Yesterday’s news is glowing like only Plutonium can, it touches, it infects and it spreads. The Panama papers are a hot item, radioactive hot. The only place I skip on judging is Iceland. It was the only European nation that achieved a near utopian standard of living, so the impact from the collapse in 2008 will still enrage its population for a very long time to come. If you doubt this than take a look at Oscar winning movie ‘Inside Job’, the one movie that is the biggest eye opener on economies in the history of documentaries. On the other side we get the biggest joke in UK politics, namely Jeremy Corbyn. His quotes on ‘how only Labour will protect Britain’s families’. Perhaps Mr Corbyn will take a look at his party’s history. How Labour in the age of 1997-2010 achieved absolutely NOTHING in changing the wheel of tax havens. So when Jeremy is voicing his thoughts, he should take a long hard look in the mirror. Any defence or deflection is pointless and absent of values. Both sides have not done their job in stopping tax shelters.
Most important is that no laws seem to have been broken. Yes, we now see that there are a few issues, yet when we see the Guardian (at http://www.theguardian.com/news/2016/apr/03/mossack-fonsecas-response-to-the-panama-papers), we see: “Finally, the instances you cite in your reporting represent a fraction – less than 1% – of the approximately 300,000 companies that Mossack Fonseca has incorporated in its over 40 years in operation“, that is the actual case in all this. A system that is allegedly 99% correct and above levels, is now under scrutiny, through no less than criminal acts. Now the weirdest case in statistical history. We are looking at 300,000 cases. In the dataset that is well over 2.5 terabyte we see a fact evolving that is now soon becoming an interesting side.
Here begins a level of speculation that you must comprehend, there is little evidence, only suspicions. I hereby warn the reader to not take what follows as given!
One source (fusion) is giving us: “So far, the International Consortium of Investigative Journalists (ICIJ) has only been able to identify 211 people with U.S. addresses who own companies in the data (not all of whom we’ve been able to investigate yet). We don’t know if those 211 people are necessarily U.S. citizens”
Metro gave us this quote: “But weirdly, considering it’s the world’s largest economy, there was nobody from the USA. Is that because America is a beacon of transparent business dealings?“, the second quote is “Stefan Plöchinger, digital editor of German newspaper Süddeutsche Zeitung which obtained the leaks, shot out this teaser earlier today, saying: ‘Wait. Just look at what’s coming…’” (at http://metro.co.uk/2016/04/04/why-are-there-no-us-people-in-the-panama-papers-5794114).
One side states that more is coming, yet even under these properties even the term ‘there is more to come‘ becomes a highly suspicious consideration.
Now we get to the speculative side. You see, yesterday I made mention on the Libor scandal, yet I did not mention the part I speculated on initially (on April 1st 2013), in an article titled ‘60% confiscated and counting in Cyprus!‘ (at https://lawlordtobe.com/2013/04/01/60-confiscated-and-counting-in-cyprus/), at that time I wrote: “On 30th November 2010 Jullian Assange revealed that the next target of his whistle-blowing website will be a major U.S. bank. The same date a red notice was issued by Interpol. It was around that time that the hunt for Assange intensified by a lot. Perhaps the one bank was just the beginning? If we look back at the issues we know now, then there is a chance that someone made mention of the LIBOR percentage tweaking issue. If this is what frightens the US, then consider the consequences of a system like LIBOR being manipulated through the total value of trade. If that would have been off by 11.2%. Out of $1000T (UK and USA combined) then that difference would be $112T.
I would love to get 1% finder fee of that! It would make me the FIRST Trillionaire in history (not bad for a person only dreaming to be a Law Lord someday)”
It was my speculation that Libor was not limited to the UK. It was my speculation that the US, as it was in such deep debt, that it started to manipulate the total value of trade, creating an 11.2 trillion dollar buffer. Here the danger for them was that the UK could illuminate that and that would have made the US option impossible and it would go bankrupt overnight (I still want that finder’s fee!). It was a speculation, yet founded on some data I saw, the data implies (cannot confirm or prove this), that packages were reset so that they would not falter, even though collapsed mortgages were added to them. See it as a leave one extra in. A repackaged deal where 70% had not yet collapsed sold at bargain price.
So how does this connect to the Panama papers?
Ask yourself a simple question, a firm like Mossack Fonesca would have extensive protection, firewalls and other shapes of protection. When you represent 300,000 firms worth trillions, only an idiot would rely on a laptop running on Windows 98 (a mere exaggeration). These people are not idiots, they are a lot brighter than I ever could be. This now raises the question how that much data got out. This raises the question, is this truly just about tax havens, or is this about a clear message from the US. The message is ‘Do not leave the EU, or else!‘ a message aimed at the UK and at France. Germany is willing to give aid, because for the most Germany does not want anyone to leave the EU. I personally see this step as a desperate act form large players who would not accept any responsibility from acts of immense stupidity. A path that evolved clearly due to inaction regarding Greece.
The fact that US people are not (yet) mentioned is because the US needs its wealthy with extreme desperate shortages. A nation (the USA), who is at present perhaps so close to bankruptcy that it will take desperate acts. So is the USA behind the hack on Mossack Fonesca? There will never be any clear evidence on that. There is no way to prove this one way or another, this is all clear speculation from my side.
Yet, is this so far-fetched? I personally do not think so, especially when we consider the timing. So as the UK tax havens might undergo slimming down, we could suddenly see another batch of US deregulations set for the creation of taxation, wealth building and retrenching. So will this happen? Is my speculation way too wild? I am not certain, you see, even I question myself. I would have had a lot less faith in all this if we would have seen the ‘revelation’ of Americans. That absence is what fuels certain paths of speculation. When we consider the amount of bonuses that many bankers in the US legally got away with gives weight to all this, in a group of 300K people and this group 0.01% currently American is too low and too unbelievable at present. There is of course all the chance that those names have been held back, time will tell!
So beyond the speculation we see the facts, because the facts matter. And the press is massively ignoring the impact that Brexit has, not just on the EU and their Euro, but it is the value of the US Dollar that is equally hit when that currency gets hit with the impact the Euro would expected to receive. President Obama’s nightmare has officially begun, because the impact is likely to impact the US dollar before he stops being an elected official. So tactically there is not the question of Mossack Fonseca and the tax shelters/havens. A tactical question that Bloomberg answered on January 27th 2016 (at http://www.bloomberg.com/news/articles/2016-01-27/the-world-s-favorite-new-tax-haven-is-the-united-states) where we see ‘Moving money out of the usual offshore secrecy havens and into the U.S. is a brisk new business‘, it is followed with the quote “It is now moving the fortunes of wealthy foreign clients out of offshore havens such as Bermuda, subject to the new international disclosure requirements, and into Rothschild-run trusts in Nevada, which are exempt“, so ask yourself the following question: ‘Are the Panama papers with the details from Mossack Fonseca a mere hack, or is this a coup d’état by big players like Rothschild moving money into the US, forcing the wealth and the powerful in Europe to face the danger that Brexit will soon impact their money and that must not be allowed’.
This last tactic is again speculation, but it is a tactical one, and it is supported by some facts. In that regard this tactic is old, hundreds of years old, because it was Niccolo Machiavelli who stated: “Never attempt to win by force what can be won by deception”
I wonder what ‘revelations’ the Panama papers will bring, more important the parts the press will trivialise into the trashcan?