Bernanke Caught In Love Nest
(Conspiracy Nation, 03/15/08) – Ben Bernanke, chief of the “Federal” Reserve, has been caught in a love nest. This had been ascertained by Conspiracy Nation yesterday, and is concretized by Greg Palast. Palast succinctly writes that coincident to Eliot Spitzer's downfall, “George Bush's new Federal Reserve Board Chairman, Ben Bernanke, was secretly handing over $200 billion in a tryst with mortgage bank industry speculators.” (“Spitzer Was Silenced,” http://www.rense.com/general81/spit2.htm)
At least Spitzer was using his own money in a free market transaction with an expensive call girl. There was an apparent contract violation between Spitzer and his wife, but that is a civil matter. As to criminality, if Spitzer had transacted the business in Nevada it might not have been illegal. Nonetheless, the newsfakers went into a feeding frenzy on the “shocking” prostitute story.
But where were the newsfakers on the Bernanke love nest angle? At least Chan Akya, writing in the Asia Times Online, saw a connection. “This week's events involving the governor of New York, Eliot Spitzer, may however have helped to hide a more egregious misuse of authority, namely that of Federal Reserve chief Ben Bernanke and his central banking cohorts around the world,” writes Akya. (“Forget Spitzer, fire Bernanke,” http://www.atimes.com/atimes/Global_Economy/JC15Dj02.html)
On Monday, March 10th, Bernanke and the “Fed” began accepting “collateral” which the free market did not want: mortgage-backed securities. On Wednesday, March 12th, Carlyle Capital went bankrupt. It is part of the Carlyle Group. Connections between Carlyle and the Bush family have inspired controversy, particularly in relation to the War on Terror and the Iraq War. George H. W. Bush and his Secretary of State James A. Baker III have at times been advisors to the group. (Wikipedia, March 7, 2008. http://en.wikipedia.org/wiki/Carlyle_Group#Controversy). Then, on Friday, March 14th, Bernanke and the “Fed” rushed to bail out investment bank Bear Sterns. “Loans” are to be extended for 28 days. This 28-day time frame also applies to the “mortgage-backed collateral” deal announced on Monday. There is some trickery involved here. The “Fed” is not legally allowed to flat-out purchase troubled securities. But they can do so “temporarily.” The subterfuge is in continually “rolling over” the “temporary” fix. Every 28 days, the “temporary” gets renewed, making it effectively permanent. But hey, no laws are broken (wink, wink). The legal subterfuge in the Bear Sterns case involves a middle-man, J.P. Morgan Chase & Co. (wink, wink).
But Eliot Spitzer might have stood firm against such shenanigans, especially since he was Governor of New York where all this “legal larceny” was underway. Recently, according to Palast (op. cit.), Spitzer had not only taken on major mortgage promoter Countrywide, “he took on their predatory enablers in the investment banking community.” Hillary Clinton, a powerful New York senator, was apparently not deemed a threat to New York bankers. No “tobacco stains” were “shockingly” found on her underwear. But the newsfakers were shocked – shocked – to discover that “men stray.” They trotted out a brass band, a fife and bugle corps, and drum majorettes together with baton twirlers to accompany the story of “man buys prostitute.”
The mechanics of the Spitzer virtual assassination are being portrayed as “Diligent IRS Undoes Spitzer.” But not widely reported is how New York's North Fork Bank had tipped off the feds. “Conspiracy theorists see it as a set-up, an elaborate scheme to bring down a man whose career was built on bringing down the high and mighty corporations and breaking down the walls of secrecy characteristic of Wall Street.” (“SATURDAY'S CHILD: Hooker, line and sinker,” by Tony Deyal. http://www.nationnews.com/editorial/335947740293561.php). And a Bankers' Nest, meanwhile, had been having a secretive “love in” while the Spitzer fife and bugle parade distracted attention.
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