Tag Archives: the Guardian

No Health Statements

This is not the first time that we see a level of anger non-management in regards to the NHS and the medical staff. The proclaimed shortages and a government in denial over these elements. Whilst the DMG Media papers (among others) have had their fun day. The messages concerning the NHS are increasing all over the place and when we start reading about the  ‘The worst conditions in memory’, we know that we have come to that place also known as rock bottom.

This in contrast of messages like: ‘Hospital pays £1,800 for an agency nurse to work a single shift‘, April 5th 2014 (at Read more: http://www.dailymail.co.uk/news/article-2597442/Hospital-pays-1-800-agency-nurse-work-single-shift-thats-163-hour.html), Paul Dacre and ‘his’ DMG media. It is not the only case, there was a similar story on July 30th of that same year. The Telegraph gives us a similar story on January 19th 2013. This in contrast with real newspapers, namely the Guardian who voices (at https://www.theguardian.com/society/2014/nov/01/nhs-spending-agency-nurses-cuts) ‘NHS spending on agency nurses soars past £5.5bn‘, with the second line giving us ‘Government accused of ‘truly incompetent planning’ after years of training cuts push cost of temporary staff way over budget‘, this is a situation that affects both sides of the isle as it wasn’t started by this conservative government, it started before 2010. Neither side of the political isle has given proper vision to the pressures building, and this current government is now watching from the sides as they need to find £25bn. That number is actually pretty easy to see.

Staff shortage, overhaul of equipment, shortage of infrastructure and an overhaul of the infrastructure to protect it from this ever happening again. In this we have two elements. The first is that the press is partial to blame in all this. Consider the speech by Paul Dacre “a kind of show trial in which the industry was judged guilty and had to prove its innocence” (source: betterratailing.com). I like the news in the Spectator even better with “unremitting pressure of fighting what I have no doubt was a concerted attempt by the Liberal Establishment, in cahoots with Whitehall and the Judiciary, to break the only institution in Britain that is genuinely free of Government control – the commercially viable free press“. Yet, Paul Dacre sold out his readers in an instant as he kept quiet on the changed user agreements PSN users were forced to agree to, just a mere 10 days before the release of the Sony PlayStation 4. In that, as I personally see it, he kept the people out of the loop. So as the commercially viable free press is betraying its readers. Possible because he had to orally please the ears of Sony? How can we have any faith on anything we read regarding the NHS, especially when it is coming from DMG Media? You see, the issues are very much linked. The people have been made aware again and again that people like this cannot be trusted. It is Stephen Fry who brings the best definition of the Daily Mail “the only good thing to be said about his Mail is that no one decent or educated believes in it“, which is pretty much spot on, and the news the Guardian gives us regarding: “Paul Dacre steps down from the post of Chairman of the Editors’ Code of Practice Committee, which he had held since 2008” (at https://www.theguardian.com/media/2016/dec/01/paul-dacre-to-step-down-as-chair-of-journalists-code-of-practice-committee) is only the smallest of positive messages, even as he attacks it on the way out. Yet the Mail Online, which is owned by the mother company DMG media has had a long line of issues, among others with Tom Cruise as he was identified in a relationship between ‘Tom Cruise and the head of the church of scientology, David Miscavige‘, which might or might not be a big thing, what was the issue that the publishers were unable to defend themselves and even as we see ‘diplomatic’ responses like ‘Mail Online had failed to demonstrate that it had complied with its obligations under the first clause of the editors’ code on accuracy’, and as Editors’ Code of Practice Committee is part of IPSO, and they administered ‘penalties’ on a DMG Media sibling, the news that the Guardian gave “Regulator to reconsider whether the editors’ code, and its rules, can apply to a global digital publisher” (at https://www.theguardian.com/media/greenslade/2016/jul/19/ipso-review-after-mail-online-fails-to-defend-tom-cruise-story), so at this level of ‘contemplation’, something I personally tend to see as ‘inbreeding’, they are contemplating ‘a commercially viable free press‘. Are you freaking kidding me?

This sidestep is essential, because if it does not come from the Guardian, the Independent or the Times, we cannot be certain of anything nowadays, so as we lash out against the NHS, its governance and the consequences its patients face, we seem to be spurred into a false sense of righteousness as we kept on reading regarding those £225 an hour nursing jobs, which should be seen as misrepresentation of the highest order! The Telegraph isn’t helping any as they publish that the NHS now has access to Artificial Intelligence (at http://www.telegraph.co.uk/technology/2017/01/05/nhs-trials-artificial-intelligence-app-place-111-helpline/).

The part that the Telegraph does show that is important is “Joyce Robins, from Patient Concern, said: “I find this quite frightening. People who are ill want a person they can speak to. Typing in your own symptoms and waiting for a result is just ridiculous – what happens if you make a mistake?”“, which is just the tip of the iceberg.

The issues seem to escalate and there are a few players in this dramatic comedy that have to explain their reasoning. I am clear in ‘explain’ because there are sides that I am unaware of, to boast not being unaware of anything is utterly irresponsible. Before I go into the separate points. I did make a case on several levels with ‘The UK NHS is fine‘ (at https://lawlordtobe.com/2016/09/20/the-uk-nhs-is-fine/), and an even stronger case with ‘Is there a doctor on this budget?‘ (at https://lawlordtobe.com/2016/02/15/is-there-a-doctor-on-this-budget/).

Staff shortage.
It is the easiest one to solve, but cannot be solved overnight. Yet the shortages have been known for close to 4 years, so what has been done over the last 4 years to address these shortages?

Overhaul of equipment, Professor Angus Dalgleish has been outspoken in the past in several ways, mentioning the budget of the NHS not in the smallest way. We know that George Osborne had cut the budget by 1 billion, which in light of the shortages was a bad idea, the question is, was it avoidable, if not, how can the NHS move forward? With the current unemployment levels, how come it is still so hard to recruit nurses and doctors? I myself have had a lifelong interest in Radiology and Anaesthesiology. I am not alone in this, although in the 70’s when I was initially studying, getting into law or medicine was only possible if your parents were wealthy or if they were in law or medicine (meaning that they were wealthy). Now consider what the governments have done over the last 2 decades. I am giving that frame because we have known for at least 20 years that there was an aging generation coming up. Now the press at large seems to be blaming the immigrants, they might be as factor, yet they are not the main cause. A UK parliament going all the way back to Tony Blair should be seen as responsible for this. Those words are very specific. You see, when we look at the NHS expenditure history (at http://www.nhshistory.net/parlymoney.pdf), we see that in 2004/5 and 2006/7, Under Labour Tony Blair, the expenditure takes a massive hit, it is after that during Conservative David Cameron that expenditure goes straight into the basement, both sides fell short whilst both groups knew that the increased pressure from 2013 onwards would be strangling any budget as the NHS gets to deal with an aging population moving into retirement and an increased need for health care. None of it got properly dealt with by any parliament. In this, a rough estimate would be that the UK needs to hire no less than an additional 2,000 students a year for no less than 7 years to get anywhere near the numbers we will need in 8 years’ time, because the current shortage will increase. Perhaps parliament should take additional looks at places like the Royal College of Physicians (https://www.rcplondon.ac.uk/), we can agree that quality needs to be high, Yet when your annual tuition fee is set at £23,190 with an additional college Fee of £7,350 there will not be much appreciation on an international level, unless it is for private practice and that is where the NHS luck runs out, in addition, for the ‘locals’, £9,250 annually is still a big ticket, especially in today’s financial uncertainty. Consider the fact that this goes on for 4 years (the NHS is mentioned in several places to cover years 5 and 6), still, the average student will end up owning over £37,000 before they are actually earning anything and by the time they start earning enough to pay some back, the houses and their prices come across the corner, so these people too will try to find a commercially viable place. Perhaps they will go into journalism? Which is an issue as Paul Dacre of the Daily Mail (read: DMG Media) and Jane Dacre (President of the Royal College of Physicians) are related to one another, so I can only speculate with the question whether the Daily Mail news and Mail Online and others are setting a stage that is leaving a foul taste in my mouth. Now we all know that there are plenty of other sources making statements in the open, yet I cannot wonder if there is a sorted wave of misrepresentation of information is going on. We all know that there is an issue and that the NHS is in serious trouble, yet it requires drastic changes and a vocation that attracts many yet nearly null can afford is still a vocation with no staff.

Shortage of infrastructure.
This is seen in two sections, the people and the technology. Both are in a failed state. Even as plenty of people are looking for jobs, it seems that the infrastructure is under pressure as well. A cut budget as George Osborne had put in place is in addition incrementally debilitating to the NHS infrastructure shortage. Now in this I am not placing blame on George Osborne. The UK got themselves into a £1.7 trillion debt, the NHS is only one side of a national infrastructure that needs a budget, whilst the previous administrations have been burning their budgets like there is no tomorrow, the point has been reached where government credit cards are all maxed out, so finally budgets get cut hard all over the place. The NHS was not the first and will not be the last to suffer near death symptoms for some time to come. Unless parliament takes drastic steps and starts to change the way things are done and perceived there won’t be anything left.

Overhaul of the infrastructure.
The NHS infrastructure requires a massive overhaul, the NHS has to some degree failed itself. This isn’t just about cut budgets, this is about the essential need for hospitals to be lean and mean (read: not average). Processes need to change, the objectives of hospitals need to change. Larger implementations are required that deals a blow to the posts that have too large a cost. One if the implementations would be that alcohol and/or drug related injuries are no longer treated unpaid and only treatment when upfront payments are placed. It will be the first harsh response to binge drinking. It was stated a year ago that binge drinking is costing UK taxpayers £4.9 billion a year, which boiled down to almost £13.5 million a day. Now the researcher set that it equates to £77 per person, so in my view, any alcohol and drug related treatment will be set at £60 per treatment up front. Those who cannot afford it (spent their money on booze and drugs) simply get to wait outside until that bad feeling is gone (or they can die and decrease the surplus population, source: Charles Dickens). It is my personal view that it will take no more than 1000 deaths for people to realise that binge drinking needs to get to an end. This is actually small fry compared to Australia where the annual tally of costing is set to $36 billion and when we accept that the currency is only slightly below 2:1, whilst the population is set to 1:3 (only 23 million in Australia) we can honestly state that Australia is in a much bigger mess than the UK and if the UK adopts certain policies, Australia is likely to follow quite quickly.

If these three parts can be addressed, there will still be a dangerous time for the NHS, but there is also the option that the NHS will move away from near death to extremely sick and hopefully the death of the NHS will be averted. The alternative is to put faith in the aging population to throw their numbers in another direction. You see, at present, the death rate is down. Over the last 10 years it went down on average by almost 14%, so if the elderly could be so nice to do an about face and start dying more increasingly (like an annual average of 2,500 elderly per year), we would see a diminished drain on the NHS, housing prices more affordable, you see the benefit, right? Now, if you feel that this is so inhumane, than this is the lesson you now get to face.

To have a social civil society, or a civil social society, you need to be certain that you can afford to maintain it. As the political parties gave the keys of non-taxability to large corporations, the first step in having no budget was reached, as these players had no taxation, they still would try to find every corner to cut costs. So the car industry moved, fashion production went to places like Malaysia and Indonesia and sales went online via places like Ireland. It does not take a rocket scientist to work out that jobs would decrease and governments would no longer have a budget to play with, this is what we see in nearly EVERY nation on the planet, whilst the senior management places in corporations on a global scale left those few with more money than ever before and they do not need health statements, their incomes allow for their private physician with a nurse for the happy ending.

In all this, is this a story of hope? I am not certain, you see, unless draconian drastic changes come along, it might actually be too late for the NHS, merely because of the oldest triangle in existence. I am referring to the triangle of Places, Provisions and People. Any government and corporation can undercut one element for a longer time without consequence, for a short time you can undercut two elements with minimum consequences, yet there is no chance for survival when you undermine all three for anything longer than a really short amount of time. This is what has been done to the NHS for no less than 10 years, that whilst all the players knew that the pressure and needs of the NHS would increase and will continue to do so for no less than 10-20 years. What did you expect would happen to the NHS under those conditions?

 

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An audited symphony in Green

twitterfeed_0101aThis all started yesterday when the honourable Mark George QC sent a tweet (see picture), which was followed by my answer, and that one was given because I was feeling frisky. When you are done killing people in Constantinople as Ezio Auditore, I relied on Twitter to see some of the news messages on the air. His was one of the first ones I saw.

Was he wrong, was I? At that point it did not matter, the image that is given was based on three different matters and they could very well be valid, so I decided to dig today and see what is exactly going on. The first thing I am noticing is how much emotions are going all over the place, it is all about the wealthy getting bashed. Now, this might not be wrong, but what is actually happening? First was the Week, who referred to an article in the Guardian, so I am looking at that one (at https://www.theguardian.com/business/2016/dec/21/sir-philip-green-bhs-mps-pension-schemes). The title is catchy enough ‘Sir Philip Green could face £1bn BHS fine under MPs’ plan‘, yet is this going anywhere? The first quote is “BHS collapsed into administration in April, leading to the loss of 11,000 jobs and leaving a £571m deficit. The regulator has started legal proceedings against Green and Dominic Chappell, the former owners of BHS, in an attempt to fill the deficit. They collected millions of pounds from the retailer“. You see, the issue behind all this goes a little further and of course, the red cloth of the bull became very visible. The Accountant Online (at http://www.theaccountant-online.com/features/comment-bhs-and-the-silence-of-the-auditors-4923573/) gives us the news that the Guardian was unwilling to give us here. When the Accountant gives us “The Accountant magazine professor Prem Sikka painstakingly analyses PwC’s role as auditor of UK failed retailer BHS“, so the same group of less capable reviewers (read: idiots) connected to the entire Tesco disaster are also linked to BHS? Can anyone explain to me why Pricewaterhouse Coopers is still accredited to work anywhere in the UK at present? The additional quote gives us “Recurring losses and negative equity should have encouraged auditors to issue an emphasis of matter type of audit report which might have alerted employees, pension scheme members, pension regulators and others of the possible inability of BHS to correct deficits, but PwC did no such thing“, is that not odd? The fact that everyone is in emotional state, including the one person that should feel the strike of shame too. You see the right honourable Frank Field, Labour MP for Birkenhead and Chairman of the Work and Pensions Select Committee makes no mention of the PwC side either. I find that very odd, the fact that such large companies do not get red flagged by the auditor should actually have been higher on his list than Philip Green was. So Frankie’s response in the Guardian on £1000 million instead of £350 million is (as I personally see it) merely a load of rubbish, something to set at ease the engine of anger from the 11,000 people without a job, because if he had actually cared PwC would have been on his list in that interview in massive 350 feet letters, sending shock-waves through that decrepit organisation of abacus users.

This is not nearly the end of it. When we look at the Guardian in November, We see (at https://www.theguardian.com/business/2016/nov/02/philip-green-may-be-forced-to-pay-money-into-bhs-pension-scheme) that Graham Ruddick and Kevin Rawlinson have more to say on the matter (at an earlier stage) as we see ‘Pensions Regulator begins legal proceedings against Sir Philip Green‘, still the PwC stays unmentioned. Is that not weird? When I see ‘regulator‘ and ‘legal proceedings‘ I see, in my mind, in equal measure the need to look at the books and at that point the auditors. You see a £571 million deficit should not have been unnoticed, more interestingly anything over £100 million should have instantly called for a pension check, the fact that the Accountant online gives us “Page 1 of BHS Limited 2011 accounts stated that “The directors believe that preparing the financial statements on the going concern basis is appropriate due to the continued financial support of the Company’s ultimate parent company Taveta Investments Limited”. This statement is repeated on page 1 of the 2012 and 2013 accounts. Page 1 of the 2014 accounts stated that “during the year, the company was a wholly owned subsidiary of Taveta Investments Limited“, this should have been more than one moment where the senior abacus users at PwC should have been ringing the bells of red flags, the quote “BHS and its controllers had persistently failed to eradicate pension scheme deficit. In the light of that why did PwC have confidence in management assertions that it would provide financial support to ensure that BHS would remain a going concern“, shows what I personally believe to be a massive level of negligence, one that at this point is missing from the Guardian and several other news media. Can anyone explain how PwC seems to be receiving this level of non-accountability? Is this the price of hiring cheap graduates in places where seniors need to work? So as we see the massive amounts of deficits in place, we see that “since 2009, PwC collected £2.282 million in audit fees and £9.04 million in consultancy fees from Taveta Investments Limited, which included BHS“, which gives me the fact that in total (including Tesco), PwC received £25 million for what I personally regard to be overly negligent, that whilst I over my life for being capable and overly service oriented have never received anywhere near 0.3% of that amount annually pre taxation. So we can state that whilst the emotional and feigned state of anger by Frank Field sounds nice, but it is merely charades and the man should remain quiet until he actually achieves anything in regards to the pension schemes.

Now let’s get back to the original part, because there is a lot more than PwC in this matter. The quote “As part of any deal, it is understood that Green wants the regulator to ensure that Chappell pays into the pension scheme as well. The billionaire tycoon believes he was misled by Chappell about his track record in business and the money that Retail Acquisitions was paid by BHS“, which can easily be rectified, because if this was done properly there would have been records, like mail messages with attachments (resume amongst others), there would have been reference checks with phone numbers and annual statements showing the track record of Dominic Chappell, who according to some is seen as a former racing driver lacking 100% of retail experience. I cannot vouch for that, yet simple investigation should be able to set that one straight in mere minutes. If Philip Green cannot show any mail messages with evidence, my message to him would be “If it isn’t written down, it does not exist“, one of the oldest golden rules in administration, I reckon a billionaire should know small things like that. In this there is a third side of the problem. This side comes in the form of Lesley Titcomb, who is the current Chief Executive and former COO of The Pensions Regulator (TPR), in the shape that “it was yet to receive “sufficiently credible and comprehensive offer” to bail out the BHS pension scheme, which has more than 20,000 members, despite Green pledging to fix the problems facing it“, she too remains mindlessly numb on any mention of PwC. A pension hole this big should have raised questions years ago. They all remain silent on the auditor which gives pause as to why the hell that firm is:

1: Allowed to be in business in the first place; and

2: Able to cash in on 25 million (including Tesco).

We see that continuation in “The regulator said that after a “complex investigation” and months of talks with Green about a rescue deal for the pension scheme it was sending warning notices to the billionaire tycoon, Chappell and their companies“, the auditor that facilitated for all this remains out of sight, out of mind and out of mention in all this. I have a massive problem with that part, especially as the Guardian has stated more than once to be such an ‘investigative entity‘.

In all this we now see the final part leading to the wise tweet that the honourable Mark George QC made and it makes him a lot more honourable than anything that the UK Labour party has to offer. In my view, I questioned whether the £580 had been a valid destination. The Guardian quote gives “Green controlled BHS between 2000 and 2015, during which time his family and other shareholders collected more than £580m“, so he did not get all the cash, so there is the smallest of discrepancies here on the statement of the Honourable Mark George QC, yet he only had 144 characters to make it. I would want to see 15 annual statements of all the payments towards the Green family and shareholders. Because in that regard, a firm that had a pension scheme in deficit for 11 years and negative equity for at least 7 years, how would it have been possible for shareholders to get anything at all, in addition, how much did Philip Green actually receive as payments from the BHS side of his businesses?

There is a growing list of concerns, concerns that should also be used against PwC, the TPR as well as HM Revenue & Customs. I think that it is safe to say that the days of ‘Walk softly and carry a beagle‘ (Charlie Brown) are over and we need to look at ‘Shout loudly and carry a machine gun with the safety off‘ (Rambo) as an actual deterrent for the non-actions of all these players. In addition, I think we need to put Lord Grabiner in the spotlight who was a former Chairman of both Taveta companies. You see, what Frankie Fields did carefully avoid to mention is that Lord Grabiner is linked to the Arcadia group, also owned by Taveta Investments, as is his family member Ian Grabiner, in all this Baron Grabiner might be seen as an academic administrator, but there is nothing academic about this half a billion pound mess and with Labour members remaining very silent on their peers, it seems that the 1 billion pound levy threat is merely a hollow action giving the implied value of £0 towards Frank Fields and his valued point of view, especially when we look at a non-actioned and non-mentioned gap of 11. One person (@the_MourningSun) gave me the answer to my tweet that this was down to a difference between the letter and the spirit of the law. I think both have failed miserably for well over half a decade when the larger players get to play the game the way that the BHS was played. In the end, it will be for a court to decide whether Philip Green broke any laws or failed anyone he cares for (read: implied view he only cares for himself). What is overly clear is that too many parties are leaving the auditors in the shadows, away from the peering and prying eyes of the public, which is a massive failure on every level.

So as you think that the TPR is currently on the ball, you all better take notice of the Guardian quote “By the standard measure used by the PPF, 4,272 defined benefit schemes are in deficit and the size of the black hole is £195bn“, so as we see that part, I wonder when we get a list of those 4000+ schemes, who is auditing them. I wonder when we look at 2 pie charts, one based on the deficit amount against the auditors involved, and one based on the number of schemes against the auditors involved. I wonder which auditor will end up being the most prominent one. Would you like to hazard a guess?

Let’s see if we can revisit this part somewhere this quarter and see how many spins the media and Lesley Titcomb (Executive Officer TPR) will end up doing.

 

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This last day

This last day should be a day of reflection, a day of consideration. I feel none of these things as I am observing the mistakes that Marine Le Pen is now making. I get why she would get the referendum vamped up and get stronger waves towards Frexit, yet her call to leave NATO makes a lot less sense. For one, NATO still does mean the North Atlantic Treaty Organisation, France is part of that North Atlantic, she has a duty of care there (a lot less so for the EC, the EEC or the Euro for that matter). She does make a point when we look at the expansion into Eastern Europe. Let’s face it, when we look into the original line, there was Germany which goes a lot to the south, then basically it is Italy. Getting into Eastern Europe makes a lot less sense. Let’s not forget, the Americans at present no longer have the means to play this game. A fact Lockheed needs to take into consideration, even if the price of the F-35 is given without an engine ($133 million, without engine), making it basically the most expensive paperweight in history. In addition, it came with a truckload of issues in 2014, whilst the 2015 report states “the majority of the fixes and for capability deficiencies being discovered are being deferred to later blocks rather than being resolved“, with new items of concern added. I found the additional quote form the 2015 report “inherent design problems that are only becoming more obvious and difficult to fix” most amusing, so if Marine Le Pen has in mind to not go anywhere near a Lockheed design, that would make sense. Now I do not want to brag, but with all my flying hours in the Microsoft Flight Simulator (2004), I might actually beat that latest flawed Lockheed F-35 with my experience in a Mikoyan MiG-35 (OK, I am bragging a little as I have never flown ANY jet in my life). What is the issue is that the politicians have not kept a good accord on the military abilities of the armed forces, not the people mind you, but the equipment they get stuck with. As such we see a 1.5 trillion dollar project showing more holes than an IKEA Pasta insert (named ‘Stabil’, which is hilarious as it is also means stable in Swedish). A project $160 billion over budget and 7 years behind schedule, and these were the numbers in 2014. A defence project that was too big to kill and that is what the NATO partners have to content with?

So why these topics? The world is changing, it is changing faster than ever before and the minders of the store have been so selfish in regards to their own personal needs (read: visibility of self via ego) and achievements that the duty they had was pushed under the rug. This is how I personally see the F-35 project.

The financial sector in the UK alone these financial boys (girls also) had the bulk of the £44bn in bonuses this year, so did your quality of life increase any (the topic jump will make sense in a few moments)? Now, even as wealth increased, it did not do so to that extent. It is not that fair to just have a go at the financial sector, apart from the fact that they ended up with bonuses of 1900% more than the amount all the others got, so balance is not that much in play. That view is shown stronger as we look at Forbes this week (at http://www.forbes.com/sites/francescoppola/2016/12/28/greece-the-game-is-on-again/#2585dbd946e5), the quotes that matter here are “Euclid Tsakalotos, the normally mild-mannered Finance Minister, accused the IMF writers of “economizing on the truth”. He pointed out that the main reason why so few Greeks pay income taxes is that their incomes have crashed, and that nearly half of Greek pensioners are living below the poverty line” and “The IMF’s case is that pension cost as a proportion of GDP is now unsustainable, and further, that the creditors are not going to agree to debt relief while pension cost remains so high. It is probably right on both counts. But once again, what really matters is the psychological framing“, in that regard I will be on the side of the Greeks, but not on the side of Greece. You see when their previous governments got loans and misrepresented their value, they had zero consideration on what pensions were in regards to the loans that they were getting under false pretense, in that regard, did any of those politicians go to jail? Did they refund 90% of their incomes? I am certain that the answer to both is ‘No!’, in addition those elected officials are sitting pretty and nowhere near the poverty line. Yet in all this the hardship is not over, in addition, the facts (as I personally see them) requires a little more digging, especially when I read “Attica Bank, the country’s fifth-largest lender, was poised to install a new management team he thought was capable of turning round the struggling lender” which were the thoughts of Yannis Stournaras, the governor of the central bank of Greece, which was followed by “While he was in the air, the government in Athens reversed the decision to award the job to Mr Pantalakis. It was his introduction to a web of allegedly related events, ranging from a raid on his wife’s business to an unsuccessful bid for TV rights backed by Attica loans“, this gives the implied issues on Yannis Stournaras, which gives more cause concern when we see “A confidential report on Attica carried out this year by the European Central Bank, the Eurozone’s top bank supervisor, and seen by the Financial Times, cited “severe findings” of poor governance and inadequate controls on lending. With some 70 per cent of its loans rated as non-performing, Mr Stournaras and others believed Attica urgently needed a professional banker at the helm. Government sources denied any intervention in the process to select Attica’s CEO” (at https://www.ft.com/content/aab0aaba-c6db-11e6-8f29-9445cac8966f). The implications are on a few levels especially in the light of ‘government sources denied‘, there is a mess on a few levels and the idea that personal needs were adamant in decisions is not without probable cause. The levels that are in question cannot be set because too much information is missing, but there are issues, make no mistake about that.

These issues connect, not directly but in the view of national voters, governments have made absolute shambles of their nations giving power to those with key wealth management options, in that need those who need to be at the helm are politicised and set to markers that are off the table and outside of the scope of visibility to scrutinise, whilst the presentations are showing markers that do not fit the person best suited for the job, in that Greece is not the only place with such issues. In the UK Mark Carney is facing similar issues, yet in the opposite direction. The best person for the job is the one the elected government seems to have an issue with. The independent (at http://www.independent.co.uk/news/uk/politics/bank-of-england-mark-carney-theresa-may-attack-monetary-policy-tory-conference-speech-a7380016.html) gives us “Mr Carney argued that the monetary policy pursued by the Bank in recent years has had a positive impact that is “without parallel”, despite the Prime Minister using her speech to claim it had led to “bad side effects”“, in addition we see “Since quantitative easing was first introduced in the economy in 2009 … there’s been 2.6 million jobs created, GDP is up 16 per cent, per capita income is up 9 per cent and this is following a trauma in the economy“, we might see this as good news, but the good news is in the UK not dripping down to the other people just yet. In addition, the dangers will change if sharp budgets are not maintained. Getting the debt down is an absolute first, it will have additional benefits down the road, yet the initial benefit is that money could go to other destinations than paying for the interest of the debt, the interest of a debt amount that is currently in excess of 1.6 trillion. This was not the first attack, Michael Gove had a go at England’s Marky Mark in October. It is always nice when a person is called arrogant, especially when that person has proven to be amongst the very best in his field on the planet. I myself had had some issues in the past with Mark Carney, yet not against the man, but the economic issues that the UK faced because of actions (read objectives) pushed for by politicians, however his speech in the House of Lords showed him to be the expert he is and he nearly got me away from the Brexit team. Yet Mark Carney himself states it very well when he said: “Politicians have done a very good job of setting up the system. Where it can be difficult, sometimes, is if there are political comments on our policies as opposed to political comments on our objectives“, in this we see the issue that is part of the problem. as the politicians set up the objectives, they are then confronted with the policies from technocrats and those two groups do not see eye to eye, so friction goes back and forth, the Lockheed F-35 lightning is an excellent example here, in addition that part got an extra iteration as the military requirements were added by yet another group (read: the military). In all this the political objective is hampering the essential need against ‘it needs to be done by date X for no more than amount Y‘, which gives us the political joke that the NHS IT project was. A present from the Labour government which boiled down to a £11.2 billion wrapper around an empty box. Two projects set through objectives that ended up being off the wall and the back and forth friction that resulted in something unmanageable and non-functional. I reckon the political side of both events needs a new level of scrutiny, one that we have not considered before. In that regard having people like Mark Carney around is essential for the wheels of a state to remain functional, because if there is one clear thing, it is that America lost that oversight some time ago, before this Democratic Administration, the previous republican one lost sight of the needs and the accountability of the intelligence network and data processing side no later than 2006, we can all agree that the 2007-2012 total budget of $435 billion was money massively spent in all the wrong ways. This was shown in a Foreign office document that was quoted in an article stating “Army officials, though, said Palantir wasn’t up to the job. Now, a 57-page report by the Pentagon’s acquisitions arm basically says the Army was wrong to dismiss the Palantir system. The study instead gives Palantir high marks on most of the Army’s 20 key requirements for the intelligence system, including the ability to analyse large amounts of information, including critical data about terrorist networks and the locations of explosive devices, and synchronize it in a way that helps troops on the ground combat their enemies more effectively“, so there too billions were spent when millions could have sufficed. When the EGO of an individual with the power to decide is on the line, the results could be disastrous. In my personal view, if we accept the wrongful spending of 25 billion, how many extra troops could have been saved by adding fire support groups to those in IRAQ in those years? How many of the 4486 fatalities could have been prevented?

Politicians, advisors and ego are a really dangerous combination in many ways, even as we look at what is coming now, we need to be mindful of the changes that some are pushing for. Even if we are in favour of dropping the EC altogether, pushing NATO boundaries might not be the best solution. France might be privy to one of the better intelligence machines, that machine is also dependent on the intelligence it is fed from allies, an essential element that will fall away when NATO does, Marine Le Pen should be very mindful of that.

Yet this year and more important 2017 will go beyond Frexit. There is still a large debate on the Netherlands making any move away from the European Community, the numbers require people to be realistic on what will happen, yet those numbers are nowhere near the numbers Brexit had, so it is still unlikely that this will happen at present, no matter how certain Frexit will be. Italy might not have any manoeuvring space, it requires a massive infuse of funds, when we see the Reuters quote “An Italian government official told Reuters on Tuesday that €20bn earmarked for the rescue of the Italian banking system should suffice“, we need to wonder in how much trouble Italy is. This question is raised as we see Banca Monte dei Paschi di Siena will issue €15 billion of debt next year (source: RTE). So we see another iteration where “The Treasury may have to put up around €6.6 billion to salvage the lender, including €2 billion to compensate around 40,000 retail bond holders“, so, how exactly is it acceptable that people ‘invest’ with a risk, yet when that risk comes calling, they still get compensated? How did any of us ever sign up for that?

Anyone who mentions that it is for the good of all is of their rocker plain and simple. Here too we see connection between France and Italy, mainly that the Natixis Global Asset Management (NGAM) thought it was a good idea to list Banca Monte dei Paschi di Siena as a major purchase right next to Ubisoft. I reckon a little less ‘lack of nationalism’ and putting all of that cash in addition to the other amount into Ubisoft might have been a decently better idea. I feel certain that next year when we see the ‘Top Ten Holdings’ in the Natixis report will not make mention of Banca Monte dei Paschi di Siena, which could just be me though.

So in this last day we see that we have quite the collection of choices to deal with, some good and many bad ones. Yet no matter what is happening, no matter what will fall, there is a decent indication that unless changes are made 2017 will not be a good year. I might be too negative to see some level of collapse in Q2 (no later than Q3) in the next year, yet the proper setting and if the key players are willing to forego ego and focus on cooperation, they would be setting the stage for a lucrative 2018, that is beside the initial technological presentations of the new age of G5. G5 will be the pushing power in IP, especially Trade Marks, yet that path is also loaded with new growth opportunities for IT and developers as they start setting the tone of what 5G could personalise, it will be the first firm push to switch providers to SaaS. That is almost without question, the degree to it happening is very much depending on actual cooperation. In that the Telco providers need to realise as per immediate that thinking SaaS whilst selling Paas and charging IaaS, which sounds nice on bonus day. Yet the boomerang effect is that clients will walk away a lot faster and they will also automatically entice 10 personal connection to not seek the services of the telecom provider being that stupid. Infrastructure as a Service is almost a thing of the past. It seems weird, because there should be space for it, yet in our new outfits we see that infrastructure is a long term commitment and with annual mobile purchase the people have learned to be as flexible as possible, so the limited mobiles that some sell (32Gb instead of 64Gb editions) is why people are realising to walk away from those offering limitations instead of solutions. It is at times harder with Platform as a Service. You see, PaaS might sound nice when we see Apple and SAP connecting, yet the bulk of the revenue will be the smaller fish in the pond, the small players will be 80% of the revenue, one can argue the actual taxable cake of government will be largely depending on those players and for them IaaS is a laughable solution when they are trying to get as much as possible in the first few years and those smaller players want as much flexibility as possible taking to some extent PaaS from the table. SaaS will be solution of choice and those now adhering to that need will fall short in 2018 and they are unlikely to be part of anything in 2019. In that we see the government need of objectives that cater to what the SME’s need. A mere application of supply and requirement. You might think that this is not connected to the previous parts, but it is. When we see the NHS, Banks and government, their needs to address their audience, they need to consider that no matter the infrastructure or platform for communications, they all need to see that their clientele is no longer rigid, no longer bound to certain paths for the simple reason that the infrastructure of places like the NHS can no longer deal with. It is by definition a mobile customer base that needs addressing, this means, or at least implies that the SaaS solutions require a wider setup, other paths of non-repudiation and a very different approach to data, its quality, its controls and the application of the results in any report or estimation towards costings and profit. It is a path of contribution, which is set as revenue minus costing.

For the better part an entirely new path in a setting that has for too long been about a rigid collection of data, which when compared to a setting in a flexible framework no longer holds a candle and will come with the implied death of data quality. in these places there will be a growing need for a data team that has the sole purpose of managing the quality of data, this path is one that IT has never worked on to the degree it had, because in the past systems were set in concrete and after the correct data pass had been made, the data usually would not require ‘resetting’ it in another framework, a change that will be almost evident in the systems we will see start in the next 4 years. There, for some the problem becomes that they have never contemplated the changes, which now also means that once they go into the deep of it all, the time required and the resources required will be a lot more draining than ever before. It is in that path that we see the danger of politicians and technocrats in the required path of objectives and policies. As there is plenty of evidence that so far this track record is not that great, we will see a squandering of funds and a dangerous curve of unprotected data whilst no one will be actually held accountable for the transgressions against those consumers aka victims.

So on this last day there is no way that any solution will be found, just take in the information and next week wonder what on earth is about to hit you, there is some speculation in this, yet I believe that the ‘objective callers’ (read: politicians) will rely on the word ‘glitch’ a lot more than ever before, it might just become the most popular word for 2017.

 

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Rephrasing a Minder

Politics tends to be filled full of weird and crazy people, from my point of view those people tend to be members of the Labour party. That view got a new light in the article ‘Labour calls for closer scrutiny of tech firms and their algorithms‘ (at https://www.theguardian.com/business/2016/dec/18/labour-calls-for-regulation-of-algorithms-used-by-tech-firms). Now, there are two sides to any equation, so let me give you the two that I have.

1. I believe that tech companies have been facilitators for too long, many will not accept any responsibility for way too much. On the other side, I do believe that the only working internet is a free one. So when I read the words from Shadow minister Chi Onwurah, I honestly did not regard her to be anything more than a person seeking the limelight. It is equally important to realise that she is using last week’s amazon debacle in Scotland, with questions how that relates to regulating algorithm, it’s a mere application of employment law, is it not?

From the quote: “The outcomes of algorithms are regulated – the companies which use them have to meet employment law and competition law. The question is, how do we make that regulation effective when we can’t see the algorithm?” I feel slightly cautious to call Chi Onwurah a joke, there is a chance that some of this was lost in translation, if not, she has a larger problem to deal with. That problem will be clearly visible when she decided to look into a mirror. So why to look at my point of view?

You see, there are no regulations on algorithms, they are basically formulas with a solution. In addition she states: “greater scrutiny of the mathematical formulas that now control everything from the tailored news served to Facebook members to the speed at which workers are required to move around an Amazon warehouse“. I think that we need to look a little closer at the last statement. You see, it is highly likely that any staff members would need to meet a certain amount of jobs for shipment and delivery. Yet how feasible is that requirement? I can’t tell from the description that was given a week ago, too many variables missing, that does not make the approach regulated. Yet like in any job, workers have ‘responsibilities’, yet more important, they have rights. These are clearly set in most countries of the Commonwealth, so how does that equate to apparent regulated algorithms.

2. The openness of any system will silently advocate the abuse of it. A not so good example was given by the Guardian (at https://www.theguardian.com/technology/2016/dec/04/google-democracy-truth-internet-search-facebook), where we see ‘Google, democracy and the truth about internet search‘. We get Carole Cadwalladr with the quote ‘and this was Google’s answer: Jews are evil. Because there, on my screen, was the proof: an entire page of results, nine out of 10 of which “confirm” this‘, which started with typing 7 letters ‘are Jews’, which is an issue from character one onward. She then tries to dilute the issues by setting the image of the search of ‘are women evil’, probably to ease the tension, but the damage is done, short-sighted (as I see it) she continues. So whilst she wastes two paragraphs on titles of the slightly anti-Semitic nature, which she then sets in an atmosphere as “I feel like I’ve fallen down a wormhole, entered some parallel universe where black is white, and good is bad. Though later, I think that perhaps what I’ve actually done is scraped the topsoil off the surface of 2016” and she ends with “This isn’t a secret Nazi cell lurking in the shadows. It’s hiding in plain sight“. As I personally see it, she is the person who has been standing behind an iron for most of her life and now she sees her first microwave, a cliché if I ever saw one.

You see, the article goes on for some time and there are really good parts in it too, although the spatial map is a bit of nerdy space we could have gone without, the issue I never see properly addressed is that the term ‘are women evil’ and on number one is a WordPress blog, literally with the link ‘sheddingoftheego.com/2015/06/25/are-women-evil/’ and the title ‘Are Women Evil?‘ literally a perfect match for what the person was seeking. Google worked perfectly. What is ignored and what influences many sights, especially on how Google Rankings are influenced. Now Google has a way to counter it, yet this is not immediately done and it is not perfect either. Places like Reddit are actively working on posting whatever they need to raise their ranking and the rankings of their customers. It is interesting that the Guardian, the Huffington Post and Forbes take absolutely ZERO time to explain the games that SEO’s are playing to influence ranking through scripts. because it is in the end what someone was seeking for, yet the fact that this is the direct value for SEO’s and terms like ‘Tips on how to improve your website’s ranking on Google’s search engine results’ were also ignored in these articles giving rise to the one sided and unbalanced view the press is giving, whilst those in the digital media all know that this is done and those who are doing it usually have a massive tag list ready to add to EVERY story they write.

So when we see the quote “Many search results are now reinforcing extreme views, with articles denying the holocaust or disparaging women increasingly appearing at the top of the rankings“, we need to wonder Chi Onwurah should even be allowed to be Shadow Minister of Department for Business, Energy and Industrial Strategy, or Just the elected MP for Sesame Street. By the way, what I did not know is that this department is also responsible in the area of Intellectual Property, so if Labour ever wins, we need to get scared fast.

So getting back to the MP in my sights, it is important for her to realise not just what a google search does and what it shows, but the elements that influence it and what happens under the real guise and the influenced guise of what people are looking for. By the way, her article acted for possible millions of additional clicks, because she raised the issue, whilst not raising the alert of how the numbers get influenced. So, as we go down the article, we do need to stop at a part that matters a lot. This is seen in the quote “Social media platforms are being blamed for allowing the spread of misinformation and online abuse, conditions which some argue are fuelling the resurgence of extreme politics in America and western Europe“, which is a fair point, yet as bullies and trolls can hide behind the freedom of speech without accountability, there is little chance of this changing, in addition, this isn’t a transgression from 68 million people in the UK, it is the search result and interaction of billions of internet users on the planet, so as there is no localised situation, misinformation and online abuse remains. In addition, as Chi Onwurah should clearly realise, when we see webpages with quotes like ‘Millions of People Are Cancelling Their Netflix Account Because Of This One Site‘, whilst the link looks like a cookie 2 miles long, all set to improve visibility. The media at large, including the UK make use of professional cookie, tags and ranking strategies and all kinds of advertisement counters, so when she is talking about regulations, setting anchors against the exploitative use of cookies might not be the worst idea. In addition to that thought, whilst labour was in office, they did zero to get the tax accountability rolling on corporations, so to see this quote “need to take responsibility for the unintended consequences of the algorithms and machine learning that drive their profits” in the reality of the law (the act of facilitation), she needs to realise that her statement is empty and hollow to say the least. So when we see “we need a tech-savvy government to minimise the downside by opening up algorithms to regulation as well as legislating for greater consumer ownership of data and control of the advertising revenue it generates“, she is not unreal, she is utterly unrealistic for even considering to open up that tar pit, because once we see that regulation come to ground, the economic algorithms are the first one we will have a go at and at that point, when that reality comes knocking, she will soon be the loneliest politician in the history of the UK. In addition, is it not interesting how Bing was not mentioned once in all of this? Why is that Chi Onwurah? Basically this is an act of discrimination, however let’s not nit-pick in an article that is already shoddy in several ways.

The software engineering reality (historically speaking) is that the Google search results and Google ranking was filed in 1998 with a priority in 1997. Lawrence Page realised that the content on the internet would be growing exponentially and as others were concentrating on corporations and corporate views the founders of Google looked at a much bigger picture, so finding anything would sooner rather than later become a massive issue.

In an age when the ‘great’ internet companies were about image and looking cool, Google started to get professional. In the days of Yahoo, Yahoo was the search engine of choice. Alta Vista, later Excite and a few others were garbage from week 1 whilst never catching up in any novel way. Yahoo started in 1994 and they were leaders for a while, and in the 90’s as Yahoo grew its value, they started to lag behind. Now the irony is that Yahoo got started at Stanford and the Google rank patent was designed and invented at Stanford too. By the time someone started to ask the right questions it was already too late and the Google patent for ranking gave them exclusivity which will last a little while longer, but others are now considering the consequence that Google Rank patent will still be in effect when G5 starts, as the issue of ranking is still growing near exponentially as more and more files are added and with G5 it will take on an additional dimension.

now we see the issues that are brought to the foreground in what I regard as a half-baked shadow ministers approach, asking ‘questions’ and implying regulations, all this whilst a below par informed level of knowledge is shown in the articles they set to press. One of the issues is actually shown in one paragraph in the Huffington Post “Finally—and this is the key point—even without human intervention, Google’s algorithm, while doing exactly what it’s supposed to do, routinely boosts one candidate higher in search rankings simply because of normal “organic” search activities“, which is the cornerstone. As we know, organic search (what you type in the google search bar) is used, yet what happened when this is done through scripting? What if a few of the 200 parameters gets influenced from outside though scripted actions, again and again? That part was never clearly mentioned, but it is the bread and butter of nearly every SEO, to get the position and ranking of their clients to the very top, in every possible way and method and the shadow minister does not give any visibility to it, the visibility it requires and deserves.

That is the flaw in all this and this is the need to rephrase a minder, a minder who as I saw it never understood the plot, or she did know and she was misinforming the readers to some extent, yet how much requires misinformation and was that not what she was accusing social media of? So as we await Labours industrial paper, we will have a few more options to have fun of labour especially as they define supervision whilst again not getting any results in proper corporate tax legislation, not even as suggested proper corporate tax legislation.

taxformulaSo should we see the taxation algorithm for large firms where x is the taxable amount, b is revenue and a is tax deductible options, you know that it is not just the regulations of algorithms she got wrong.

 

I’ll let you decide.

 

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The mental state of health

This all started two days ago when I got alerted to one news issue and shortly thereafter to something entirely different. Let’s start with the news, you see, the news I got was rather extreme, even for the average judgement in criminal law. You see, it all started with the mere headline ‘Prisoner jailed for 45 years over letters threatening to kill people‘ which was a bit much. For example in the Netherlands when you drive and kill a 2 year old and in addition kill the grandparents, you get 120 hours of community service. At 8 hours a day that is a mere 3 weeks, if you work the weekends too, 2 weeks is all you have to suffer. So when I read 45 years I tend to wake up and really wonder what a person needs to do to get 45 years. Mainly because killing children or committing treason no longer gets you anything to that degree.

The issue was given in the Guardian (at https://www.theguardian.com/uk-news/2016/dec/14/inmate-jailed-for-45-years-over-letters-threatening-to-kill-people). The issue is clearly seen in the quote: “A prison inmate who wrote a series of letters from his cell threatening to kill 10 people, including prison staff and police officers, and then have sex with their corpses has been jailed for 45 years“. Consider the following two quotes; the first one is “Heath said the maximum sentence for an offence of making a threat to kill was 10 years’ imprisonment“, the second one is “The judge said he was trying to balance the need to protect and the need to ensure that the sentence was not “wholly disproportionate to your criminality”“, which it clearly seems to be. You see, no matter what the convicted man wanted. Either never to leave prison or to get the limelight. Basically the man committed psychic assault and there would be a consequence to that, yet the line between 10 years and 45 years is massive. You see we have no idea what that person would have been like after 10 years. So how come that 45 years is suddenly an option? Only because of the quote “The judge Michael Heath, passing sentence at Lincoln crown court on Monday, described the long jail term as highly unusual and said the case had caused him “very considerable anxiety”“, so the judge got anxious? That makes the case clearly a loaded canon on several fronts, not to mention the dangers of after overturn costs when the appellant court would consider the verdict to be disproportionate. So what makes this case such an issue for me? You see, the quote I overstepped earlier was “Ford wrote a series of letters from his cell at Nottingham prison in which he identified people – including prison officers, a fellow inmate, a district judge, a police officer and a former partner“, what if the letters to the police officer and the district judge were the reason for the over inflated verdict? If that is regarded and those from the established order of jurisprudential would be the reason our verdicts become a lot more severe, we would be walking a very dangerous tightrope, one with long term consequences. Now do not get me wrong, the man is guilty, that was established, yet from 10 to 45 years is a massive leap. So now we get to the good stuff, because there is more, there always is. The fact that we need to consider “he had been assessed by a number of psychiatrists but there was no recommendation he receive hospital treatment“. So why not? The fact that the psychiatrists did not recommend hospital treatment implies that either he is not that crazy or other elements are not getting the illumination they need. Would that be a fair assessment of the situation? It might be even darker and the man has a split personality, all complications that might divert from a successful diagnoses, all still giving pause to the need of 45 years, no matter the level of creepiness that this mental health case is showing to be.

You see, this issue and it is a real issue is only part of it. In almost the same timeframe I got news of something entirely different. It is something fresh and new from Cornell (at https://tech.cornell.edu/news/this-smartphone-keyboard-app-can-read-your-emotions). The headline ‘This Smartphone Keyboard App Can Read Your Emotions‘ is a lot more interesting than you think it is. The quote “Keymochi uses data like typing speed, punctuation changes, the amount of phone movement, distance between keys, and a user’s rough sentiment analysis to detect emotions“, might seem to be an average achievement, it is not. I think it is an optional invention for something a lot bigger than the makers envisioned. The quote “To protect privacy, Keymochi does not store what is typed, just how it is typed—the physical cues and the sentiment analysis from PAM” gives us the initial goods, the larger prize is given by “So far, the app is able to predict emotions with 82 percent accuracy“, now consider that this is not on a smartphone, but on a tablet. What if this app is adjusted to aid the psychiatrist that possibly failed in this case and now gets to deal with additional data and evidence? What if this app could enable additional emotional data? Consider that this is the first generation where the bulk of action is no longer done with goose feather and ink jar, but with the keyboard. Our auto acceptance of pretty much every keyboard gives an interesting consideration on the valid honesty that we give our as we take out our frustration and denied inner considerations to a keyboard. Let’s not forget that an initial 82% accuracy is not a bad result at all.

Yet the original intent as it was designed by the three Cornell Tech students, Hsiao-Ching Lin, Huai-Che Lu, and Claire Opila was to detect emotions, which is what we knew, yet their application is that as a user is typing out a text message or email via smartphone, each movement adds to an emotional profile of the user. In addition, users can select one of 16 pictures to indicate their mood by using a photographic affect meter. Which is brilliant in its own right, so that the issue we have seen for too long in auto fix and auto correct in android so as we see “even when a message is communicated in complete sentences, we often misjudge the author’s intentions and current emotional state” it makes perfect sense, because the bulk of us, have all experienced the weird response when we were trying to type something funny, or just a little sarcasm, which got the response like we had slapped that friend with a 9-Iron at maximum effort. So the pictures would be a great help, especially as the receiving party gets the message “you doing the munchies again?” with a picture of a laughing chipmunk. Yet as I read the article, I just saw a whole range of possibilities growing from within the system itself. The upcoming art/science of digital diagnosis might be in the early stages, yet as we see the overload of data and responses we face in the 5G universe that is about to arrive, these tools will present an exponential need, not just on a consumer level, but on the level of the tool creators who want to give their consumer that little bit extra. In that regard the timing of these three students could not be better and I feel certain that they have a decent clear path towards exceptional growth. Yet as stated before, I feel equally certain that the scope of applicability of this tool goes a lot further then perhaps even they realised, which is just a lovely layer of icing on the cake.

In addition, when we look at one final part, the part on how their app could interact with domotics and automated mood parameter transfer as Google Home envisions it, is only the start of the large cake they could be serving a massive interested audience.

 

 

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The double sided blade

I stumbled upon a situation last night that gives food for thought. You see, I am the first one to give way to those who are growing an actual business, those who are there to be true captains of industry. Yet what defines a captain of industry nowadays? What if the person is stated to be an entrepreneur, investor, and philanthropist; yet, the information given to us makes that person a mere oppressor, a borrower and an antagonist or opposer? In this case I am talking about Jeff Bezos, the man behind Amazon. Multi billionaire before he became half a century old, making him more successful than Bruce Wayne without the cape and the niceties.

So where does my view come from?

That is an important part, because other whiles it would just be envy, which in my condition isn’t entirely untrue either. The part that set it off yesterday was in the Guardian (at https://www.theguardian.com/technology/2016/dec/11/amazon-accused-of-intolerable-conditions-at-scottish-warehouse). We could agree that the subtitle is merely an emotional part, yet the consideration it gives when we read ‘Willie Rennie claims workers are paid so little some camp outside warehouse in tents to cut commuting costs’, depending on the distance, we can agree that alternative solutions would be found and it is not up to an employer to decide how any employee is deciding on their budget.

Yet when we see the following elements:

  1. All permanent and temporary Amazon workers start on £7.35 an hour or more and earn at least £11 an hour for overtime (The new national living wage is £7.20 for workers aged over 25).
  2. Amazon has been accused of creating “intolerable working conditions” after allegations that workers have been penalised for sick days and that some are camping near one of its warehouses to save money commuting to work.
  3. A Sunday Times investigation found that temporary workers at the warehouse were being penalised for taking time off sick and put under pressure to hit targets for picking orders.

So are my impressions founded? You see, point one gives way that the Amazon is acting within their right and as such Amazon does nothing wrong, as stated before is there an issue as we see point two? There are clear labour laws, you get a number of sick days, but you need to build up that right, so again is there a wrongdoing? Item three repeats item 2, giving additional questions when an article seems to rehash a point, yet in addition the requirement for targets and pressure are a clear issue. The question becomes are these targets realistic? If they are not then there is an issue.

Yet this is not the only side in all this. In addition there is the part we would have seen in the Daily Record (at http://www.dailyrecord.co.uk/news/scottish-news/politicians-union-leaders-urge-snp-7235948), more important that this news was from January 2016, so the issue is not really new. The issues in that part is: “Rennie clashed with Sturgeon over the issue at Holyrood on Thursday, highlighting a £1 million grant given to Amazon in the past year alone. The UK arm of the business paid just £11.9 million in tax in 2014, despite taking in £5.3 billion from British shoppers“, which implies that a company making £5.3 billion, only pays £11.9 million in tax in 2014 and got a £1 million grant last year. Now, we can see that three could be an issue, but where are the direct links? You see, Revenue is one, profit is another and after that there is taxation. We can put a straight argument that 5 billion would require more than 10 million in taxation (11 million minus a grant), yet what possessed the giving party to give that 1 million grant? Why was only 11 million in taxation paid? None is this reflects on Jeff Bezos, this is not a failure of the maker of Amazon, but a failure from the governing parties giving out cash where the requirements in light of revenue was nowhere near any justification of any grants, especially when we consider Forbes, who stated that Amazon boss Jeff Bezos ‘added $20 billion to his net worth over the 12 months through late September 2016‘, so, based on how much revenue and profit brought the increased net worth? The newspapers are extremely non-revealing on this. Now consider the two sources, the fact that some was known for nearly a year, we could ask questions from these agencies hiring, we could ask questions at the HR offices of Amazon in the UK and Scotland, yet in all this, were any errors, any transgressions made? Amazon is a business and its concern is profit plain and simple. The fact that according to the initial part that Amazon pays £0.10 per hour above a living wage, we could consider the firm to be Scrooge like which is not a crime! Now we need to look at two elements. The first is the definition of a living wage, which is regarded by several sources as ‘a living wage is the minimum income necessary for a worker to meet their basic needs’. Yet what are basic needs and where does that end? In addition we should consider that the living wage should be substantial enough to ensure that no more than 30% of it needs to be spent on housing. Which is interesting, because that is nowhere near realistic in many places. In larger places, we either need to consider growing cost of commuting or consider that £144 pw is not the cheapest in Scotland and not that sizeable. So at a working week of 40 hours the rent is 48%, implying that the living wage is far below expectations or realism. The only way to get near a living wage is to work a full day extra in overtime, yet in all this the cost of living is not considered, so we have a CEO who is getting demonized here (by yours truly), yet what wrong has he done? From the parts I can see, there seems to be enough evidence to see that there is no wrongdoing on the surface, yet we can in equal measure debate whether he can call himself a philanthropist. If you are spending money on one side by being a ruthless almost cutthroat like business man on the other, they should be cancelling each other out. Is he validly under the same conditions really an investor? If he is using the guise of tax deductibility, is he actually investing or is he relocating funds that were due to HM Revenue & Customs? Relocating some (read: most) of these funds so that they benefit the ‘personal goals‘ of Amazon. Is that really investing? Lastly there is the title of entrepreneur. If we accept the definition: ‘a person who sets up a business or businesses, taking on financial risks in the hope of profit‘, well Amazon has been here for a while, so setting up? We could see it in light of franchises, does that count? And as for taking on financial risk? With the league of tax write offs and grants, should he be allowed to call himself an entrepreneur?

So perhaps the titles or entitlements given to Jeff Bezos are no longer valid, is that a valid view, does this warrant demonization? Off course is does not, because that would be unjust. Yet, we seem to focus on the ‘stamps’ we are giving a successful person, whilst in the cold light of day we overlook the non-repayable funds given to Amazon. In addition, when we look at the independent (at http://www.independent.co.uk/money/tax/revealed-amazon-earns-more-through-government-grants-than-it-pays-in-tax-8617919.html), where in May 2013, the following was given to the public: “Amazon paid less in UK corporation tax last year than it received in government grants, its official company accounts have revealed – sparking condemnation from MPs around the country“, which happened in 2013. We now get another side that is not with Jeff Bezos, but with parliament and elected officials. Yet that news did not really make it to the massive forefront (other than Willie Rennie who seems to shout for attention). You see, if I can be harsh on Jeff, I need to be equally be harsh on Willie and in that regard the fact that the Amazon issues have been on the papers for the longest of times, implies equally that there either is no political issue, or that the most in charge have not committed to anything towards the workers who feel wronged, yet are any laws broken? That is the issue we need to address. What is valid and what is of concern is the labels we seem to bestow on people. For what reason? We can argue that enabling through tax laws does not make a person an investor and the £5.3 billion gains against £11.9 million taxation is equally incomplete more important, how much was exactly invested by Amazon and where? Even if we accept certain labels and certain values, we need to equally accept that the old values entrepreneur, investor, and philanthropist are no longer what they seemed to be. In a world of constants, we see the change and evolution of entitlements on a nearly daily basis giving us less to hold onto and even less than that to consider as the stability of an impression in a constantly changing world.

How is that fair on those who truly were philanthropists, investors, and entrepreneurs?

So until the true investigation, if it happens at all, Jeff Bezos might not be seen as a borrower, an antagonist or opposer. Yet at this point there is in addition nowhere near the clear evidence available to see him as an oppressor, that part would only be seen in the eyes of the workers who decided to stay in tents, to avoid travel costs that does not make him an oppressor. In addition, what scrutiny have the agencies been going through? The smallest quote in the Guardian stating: “Staff have to pay to catch an agency-provided bus to the Dunfermline site” gives us the part where we need to ask how much people have to pay and was this clearly communicated to them in the beginning?

In the end, we need to take a look at what is going on at the Dunfermline site. Is it merely Liberal Democrat shouts for attention via Amazon?  If not, considering that this has been going on for quite some time, how have officials failed and in addition, who signed off on the grants for Amazon? All valid issues and without clear answers we can only see Jeff Bezon as a shrewd business man, which is not a crime and not a valid push for demonization of him in person.

And the hidden messages we now see regarding the whistle-blowers and Google taxation? The independent is giving a nice line, in between the lines of Amazon, yet why is this not seen in a clear tax audit? If there is an issue not reported or not seen by Ernst and Young, it means that either the tax laws are not clear enough, or that Ernst and Young is shown to be unable to do its job. This would be a valid discussion with PwC, yet is there any clear indications with E&Y? And who were those whistle blowers? What many are ignoring is that the benefit of a global company means that you have global options, which is the clear benefit that Amazon is using as well. The fact that politicians have been unwilling to make changes to tax laws makes them negligent and possibly incompetent, not the large corporations, a part clearly not seen in any of the articles. So like Ed Balls, we see another politician shouting for the limelight, yet is there clear wrongdoing?

It seems that this is sidestepped by several parties and when we consider that the sources I mentioned are news sources, perhaps they are missing the plot too, but that just a small speculation from my side. We look at a double sided blade, Amazon and Google alike will slice from the revenue on one side, yet they will in equal measure slice from entitlements within legal limits from the other side of the blade because the option was given to them. Given to them, not taken by them, there is a clear difference and politicians are at the core of that largely diminished roast being presented.

 

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When everyone is a winner

You have heard of these special schools? The school where everyone wins, no one has a bad grade and everyone is special. Yes, we are talking about the Eurozone, the one school where lessons are not learned, where those who posture (read: all) win a prize, or perhaps they fetch a price. What matters is that this social path does not get us anywhere.

You see, I am not some anti-social person, I understand that we can be compassionate, but I do have a problem when grown men, all making 7 figure incomes are given that level benefit of doubt. Mainly because I could do a better job for half the price. We see the first issue a few days ago when Wolfgang Schäuble makes the statement (source: the Guardian) “Greece must implement economic reforms if it is to keep its place in the Eurozone“, and when we see the degrees that this man has, we might consider that he is not a demented toddler, so when we consider the knowledge that we have obtained over the last year:

1. A nation can only voluntarily leave the Eurozone.
2. Considering the UK and the hassle it is facing just to get past article 50.
3. The fact that Grexit was not a possibility, which drove the UK towards Brexit and France towards Frexit.

Can we sincerely ask the question why this man is opening his mouth posturing some level of adulthood (or adultery for those with a sarcastic look at the EU charter), whilst all know that this is basically an empty statement?

So, if the statement “If Greece wants to stay in the euro, there is no way around it – in fact completely regardless of the debt level”, the entire Brexit could have been avoided when the children of the EEC commission had acted when they should have (read: all the way back in August 2014), so because the denied ‘status quo group‘ who tried to keep the gravy train going we all had enough and most Britons decided that going it alone is just the best solution, now that we see that this same group is realising what they are about to lose, it is only now that we see the first noises to make the hardest decisions, all because they are about to lose trillions. The fact that this comes from Germany is not a surprise and it isn’t linked to the hardship the Deutsche Bank faces. Yet, the people behind Schäuble (Wall Street and the IMF, which is my personal speculation), we now see desperate steering towards alternative solutions hoping to find an option to thwart Brexit and perhaps steer Frexit away from a referendum course. It might work, but we all need to realise that French pride has already been dented, so there is no way to accurately tell how that part will pan out.

We see a diversionary tactic in the quote “With his own popularity plummeting in the face of fury over creditor-mandated cutbacks, the prime minister, Alexis Tsipras, had hoped to wrap up a second review of policy measures in time for Monday’s meeting as part of a broader strategy to secure short-term debt relief and participation of Greek bonds in the European Central Bank’s quantitative easing programme“, yet this is all true. So why do I call it a diversion? You see, the players behind the screens are about to lose thousands of billions (read: trillions), so Greece and their 300 billion really do not add too much on the entirety of the big picture. Even as the US is heralding such huge achievements in unemployment figures, most will not realise that in February, after thanksgiving, after Christmas and after January sales, the shops will downsize by a lot. There is a lot of speculation on Black Sunday and the other shopping spree numbers, but as too many speculations are given here from too many sources, we actually will not know the actual outcome until mid-January and after that any action and all numbers will get quietly hushed to page 23 of newspapers. That is done because the Democrats really do not want anything in that regard to receive too much visibility until January 20th when all eyes will be on the start of the Blame Trump campaign.

What is a given is that the American administration is facing dire moments and their only fortune is that this impacts Wall Street, the IMF and the Rothschild’s, so their all uniting in finding any solution that keeps their Status Quo. They might not be related to the band, but the tour that these players have been preparing for will include hits like ‘Whatever I want‘, ‘Roll over stay down‘ and ‘Rocking for all that I own‘. Now, what is the link between the IMF and the Rothschild banks? Well, it is not what some conspiracy theorists states like: ‘Rothschild Bankers Looting Nations through World Bank/IMF‘ or ‘Hungary Becomes First European Country to Ban Rothschild Banks‘, what is of principle matter is the claim that ‘The International Monetary Fund is an international development banker. It makes loans to governments. It gets its funding from member governments‘. Yet, when you consider the debt these members are in, with the top 5 having a total debt that surpasses 35 trillion, can anyone explain where their money is actually coming from? The short answer is that the funds are fictive and virtual, and basically as I personally see it based on fraudulent economic settings to say the least; which now implies that only the larger (read: largest) players with the Rothschild family at the very top are included as behind the screen underwriters (for a percentage of course, they are not philanthropists), that is the reality of banking and those underwriters want to see their money. So at this point losing 300 billion is nowhere near the issue as losing an amount surpassing 5 trillion. So there is every issue in play and the German Wolfgang Schäuble is doing the ‘kick off’ whilst everyone is slightly less interested in economy and more into the Christmas parties with the office assistant in a horny accommodating outfit that in the mind would include transparent Red Santa lingerie, willing to engage in activities of a ménage-a-troy kind.

Welcome to the holiday season they will think, whilst on the other side the economy is decided for the largest players in a setting of debt by those not elected but enabled. The mere consequence of governments and the corporate contracts. The debt must flow, the debt must grow and the UK moving out of the EEC is the first step into giving the UK its true independence from these financial institutions. That part is now also under attack as the ‘British Balls’ (read: Labour Party Ed Balls, former Economic Secretary to the Treasury) is at the core of that part, as was shown (at https://www.ft.com/content/2616611e-a665-11e6-8b69-02899e8bd9d1), on November 17th in the Financial Times. You see, even as I have had a few disagreements with its Governor (aka Marky Mark of the British bank), the man has steered it correctly in the direction the United Kingdom required it to go. Yet now as this does not pleases the non-governing parties at large, well Balls, let’s make a deal, shall we? If we agree to reign back the independence of the Bank of England, you must agree and sign a decree per immediate that any politician squandering treasury money due to any level of negligence (or incompetence), will have to go to prison for 10 years without the option of parole. Would you sign that Ed? Consider the NHS IT issue of 11.2 billion, how many of your friends will be set to prison? How many negligent programming contracts were signed off on? Are you willing to make that leap, because the only ‘friends’ you end up having are those of the non-UK kind and many of them mere graduates that were on your every word in that Harvard building where you made that speech and a few more in financial institutions who didn’t much care for the independence of the Bank of England. So how about it Eddy, you got the Balls for that one? I would expect some kind of other proclamation soon enough. You see what he wants is not any accountability in a setting where all is squandered away. The British people have had more than its share of that one. So as we read: “The paper comes after vehement attacks on central banks and their policies in the US, UK and Germany; criticism that would have been unthinkable in the 1990s and pre-crisis 2000s, when the fashion for central bank independence was at its peak“, where I would see that the idiotic notion of the Bank of England should be forced to fund infrastructure projects, whilst we know where 11.2 billion didn’t get the job done and there wasn’t enough money to get it sorted due to negligence and what I would regard after 20 years in IT as ‘steps of utter stupidity’, well worth of getting those decision makers in prison for the longest of time (read: while I am aware that the maximum prison term would be 10 years), a term that others would call too light, especially those who are now due to no fault of either party are getting less from the NHS that can no longer meet the high standards it gave for the longest of times.

So when we read in that same paper “Carney says politicians ‘deflect blame’ by attacking central banks’ Rising inequality is driven by more fundamental factors, argues BoE governor“, my response would be: “Right you are Marky Mark!“, although I would speculate that some of these fundamental factors would be the ignorance of the decision makers whilst relying on people trying to get the maximum they can out of the deal offered and the connections relying on them. That would a fundamental first to consider and solve. Which gets me to the point that those politicians will be held accountable for the support to these projects and they need to be dealt with if they fail. So the special prize for these non-kids is the one that every winner wants, 120 months of hotel accommodation in places like Holiday resort Wakefield, or Wandsworth Garden retreat in South West London? Would that perhaps up the game of a few politicians, or will they suddenly decide to be less enabling to those who see the independence of the Bank of England to be more than an eye sore and a factor that stops their maximum profit to continue? I am merely asking, not making a claim of any kind.

The Financial Times article has a few other sides and makes fair statements, even though the initial source is questionable from my point of view. The writer Chris Giles adds at the end “For the Fed, the problem is reversed and while it has in its Financial Stability Oversight Council sufficient political legitimacy for macro prudential policies, the US central bank does not have sufficient tools to do the job and cannot request new tools from the administration, it adds“, you see, the British and US systems might seem the same, but they are not. I would surmise that there is a Federal and State level of these issues that the UK does not have to the extent the US has them. It is not just the differences in approach and connections, I and most of us see the Bank of England as the pulse of the health of the British economy and as such, its independence, especially from a boatload of politicians, is essential to this view. Now, I might certainly be wrong, yet overall, how many would agree that many politicians seem to spend in what they truly believe to be for the best, whilst not having a clue on how proper debt levels need to be and they will happily push that bill to the next cycle, the NHS IT is not the only, but definitely one of the clearest and largest examples of mismanaged spending on several levels, having someone independent in charge of the Bank of England making sure that the tap gets closed before it is too late in this term with a clear look at what comes next and what else is due now. A view many politicians on a global scale are lacking. And as the US system has a much more isolated view regarding the economy enablers, the economy and the US treasury gives another shine on their view and their lacking demand for independence and accountability (again, as I personally see this).

You see, there is a lot more in play, this isn’t just on what is due to Greece, the UK or the Banks wanting there coin. The fact that left and right have to some degree social values and of course, the left tends to have a little more of that. Yet, when we look at ‘Greece under fire over Christmas bonus for low-income pensioners‘ (at https://www.theguardian.com/world/2016/dec/09/greece-under-fire-over-christmas-bonus-for-low-income-pensioners), we need to question certain responses. The quote “A goodwill gesture to ease the plight of those hardest hit in Greece by tax increases and budget cuts has backfired spectacularly on the prime minister, Alexis Tsipras” is one that is of great concern. Consider that this is about retirees that get less than €800, so, when we consider that rent in Greece is €450 or more, with added monthly utilities of no less than €140, this means than they get to live of €310, which is abysmally little. A week of food and clothes and other things at €75 per week is the nightmare scenario for even the best miser in town. Now consider Christmas is around the corner and these Greeks and those getting even less are getting a one-time bonus for Christmas. It is a social smallest act by the Greek government and after the issues that the retirees have gone through clearly the act that should be done as soon as possible. So I would really like to know the names of these ‘International creditors pour scorn on prime minister Alexis Tsipras‘, in addition, I would like to see what their functions were and their incomes from 2004 onwards. You see, I want those people and I want to see if they were in any way enabling the imbalance that Greece developed between 2004 and 2009. Mainly because the Greeks suffering now would really like to get those names and addresses. For those following a little longer, I have had plenty of criticism towards what I used to label ‘rock band Tsipras & Varoufakis’, in addition I have had additional issues with what was done over the time period, yet I had never had issues with any solution that could be found resolving the issue, in addition, when Greek was playing hard to get, I was first in line to throw them out of the EEC and the Euro, yet the power players behind all this, and possibly the people holding onto the debt markers were equally accountable. Yet, I have never had anything negative to state over the Greek people at large (apart from the stupidity of all these strikes), so I would have no issue with Tsipras giving a little release in the one month when that makes perfect sense and likely matters the most. Yet in this social climate, we see in equal measure the debatable view by Labour people wanting central banks to be more dependent on the politicians who cause a lot of these issues to begin with. How freakin’ crazy do you need to get here?

So when we consider that special school where everyone is a winner, can we actually accept or even entertain the thought of hiring someone who is on that school of thought? How much damage must Europe endure before the people at large gets a clue? There is accountability, which I have always supported, yet in equal measure, the strain on the Greek people have been unjust been brought by those who have been facilitators of a system that should never allowed to continue to this degree, meaning that Greece should have been removed from the Euro at least 2 years ago. Doing it now, could only be done if the debt of 300 billion would be forgiven, a step that the players are unwilling to give, yet in the light of all that is passing, they are now considering certain steps, only so that they can hang onto an optional 35 trillion, that is the game in play and now, as they realise that the UK has had enough and that France is on the same side of that seesaw, now those creditors are considering the consequence of pressure so now they will divide the EEC and conquer whatever funds they can, for as much as possible. In that light the one off payment is scorned on, so how inhumane have some players become and should we even consider tailoring to their needs?

The scenario where everyone is a winner is a long time away and it is unlikely that Greece and a few others feel this way any day soon, giving even more caution to the words of a president who is on the way out. And who are Greeks creditors? What is the full list, is it not interesting how the press has the detailed specifics on the knickers (read panties) of a Kardashian and the Greek government creditors list gets trimmed to the aggregated list that serves themselves and no one else. In that I believe that Yanis Varoufakis is only scratching the surface when he states “the UK referendum was a “symptom” of a series of mismanagements from EU leaders“, in that he is right and it seems that now he is less of the rock star he presented himself to be, now we see another Yanis, one that is not just driving the nails on the head, he is quickly realising that certain players are preparing for even more issues to be added to the exit of nations from the EU. Even as some is by part to smear the cogs of Germany’s needs, the quote “To take a trip down the Danube to discuss the formation of a European army – pure irrelevance. There is no evidence unfortunately that the political class on the Continent is capable of even sitting down to address the right questions, let alone, deliver the right answers“, which is at the core of failure of any created European army. The biggest issue is not how it is formed, we will see soon enough that once Frexit is a reality, what would actually be left to actually form any decent European army with? It could be a revolutionary new Disney. As we redesign Snow White and the Seven Dwarves into Germany & the 7 minions who cannot agree on anything, will we now see new polarisation in several ways being added to the list of negative plights? In addition, if Italy remains as the larger player, the mere concept of language will be the hilarity of many. I would be willing to wager that the concept as it is failing will derive laughter from 2400 Route de Pexiora, 11452 Castelnaudary Cedex, so loud that it can be heard in both Berlin and Rome, which should make for an interesting news cycle to say the least.

I have spoken against the ideas of several people mentioned in this article, I thought that they went the wrong way about things and they got bit, which I would call ‘serves them right‘, yet I have never applauded or agreed to the level of pressure the Greek people are currently under, in addition, the German finance ministers views, as I personally see them, are not about Europe and not about what would be best for Europe or the United Kingdom. I believe some are starting cycles of facilitation and enabling that will in the end be really bad for Europe, for the United Kingdom, for France and for Europe as a whole. I will let you contemplate how wrong I could be and if that is not the case why the clear outspoken opposition against these proclaimers aren’t coming from more sides, more people and more media. Is that not weird either?

A game where everyone is a winner only knows losers, a truth that goes back to ancient Greece, they were the founding fathers of the Olympics after all!

 

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Matt Damon’s Quote

You could wonder what Matt Damon has been up to, there will always be reason to do this, not because he is an exceptional actor, even a celebrity on Mars. No, the reason here is his connection to documentaries. He was the narrator on ‘Inside Job‘, which got a well-deserved Oscar in 2011. I personally feel that this is the best documentary on the financial crises ever created. So let’s get started. Today, we see a number of news items reach the twilight of dawn.

The first one (at https://www.theguardian.com/world/2016/nov/08/panama-papers-22-people-face-tax-evasion-investigations-in-uk), gives us ‘Panama Papers: 22 people face tax evasion investigations in UK‘, with the added text “Philip Hammond also said a further 43 wealthy individuals were under review while their links to the offshore files were investigated further. He made the comments in a written answer to the House of Commons explaining what had happened since the offshore tax files emerged“. Now we might go all huffy and puffy on these tax evaders, yet when you consider the news from August (at http://www.bloomberg.com/news/articles/2016-08-31/ex-tesco-finance-chief-mcilwee-probe-closed-by-u-k-regulator), where we see “The U.K. accounting regulator closed an investigation into Tesco Plc’s former Chief Financial Officer, Laurie McIlwee, saying there wasn’t a “realistic prospect” that misconduct would be found in the case“, with the added “The Financial Reporting Council closed its case into McIlwee Wednesday, according to a statement from the regulator. It is still investigating the grocer’s auditor, PricewaterhouseCoopers LLP, and other individuals involved in Tesco’s accounts“.

This has been going on since 2014, they have not been able to find anything after two years and now you are going after ‘simple’ tax evaders?

My initial message (with all due respect) to the Chancellor of the Exchequer is “Mr Philip Hammond, are you out of your bloody mind?” You are still trying to get anything real on PwC, or were you ordered to let it die down?

When a company suddenly loses billions in value (also due to their own stupidity) and you cannot find anyone to prosecute and go to jail for overstating profits by £263 million ($345 million), whilst we also know that for that year PwC gave Tesco a 10 million pound invoice for auditing (annual) with an additional 3 million pounds for consultancy that year (Source: the Guardian). You cannot find anything and now you are going after people, where you cannot state whether they broke the law and you will rely on illegally obtained papers. How stupid is this?

How about you making the following change as per immediate!

a. Until the Tesco case has been satisfied, PwC and its senior employees cannot undersign any accountancy venue, or corporate balance for any UK corporation for 2016, 2017 and 2018 until the matter is solved.
b. In case wrongdoing by PwC employees is proven beyond reasonable doubt, PwC will not be allowed to operate within the UK.

How about them apples?

So far we have seen massive leeway by the press and the SFO has not achieved anything at all regarding Tesco. So it is time to adjust regulations and legal premises, until that point comes PwC will have to operate on non-British companies. Now, we can all understand that when we see the quote “McIlwee resigned as Tesco’s CFO in April 2014, prior to the discovery of the accounting errors, amid reports of disagreements with then-Chief Executive Officer Philip Clarke” seems to imply that McIlwee was not privy to, and not guilty of any wrongdoings, yet the fact that the SFO got nowhere in two years means that there is something massively wrong. When we know that so many millions were overstated, we seem to have a decently clear case of fraud, yet no one goes to jail. In addition, we also know that PwC was in on it (at least to some degree) and in addition, the subsequent Deloitte investigation showed more than initially was found means that there is no scenario where PwC can be absent from guilt in the first or second degree.

The SFO gave that Carl Rogberg, Christopher Bush and John Scouler were charged (source: BBC), they pleaded not guilty and at present the court dates are set for September 2017. It is my opinion that until all that is settled, the Chancellor of the Exchequer has no business whatsoever to dig into cases based on illegally obtained papers, whilst his branch as well as the SFO has no flipping ability at present to close a 2 year old case for at least another year (if ever). And as reported by the Times in September (at http://www.thetimes.co.uk/article/tesco-auditor-slips-back-into-retailers-aisles-0gm9xt8md) that “Tesco has appointed PwC as an independent adviser, despite replacing it as auditor with Deloitte“, which gives my emotional and slightly inappropriate response “Are you fucking kidding me?

So, whilst the PwC issues were kept very low key by nearly all the press, whilst there is no condemnation on a daily basis by the press and even less success by the SFO, we should agree that PwC has no business being in the UK to begin with, especially as “Last week the FRC cleared Laurie McIlwee, Tesco’s former chief financial officer, of wrongdoing over the scandal, but added that its investigation into PwC and other unnamed individuals continued“, we could go by once bitten twice shy, or we could go by the fact that as the SFO is either unable or unwilling to prosecute PwC, why would we even consider their presence? In case some are considering a specific rebuttal, to them I would respond with the April article (at https://www.theguardian.com/business/2016/apr/14/brexit-could-lead-to-loss-of-100000-financial-services-jobs-report-warns), where they stated ‘PwC report estimates 70,000-100,000 fewer jobs in 2020 compared with estimated number if Britain stays in EU‘, so let’s start with theirs and let smaller accountancy firms continue and allow for growth. In addition, when we accept the news by the BBC in Feb 2015 (at http://www.bbc.com/news/business-31147276), where we see “We believe that PricewaterhouseCoopers’s activities represent nothing short of the promotion of tax avoidance on an industrial scale,” said Margaret Hodge, chairwoman of the Public Accounts Committee (PAC)“, so in that light, we could just send PricewaterhouseCoopers (PwC) packing, giving light that the facilitator of tax evasion have been dismissed from the country and as such the UK will see a decline in Tax evasion, no need for illegally held papers, no long and expensive investigation and the thorn in the UK economies side is equally removed. It will not mean that tax evasion is a thing of the past, but if PwC is send packing now, the other three might do a 180 degree on that clientele, which would at that point make the tax evasion issue moot, or at least deprive it from many options, which would amount to the same in the end.

So, you like apples?

If I am accused from persecuting PwC, then I would plead that I am not entirely innocent in that regard. I would bring the defence that the SFO has not gotten anywhere in 2 years and they are supposed to have the ability to find those culprits. Yet, as John Crace pointed out in the Guardian on April 5th that “Only last year, the public accounts committee reported that the accountancy firm PricewaterhouseCoopers (PwC) was promoting tax avoidance on an industrial scale. To make things worse, it was first in the frame to benefit from administering the windup of Tata’s steel operations in the UK. So where was David Cameron? At PwC’s offices in Birmingham. Some might call it a brave choice“, in that light, there is an additional reason to give PwC their walking papers.

In all this the exchequer has one final issue to deal with, you see, accountant at large, including (read: especially) those at PwC are really clever with what they do, meaning that there could be no broken laws to begin with, making the actions from certain parties from 2014 until 2018 even more questionable, with a strong need to truly scrutinise the rules that accountancy firms applied and how they were applied. As I see it, there is nothing worse than to paint a lovely target on a person only to learn that the laws fell short and none were ever broken. If you question that, then consider the following two options.

  1. The SFO has, as it embraced corruption onto a new level decided not to dig into PwC on the levels needed to secure evidence for the prosecution regarding Tesco.
  2. The SFO has found that even as it is clear that PwC assisted in these levels of Fraud and Misreporting, yet when the books and memos were investigated for these transgressions, there was more than a reasonable doubt that PwC was not fully aware, in addition, there are no papers filed by PwC to implicate them in any way in fraud or misrepresentation. As well as the established fact that no laws were broken at present.

When you look at the two options, which one is more likely than not the situation regarding PwC?

In my book, the fact that a person is not guilty, does not mean that they are innocent. I remain of mind that shutting PwC down in the UK is not the worst idea at present, yet is that point of view valid when we consider premise 2, which is actually the most likely scenario? When we consider that the spirit of the law has been violated by PricewaterhouseCoopers, at that point we still have the issue that no literal laws were broken. Here we could set forth that the government (read: parliament) created the foundations and the setting where industrialised tax evasion and fraud became legalised options. Even as we saw that there was a clear case for fraud, the law has been altered to the degree that the facilitators cannot be held accountable, as such, an issue was created and until that is resolved, and PwC cannot be prosecuted (which is wrong in many ways from the point of a simple taxpaying labourer).

So, we now have the issue of the letter of the law versus the spirit of the law, which should be seen as grammatical opposites, not just in grammar, it is that they are also opposites of the soul (read: soul of the law). When one obeys the letter of the law but not the spirit, one is obeying the literal interpretation of the words (the “letter”) of the law, but not necessarily the intent of those who wrote the law. Which is what black letter lawyers (and accountants) tend to do, because a nation of laws is about a nation with rules of playing the game. In our case, in Common Law, until a case is set as a precedent in law, there will be no adjustment and this can go on ‘ad infinitum’ and Intentionally following the letter of the law but not the spirit may be accomplished through exploiting technicalities, loopholes, and ambiguous language (at times a mere comma does the trick too).

Yet, when one obeys the spirit of the law but not the letter, one is doing what the authors of the law intended, though not necessarily adhering to the literal wording, which could get them automatically prosecuted if the District Attorney woke up on a Monday morning with a really foul mood.

So, whilst we might agree with Margaret Hodge, stating “We believe that PricewaterhouseCoopers’s activities represent nothing short of the promotion of tax avoidance on an industrial scale“, the fact that they are not breaking the law, implies that no corrections to the law have been made to correct for this. As such, you only have yourself to blame and admittance of this failure to the public at large is an essential second step. As I see it, making a lot of noise going after people who might have done something like this, whilst papers are absent and whilst all parties know that this is because of illegally obtained papers from the law firm Mossack Fonseca is even less intelligent, as the people behind this have leaked these papers for their own personal interest and ‘late taxation’ was not their goal, so to adhere to the promotion of such crimes is not the best way to get results.

Now that we see claims rising towards Tesco for misrepresentation from their investors for the amount of £100 million, which comes on top of the diminished value, so I feel that no matter what, there should be a negative impact on PwC one way or another, yet within the confines of the law of course. This takes us to ‘The letter versus the spirit of the law: A lay perspective on culpability‘ by Stephen M. Garcia, Patricia Chen and Matthew T. Gordon (paper here). The part that gives us the cakes are found in study 5 on page 486. “Study 5 sought to examine another instance in which the letter of the law is not broken but the spirit of the law may have been violated“, which is where I for the most stand with PwC in the Tesco matter as stated “We also wanted to control for various counter-explanations that underlie culpability such as violations of social and moral norms“, with references to Bicchieri & Chavez, 2010 as well as Mazar, Amir, & Ariely, 2008. Yet in the first there is Tonry, 2010, where he argues that “the foundations for disparity causing policy choices lie in the cultural and social forces that combined historically to shape U.S. society“, which is interesting as this implies that the policymaker and not PwC is the actual culprit and my rage was misguided. Yet, is that actually true? The spirit of the law is not equipped, or better stated should not be equipped to manage the input of self-interest, because the spirit of the will assume the setting for all people and as such will force the text and derail the letter of the law (as I see it). Tonry goes on into the racial destabilising side, yet in my view the racial part is not the real instance, I believe that the division is that we see two groups One is the (white) social enabled group who is set to the game with preparation (read: legal advice) to break the spirit of the law and not the letter of the law as long as self-interests are served. This setting will at that same time destabilise the (black) group, a group that is suffocating on the lack and lapse of social options and opportunities, where without proper and affordable advice the letter and the spirit of the law will be adhered to, yet at a massive cost through loss of opportunity. This now makes PwC a facilitator for the wealthy to avoid breaking the letter of the law and to optionally, when unavoidable adhere to the spirit of the law. From one point, can the facilitator be held to account? I believe so, yet the area is slightly too grey for my comfort. It is the policymaker that requires to shift the grey area, so that breaking the law is a more clear setting and as such the SFO could actually create a situation where conviction (let alone prosecution) becomes a reality.

I still believe that PwC has done great wrongs, yet as far as we can establish, not in the letter of the law. I find them guilty of knowingly set the stage for managed ‘breaking’ of the law. The spirit is as much a factor as the letter, either should be seen as breaking the law. Yet there is diminishment as the policymaker is seemingly also guilty, yet the reasoning for that flaw can never be easily determined, so we can tell it was wrong, yet to what degree is not a given, but an essential issue to address. When we look at the policymakers, we need to ascertain the application that the paper discusses. “This framework broaches a new language to understand complex situations such as those that are not technically illegal but seem wrong“, we can see that this applies to multiple incidents. In those cases it needs to be clear that these levels of protection do not make the cake edible. It makes for a sour venue where those with legal advice can abort too many payments whilst the underprivileged groups end up without support, protection and options. I am speculating here that this is the (read: speculated intentional) creation of the haves and have not, which is a policy drip down effect when you implement a prismatic system, which policymakers from business and sociological fields seemed to have resorted to as they (tried to) implement laws, on the premise of a non-legal mind. Which is what is pushing the issues. The political field needed the business view of opportunity and the resulting laws are toothless against larger corporations who end up getting a free pass here with PwC as the facilitating office.

In the end I am more correct than even I thought I was, yet this should not digress from handing out the penalties that are needed to give a clear signal that the party is over. We have learned the hard way from 2004 onwards that unless we make a massive shift, this will continue a few more decades, as such stronger language and harsher penalties are required, because continuing on this path is far too rewarding for all the players that can afford to play this game, which gave me the idea to give PwC their marching orders out of the UK. I don’t believe it is too harsh, especially as they made 35 billion last year alone. So the question to you becomes, do you have any idea how much taxation they paid? I have no idea how much exactly, but we do know that PwC was elemental in avoiding Lehman Brothers to pay an addition £1.2 billion in taxation, due to inconsistencies, we see the quote by Mr Justice Hildyard: “It is of real importance, both in terms of good governance and a fair market, that HMRC should make every effort to ensure that this sort of thing does not happen again“, (at http://www.theweek.co.uk/lehman-brothers/77510/lehman-brothers-creditors-to-avoid-12bn-tax-bill) giving rise that larger changes are needed to bring back fairness to all tax paying people, who have not seen a whole lot of fairness in that regard these last 12 years.

Judges will soon have to science the shit out of these tax laws, making them actually fair to all, not just large corporations, who seem to be judged on ‘the Principle of least accountability’.

 

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A leaky Cauldron is a just sif!

Well, as we are moving into the final days of President Obama, we get to see one more rodeo of entertainment, amusement and comedy. You see the headline ‘Barack Obama delivers stinging critique of FBI: ‘We don’t operate on leaks’‘, we can argue that they actually do, or we can howl with laughter, because for the most, the Obama administration created leaks, it did close to nothing to do something about it that would actually work. For one, here is a quote from thinkprogress.org. It is from August 7th 2015: “Congress’s Cybersecurity Plan Has Some Major Flaws“, this is in his second presidency and we see Congress not being even close to resolving essential issues that should have been addressed well before 2008. This level of inaccuracy (read: incompetence) is shown in “Civil liberties groups including the Electronic Freedom Foundation (EFF), New America, and American Civil Liberties Union (ACLU) urged the public to call their senators to persuade them to vote against, what even the Department of Homeland Security has deemed, a flawed bill with more than 20 proposed amendments“. So an issue where the ACLU and the DHS are on the same page, even when taking decent amounts of LSD, the world would still seem more logical, when ACLU and DHS are on the same page, the matter is a lot more critical than some make it out to be.

When we look back to 2013, when Robert Gates, the former Defence Secretary, reveals in his book ““reveals the depth of Mr. Obama’s concerns over leaks of classified information to news outlets, noting that within his first month in office, the new president said he wanted a criminal investigation into disclosures on Iran policy published by The New York Times.”“, we see that President Obama, knows all about leaks, they were at the centre of his core for two terms, so when we see again and again that the ball was dropped, what does that state about the president and his administration that keeps on twisting their ‘cyber’ thumbs?

Yet in all this, it was the Guardian who gave us (at https://www.theguardian.com/us-news/2016/nov/03/fbi-leaks-hillary-clinton-james-comey-donald-trump) an essential issue “Even some congressional Republicans, no friends to Clinton, have expressed discomfort with Comey’s last-minute insertion of the bureau into the election“, apart from what I discussed in my blog ‘As messages pass by‘ two days ago, there is one other part that must be mentioned in all fairness, because this is about the situation, not about anti-Clinton rants. The quotes are “As The Post’s Sari Horwitz reported on Saturday, “a largely conservative investigative corps” in the bureau was “complaining privately that Comey should have tried harder to make a case” against Clinton“, as well as “Rep. Jason Chaffetz (R-Utah), chair of the Oversight Committee, quickly tweeted news of Comey’s letter Friday and stated: “Case reopened.” This is not what Comey said (and technically the Clinton case was never closed). But many in the media bought Chaffetz’s hype, especially in early accounts. That’s what happens when an FBI director hands an explosive but muddled letter to a Republican-led Congress. In fact, Chaffetz had already made clear that if Clinton wins, the GOP’s top priority will be to keep the Clinton investigative machine rolling“, which came from https://www.washingtonpost.com/opinions/comey-gives-in-to-shameful-partisanship/2016/10/30/c31c714a-9ed8-11e6-8d63-3e0a660f1f04_story.html and this clearly shows two elements. One is that the republicans via Congressman Jason Chaffetz, Republican from Utah pushed. For those who think that this doesn’t matter, consider the following which we get from the FBI Website (at https://www.fbi.gov/about/faqs ). “Who monitors or oversees the FBI? The FBI’s activities are closely and regularly scrutinized by a variety of entities. Congress—through several oversight committees in the Senate and House—reviews the FBI’s budget appropriations, programs, and selected investigations. The results of FBI investigations are often reviewed by the judicial system during court proceedings…“, so when Congress pushes the FBI, it has bearing and impact (although ‘bearing’ would be allegedly). So whilst the media is going all out against Director James B. Comey, can we agree that Congress was pushing and in addition, the fact remains that Hillary Clinton could still up ending to be regarded as criminally negligent.

Now that last accusation needs explaining, and funnily enough, for the most, we all have that evidence. Those who have a job, ask yourself how many bosses allow you to do company business using your private emails? There are plenty of companies that such an action, seen as a transgression that could result in immediate dismissal and that isn’t even high dangerous secretive information. Now consider that as Secretary of State, Hillary Clinton submitted over 20 top secret issues via private email, in addition, the emails went to the laptop of a previous employee, basically giving classified information to a non-authorized person. The fact that she ends up not being prosecuted is a little weird to say the least. Yet, I discussed that in an earlier blog, the link remains because the issues are linked.

What is important now is that the media at large had access to more information that I had (or so they think), and they kept you, the reader in the dark. The bias against Donald Trump is THAT intense. Now, personally, I think that Donald Trump is as dangerous as a baboon on XTC, which is an issue as this primate is merely dangerous and lethal in the most docile of times. Its teeth rip through your flesh and bones in one bite. I’ll be honest, Baboons scare me, not because of what they do (they are equipped to protect, not to hunt people), they are highly intelligent, yet when cornered they can be the most dangerous animal you will face in a lifetime. Making my correlation with Donald Trump a lot more accurate than even I bargained for. His latest actions known as ‘Donald Trump’s Impeachment Threat‘ (at http://www.nytimes.com/2016/11/04/opinion/donald-trumps-impeachment-threat.html), when we see “they may well seek to impeach Hillary Clinton if she wins, or, short of that, tie her up with endless investigations and other delaying tactics“, the Democratic Party is seeing the result of President Obama’s bad presidency. The result and fallout of Benghazi, the mail issues with the Clintons and a few other matter. As stated, Congress gets to push the FBI and it is a republican congress. There is a little too much realism in the quote “Mrs. Clinton won’t be able to govern, because we won’t let her. So don’t waste your vote on her. Vote for us“, because her promise to do something about the economy will fall flat for at least 2 years. In addition, there are other matters that play, matters that involve the non-committal towards Common Cyber Sense and with the alleged Cyber-attacks from Russia (I am calling them alleged, because no clear evidence is in existence, yet clear reliable speculative data that pushes towards Russian involvement cannot be denied, not even by me), we see that Russia is instigating another cold war, one that America is unlikely to win makes the Democratic position even more weak. Even if we all admit that it is too unlikely for Russia to win this, it will work as an anchor on the US economy, so the next president has that to worry about too.

So as we are confronted with the Cyber issues at hand, in light of the extreme negligence that Hillary Clinton has shown to have, we see certain markers that weigh down on the positivity of her campaign. This might be the first election where the third party had a decent shot of winning, isn’t it a shame that Reverend Jesse Jackson wasn’t running? I reckon that unlike 1984 and 1988, he actually would have had a chance this time around, when we are brooding on which of the two is the lesser of two evils, the third player o gets be an actual contender #ThatsJustMe, wasn’t it funny that he of all people that showed up in Detroit yesterday after which he praised Donald Trump for his commitment of Diversity. Although from the news we have seen, I have to wonder if ‘diversity’ was about the sizes and shapes of breasts. I just had to get that of my chest, #Pardonemoi.

In all this, the media themselves are also a worry as they are pushing the people with outdated information. An example is the Business Insider only 2 hours ago. The article (at http://www.businessinsider.com.au/hillary-clinton-new-emails-found-fbi-2016-11), gives us “The FBI says it found new emails related to Hillary Clinton’s time as secretary of state, CBS News reported on Thursday. It is not known whether the emails are relevant to a case involving Clinton’s private email server, the network said, but the messages do not appear to be duplicates of emails the agency has already reviewed, according to an unnamed US official cited by CBS News“, the article was given the date and identity ‘Bryan Logan Nov 4th, 2016, 11:12 AM‘, yet when we look at the CBS article “In a letter to Congress last Friday, FBI Director James Comey indicated that the agency was taking steps to review newly discovered emails relating to Clinton’s private email server. Those emails came from the laptop of Weiner, a former New York congressman“, which was what I reported on 5 days ago, which came from CNBC on October 29th. So, as the Business Insider is intentionally misinforming the people. So, can we agree that the Media could now be regarded as ‘tempering’ with elections by misinforming the public? Even as we see these events evolve, we need to take heed that Donald Trump is the kind of man that large media corporations do not mind to be indebted to. Because his next crazy idea that pays off, these people will be knocking for exclusives, so when you think that you are getting informed, think again! The article never ‘lies’, it just trivialises older news and gives only part of the complete timestamp on other sides, leaving us with the message that Hillary Clinton has more eventful issues, instead of us getting the correct information that Business Insider is just rehashing old news, to get a few more cycles out of it. How is that not tempering with the view of the voters?

 

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