SECRET FED MEETING - Fed Declines Comment On Emergency Meeting Rumor

Reuters via USA Today ^ | July 24, 2002 | Staff

[Uncle Bill]

WASHINGTON (Reuters)

[nunya bidness]

Outstanding work as always UB.

[Uncle Bill]

Thanks. It wouldn't be out of the ordinary. The only thing that would be, is if they told us the truth.

OPENING STATEMENT OF REP. EDWARD J. MARKEY (D-MA) SUBCOMMITTEE ON FINANCE AND HAZARDOUS MATERIALS HEARING ON IMPROVING PRICE COMPETITION FOR MUTUAL FUNDS AND BONDS TUESDAY, SEPTEMBER 29, 1998
"How could this have happened? Four years ago, the General Accounting Office, at my request, submitted a report to Congress on derivative financial markets. In that report, the GAO called for a series of structural and regulatory reforms in the financial markets, some of which were aimed at assuring that internal controls and risk management systems in derivatives dealers and end-users were improved so that we could avoid precisely the type of crisis that provoked last week’s last minute emergency meeting at the New York Fed.

..The failure of Long-Term Capital Management raises serious questions about whether the assertion that market forces and incremental actions by the regulators are sufficient to deal with the potential for financial derivatives to destabilize U.S. and world markets. If the Federal Reserve Bank of New York is forced to convene an emergency meeting of the heads of Wall Street’s largest securities firms and banks the day before LTCM was reportedly going to collapse, this suggests that the firms and the regulators have forfeited the privilege of secrecy."

[Fracas]

Someone has to say it, so I will. We can't handle the truth.

Great post.

[Uncle Bill]

MASSIVE PERSONAL CORRUPTION MAY HAVE CONTRIBUTED TO CLINTON TREASURY SECRETARY ROBERT RUBIN RESIGNATION

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Citigroup Sued over Enron Dealings

Citigroup Deal Helped Enron to Hide Its Debts

Citigroup Said to Mold Deal to Help Enron Skirt Rules

Investigators: Hidden Loans Boosted Enron [Citigroup and other banks]

How Citigroup Hedged Bets Against Enron

Saudi billionaire invests dlrs 500 million in Citigroup

SNIFFING YOUR WAY TO THE TOP

Friends Helping Friends

ENRON CROSSES MANY POLITICAL BORDERS

Rubin Called For Enron

CNN MONEY
January 11, 2002: 7:23 p.m. ET

Ex-Treasury Secretary made call to official on behalf of company

WASHINGTON (Reuters) - Ex-Treasury Secretary Robert Rubin called a top Treasury Department official on behalf of troubled Enron Corp. in early November, a Treasury spokeswoman said late Friday.

The call was the second disclosure by Treasury on Friday of apparent attempts to lobby Treasury Under Secretary for Domestic Finance Peter Fisher on Enron's (ENE: Research, Estimates) behalf. Earlier Friday, the Treasury said Enron President Lawrence "Greg" Whalley had called Fisher and Fisher "inferred" Whalley wanted Fisher to ask banks to extend credit to the now-bankrupt energy-trading behemoth.

Treasury spokeswoman Michele Davis told reporters Rubin had asked Fisher "what he thought of the idea of Fisher placing a call to ratings agencies to encourage them to work with Enron's bankers to see if there is an alternative to an immediate downgrade."

"Fisher responded that he didn't think it advisable to make such a call. Rubin said he thought that was a reasonable position. Fisher made no such call," Davis said.

Rubin is chairman of the executive committee of financial services company Citigroup Inc. Citigroup had a financial exposure to Enron but on Nov. 30 ratings agency Moody's Investors Services said the exposure was "manageable."

A call to Citigroup's New York office for comment was not immediately returned.

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Clinton's Commerce Department Ruled by Judge as ``hooligans'' and ``scofflaws.''and have demonstrated a disregard for the law

From here:
"Instead, the Commerce Department engaged in a cover-up of the secret meetings with the CSPP and Podesta Associates employees at the White House. No notification was issued for the secret meetings, nor for the classified materials offered to any other company.

Nor is John Podesta the only top Clinton official involved in potential criminal activity with super-computers and Ron Brown. According to documents provided by the Commerce Department, White House official Robert Rubin, and U.S. Trade Rep. Ambassador Charlene Barshefsky were both involved in policy meetings with the CSPP. A May 1994 "CONFIDENTIAL" letter to Ron Brown, partially withheld by the Commerce Department, states the CSPP held a meeting with Brown, Robert Rubin and "Amb. Barshefsky" where super-computer exports to China and Russia were discussed.

However, Rubin was soliciting campaign donations from CSPP members at the same time. In November 1994, DNC million dollar donor Sanford Robertson wrote a letter to President Clinton, thanking him for the August 1994 trade trip to China and he included a "P.S." about Robert Rubin.

Robertson wrote to Clinton the smoking gun of Chinagate, a letter directly implicating the President in trade trips in exchange for money. The Robertson letter states, "PS - Bob Rubin came to our home on Thursday for a Dianne Feinstein dinner, which raised over $100,000 for her campaign. Bob, of course, turned out the financial community and Silicon Valley."

Ron Brown's Indonesia trip
"Another major part of U.S. taxpayer financing for the Paiton project was obtained through the EXPORT-IMPORT bank (EXIM). Several of the Indonesian projects listed in the Commerce document note that EXIM head Ken Brody worked closely with Brown on Indonesia financing. Ken Brody is also a close friend of Treasury Secretary Robert Rubin. Rubin worked with Brody during his years at the investment firm Goldman Sachs.

Furthermore, the EXIM bank under Brody financed over $4 billion dollars worth of gas deals with another energy company, Enron. Enron is also an Akim/Gump client. In fact, Enron executives traveled with Ron Brown in 1994 on trade missions to Russia, Indonesia and China, cutting EXIM and OPIC backed deals in each country. Enron is not only another Akin/Gump client but it is listed as one of forty-four such companies in which Rubin had "significant contact" with during his years at Goldman Sachs."

Hooligans, scofflaws, cover-ups, secret meetings, destruction of evidence, funny money, no accountability, audit shams, bribes, receiving money for doing nothing.....

Hey, Robert Rubin qualifies to replace Alan Greenspan.

"The Three Marketeers"
We offer as "Exhibit A" the Time magazine cover story for February 15, 1999, which must surely rank as one of the most extraordinary propaganda and disinformation pieces of this decade, if not of this century. Along with the headline, "The Committee to Save the World," the cover featured the beaming visages of Federal Reserve Chairman Alan Greenspan, then- Treasury Secretary Robert Rubin, and Deputy Treasury Secretary (now Treasury Secretary) Lawrence Summers, with this riveting subtitle: "The inside story of how the Three Marketeers have prevented a global economic meltdown — so far."

Citi's Rubin made a call for Enron Ex-Treasury chief sought help to deal with credit agencies

Robert Rubin had worked closely with Enron when he was with Goldman Sachs. He recused himself from dealing with Enron matters during his first year in the White House as Clinton’s economic adviser, but not when he became Treasury secretary in 1994. According to the Houston Chronicle, Enron got permission to build a pipeline from Mozambique to South Africa after National Security Adviser Anthony Lake threatened to withhold aid to Mozambique if it didn’t approve the project.

Enron, which closed a deal, backed by the U.S. Export-Import Bank, to develop European markets for Russian gas, has been one of the biggest beneficiaries of the Administration's export policy. During the past two years, the Ex-Im Bank has supported Enron's agreements with Turkey, India, the Philippines and China - deals worth nearly $4 billion. Kenneth Brody, head of the Ex-Im Bank, is a close friend of Treasury Secretary Robert Rubin, having worked with Rubin at Goldman, Sachs. Enron is listed on Rubin's 1993 financial disclosure statement as one of the forty-four companies with which Rubin had "significant contact" during his years at the investment firm. (Brody, by the way, is said to be a leading candidate to take over at Commerce if Brown, under investigation for everything from slumlording to collecting $400,000 for his "share" in a company in which he had invested nothing, is forced to resign.)

Robert Rubin Asked Treasury About Aid to Enron
"Lay called Federal Reserve Chairman Alan Greenspan on Oct. 26. "We will not characterize the conversation," a Fed spokeswoman said. "The chairman did nothing in response to the call because it would have been inappropriate."

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Gore Chairman Met With Spies
"Newly released documents show that recently appointed Gore campaign chairman, Commerce Secretary William Daley, met in October 1997 with a firm reported to be "an intelligence-collection front for China."

The documents show that Daley met with Chinese billionaire Li Ka-Shing during a closed luncheon sponsored by the powerful investment firm Goldman Sachs. Li Ka-Shing's company, Hutchison Whampoa, currently operates the two ports on the Panama Canal, the Pacific port of Balboa and the Atlantic port of Cristobal.

The meeting was held onboard Goldman Sachs' boat, Monkey's Uncle, as part of an informal "talk" between Daley, Li and several "influential business people." Participants in the meeting included a "Mr. Duo" from China Resources, a firm reported to be "an agent of espionage -- economic, military, and political -- for China.

..Goldman Sachs' New York press office also refused to comment on the 1997 meeting onboard the Monkey's Uncle. The powerful investment firm used to employ former Clinton Cabinet member Robert Rubin. Defense intelligence sources allege that Rubin, while still serving as treasury secretary for President Clinton, also attended the 1997 meeting. Rubin is not listed on official documents as attending."

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We're the Democrats, we're for the little guy

[Uncle Bill]

"The market’s stunning rally Wednesday was credited partly to rumors that Federal Reserve Chairman Alan Greenspan was meeting with colleagues to consider cutting short-term interest rates from their already-low levels." - July 24, 2002 - MSNBC - Analysts See No Need For Fed To Act
"But a rate cut right now would seem like a panic move, several analysts said, especially after Greenspan’s congressional testimony just last week that the “economy has held up remarkably well” after a series of blows including a terrorist attack, recession and stock market downturn.

Fed officials declined to comment on rumors that policy-makers were holding an unscheduled meeting."

[Uncle Bill]

Just after 9-11.

Preventing The 'Plunge'

A high-level committee behind the scenes fought against market meltdown

Observer
via Guardian Unlimited
Sunday September 23, 2001
Source

The dramatic drop in the markets last week could have been much worse if it hadn't been for a shadowy committee of some of the biggest names in banking.

Analysts say the Working Group on Financial Markets, nicknamed the 'Plunge Protection Team', was extremely successful in helping co-ordinate a response across the markets when they reopened last Monday.

The team was set up in the late Eighties by Ronald Reagan and came into its own in 1998 when it drew up an emergency response in the wake of the collapse of the giant hedge fund, Long Term Capital Management. In the past it has comprised Fed Chairman Alan Greenspan, US Treasury Secretary Paul O'Neill, the heads of the various US stock exchanges and the bosses of a handful of leading investment banks.

However, this time around no fewer than 35 individuals - including representatives of other central banks - are thought to have been in the team.

The challenge was to agree on how to react to the events. Harmony was in danger of being jeopardised when the members representing investment banks clashed with those representing the stock exchanges, who wanted an early resumption to trading. The banks, for their parts, were concerned that staff and infrastructure were too battered to resume in the same week as the attacks.

Eventually the investment banking lobby won the day and when the markets did open on Monday there was an unprecedented level of co-operation between the financial institutions. Short selling seems to have been kept to a minimum as the banks resisted the temptation to bet on the markets plunging.

Banks which had trouble settling - notably the Bank of New York - were accommodated.

[Uncle Bill]

O'Neill calling off trip to South America at President's request

Rumbles Of Double-dip Recession

Democrats won't question Rubin

The Invisible Robert Rubin

Babbitt and Rubin 'Fined' $625,000 for Their 'Misdeeds'

[Uncle Bill]

Citigroup's Rubin sees merit in options as costs
"Citigroup itself is under investigation for its role in helping Enron Corp hide debt that led to its eventual collapse and is facing a lawsuit over allegations it did not properly disclose its dealings with the bankrupt energy trader. Rubin declined to answer questions from reporters after the seminar."

"In terms of the stock market, we have a bigger crisis than September 11. It's terrible."

[arete]

You have obviously put a great deal of time and effort into your work. Thank you for your postings. We need to sound the alarm before the liars and thieves in Washington and Wall Street rob us blind and we lose our freedom in the process.

Richard W.

[Deuce]

It is very comforting to know that we live in the kind of democracy that allows for a handful of people to meet in secret and resolve all our problems without our having to be bothered with the details!

[bert]

Thanks for your excellant effort. It will take me some time to work my way through it.

[Askel5]

The Creature from Jekyll Island?

Interesting.

[Askel5]

Thank you for your postings. We need to sound the alarm before the liars and thieves in Washington and Wall Street rob us blind and we lose our freedom in the process

Seconded! Thanks for all you do, Uncle Bill.

[Uncle Bill]

Looking For The Bottom - The Economist - July 26, 2002
"Share prices have fallen so sharply that there are rumours the Federal Reserve, America’s central bank, is considering an emergency meeting in order to counteract the resulting damages to financial liquidity. In the past few weeks, corporate-bond issuance has dwindled to a minimum. In trading in the money markets, yields on Treasury bills have fallen to 40-year lows as investors switch out of equities, seeking safer, if lower, returns. Other hopes may rest on the Fed in New York. Four years ago, the New York Fed stepped in to avert a liquidity crunch after the collapse in the assets held by Long Term Capital Management. However, as usual, both Feds declined to comment."