fail” under the Dodd Frank Law. In addition, they appear to be in collusion with

our government and as a result, the government gets large fines but no one goes to jail.

 When caught stealing, they are fined rather than put into jail. This implies that our Attorney

General is involved – at least to the point of taking fines rather than enacting RICO law,

which would put executives in jail and take their assets – including Jamie Dimon’s

Indonesian island.

 There are two forms of White Collar Bank Criminal Theft. Both have now been identified,

investigated, convictions given, convictions accepted, fines have been given, no executives

have been named, no one has been sent to jail. No RICO laws used and this is precisely

why they were enacted.

2. Fixing the prices of mortgages – 10 banks “named”

 “Named” means

o Investigated

o Indicted

o Found guilty of criminal theft

o Fined

o Put on probation for a short time but

o Set free to continue their practices

 The banks have been given direction to do business as usual which means continue their

theft. Who from? Our Attorney General, Eric Holder and presumably our president Bark


White Collar Crime I – Collusive Price fixing in LIBOR and FOREX rates

I wrote and published two books on this topic. See the references below.1 2 This involves fixing the

prices of LIBOR and FOREX and profiting from the price fixing.

While I was documenting the mysterious suicide deaths of 66 executives from the major Federal

Reserve banks and other transnational banks, the Justice department was investigating LIBOR

and FOREX price fixing and related theft. In the summer of 2015, they announced that those 5

banks were investigated; the banks were investigated, indicted and found guilty of criminal fraud

in fixing the prices of FOREX and LIBOR Rates. 120 FBI agents were involved in the

investigation. Eric Holder announced that these banks agreed to pay a $6.5 billion fine, be on

probation for three years and then continue with business as usual.

Notably missing is that the government did not release any numbers on the size of the theft. I

calculated it as $14.2 trillion per year.3

10 years. The facts about this investigation say a lot. Consider that the Justice Department –

 Put 120 FBI agents on the investigation versus 1,200 agents on the Savings and Loan

2008 scandal

 There were no referrals, no indictments and no one went to prison for the LIBOR and

FOREX trading theft.

 There were 1,000 indictments, 600 convictions and 100 men went to jail in the Savings and

Loan thefts in 2008.

 No RICO laws were enacted on this Felony when RICO was designed and passed to

punish precisely this type of crime. RICO requires two instances. The bank pleadings for

guilty was for only instance. The logic of a 3-year investigation and only one instance

caught and documented is illogical.

It appears as if “Crime does pay”. More importantly, it appears as if the Justice department made

the cognizant decision to not prosecute the individuals involved for criminal offenses. Eric Holder

allowed the banks to plead for one offense for each category and pay a fine for criminal theft.

Why? No one knows and I am not going to speculate. However, it is very suspicious. Outwardly,

it appears as if there is collusion between the government and the banks. If so, this also is a

White Collar Crime.

In summary, 5 banks receive a $6.5 billion fine for possibly 10 years of FOREX and LIBOR price

fixing that I calculate led to them gaining $14.5 trillion per year of additional profits. It also

appears as if our government decided to not prosecute anyone. They provide a “fine only”

punishment that allowed the banks to pick up the cost and be tax deductible. Further, they

ignored RICO statutes that were put in place specifically for these types of crime. If RICO were

used, then the individual executives would have been subject to loss of all their assets.

RICO has been used against organized crime to seize assets. It was designed for crimes such as

documented here. It was just not used.

White Collar Crime II – Mortgage Price Fixing

I did not calculate the amount of potential mortgage price fixing theft that went on. Why? I find it

difficult to find numbers in this area that are accurate. Obfuscation is what is occurring.

Nonetheless, both in Europe and the US, investigations were carried out by government.

Exhibit 1, LAMB CHOPS, tells the story when government investigates banks about collusion and

theft. In no instance in the US does anyone go to jail. Only the public citizen suffers.

white collar


The mortgage theft follows several patterns. One of the biggest is to

 Entice citizens to subprime loans with virtually nothing down that the banks know will


 Package defaulted subprime loan mortgages is AAA packages and sell to insurance

companies, retirement plans and governments

 When the loans do not make payments and the new owner discovers that the AAA

package consists of subprime loans, complain to the originating banks and sue them.

 FED reserve using Quantitative-easing buys these subprime packages at face value and

creates money to pay for them at $50 billion / month.

 Banks use the new cash to invest in the stock market and make profits

 Bank profits from 2007- 2014 as reported by the FDIC were $700 billion.4

These admitted White Collar Criminals have strong reasons to steal – – – nothing happens to

them when they are caught. Barry Ritholtz, co-founder of Ritholz Wealth Management and

author of Bailout Nation5

“We have taken what used to be jail terms – that should in theory, prevent that

kind of behavior from happening – and instead it became, “Let’s engage in

some extralegal activities, we will pay some penalties, but we will make a load

more in revenue,” Ritholz says. “If I steal a billion dollars and have to give back

$500 million as a fine, I’ll take the trade every day. Every day,” [Emphasis added]

In addition to a White Collar criminal attitude as displayed in the above quote, the banks

have used the legal profession to keep themselves out of jail. The following quote

provides some insight as to how much is spent on keeping the principal executives out

“The biggest US Banks led by J.P. Morgan Chase and Company and Bank of

America Corporation, have piled up $103 billion dollrs in legal costs since the

financial crisis, more than all dividends paid to shareholders in the past five


That’s the amount allotted to lawyers and litigations, as well as for settling

claims about shoddy mortgages and foreclosures, according to data compiled

by Bloomberg. The sum, equivalent to spending $51 million a day, is about to

erase everything the banks earned for 2012”

The magnitude of this makes one wonder if the Legal Profession, who are trained to notice when

the law is infringed is not also tainted. It they blew the whistle, the gravy train would stop.


Now, let’s look who has paid fines. Remember, when Eric Holder announced the $6.5 billion fine

for the 5 banks, he also said that there would be another fine coming for 9 banks that were

involved in the Mortgage Debt investigation. What I found when I looked to find actual Justice

Department announcements was nothing. These numbers are very difficult to find. I did find a

number of articles that had misaligned information. I chose one the seemed to be more recent

and reliable.The results are contained in Exhibit 2, BANKS THAT PAID FINES. I added the last

two columns from my work on Who’s Next?


I was surprised to see the amount of $180 billion because FOREX and LIBOR garnered only $6.5

billion in fines for a $14.5 Trillion / year in theft. This implies that the theft in the mortgage market

should be in excess of ten times the LIBOR and FOREX thefts or about $180 trillion. Of course,

this is over 5-6 years, about $30 trillion / year, or twice the $14.5 trillion for FOREX and LIBOR.

Thus, under this analysis, it appears as if the mortgage theft is about twice the LIBOR and

FOREX Theft. Also, remember, this could not happen if the Attorneys spoke up or the

government was truly doing their job of protecting the citizen…

Now let us look where the money is going. It is also insightful.


My underlying hypothesis is that government personnel and banks may passively be in this

together. The way to test that hypothesis is to determine how much the government got from the

fines and how much the citizens received.  provides

some insight.



As one might expect in this discussion of “What Should We Have for Lunch?” the citizens got nothing.

Out of the $180 billion, the states got $5.3 billion. The states promptly put that money to

work funding the governor’s pet projects such as the repair of the Tappan Zee Bridge in

New York. Another favorite was the funding of underfunded state pension funds. A very

little went into upside down mortgage protection. I could not find any analysis of the

$180 billion but the posted analysis of $110 billion is representative of what actually


Most of the money went into the treasury’s bank account. Right now, our government is

technically bankrupt. They need revenue. This is how they collected a big chunk of



The magnitude of the White Collar crime is astounding. The fact that it occurs and they get away

with it says a lot about our society. It takes a collusion of government, bankers and attorneys to

facilitate money transfers of this magnitude from the citizens to the government – – and the banks –

– and the attorneys in the amounts estimated in this short article.

In my mind, this represents collusive white-collar crime against the citizens. Further, they are

getting away with it since no one is objecting to this theft. This is called “salami slicing” in the

culture of White Collar Crime. I can just hear the bankers and government Justice department

people saying – —



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