Moody's moves Illinois closer to junk-bond status

Illinois' budget war took another whack out of the state's credit rating today as Moody's Investors Service lowered its review of state debt, moving it to Baa1 from A3.

And the firm said its outlook on the state is negative—often a sign that another downgrade is coming in a few months.

"The downgrades reflect weakening of the state's financial position during 2015 and our expectation that an ongoing budget stalemate will lead to further deterioration," Moody's said in a statement.

In bumping Illinois' debt to three levels above junk, Moody's followed the lead of Fitch Ratings, which took a similar action earlier this week.

Moody's said the negative outlook "is consistent with the potential for additional credit weakening following this year's extended budget impasse."

[Illinois’ budget war took another whack out of the state’s credit rating today as Moody’s Investors Service lowered its review of state debt, moving it to Baa1]

(with a bit of artistic license)

1 Kings 18:25-27 English Standard Version (ESV)

25 Then Elijah said to the prophets of Baal, “Choose for yourselves one bull and prepare it first, for you are many, and call upon the name of your god, but put no fire to it.” 26 And they took the bull that was given them, and they prepared it and called upon the name of Baal from morning until noon, saying, “O Baal, answer us!” But there was no voice, and no one answered. And they limped around the altar that they had made. 27 And at noon Elijah mocked them, saying, “Cry aloud, for he is a god. Either he is musing, or he is relieving himself, or he is on a journey, or perhaps he is asleep and must be awakened.”

Chicago's Mayor Rahm Emanuel Faces a Financial Crisis
Brought on by Progressive Politics (caused by Progressive Thievery)

HERE'S HOW GANGLAND CHICAGO ROLLS A muni-bond expert exposed Chicago’s bond financing scheme as a house of cards. An examination of the city's bond documents uncovered taxpayers paying billions for greedy politicians' shady financial legerdemain, including:

<><>(1) using long-term financing to

<><> cover day-to-day expenses,

<><>(2) using bonds to pay pension obligations, and,

<><> (3) misappropriating returns from the interest rate swap portfolio as an “ATM” for the city's expenses.

The stench from Chicago's poplitical sleaze is permeating the putrid city hall air... starting w/ Obama's ex-COS Chi/Mayor Rahm Emanuel. ....and remember, these kingpins of Chicago criminal politics moved into DC with Chicago kingpin Barack Obama.

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ANALYSIS Bonding is eternal taxation----the insider deals bonding companies made w/ shady pols to get bonding business would tell a tale of greedy pols accumulating riches through massive govt corruption.If these bonding deals were effectuated by way of referendum at the ballot box----and misled investors into buying tax-fee muni bonds----the SEC would be interested.

EMAIL enforcement@sec.gov

Massive govt corruption might include forgery, falsification of official records, fraudulent state budget entries, tax evasion, illegal wire-transfers, misuse of public office.

Tax-exempt municipal bond investors (including public education bond investors)-- have legal grounds to sue if they were deceived about deceptive bond offerings. In many cases, bond issues are approved by voters---at the ballot box--so that voters may have also been misled WRT uses of fraudulent bond offerings.

Also culpable are:

<><> bonding companies underwriting possible fraudulent bond issues;

<><> banks holding possibly fraudulent bond proceeds;

<><> State/city's modus operandi in allocating tax-exempt bond proceeds,

<><> the sub rosa acceptance of bond proceeds.

<><> state/city vendors accepting possible fraudulent bond proceeds.

<><> publicly-funded state/city agencies advocating the uses of fraudulent bond proceeds.

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The SEC, FBI, banking overight agencies, and the IRS, would be interested in the activities of state/city entities WRT bonding.

EMAIL---FBI TIPS PAGE https://tips.fbi.gov

EMAIL--enforcement@SEC.gov

Contact the IRS Fraud Unit

EMAIL Banking oversight agencies

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Taxpayers should find out which banks are facilitating this.
<><> Which banks are designated the repositories of municipal tax dollars.
<><> Which banks are dispensing tax-exempt bond proceeds.

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