The Tonka Report

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Archive for October 25th, 2010

War On Drugs: California Cannabis Vote Divides Mexican Leaders?

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October 25, 2010: Rory Carroll / guardian.co.uk – October 24, 2010

California‘s referendum on legalising cannabis has divided Mexico into those who consider it a potentially catastrophic betrayal and those who think it could signpost a way out from the horrors of the drug war.

The president, Felipe Calderón, has led criticism of Proposition 19 as a dangerous experiment that would undermine US and Mexican efforts against ruthless and powerful narco-traffickers.

The conservative leader and other establishment figures have accused the US of hypocrisy in pressuring Latin America to confront drug traffickers, often at grisly cost, while doing little to rein in the US consumption that drives the trade.

Some fear California’s example will blow across the border and boost consumption in Mexico, where drug education and rehabilitation programmes are feeble. “It would be the worst thing. It might cut the cartels’ income a bit but we’d see more addicts, and trust me we’ve already got enough,” General Carlos Villa, a police chief in Torreón, told the Guardian.

Cannabis accounts for an estimated half of cartels’ income, but some studies suggest legalisation in California, which produces its own weed, would barely dent profits and that narcos could in any case expand other operations. However, a small but growing number of dissenting voices in Mexico, including two former presidents and reportedly four putative presidents, have endorsed legalisation as a way to hit the cartels, reduce corruption and stamp down drug-related violence which has claimed almost 30,000 lives in four years.

If California votes yes, Mexico’s government will come under pressure to follow suit, a former foreign minister, Jorge Castañeda, told Nexus magazine. “It is going to be impossible to ask Mexican society to put up with the number of lives at risk and the violence for a fight that Americans, or at least Californians, would have said they don’t want to fight any more,” he said.

American Drug War: The Last White Hope

The Tonka Report Editor’s Note: The “war on drugs” is a complete government aka global banking fraud! They run the drugs, that’s why they don’t want it legalized! “It might cut the cartels’ income a bit but we’d see more addicts…” Bullshit! Marijuana is neither physically addictive or a “gateway drug,” nor has any death ever been recorded in the thousands of years of its use from recreational, medical, or spiritual use… Ever! – SJH 

Link to original article below…

http://www.guardian.co.uk/world/2010/oct/24/california-cannabis-proposition-19-mexico

American People To Democrats And Republicans: You’re All Fired!

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October 25, 2010: Steve Watson / Infowars.com – October 25, 2010

America is pissed! – SJH

A whopping majority of 62% of the American people believe it will be a good thing for the country if almost all incumbents from both parties were removed in the upcoming midterm election.

That is the finding of a new national poll that also reveals over a third would like to see a new political party formed to remove the [corrupt] establishment.

Only 27% said they felt their representative in Congress was the best person for the office. Furthermore, 43% of the American people do not believe that either party in Congress represents them or their country. That number rises to a majority of 53% amongst Mainstream voters only.

The survey, conducted by Rasmussen, highlights just how utterly sick of the phony punch and judy political paradigm a plurality of the public has become. When asked “Is it fair to say that neither party in Congress is the party of the American people?”, only 35% of respondents disagreed with a further 22% saying they are unsure.

When asked if they agreed with the statement “Republicans and Democrats are so much alike that an entirely new party is needed to represent the American people”, 38% responded in the affirmative. The same amount also believe that there is a distinct possibility that a third party candidate will be elected to the White House within the next decade.

The same survey also found that 29% of likely voters see themselves or someone they are close to as Tea Party members. The disparity between that figure and the 38% who would like to see a new third party may represent the feeling among some that the Tea Party has been co-opted by the GOP establishment and the conservative leaning corporate media.

Last week a key figure in the evolution of the Tea Party movement, Karl Denninger, highlighted this backlash by penning a piece titled “To The Tea Party: Go Screw Yourself”.

Denninger, who used his website to promote one of the first major national Tea Party events, specifically hit out at Sarah Palin, Newt Gingrich and Bob Barr, and warned that the movement had been severely watered down and brought into line with mainstream establishment GOP efforts.

MSNBC: Dylan Ratigan – What Happened To The Tea Party?

The Tonka Report Editor’s Note: That’s 62%, folks! The other 38% are government shills or utterly brain dead! Meanwhile, Obama is out calling American voters “stupid!” Well, 38% are anyway… – SJH

Barack Obama Calls American Voters Stupid

http://www.telegraph.co.uk/news/worldnews/northamerica/usa/barackobama/8083074/Barack-Obama-echoes-anti-Americanism-of-Europe-in-calling-voters-stupid.html

Link to original article below…

http://www.infowars.com/american-people-to-dems-and-gop-get-out-of-office-you-don%e2%80%99t-speak-for-us/

Pissed Off European ‘Lynch Mob’ Is Coming After Bank Of America

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October 25, 2010: Matt Schifrin / Forbes.com – October 25, 2010

I pity CEO Brian Moynihan and the 284,000 other employees of Bank of America Corp (BAC).  That includes 15,000 Merrill Lynch brokers who are still recovering from the financial crisis and now have to explain to their clients why they work for a firm that is at the epicenter of America’s housing crisis.

Not only have they seen $80 billion in stock market value evaporate since April but they also have to suffer the humiliation of having a parent company bone-headed enough to pay $4 billion for Countrywide, the financial firm created by subprime mortgage pimp Angelo Mozilo. That mess could wind up costing BAC $50 billion, excluding legal fees and brand value deterioration. Remember Countrywide originated  $1.4 trillion in mortgages from 2005 to 2007 alone.

The latest ugly news for Bank of America is actually coming from Europe, where big institutional money managers and other mortgage securities buyers are now beginning to organize for an assault. This information comes from  John Mauldin’s, Thoughts from the Frontline Weekly Newsletter. His e-letter is a must-read for many money managers and serious investors.

This week he devotes a lot of his letter to testimony that seems to prove that big banks like Citigroup (C) and BAC were negligent and even willfully careless in underwriting subprime mortgages. He also reports on some new ominous developments brewing overseas and that law firm Quinn Emanuel Urquhart & Sullivan , which specializes in going after money center banks, has been hired by Fannie Mae and Freddie Mac parent, the FHFA. Below  is an excerpt of his newsletter, if you want the full version, click here.

Mauldin: Investment banks large and small originated a lot of subprime garbage in the 2005-2007 era. This week PIMCO, Black Rock, Freddie Mac, the New York Fed, and – what I think is key and no one has picked up on – Neuberger Berman Europe, Ltd., an investment manager to a managed-account client, came together and sued Countrywide for not putting back bad mortgages to its parent, Bank of America. This is the first of what will be a series of suits aimed at getting control of the portfolio and peeking into the mortgages.

Basically, if buyers of 25% or more of a mortgage-backed security can come together, they have standing to sue the mortgage servicer to do its duty to the investors and make putbacks of bad mortgages, and if they fail to do so the plaintiffs can take control of the process and take the issuer to court directly (that’s a very simplistic description but roughly accurate).

There are two key take-aways. First, note that a European entity is involved. Hundreds of billions of dollars of this junk was sold to European banks and funds. And these guys get together at conferences (sometimes they even invite me to speak). So Helmut will be talking to Lars who will talk to Jean Pierre and they will realize they all own some of this junk. They will be watching with very real interest to see how the big boys at PIMCO and Black Rock and the New York Fed fare in their efforts. And then you can count on them all piling on (more later on this).

Second, little noticed this week was the fact that The Litigation Daily wrote that Philippe Selendy of Quinn Emanuel Urquhart & Sullivan has been retained by the Federal Housing Finance Agency (FHFA), which oversees Fannie Mae and Freddie Mac, to investigate billions of dollars in potential claims against banks and other issuers of mortgage-backed securities.

Who? Not on your celebrity list? Just wait. He will soon be getting the best tables everywhere. He and his firm are the guys representing MBIA in all their cases against Countrywide and Merrill Lynch. And they are kicking ass. Slowly to be sure, but very steady. That means Fannie and Freddie are getting ready to get serious.

They were sold well over $227 billion of the subprime garbage issued in 2006 and 2007. And the bad stuff started before then. But they have one advantage that the guys at PIMCO, et al. don’t have: they (or actually the FHFA) are a federal agency. That means they have subpoena power. The agency has sent 64 subpoenas to issuers of mortgage-backed securities, and although they have not said who they went to, they obviously include almost everyone and clearly all the big players. (They couldn’t have ignored Goldman, could they? Naah. Too obvious.)

From American Lawyer.com (I know, this website is probably already on your favorites list, but for those souls who actually have a life I provide the text):

“Through those subpoenas, the agency could gain access to the loan files for the mortgages that backed the securities it bought and thus establish whether the mortgages were what the issuers represented them to be in securities contracts. According to the Journal, the difficulty of obtaining loan files has been a big obstacle for investors trying to force issuers to repurchase bonds.

If it all plays out the way Mauldin is predicting, there is a lynch mob gathering and Bank of America and other big subprime pushers like Citigroup are firmly in their sights. It is no wonder John Paulson is apparently getting a bit nervous about BAC’s prospects [see article].

Since April, Bank of America has lost about $80 billion in stock market capitalization. Contrast this to the $67.5 million (not billion) punishment the SEC has arranged for former CEO Angelo Mozilo.  It’s kind of a joke considering that Countrywide is paying for $20 million of the settlement and Bank of America (current owner of Countrywide) is paying Mozilo’s legal fees.

I asked Scott DeCarlo, chief statistician at Forbes, for the tally on Mozilo’s compensation from Countrywide alone. He figured that from 1999 through 2007 Mozilo took down more than $540 million in salary, bonus and stock options. Thus the SEC’s great settlement victory of $67.5 million won’t really affect Angelo day-to day. His fine is  like a slap on the wrist.  It won’t crimp the Mozilo family’s lifestyle for one minute while there are thousands of families devastated by this debacle. 

I think that super wealthy, rogue executives like Angelo should be forced to do mandatory jail time. A year or so inside of prison is a real punishment for a rich guy, and it is something they will never forget, or live down.

J Glenn Lowe: Die Banker Die

The Tonka Report Editor’s Note: The banksters not only need to be tried and sentenced for financial fraud, but for treason! And the penalty for that is?! Read the poem below by Jonathan Swift in 1720… – SJH

The Run Upon The Bankers: A Poem By Jonathan Swift [1720]

http://www.readbookonline.net/readOnLine/38875/

Link to original article below…

http://blogs.forbes.com/schifrin/2010/10/25/a-european-lynch-mob-is-coming-for-bank-of-america/?boxes=financechannelforbes

Alert: It’s Global Warming! No Wait It’s Cooling! No Wait… (Part 1)

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October 25, 2010: Art Horn and Michael J. Economides / Energy Tribune – October 14, 2010

The world is warming at an unprecedented rate. The dire and irrefutable results of this global temperature heat wave will be starvation, inundation of coastal cities, war and the death of billions and the mass extinction of species.

But the latest twist is that now climate change is anthropogenic, man-made, and so we must change the way we live, the way we produce energy or we will kill everyone and the planet.

These warnings come to us from reliable news media. We have been alerted to this climate catastrophe for two decades now. Surely all these respected and long-lived newspapers, magazines and television networks can be trusted to tell us what the current state of the climate is and what it will do. At least one would think so.

Interestingly, the history of climate reporting in the press reveals many dirty little inconvenient truths not unlike so many other alarmisms, from the “population bomb” which would have caused the death of two billion people by the 1980s, to AIDS, which would have infected the majority of Americans by 2000 and, to the Y2K disaster that never came to be. Of course, barely dig into the story, and social engineering emerges from politicians, Hollywood stars and assorted activists. In turn, with the support of the ubiquitous “scientists,” they take umbrage for their social aims.

When one looks carefully back at the history of climate stories in the media, a remarkably consistent theme re-occurs. It borders to a comedy routine had it not had such massive public impact during the last few years.

All of the recent reporting of unrelenting global warming and its dire consequences is in fact old news and today’s news is bordering on mere regurgitation of decades old stories. As the global temperature has cycled from cold to warm to cold to warm again, the media has followed at almost lock step with it. But media cycles of climate doom, which mirror the climate cycles themselves, have roughly a ten to fifteen year time lag. It seems whenever the world warms up the number of global warming stories increases to match the trend; conversely when the climate cools down the media pull up on their long johns and warn of the next ice age. It is forthcoming for certain. In the news media whatever is popular will be immediately copied and embellished to fit each outlets particular brand. It is simple really: whatever sells it sells and if it “bleeds it leads.” Reporting on climate is no different and history proves it.

The first climate story was before the end of the nineteenth century. On February 24, 1895 the New York Times reported “Geologists think the world may be frozen up again.” The story wondered “Whether recent and long continued observations do not point to the advent of a second glacial period.”

Sensational events are taken advantage of and their interpretation can always be blamed on climate. In 1912, shortly after the sinking of the Titanic by an iceberg, the New York Times reported on a professor from Cornell University: “Professor Nathaniel Schmidt warns us of an encroaching ice age.” On the very same day the Los Angeles Times wrote “Fifth ice age is on the way.” The story went on “Human race will have to fight for its existence against the cold.” Climate was selling then as it does now.

At this point one might look at the basis of what was reported then. A look at the temperature records from the Climate Research Unit of the University of East Anglia in England (of the recent “Climate-gate” notoriety) is helpful. According to the temperature history, the earth was cooling from about 1875 to 1910, about 35 years of downward temperature trends. During that time there would have been more ice in the arctic and glaciers would have advanced. The subsequent media stories were based upon what scientists of the day were observing: it was getting colder. From there the media outlets drew their own conclusions as to what this would bring to the future of climate and humanity. Invariably it would bring catastrophe.

The oceans of the world store more than one thousand times more heat than the atmosphere. The vast majority of that heat is in the tropical waters. When the oceans warm so does the atmosphere; when they cool, global temperatures follow. The Pacific Ocean covers a third of the earth’s surface and exhibits a dominant impact on the global temperature. Around 1910 the tropical Pacific Ocean began to warm. The impacts of such a warming are not always readily apparent. It takes years for glaciers and sea ice to react to the gradual ocean warming. Such was the case in the 1910s and into the 1920s.

The huge social inertia generated by the ice age scare prior to 1910 continued to drive media fear stories of upcoming cold into the 1920s. Life was not as fast in those days and social change took place more slowly. On July 3, 1923 the Christian Science Monitor reported “Captain MacMillan left Wiscasset, Maine announcing that one of the purposes of his cruise was to determine whether there was the beginning of another ice age as the advance of glaciers in the last 70 years would seem to indicate.”

A year later on September 18, 1924 the New York Times declared the threat was real, saying “MacMillan reports signs of new ice age.” Earlier that year on April 6 the LA Times reported that Swedish scientist Rutger Sernander claimed there was “Scientific grounds for believing” that “When all winds will bring snow, the sun cannot prevail against the clouds and three winters will come in one, with no summer between.” Seems it was global cooling that was driving the headlines at that time.

Unknown to anyone during that time was the fact that the Pacific was beginning to warm and would continue to do so until the mid 1940s. Reacting to this ocean warmth the temperature of the earth began to rise as well. Concurrently the ice age stories began to fade from the headlines. Then on March 11, 1929, just five years later from the permanent winter story, the LA Times stunned its readers: “Most geologists think the world is growing warmer and that it will continue to get warmer.” On March 27, 1933 the New York Times headline read “The next ice age, if it is coming…is still a long way off.” In the same year meteorologist J. B. Kincer of the United States Weather Bureau published in the September Monthly Weather Review: “Wide-spread and persistent tendency towards warmer weather.” He noted out of 21 winters from 1912 to 1933 in Washington D. C., 18 were warmer than normal and all of the past 13 were mild.

During the early 1920s the Atlantic Ocean began its cyclic 25 to 30 year warming trend. This warmer water combined with the warmer Pacific pumped up world temperature to the point where everyone began to take notice. By November 6, 1939 the Chicago Tribune published a story “Experts puzzle over 20 year mercury rise.” The story noted that “Chicago is in the front rank of thousands of cities throughout the world which have been affected by a mysterious trend towards warmer climate in the last two decades.” They knew it was warming but not why.

On August 2, 1952 the New York Times reported that Eskimos were eating cod, a fish not previously in their diet. The following year the Times reported that studies confirmed that summers and winters were getting warmer and it was because the oceans were changing again.

The Great Global Warming Swindle

Global Warming Or Global Governance?

The Tonka Report Editor’s Note: For a detailed timeline of past media reports oscillating between global warming and global cooling throughout the years, check out the link below– SJH

Climate Change Timeline: 1895-2009

http://butnowyouknow.wordpress.com/those-who-fail-to-learn-from-history/climate-change-timeline/

Link to original article below…

http://www.energytribune.com/articles.cfm/5568/Breaking-News!-Its-Global-Warming!-No-Wait-its-Cooling!-No-WaitPart-1