Wednesday, April 6, 2016

Derivatives of major Banks 2008 and now

It has been said, that unless we learn from history, we are doomed to repeart it.  In the financial industry collapse of 2008, many major banks were almost brought down by having such a large exposure to Derviatives.   The reason they were not brought down, is because the federal government stepped in and bailed them out.
So?  What did they do after getting rescued?
They have gone on and done it again.  Only this time, much larger.   Look at the chart below and see (in millions) how much greater their risk is in derivatives, than their equity.
When the music finally stops there are going to be trillions lost this time.  Not billions.
Sheesh!



Sunday, April 3, 2016

In Him I shall Trust. In all things and matters.

 One of my son-in-laws has a problem with high altitudes because of something to do with having the sickle cell gene.  I was approached by a couple of men who were trying to get me to invest in a small coffee plantation in Colombia and had written to my daughter to find out if 5,000 feet altitude would bother him, because I wouldn't even consider such an investment if it wasn't somewhere that she and her family could come for a holiday.    As you can see below, she emailed me back about her concern about the current ZIKA virus and her concern about my possible exposure to it in S. America.     I replied to her:

In a message dated 4/2/2016 10:45:13 P.M. Central Daylight Time, writes:

Dearest One


I do not think about such things as a virus or other illness. I've never given thought to them and at my age I'm not going to worrying bout it now.  I get a physical once a year and that's about all i will do and i really just do that not cuz i am worried but just so i could have some advance notice if there was somr mortal issue so i could hurry up and squeeze in one quick trip to Disneyworld.
I know that it may bother you, or may even seem silly, or not realistic, but I am not afraid of sickness or disease or even death itself.

I trust in God to take care of me and He's all I have. I am not judging anyone else for taking precautions, or having Health Care, but it is just simple fact that I cannot have such things, nor do I really want them. I have even made a personal decision to not accept Social Security or enroll in Medicare.  I have just chosen to put all of my faith in God to take care of me, just as I always expected Him to take care of my family when I was Raising you girls. And after all, what's the worst that could happen? I get the virus? And die? That is no problem at all for me dear Katy. I want you to know, I am ready to go to the Other Side. Anytime, that God chooses to let me come Home, I am ready to be There.

Every day I fall more and more in love with the Lord and want to be with Him.

Not that I don't want to see you, or your sisters, or your children, but I have raised you all, you are good women, good Mother's, good wives, and I have done what I believe God gave me to do. Now I'm ready to go be with Him. In the meantime, He seems to keep me here, I will assume for some purpose. But if I felt He was calling me to Colombia, I would not go with any fear of disease, kidnappings, evil, or anything else that might harm me. He will take care of me.
Greater is He that is in me, than he that is in the world.
He is my Mighty Fortress.

I love you so much. You're so sweet to think of such things about my health and safety. But it's not a concern for me. Goodnight. I love you so much.

Poppy



------ Original message------
From: xxxx xxxxxx @ xxxxx
Date: Sat, Apr 2, 2016 7:03 PM
To: BMcElhaney2350@aol.com;
Subject:Re: altitude


Is ZIKA virus not an issue there? I would be worried about about in south or Central America.

xxxx xxxxx


On Apr 2, 2016, at 3:33 PM, wrote:


I had a couple of men trying to interest me in helping them develop a piece of land to grow coffee in Columbia.   But it's a 5,000 foot elevation and I was going to rule it out if there was no chance it would be a place you could ever visit.


we'll see.   thanks.

i love you.  and miss you always.

poppy




Winston Churchill on Mohammedanism 1899

"How dreadful are the curses which Mohammedanism lays on its votaries! Besides the fanatical frenzy,
which is as dangerous in a man as hydrophobia in a dog, there is this fearful fatalistic apathy.
The effects are apparent in many countries, improvident habits, slovenly systems of agriculture,
sluggish methods of commerce, and insecurity of property exist wherever the followers of the
Prophet rule or live. A degraded sensualism deprives this life of its grace and refinement,
the next of its dignity and sanctity. The fact that in Mohammedan law every woman must belong to
some man as his absolute property, either as a child, a wife, or a concubine, must delay the final extinction
of slavery until the faith of Islam has ceased to be a great power among men. Individual Muslims may
show splendid qualities, but the influence of the religion paralyses the social development of those who follow it.
No stronger retrograde force exists in the world. Far from being moribund, Mohammedanism is a militant
and proselytizing faith. It has already spread throughout Central Africa, raising fearless warriors at every step;
and were it not that Christianity is sheltered in the strong arms of science, the science against which it had
vainly struggled, the civilization of modern Europe might fall, as fell the civilization of ancient Rome."
Sir Winston Churchill; (Source: The River War, first edition, Vol II, pages 248-250 London).

Friday, April 1, 2016

The US Government. The perfect model for the bizarre.


A federal agency apparently interprets union-backed civil service protections to be so strong that employees, and even interns, can’t be fired for work-related misconduct unless they have also been convicted of it in a court of law.
That would mean a federal employee couldn’t be sacked for coming in to work drunk, not showing up at all, or anything else that is not a crime — or is a crime but is unlikely to be independently pursued by criminal prosecutors.
The Department of Housing and Urban Development (HUD) was unable to sustain a firing when its inspector general determined that an intern took two housing project units for herself, one of which she sublet out to someone else, and then lied about it.


The agency said it would be taking strong action, but also cautioned that the union would have a chance to make an argument. Soon after, the intern, Markquonda Mathis, was back at work and promoted to a position overseeing millions of dollars in grants.

 Her misconduct had been fully established by the inspector general, the department’s internal investigators. The only mitigating factor she could have raised at a union hearing is that she didn’t wind up being charged criminally, since Virginia prosecutors said housing authorities’ forms didn’t ask basic anti-fraud questions that would help them prosecute swindlers.


“While HUD does not condone any employee misconduct, federal laws and regulations afford all federal employees due process and privacy rights even if they have engaged in confirmed misconduct,” HUD said in a statement.

“Confirmed misconduct” means that the inspector general officially found that the HUD employee stole benefits. The assertion would suggest that inspector generals’ findings have no weight on their own, unless they serve as a precursor to criminal action.

IGs don’t have the power to discipline, instead leaving that to the agency, so it is a catch-22 to say an employee can’t be disciplined based on the findings of an IG report because she has not already been disciplined by an outside authority. A large portion of IGs’ findings are issues that violate rules but not laws.

And since prosecutors often only bother to take cases that could result in years in prison, the idea that an employee can only be disciplined following criminal sentencing is fairly irrelevant, since if they were in prison, they would be unable to hold their job anyway.

The outcome illustrates the shape-shifting excuses that federal managers and unions use to ensure that federal employees aren’t held accountable. HUD is saying that workplace discipline is inseparably coupled to the results of a criminal trial. Just weeks prior, the Department of Veterans Affairs said the opposite — that discipline and criminal trials have no relation — to explain why an employee who was convicted of a crime after an armed robbery was not disciplined. 

“Criminal prosecution or conviction for off-duty misconduct does not automatically disqualify an individual from federal employment,” VA spokesman Axel Roman told The Daily Caller News Foundation. “The administrative discipline process for poor performance or misconduct on the job, operates distinctly from the administrative process associated with off-the-job misconduct. Accordingly, one is not necessarily impacted by the other.”

New federal employees are on a probationary period and have drastically fewer protections than tenured employees. As many employees are fired during their initial probationary period as during the subsequent decades combined,  since it is so much easier.

Mathis was only a “student trainee intern” at HUD, and her $31,000 salary was far higher than most interns.  “When this occurred, she was a student intern at HUD,” spokesman Jereon Brown acknowledged. “You obviously haven’t worked in federal service with these unions that we have,” he said.

The fact that the American Federation of Government Employees has become concerned with making sure an intern can’t be fired for stealing from the government indicates that there is virtually nothing a federal employee could do to get the ax.

Federal managers’ perceptions of what they must allow because of the unions are out of whack with actual regulations and precedent, observers say. In this case HUD managers should have been able to fire Mathis, but probably didn’t try hard enough to build a serious case, according to government-wide Office of Personnel Management (OPM) rules.

“If the person is a probationary Federal employee without adverse action procedural rights, instead of taking disciplinary action the agency could terminate the probationer’s services,” OPM said in a statement.

“If a tenured Federal employee engages in misconduct, there are established procedures to discipline the individual … An agency may take disciplinary action for misconduct regardless of whether criminal prosecution occurs.”

In Mathis’ case at HUD, a “notice of indefinite suspension” said “Your access card will be deactivated and the building security was directed to deny you access.” The department “will take the necessary administrative action to preclude the continuation of harm or financial loss to the department,” it said, noting the “notoriety of the offence” and the “impact on the agency’s reputation.”

But the suspension was dependent on factors including the “disposition of possible criminal charges.” And it noted that “your position is a bargaining unit position” and that the union could challenge any punishment.


Even though agencies all operate under the same government-wide personnel rules, HUD managers seem less willing to fire employees than other agencies, casting it as an inability rather than unwillingness. HUD fired only 5 of its 7,400 tenured employees in 2013    –a much lower rate than anywhere else in government.