Skip to comments.Organized Crime in Charge of EU Carbon Trade, Europol Says
Posted on 04/27/2010 6:28:47 PM PDT by Whenifhow
First, there was Climate Gate the scandal with hacked emails suggesting scientists have abused data for research on global warming. Now, another international climate scandal is emerging that may have an impact on the talks in Copenhagen.
Europes top police body Europol, the closest thing that European Union has to the American FBI, has exposed a massive fraud with the unions official market in carbon credits, the Emission Trading System.
The fraud is costing tax payers in a handful of European countries more than five billion euro 7 billion dollars and raises doubts about the effectiveness of carbon trading as a measure to curb emissions.
Europol director Rob Wainwright issued the following statement:
These criminal activities endanger the credibility of the European Union Emission Trading System and lead to the loss of significant tax revenue for governments.
Police authorities in Belgium, Denmark, France, the Netherlands, Spain and the United Kingdom have worked together in what Europol calls a process to identify and disrupt the organized criminal structures behind these fraud schemes.
Lets see if we can explain the scheme, using this graphic provided by Europol.
The fraud is based on a what is tax experts and investigators call as a Carousel fraud with missing traders.
This carousel generates money by stealing value added tax from governments.
The first step of the criminals is to open a trading account with a national carbon registry, in the name of a newly registered company.
From there, this company buys EU emission allowances in another country on one of the six official carbon exchanges in Europe.
After that, these emission allowances are moved to another country, and subsequently sold to an unregulated broker in yet another country.
This broker then charges VAT on these transactions but does not pay the collected VAT to the tax authorities.
Just before the tax authorities realize that this company owes them huge amounts of VAT, basically a period of a few months, the company and its owners disappear.
A new company is set up, using other front men, to repeat the carousel. Crime rings that run such schemes can have several dozen or hundreds of companies whose real owners are difficult to trace.
Basically, this type of fraud is possible because European countries continue to disagree on single market tax legislation. Carousel fraud is a constant feature in the European cross-border market and until recently only happened with shipments of valuable goods such as iPods or flat-panel tvs, not with carbon credits.
Europes tax commissioner, in an interview with EUX.TV, has estimated the damage from these carousel frauds at more than 60 billion euro per year as European finance minister continue to disagree on effective measures to fight this fraud.
The Emission Trading System system was set up in 2005 as part of Europes efforts to curb emissions of greenhouse gases. That topic now is at the top of the agenda at the UN Climate summit in Copenhagen this week and next. This unprecedented and massive fraud is likely to prove a major embarrassment for EU negotiators.
Algore and Obama are in Europe now?
Organized crime, confiscatory government, Algore and IRS, who can tell the difference anymore?
Yeah...it's called the government.
Well Obama does want us to be more like Europe...now I know why. Go Glenn Beck!
Fannie Mae Chief Executive Officer Franklin Raines, two of his top underlings and select
individuals in the "green" movement were inventing a patented system to trade residential carbon credits.
Patent No. 6904336 was approved by the U.S. Patent and Trade Office on Nov. 7, 2006 --
the day after Democrats took control of Congress. Former Sen. John Sununu, R-N.H.,
criticized the award at the time, pointing out that it had "nothing to do with Fannie Mae's charter, nothing to do with making mortgages more affordable."
"It wasn't about mortgages. It was about greenbacks. The patent, which Fannie Mae confirmed it still owns with Cantor Fitzgerald subsidiary CO2e.com, gives the mortgage giant a lock on the fledgling carbon trading market, thus also giving it a major financial stake in the success of cap-and-trade legislation."
Not surprised at all such a thing is happening in Europe.
Remember, there's only so much sleeze the mob can peddle so they end up with a lot of cash that can't be reinvested in expanding the usual businesses (prostitution, dope, arson fraud, truck hijacking, etc.)
So, they invest in power companies, printing firms and local product delivery businesses (in many places).
Al Gorepone is going to be running the racket in this country.
ALGORE CALL YOUR OFFICE!
Why is the story that Glenn Beck detailed yesterday not plastered all over every front page in America??
Obama/Gore/Goldman Sachs are getting ready to impose a $10 TRILLION dollar climate tax on America through the Chicago Climate Exhange (CCX) and Cap&Tax.
Goldman, Gore and others in Obummers admin are potentially going to reap 100’s of billions of dollars in profits on this scheme.
Goldman is happily playing their part as the pinata so that the Dems can use them to push through financial reform... then Goldman gets to benefit from Cap and Tax.
It’s all a game... and American citizens will be the losing team.
Watch this clip from Beck yesterday. (If you are truly limited on time, forward to 14 minutes, although 7:45 - 8:40 is very important too):
The video ends before he unveils the “middle” guy who facilitated the funding/founding of the Chicago Climate Exchange.
Gee, who could be from Chicago AND heavily involved with Goldman Sachs?? Hint, he also goes by the name Barry.
Don’t fall for the “financial reform hearings” circus.
It’s all just a show.
As Beck always says, “watch the other hand”... that is where the real heist is taking place!
Our entire country is getting ready to be robbed if Cap and Tax passes.
I asked this in another thread - which law enforcement agency is supposed to be investigating all this? Have they all gone on vacation?
Don Gorelioni of the Tennessee Mafia.
and gore is the godfather??
The media is the prison girlfriend of The One.
The Chicago mob is in charge of CCX, why should Europe be different?
Carbon trade IS organized crime. Legal organized crime.