California Fools Californians Into Higher Taxes Again


With the help of the mainstream media and its rags, the California Public Employees Retirement System (CalPERS) is yet again using its over $233 in reported investment fund wealth to somehow claim it is in a deficit, despite having an investment return this fiscal year.

(Note here that the actual gross fund balances are generally many billions higher, and were reported as $245,848,527,000 in 2011, and $204,727,543,000 in the 2010 CAFR’s.)

USA Today put out the following story, which was of course originally printed from the false-news clearing house, Associated Press:

“SACRAMENTO, Calif. – The nation’s largest public pension fund collected a dismal 1% annual return on its investments, a figure far short of projections that will likely bring pressure on California’s state and local governments to contribute more money, officials said Monday.

The return reported by the California Public Employees’ Retirement System was well below its projected return of 7.5% for the fiscal year that ended June 30.

The investment returns are critical because taxpayers are on the hook for the difference if the pension funds fail to meet their performance targets.

“The last 12 months were a challenging period for all investors as the ongoing European debt crisis and slowing global economic growth increased market volatility and reduced equity returns,” said chief investment officer Joe Dear. “It’s a clear reminder that we must remain focused on performance, risk and internal controls in today’s financial environment.”

The fund was most impacted by a negative -7% return on global equities. Half the pension’s assets are in equities, Dear said.

The fund, known as CalPERS, runs a $234 billion pension system for more than 1.6 million state employees, school employees and local government workers…”

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In this first three paragraphs we can see the entire scam played out in front of us, as told from a master story-teller who is trying to sell sunglasses to a blind man. But even a blind man should be able to read between the lines here…

So far, we have learned that the CalPERS Pension fund has earned a 1% increase in its investment portfolio, which for this year would have been over $2.2 billion dollar in gains on investments. Yes, that’s $2,200,000,000 when spelled out properly. And this is of course reported as bad news!

Why?

Simply because CalPERS did not reach its “projected” goal. It wished upon a star, and failed to reach that star. It did not lose value or money, it only failed to miss its desired gains. It still did fine, and has no problems whatsoever meeting its “obligations” to pensioners. In fact, if CalPERS liquidated all of its investments today at today’s market value it could easily pay future pension benefits for the next 15-20 years.

So what’s the problem?

That’s just it, there is no real or tangible problem. You see, governments across the country are crying broke or bankruptcy based on this type of situation – hiding assets with future liabilities, without reporting the future assets that will pay for those liabilities. With billions in assets, all of this hoopla is based on nothing more than throwing a temper tantrum because the CalPERS fund didn’t reach what it wanted to reach this year.

It’s true. Nothing bad has actually happened here, as we will see in a moment. But the government creates any excuse it can in order to collect higher taxes,  or to funnel as much taxpayer money into the pension system. Case in point: here the article states that “California State and local governments (will be forced to) contribute more money“. In other words, the government wishes to keep its investment wealth untouched instead of liquidating it to pay for pension obligations to its employees. And so it will raise taxes instead, as the article states here: “taxpayers are on the hook for the difference if the pension funds fail to meet their performance targets.” Remember, taxes fund government. So government contributions means taxpayer contributions, despite the fact that taxpayers receive absolutely no benefits from the pension system, only employees of the government receive pension benefits.

Now imagine if Target, Bank of America, General Electric, or any other corporation out there forced all people in America or in an individual State or local government to pay for its private employee’s pension fund costs. How would that make you feel? Well, that is how the pension fund system works, as this article tells you.

Note here as well that the so-called “loss” on the equity value of stock and investments does not represent a loss of the actual number of stocks or investments. Just because a stock goes down in value for a 1 year period, does not mean that it will stay down. The same amount of stock is still held, and that physical equity has not changed, only this years value.

For instance, the following capital gains for 2010 and 2011 fiscal years were stated by the CalPERS pension fund in its Comprehensive Annual Financial Report:

CalPERS (2011) – $41.1 billion gain in net assets after all benefits paid.

CalPERS reports 20.7% investment return for fiscal year

“The California Public Employees Retirement System (CalPERS) reported a 20.7 percent return on investments in preliminary estimates for the one-year period that ended June 30, 2011.

This is our best annual performance in 14 years, said Rob Feckner, CalPERS Board President. For the second straight fiscal year, the Pension Fund exceeded its long-term annualized earnings target of 7.75 percent.”

(Source –> http://www.opalesque.com/IndustryUpdates/1880/CalPERS_reports_investment_return_for_fiscal_year188.html)

CalPERS (2010) – 13.3 % increase with a $23.2 billion gain in net assets after all benefits paid.

“The California Public Employees’ Retirement System, the largest U.S. public pension, earned a 12.5 percent return in 2010, led by gains in private equity and U.S. stocks, Chief Investment Officer John Dear said.

The $228 billion pension fund earned 17.3 percent from domestic equity and 21.5 percent in alternative investments such as private equity, Dear said today. Its real-estate portfolio lost 5 percent while its fixed-income investments gained 12 percent“.”

(Source –>http://www.bloomberg.com/news/2011-01-20/calpers-earned-12-5-return-in-2010-chief-investment-officer-dear-says.html)

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Also, in 2009 fiscal year, as with all fiscal years, the Comprehensive Annual Financial Report show the following contributions from employees and separately from taxpayers (government).

Employees: $4,154,388,000

Taxpayers: $7,605,532,000

And here is a USA Today article with the headline:

Calpers posts 16.7% gain for fiscal year

SAN FRANCISCO (Reuters) — Calpers, the biggest U.S. pension fund, earned a 16.7% return on its investments in its fiscal year ended June 30, (2004) best returns in six years, the fund said Tuesday.

(Source –>http://www.usatoday.com/money/markets/us/2004-08-10-calpers-portfolio_x.htm)

And in 1998, CalPERS reported a record 19.5% gain in its investment portfolio. Yipee!

So the question you might be asking yourself is… Why don’t the taxpayers get a refund of all of that money they are putting into the pension system when there is a good year, when we have to be “on the hook” to support the fund with more taxpayer money in a bad year?  Not that this was really a bad year, mind you.

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Notice here that I am not mentioning 2008 in this list, and instead giving the reader the impression that CalPERS has gained every year in its portfolio. That is what the news does, you see, but not me. In 2008, Calpers lost a butt-load of asset value to the tune of $58.8 billion due to the financial crash of that time. This was big news of course.

The point here is that a portfolio such as this is designed to acquire as many assets as possible, knowing in advance that those assets will go up and down in the short term, but is designed for the long term. A slow year or a loss is expected every once in a while, of course, and events happen and the economy goes bad and the strengthens again. This is an established reality that any long term investor will tell you.

So let’s here what CalPERS itself says about this years portfolio:

Press Release
July 16, 2012
External Affairs Branch

CalPERS Reports Preliminary 2011-12 Fiscal Year Performance of 1 Percent

Real estate portfolio earns nearly 16 percent exceeding benchmark

SACRAMENTO, CA – The California Public Employees’ Retirement System (CalPERS) today reported a 1 percent return on investments for the 12 months that ended June 30, 2012, falling short of its benchmark that returned 1.7 percent. CalPERS assets at the end of the fiscal year stood at more than $233 billion.

The small gain – despite continued volatility in world markets and economies – was helped by improved performance of CalPERS real estate investments. Investments in income-generating properties like office, industrial and retail assets returned approximately 15.9 percent, outperforming the pension fund’s real estate benchmark by more than 3 percent.

CalPERS performance was negatively impacted by significant allocations to U.S. and international public equities.

“The last twelve months were a challenging period for all investors as the ongoing European debt crisis and slowing global economic growth increased market volatility and reduced equity returns,” said Joe Dear, CalPERS Chief Investment Officer. “It’s a clear reminder that we must remain focused on performance, risk and internal controls in today’s financial environment.”

CalPERS 1 percent return is below the fund’s discount rate of 7.5 percent, a long-term hurdle lowered recently in response to a steady decline in inflation and as part of CalPERS routine evaluation of economic assumptions. CalPERS 20-year investment return is 7.7 percent.

It’s important to remember that CalPERS is a long-term investor and one year of performance should not be interpreted as a signal about our ability to achieve our investment goals over the long-term,” said Henry Jones, Chair of CalPERS Investment Committee…

Returns for real estate, private equity and some components of the inflation assets reflect market values through March 31, 2012 (not June 30, 2012). Final performance including the last quarter of the fiscal year will be available after asset valuations are completed.

Investment returns are based on compounded daily earnings over the year, including continuing member contributions and benefit payments, and do not precisely correspond to one-year changes in CalPERS overall portfolio market value.

(Source –> http://www.calpers.ca.gov/index.jsp?bc=/about/press/pr-2012/july/preliminary-returns.xml

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In another listed report, the CalPERS system shows that “CalPERS Outperformed Its 7.5 Percent Target 13 out of the Last 20 Fiscal Years (FY 1992/93 – FY 2011/12).

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So what does this all mean?

Remember, this reported bad thing of an over $2 billion gain in net assets for the fiscal year is being reported after all benefits have been paid out to the employees of this pension fund. And so there is no loss at all for the year, and this gain is all profit for the fund.

Also notice that for the last 20 years, this fund has attained an above average return on investments, 7.7% compared to the desired 7.5%. This is the wonderful aspect of the CAFR – it allows you to see previous cycles so as to not be fooled by media sound bites. Here, CalPER’s confirms the data in the financial statements that prove that this fund is wealthy beyond even the stated CalPER’s long term goals.

Simply put, this whole media frenzy was a false flag scare tactic – utilizing incomplete information for the CalPERS fiscal year report as stated by CalPERS to pre-program the people of California to accept unnecessary and unneeded increases in taxation, and all for a pension fund that will benefit the taxpayers in no way whatsoever.

We will not know the true statement of CalPERS financial situation until the Comprehensive Annual Financial Report (CAFR) is released for fiscal year 2011-2012, sometime in the next couple of months.

The problem is, most taxpayers have never heard of the CAFR, and place blind trust in their government and their media when they report such ridiculously contradiction data-sets as we have seen here from the Associated Press. And as government forces taxpayers to contribute taxpayer money into the public pension systems of the Federal, State, County, municipality, and district funds on an involuntary basis every year, the taxpayer base looses over $900 billion into the either of public pension black hole each year. This is to say nothing of what the employees of government are also forced to contribute.

If Walmart or Haliburton corporations required taxpayers to fund their pensions at no benefit to the taxpayers in any way, there would be riots in the street tomorrow.

And if they tried to get away with trying to convince the people (or for that matter the IRS) that their over $2 billion dollar gain in investments was somehow a bad thing or was somehow a loss requiring more taxpayer infusions into the Walmart or Haliburton corporate structure, there would be attorneys, accountants, CEO’s, and Board members hanging from the nearest tree…

What gives America?

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–Clint Richardson (realitybloger.wordpress.com)
–Saturday, July 21, 2012

CAFR SCHOOL: How Corporations Are Funded By Taxpayers


As a lowly young man full of ideas that would have changed the world; and naively believing that I could implement them, I often wondered at how large corporations became so wealthy and attained such incredible amounts of capital for their projects, warehouses, office buildings, investments, and for their global expansion. Why were the tallest buildings in every city I visited always topped with a bank logo? Why were the names of every city’s sports arenas and concert halls being replaced with oil/energy and other corporation names and logos, even though the taxpayers paid for their construction? And after many failed attempts to start up my own small business ventures that would revolutionize the world, I gave up trying to play in the big boy markets, because I couldn’t get my hands on the big boy money. I realized that some unseen hand would not allow me to compete, though I could never figure out just whose hand it was. And so I gave up… justifying and rationalizing my failures on this unseen force that I knew existed but could never actually see…

And then I met a man named Walter Burien.

It is not often in our lives that we come across one man who virtually lifts the wool from over our own eyes, but this was one of those times. It was not so much what he showed me as much as what he inspired me to do. And thanks to him, I was hooked on a little thing called the Comprehensive Annual Financial Report (CAFR).

For months and months I poured over these financial statements for the various types of government municipal corporations, attempting to comprehend the almost foreign creative accounting language and legalese that was presented within – which was sure to drive off even the most ardent of researchers. But for some reason, as frustrating as that learning curve was, I persisted. And finally, after so many years of being blinded by that unseen hand, I can at last see my nemesis…

As it turns out, this foe was the very government structure that had passed the legislation limiting me in my business ventures. It is the same government corporate structure that assigns patents to the major corporations, while making the patenting process either too expensive or too difficult for the average person or small business to utilize. It was the same government corporation that made it so hard to incorporate in the first place, and which created so many fees, taxes, and restrictions that a small business could never really get ahead. And it is the same government that literally owns everything you can see – that has invested over many decades into all private and public corporations, real estate, foreign currencies, precious metals, and everything else worth owning under the sun and around the world.

No wonder the average Joe can’t get ahead!

I have been asked several times to explain how banks, weapons manufacturers, insurance companies, investment holdings companies, health and pharmaceutical corporations, and essentially the entire corporate business structure of the world is funded - why do private corporations have so much extra money to expand, to buy other corporations, and to just in general play around with? How do banks come up with the capital to mortgage the entirety of the salable lands of the world? And where does that money come from in the first place?

As it turns out, the people of the United States are paying for this through their own sheer ignorance of where their own taxpayer money is being taken and invested. And this of all ironies is the most destructive reality for the very people who lack the knowledge of their own governments’ grand conspiracy through its investment fund scheme.

And today, I’m here to wake you the hell up!

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The Problem With Pensioners

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As a public pensioner, what would you do if I told you that, indirectly, you are responsible for most of the problems in the world, from hunger to depression to war?

What would you do if I told you that each one of you as pensioners are voluntarily invested in all of the corporations that are destroying our health, our prosperity, and our world?

What would you do if you found out that because of each one of you collectively, the worst of corporations are being funded with taxpayer money?

How would you feel if you were heavily responsible for the funding of globalization; for building up Mexico and China’s sweatshops and promoting imports to America – and for the loss of jobs in America – simply because you are not paying attention – or don’t know – or don’t care – about what your “retirement nest-egg” is investing in, as long as you’re taken care of in the end?

What would you do if you found out that your pension contributions went to fund the corporate stocks and bonds that are used to build the weapons, the chemical biological agents, and the depleted uranium armaments that are killing and retarding millions upon millions of men, women, and children around the globe, including in America?

What if you finally comprehended that the national and international banks, oil and pharmaceutical companies are all funded by your “contributions”, and that all of the taxpayer’s in America are also forced through taxation to contribute to your pension fund investment scheme (with no benefit to the taxpayers themselves), knowing that the U.S. occupations of the Arab nations like Afghanistan and Iraq are for the government’s and the corporation’s control of oil and opium, and that these beautiful countries and their infrastructures are decimated just so that corporations like Halliburton can rebuild those infrastructures via no-bid government contracts while being forced into debt by the very government you fund?

How would it feel to know that the entirety of the government-contracted corporations that make up the “Military-Industrial Complex” are all funded by our collective pension fund contributions?

What would you do?

Is your nest-egg; your pension retirement benefits… are they really more valuable than the millions and millions of lives lost around the world at the hands of the corporations that your collective monetary contributions support via these government investment pension pools?

If you are a taxpayer or a pensioner (and that’s about anyone who is reading this), then you are absolutely and collectively 100% responsible for all of the above – simply because you don’t know.

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Where Are My Pension Contributions Invested?

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This oh so important question is one that is not generally asked by the recipients of pension benefits. To most, the answer to this question does not matter, as long as there is a return on that investment today that will guarantee personal retirement benefits tomorrow. And this is perhaps the most egregious and shameful aspect of the entire population of America – of all people. For your wealth and the benefits that you receive are directly correlated to the poverty and destruction that allows corporations and government to prosper. In short, as a pensioner, you are being paid for looking the other way.

As a taxpayer, you should know that many 100′s of billions of dollars are ripped out of the tax-base each year and force fed into the nation-wide pension system (including Social Security) in the form of “on-behalf” taxpayer “contributions” for federal, state, local, and district pension employees. This world-wide phenomenon has created an international pension investment system that, in January 2008, Morgan Stanley estimated held over US $20 trillion in assets, and are collectively the largest investment platform in the world. Others with a less personal and unbiased interest in these pension funds make this estimate to be many trillions higher.

We have all heard about Morgan Stanley, as well as many other major conglomerate banking institutions like J P Morgan Chase. They have been demonized as rogue institutions that are destroying the economy seemingly outside of the law or of government intervention – aside from bailing them out with taxpayer money when their gambling habits take a wrong turn (publicly and purposefully that is, because for every loss there is an equal gain by some other entity collaboratively playing the same game).

So let’s examine some of the United States’ Pension investments that are funding the capital liquidity and crime of institutions like Morgan Stanley…

We’ll use the largest public pension fund in the United States, CalPERS.

For those who have never before had the chance to behold the incredibly inconceivable wealth and investments that most pension funds have within, this is a wonderful tool to get a grasp on just how the international structure of corporations that make up the “economy” get their funding. Here is the “Annual Investment Report” for fiscal year 2011, which shows all of CalPERS individual investments:

Link–> http://www.calpers.ca.gov/eip-docs/about/pubs/annual-investment-report-2011.pdf

One could spend all day going through this investment holdings report and find just about every corporation in the world as a government investment stock-held company. But remember, this is just one of thousands of pension funds across the country, all with the same investment structure on different levels.

So let’s look and see just how much of your taxpayer and pension contributions in just CalPERS are funding just these two banks as of 2011:

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CalPERS just happens to own 4,583,935 shares of Morgan Stanley, at a listed book value of $98,224,686 - and a market value of $105,476,344.

It also lists its direct stock ownership in JP Morgan Chase at 11,543,471 shares, with a book value of $292,151,725 – and a market value of $472,589,703.

TOTAL (book value) = $390,376,411
TOTAL (market value) =
$578,066,047

(Note: These are two separate companies, used here as examples.)

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This represents the ownership portion of stock that this single government pension fund “CalPERS” owns outright in these two banks. The conflict of interest should be apparent here, as this and all pension funds around the world depend upon a return (profits and dividends) from holding this stock investment, while at the same time being a part of the same government that regulates the banking industry. One does not necessarily want a major stock owner of a banking corporation also making the public laws, for instance, on real estate loans and the foreclosure process. But that is exactly what is happening here.

But we can’t stop here, for this is a massive list with many different types of investments into Morgan Stanley and JP Morgan Chase (as well as every significant bank on the planet). CalPERS also lists the following forms of taxpayer monies being given, loaned, or “bonded” to Morgan Stanley:

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(Page 4) “Domestic Cash Equivalents (securities)”

COLLATERL JP MORGAN CHASE - par/market value – $39,800,000 – listed at a measly 0.07% return, maturing 12/31/1949

MORGAN STANLEY REPO - par/market value – $66,500,000 - listed at a measly 0.04% return, maturing 12/31/1949

TOTAL (par/market value) = $106,300,000

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(Page 6-7) “Asset-Backed Securities”

CHASE ISSUANCE TRUST – par value – $1,865,000,000 – market value - $1,887,438,748 – 1.74% return, maturing 04/15/2014

JP MORGAN MORTGAGE ACQUISITION – par value – $7,150,000 - market value - $2,532,394 - 1.32% return, maturing 01/25/2037.

JP MORGAN MORTGAGE ACQUISITION – par value - $27,936 - market value - $8,166 - 0.91% return, maturing 08/25/2036.

MORGAN STANLEY CAPITAL INC - par value $95,008 - market value – $77,319 - 0.88% return, maturing 09/25/2034

MORGAN STANLEY CAPITAL INC – par value $2,660,000- market value – $1,866,197 - 0.69% return, maturing 12/25/2035

MORGAN STANLEY CAPITAL INC  - par value $2,921,764- market value – $2,537,286 - 0.58% return, maturing 11/25/2035

MORGAN STANLEY DEAN WITTER CAP - par value $292,899- market value – $111,961 - 8.53% return, maturing 11/25/2032

TOTAL (par value) = $1,878,147,607
TOTAL (market value) = $1,894,572,071

.

(Note that CalPERS gave these “loans” to Morgan Stanley, getting a horrible return on its investment, often less than 1% - and not getting that money paid back until as long as 2037 and beyond. This leaves Morgan Stanley and JP Morgan Chase to use and invest that money for more than 25 years for future massive profits and expansion. And if these banks lose it? No problem. The taxpayers are always there to bail them out! And your credit card from these same banks, which may be using some of this same CalPERS pension fund investment money to loan back to you via your credit card, personal, or mortgage loan, may have an interest rate as high as 24%!!!)

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(Page 14) “Corporate Bonds”

JPMC CAPITAL XVIII - par value $5,760,000 – market value - $5,740,3486.95% return, maturing 08/01/2066

JPMORGAN CHASE & CO - par value $96,000,000 - market value – $103,112,640 – 7.90% return, maturing 04/29/2049

JPMORGAN CHASE + CO - par value $1,600,000 - market value – $1,656,316 - 4.95% return, maturing 03/25/2020

JPMORGAN CHASE CAPT XX - par value $ 8,765,760 – market value – $8,734,555 - 6.55% returnmaturing 09/15/2066

MORGAN STANLEY – par value $56,640,000 – market value - $62,164,863  – 6.63% return, maturing 04/01/2018

MORGAN STANLEY – par value $45,120,000 – market value - $48,356,731 – 5.95% return, maturing 12/28/2017

MORGAN STANLEY - par value $48,000,000 – market value - $49,159,823 – 5.63% return, maturing 09/23/2019

MORGAN STANLEY – par value $870,000 – market value - $906,554 – 4.75% return, maturing 04/01/2014

MORGAN STANLEY – par value $2,870,000 – market value - $2,798,066 - 0.59% return, maturing 01/09/2014

MORGAN STANLEY DEAN WITTER - par value $1,130,000 – market value - $1,180,195 - 6.60% return, maturing 04/01/2012

TOTAL (par value) = $266,755,760
TOTAL (market value) = $283,810,091

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(Page 51-52) “Mortgage-Backed Securities”

JP MORGAN CHASE COMMERCIAL MOR - par value $308,972,643 - market value – $3,256,324 - 0.35% return, maturing 01/15/2042

JP MORGAN CHASE COMMERCIAL MOR - par value $32,928,000 - market value – $36,647,187 - 6.07% return, maturing 04/15/2045

JP MORGAN CHASE COMMERCIAL MOR - par value $70,560,000 - market value – $77,115,803 - 5.88% return, maturing 02/15/2051

JP MORGAN CHASE COMMERCIAL MOR - par value $274,891,936 - market value – $295,478,211 - 5.44% return, maturing 06/12/2047

JP MORGAN CHASE COMMERCIAL MOR - par value $18,816,000 – market value – $20,331,229 - 5.42% return, maturing 01/15/2049

JP MORGAN CHASE COMMERCIAL MOR - par value $1,085,000 - market value – $1,156,473 - 5.34% return, maturing 05/15/2047

JP MORGAN CHASE COMMERCIAL MOR - par value $1,700,000 - market value – $1,849,798 - 5.43% return, maturing 12/12/2043

JP MORGAN CHASE COMMERCIAL MOR - par value $30,209,893 - market value – $552,778 - 1.40% return, maturing 10/12/2037

JP MORGAN CHASE COMMERCIAL MOR - par value $109,863,895 - market value – $339,216 - 0.94% return, maturing 11/15/2035

JP MORGAN CHASE COMMERCIAL MOR - par value $25,783,365 - market value – $159,792 – 1.17% return, maturing 10/12/2035

JP MORGAN MORTGAGE TRUST – par value $858,671 - market value – $838,576 5.78% return, maturing – 04/25/2036

JP MORGAN MORTGAGE TRUST – par value $308,554 - market value – $260,083 – 2.77% return, maturing 07/25/2035

JP MORGAN MORTGAGE TRUST – par value $1,459,122 - market value – $1,304,019 - 2.78% return, maturing 06/25/2036

JP MORGAN MORTGAGE TRUST – par value $68,035 - market value – $66,727 - 2.96% return, maturing  11/25/2033

MORGAN STANLEY CAPITAL I - par value $98,784,000 – market value – $7,262,168 - 1.37% return, maturing 06/15/2044

MORGAN STANLEY CAPITAL I – par value $1,700,000 – market value - $1,789,567 - 5.57% return, maturing 12/15/2044

MORGAN STANLEY CAPITAL I – par value $47,040,000 - market value – $50,482,724 - 5.33% return, maturing 11/12/2041

MORGAN STANLEY MORTGAGE LOAN T – par value $670,407 - market value – $156,964 - 3.00% return, maturing 08/25/2034

MORGAN STANLEY MORTGAGE LOAN T – par value $561,385 - market value – $141,127 - 2.90% return, maturing 09/25/2034

MORGAN STANLEY MORTGAGE LOAN T – par value $1,307,796 - market value – $565,047 - 4.32% return, maturing 06/25/2037

MORGAN STANLEY MORTGAGE LOAN T – par value $4,008,030 - market value - $2,456,630 - 5.14% return, maturing 11/25/2037

MORGAN STANLEY MORTGAGE LOAN T – par value $18,201 - market value - $18,087 - 6.00% return, maturing 08/25/2037

MORGAN STANLEY MORTGAGE LOAN T – par value $1,712,350 - market value - $1,222,467 - 2.61% return, maturing 07/25/2035

MORGAN STANLEY MORTGAGE LOAN T – par value $364,015 - market value – $305,840 - 1.60% return, maturing 10/25/2034

TOTAL (par value) = $1,033,671,298
TOTAL (market value) = $958,096,837

(Yes, you read that correctly. You’ve heard about these mortgage-backed securities and you’ve probably wondered – who was buying all of these things anyway? Well now you know… your own government – with your own money! Your government not only allows these criminal junk securities to be legal and flourish in the banking and investment markets by law, but government also funds the whole financial mechanism so that banks can buy, sell, and resell and re-resell and re-re-resell and re-re-re-resell your mortgage contract until no one actually knows who has the original lien and deed on anyone’s home anymore. Again, government invests in corporations and funds their liquidity… and it benefits from your suffering and from the loss of your home when the bank forecloses. All that matters is that their stock investment and liquidity in the company has capital gains, creates interest, and pays dividends. And your personal ignorance of this is key to the whole operation.)

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(Page 57) “International Debt Securities”

MORGAN STANLEY - par value $4,000,000 -
market value - $5,417,906 - 1.71% return, maturing 04/13/2016

TOTAL (par value) = $4,000,000
TOTAL (market value) = $5,417,906

———————————————————————————————

So let’s total up these investments and loans and figure out just how much this one pension fund called CalPERS has invested into just these two conglomerate banks:

Direct Ownership Stock Holdings:

TOTAL (book value) = $390,376,411
TOTAL (market value) = $578,066,047

Domestic Cash Equivalents (securities)

TOTAL (par/market value) = $106,300,000

Asset-Backed Securities

TOTAL (par value) = $1,878,147,607
TOTAL (market value) = $1,894,572,071

Corporate Bonds

TOTAL (par value) = $266,755,760
TOTAL (market value) = $283,810,091

Mortgage-Backed Securities

TOTAL (par value) = $1,033,671,298
TOTAL (market value) = $958,096,837

International Debt Securities

TOTAL (par value) = $4,000,000
TOTAL (market value) = $5,417,906

——————————————————————–

TOTAL (par value) = $3,679,251,076
TOTAL (market value) = $3,826,262,952

——————————————————————–

It is important to understand here that this single pension fund has nearly $4 billion in directly apportioned investments within just these two banks. In reviewing thousands of other public pension fund “asset holding lists” we will find a similar pattern, from billions to millions and down into the smallest of pension funds with mere thousands. But collectively, when all of these funds are considered as one whole government investment scheme, we can easily see that the corporate world as it stands today would not exist without government funding through taxpayer and pension contributions to it, and directly because of these pension investments over the last several decades.

It is also important that we consider what are called “indirect” investments held by these pension funds. While direct stock and bond listings are very clear as to where that taxpayer money is invested, CalPERS (and all pension funds) also invest heavily into the private equity and mutual fund markets. In fact, as you can see, the pension and other government fund structures across the country are the main investors (institutional investors) within these private funds.

The problem? Those funds also invest into JP Morgan Chase, Morgan Stanley, and most other banks and investment houses. And so to get an accurate accounting of the % of investments that CalPERS actually has within these two financial institutions, we would have to audit its own investments in these private funds to find out where that private fund has placed CalPER’s investment income – and good luck with that!

Let’s see what CalPERS has in a few of these private equity funds…

——————————————————————–

State Street Corporation:

STATE STREET CORP – 1,777,017 shares of ownership stock at a market value of $80,125,697

“Corporate Bonds”

STATE STR CAP TR III  – par value $6,200,000 -
market value – $6,202,728 – 5.24% return, maturing 01/29/2049

——————————————————————–

Why is State Street Corporation important here?

From this CalPER’s report, it states:

“Our Investment Office staff, pension consultant Wilshire Associates, and State Street Bank & Trust, our master custodian, compiled the investment data presented on the next pages as required by the Public Employees’ Retirement Law.”

So CalPER’s pension fund owns stock in the banking institution that is its “master custodian”, and this bank is responsible for issuing the very report we are reading!!! Yet another blatant conflict of interest, in a bank that is not in a position to go against its stockholder without consequence!

Now let’s look at the Carlyle Group…

This investment giant is infamously connected to the George Bush family, who became president of the whole corporate government structure (not to mention his son), and as you can imagine continues to indirectly benefit heavily from government investments into this “group” – where he and his cronies acquire corporation after corporation with your taxpayer money…

Just what is The Carlyle Group?

“The Carlyle Group is an American-based global asset management firm, specializing in private equity, based in Washington D.C. The Carlyle Group operates in four business areas: corporate private equity, real assets, market strategies, and fund-of-funds, through its AlpInvest subsidiary. In its 2010 annual report, Carlyle reported assets in excess of $150 billion under management diversified over 84 distinct funds.The firm employs more than 890 employees, including 495 investment professionals, in 20 countries with offices in the Americas, Europe, Asia, and Australia, and its portfolio companies employ more than 415,000 people worldwide. The firm has over 1,300 investment partners in 71 countries.

According to a 2011 ranking called the PEI 300 based on capital raised over the last five years, Carlyle was ranked as the third largest  private equity firm in the world, after TGP Capital and Goldman Sachs Principal Investment Area. Carlyle had been ranked first in the 2007 listing.

In 2001, the California Public Employees’ Retirement System (CalPERS) acquired a 5.5% holding in Carlyle’s management company for $175 million. The investment was valued at approximately $1 billion by 2007 at the height of the 2000′s buyout boom…

In November 2008, The Carlyle Group was named Private Equity firm of the year in the U.S. at the Financial Times-Mergermarket 2008 M&A Awards.

In March of 2009, New York State and federal authorities began an investigation into payments made by Carlyle and Riverstone to placement agents allegedly made in exchange for investments from the New York State Common Retirement System (NYSCRS), the state’s pension fund. It was alleged that these payments were in fact bribes or kickbacks, made to pension officials who have been under investigation by New York State Attorney General, Andrew Cuomo. In May of 2009, Carlyle agreed to pay $20 million in a settlement with Cuomo and accepted changes to its fund-raising practices. (Author’s note: Where did that money go, and what was the point – Carlyle Group certainly didn’t change its criminal methods. How did the people benefit? They didn’t.)

In 2010, the Financial Times announced that Carlyle Group is the private equity firm of the year…

In February 2008, a bill was introduced in California that would have barred CalPERS from investing money “with private-equity firms that are partly owned by countries with poor records on human rights,” which would include Carlyle because Mubadala Development is owned by part of the United Arab Emirates. The California bill was later withdrawn.”

George H. W. Bush, former U.S. President, served as Senior Adviser to the Carlyle Asia Advisory Board from April 1998 to October 2003 (while his son was still President!).

So what investments into the bonded liquidity base of the Carlyle Group does CalPERS have on its balance sheets, allowing Carlyle holding companies around the world to flourish with taxpayer investment capital?

——————————————————————–

The Carlyle Group

Alternative Investment Management Corporate Restructuring (securities)

Name of holding company…..
Book Value
……….Market Value

CARLYLE…………………………………………………
$22,892,350…………$55,040,942

CARLYLE ASIA PARTNERS GP II……………..
$123,783,417…………$127,894,756

CARLYLE ASIA PARTNERS III…………………
$140,997,939…………$149,682,813

CARLYLE ASIA PARTNERS LP…………………
$33,716,341……………$72,661,556

CARLYLE EUROPE PARTNERS II…………….
$33,781,818…………..$49,114,244

CARLYLE EUROPE PARTNERS III LP………
$275,068,958………..$269,585,374

CARLYLE GLB FIN SERV PARTNERS……….
$98,610,047………….$112,930,518

CARLYLE JAPAN INTL PARTNERS II……….
$111,350,716………….$101,874,064

CARLYLE JAPAN PARTNERS LP………………
$17,898,023………….$8,194,635

CARLYLE MANOR CARE………………………….
$13,128,107…………..$16,645,859

CARLYLE MEXICO PARTNERS………………..
$11,603,147……………$12,604,035

CARLYLE PARTNERS II LP………………………
$3 ,803,945…………..$7 ,150,317

CARLYLE PARTNERS III LP…………………….
$39,530,330…………..$20,698,248

CARLYLE PARTNERS IV, L.P……………………
$225,810,782…………$288,443,791

CARLYLE PARTNERS KINDER MORGAN…
$29,477,075…………..$68,215,645

CARLYLE PARTNERS V……………………………
$451,370,251………….$528,018,454

CARLYLE/RIVER RENE+ALT ENGY II …….
$140,853,360…………$163,748,816

CARLYLE/RIVERSTONE GLB E+P IV……….
$309,206,623………..$444,256,236

CARLYLE/RIVERSTONE GLOBAL……………
$195,614,177…………..$299,501,436

 “Alternative Investment Management Distressed Securities”

CARLYLE STRATEGIC PARTNERS…………..
$23,175,881…………….$34,972,657

CARLYLE STRATEGIC PARTNERS II ………
$58,002,997……………$79,704,250

CARLYLE/CALPERS CLO………………………..
$99,669…………………..$1,443,533

 “Alternative Investment Management Expansion Capital”

CARLYLE ASIA GROWTH PRTNRS IV……..
$40,863,278……………$48,175,768

CARLYLE ASIA GROWTH PRTNS III……….
$67,338,852…………….$67,445,066

CARLYLE GROUP……………………………………
$175,000,000………….$436,100,000

CARLYLE RIVERSTONE BRAZIL……………..
$17,362,588…………….$2,462,850

CARLYLE VENTURE PARTNERS III…………
$56,071,943…………….$64,646,861

CARLYLE/RIVERSTONEENERGYFDI,LP…
$54,262,246…………….$27,063,846

“Alternative Investment Management Special Situation”

CARLYLE EUROPE REALTY PARTNERS….
$11,107,976………………$7,178,856

CARLYLE REALTY III LP…………………………
$13,542,519………………$15,689,426

“Alternative Investment Management Venture Capital”

CARLYLE ASIA II LP……………………………….
$21,797,371……………….$2,737,812

CARLYLE EUROPE TECH PTNRS II………..
$57,274,489………………$50,288,690

CARLYLE VENTURE PRTNRS II LP…………
$40,025,303……………..$13,678,335

“Inflationary-Linked Assets”

CARLYLE INFRASTRUCTURE PARTNER..
$5,911,590…………………$51,033,705

——————————————————————————————————

TOTAL  BOOK VALUE OF INVESTMENTS IN
“CARLYLE GROUP” COMPANIES:
$2,920,334,108

TOTAL MARKET VALUE OF INVESTMENTS IN
“CARLYLE GROUP” COMPANIES:
$3,698,892,394

——————————————————————————————————

But we mustn’t forget about the subsidiary corporations owned by Carlyle Group, for these pension funds also purchase stock in these sub-corporations as well as their mother corporation – which can also be considered here as investments into the Carlyle Group itself:

BOOZ ALLEN HAMILTON HOLDING – 26,773 direct shares, market value - $511,632

CSX CORP - 3,245,673 direct shares, market value - $85,101,546

CSX CORPORATION (Corporate Bonds) -

CSX CORP – par value $22,272,000 – market value – $25,228,341 - 6.80% return, maturing 12/01/2028

CSX CORP – par value $35,299,200 – market value – $37,628,500 - 6.22% return, maturing 04/30/2040

CSX CORP – par value $1,920,000 – market value – $2,031,062 – 6.15% return, maturing 05/01/2037

HERTZ GLOBAL HOLDINGS INC – 1,404,911 direct shares, market value – $22,309,987

THE HERTZ CORPORATION (Corporate Bonds) -

HERTZ CORP – par value $554,280 – market value – $568,137 - 8.88% return, maturing 01/01/2014

HERTZ CORP - par value $480,000 – market value – $494,400 - 7.50% return, maturing 10/15/2018

HERTZ CORP - par value $1,920,000 – market value – $1,953,600 - 7.38% return, maturing 01/15/2021

HERTZ CORP - par value $2,400,000 – market value – $2,376,000 - 6.75% return, maturing 04/15/2019

LOEWS CORP – 1,086,790 direct shares, market value – $45,742,991

QINETIQ GROUP PLC – 2,078,385 direct shares, market value – $4,027,451

——————————————————————————————————

Finally, lets see what CalPERS has invested in Goldman Sachs…

——————————————————————————————————

GOLDMAN SACHS GROUP INC 1,489,274 direct shares, market value – $198,207,477

GOLDMAN SACHS – “Corporate Bonds”

GOLDMAN SACHS CAP III – par value $3,620,000 - market value – $2,752,503 - 1.02% return, maturing 09/29/2049

GOLDMAN SACHS GROUP INC – par value $110,400,000 – market value – $108,809,563 - 6.75% return, maturing 10/01/2037

GOLDMAN SACHS GROUP INC – par value $4,800,000 – market value – $5,589,452 - 7.50% return, maturing 02/15/2019

GOLDMAN SACHS GROUP INC  – par value $13,440,000 - market value – $12,763,456 - 5.95% return, maturing 01/15/2027

GOLDMAN SACHS GROUP INC – par value $19,200,000 – market value – $19,281,299 - 6.25% return, maturing 02/01/2041

GOLDMAN SACHS GROUP INC – par value $14,400,000 – market value – $14,788,437 - 5.38% return, maturing 03/15/2020

 ——————————————————————————————————

These direct stock investments, as I’ve covered in depth before, represent a massive controlling stake in the corporate world, both national and international. And equally as relevant to the corporate takeover of the world, we can see that these “alternative” investments and corporate bonds literally give taxpayer money to the private industries that the government is a major or controlling stock owner of.

In other words, the taxpayers are unwittingly contributing to everything they complain about in the corporate world – to everything that is slowly killing their health and their spirit. Food, chemical, pharmaceutical, medical, banking, insurance, real estate, foreign currency, private equity funds, and everything else under the sun.

–=–

What Could Happen?

–=–

To put this into perspective, a horrific thought just occurred to me…

As of this moment, in July of 2012, these pension systems are owned and operated by local, state, federal government municipal corporations, and administered by their corporate boards for what they claim to be “on behalf of the employees” that contribute to them under federal and state pension laws. And like any private pension system out there, these corporations are at risk of bankruptcy, government raids, credit risks, or other purposeful mismanagement’s that might befall the public, government owned and controlled pension system.

So what would happen to all of these direct ownership stock investments in a worse case scenario – if the government decided to raid and kill the pension system all together?

What would happen to those stocks, and what would become of the debt that these private corporations owe the government (the people) if all of a sudden the whole thing came crashing down?

The answer to these questions, in this authors perspective, would be the final nail in the 4-decade long efforts to completely privatize our government. It would mean that those stock certificates that are held by each of these pension funds would either be transferred into private hands, or they would be sold off for pennies on the dollar in a false-flag depression scenario to the worst of either these private corporations or to some other individual or country. In short, it would mean the largest transfer of wealth out of the public’s hands in recorded history, including real estate, foreign currencies, stocks and bonds, precious metals, and the many other assets within.

But that’s not all folks… for all of those corporate bonds would also change hands, being transferred or sold off – possibly to the very private banking institutions that were the beneficiaries of those corporate bond and securities-type loans in the first place. In other words, the debts would never come back to the pensioners/taxpayers that loaned it in the first place (the public), but instead would be paid back by the corporations to the corporations themselves, ultimately equating to a grand theft of massive proportions via the loss to the taxpayers as the corporations pay themselves back for the debt against themselves as owners of their own debt… a paradox, and yet quite reasonable to these organized criminals.

This would be no different than the Public Private Partnerships (PPP) happening all over the country now, where parking garages, toll-roads, bridges, and other public infrastructure has been sold or “privatized” into the hands of banks and other private corporations – who now operate and collect the tolls and taxes for the infrastructure that was built by our forefathers and our children.

One could go crazy thinking about this…

For it would not take much at all to accomplish this feat. For federal pensions, as part of the Executive branch, a simple executive order might be signed by the president directing the liquidation of the pension system to pay for the “national debt”. On the State and local levels, simple bankruptcy proceedings would do the job, and the people and pensioners would be left out in the cold. After all, the taxpayer portion of the pension system is government property.

This extremely viable possibility could easily be implemented as the solution to the reaction to the problem of the lie that is continuously perpetrated on the American public – that the pension system is on a whole entirely underfunded. In two years of looking, I’ve yet to see a pension fund that meets this criteria, per the Comprehensive Annual Financial Report. This lie stems from the actuarial projections (educated and purposefully misleading guess) on the future potential of pension funds. It has nothing to do with reality, and this is easily verified in the CAFR.

The following capital gains for 2010 were stated by the following public pension systems:

New York State Retirement System – $23.3 billion gain in net assets after all benefits paid.

CalPERS – $22.7 billion gain in net assets after all benefits paid.

CalSTRS – $11.3 billion gain in net assets after all benefits paid.

Texas State Teachers Retirement System – $7 billion gain in net assets after all benefits paid.

New York City Retirement – $3.4 billion gain in net assets after all benefits paid.

The pension system is, as you can see here, responsible for globalism at its finest. It is responsible for war, for famine, for disease, and for hunger. The whole world could be fed and clothed 100 times over with just the over $260 billion of investment wealth found in the CalPERS pension fund.

But while the pension system is responsible for these things around the globe, it is the people of America that are responsible for the funding of pension funds. Looking the other way in ignorance and greed must come to an end before the worst happens. The people must take responsibility for their own investment concerns, not relying on government to do it for them. The people must invest in what will benefit all people – from alternative energy to real cures for disease. Personal responsibility is the only solution we the people have left; and if we don’t choose to take responsibility for our own lives, our mother who calls itself government and calls us “customers” and “dependents” will continue down this road until just a few conglomerate corporations remain – as government privatizes and merges its investment held corporate structure into one giant United Nations IMF World Bank holding company.

In the end, I can only ask you to look at this report, and to see where your pension and taxpayer money is being invested… I can only ask:

What will you do tomorrow, knowing that your pension contributions are funding poverty and the the global war machine?

On a mission to document our enslavement to ourselves by our own consent…

.

–Clint Richardson (realitybloger.wordpress.com)
–Tuesday, July 10th, 2012

Walter Burien: The Only Game In Town


Thankfully, my esteemed mentor, teacher, and friend has released his documentary free for public consumption.

He asks to only link the video, not copy, as the DVD will be for sale soon.

Please support him if you can at his website:

CAFR1.COM

.

–Clint Richardson (realitybloger.wordpress.com)
–October 1, 2011

CAFR Confession


A friend and listener to our local AM station took our interview with the mayor of Salt Lake County, where he admits to the county CAFR and over $650 million in extra fund balances. He also included the CAFR pages I read from as reference.

Though I already posted the interview (audio only), I feel like this is the most important public official confession as to the wealth of the government as shown in government’s financial statements.

Please pass this on…

-

Also, learn more about government Comprehensive Annual Financial Reports (CAFR’s) with CAFR School, here:

-

Part 1: The State of Wisconsin CAFR -

https://realitybloger.wordpress.com/2011/03/01/wisconsins-real-financial-situation-explained/

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Part 2: Introduction to CAFR – City of Aurora, Co -

https://realitybloger.wordpress.com/2011/03/03/cafr-school-a-lesson-in-financial-accounting/

-

Part 3: Advanced study – State of Minnesota CAFR -

https://realitybloger.wordpress.com/2011/03/09/cafr-school-part-2-minnesotas-state-cafrs-explained/

-

Now compare these to your own local, county state, and school district CAFR’s.

.

–Clint Richardson (realitybloger.wordpress.com)
–Tuesday, July 12, 2011

 

 

 

 

CAFR School Part 2: Minnesota’s State CAFR Explained


Welcome back to CAFR School!

Part 2 will be a more advanced look into the CAFR. In this case, the state CAFR.

This is an explanation of the State of Minnesota Comprehensive Annual Financial Report (CAFR), for fiscal year ending June 30, 2010. This is the basic set up of most state CAFR’s. Most terms are the same throughout government financial reporting.

The report can be viewed here: http://www.mmb.state.mn.us/doc/acct/2010.pdf

Or, you can download the Minnesota CAFR from the states own website, here: http://www.mmb.state.mn.us/cafr-10

(Most of my comments are in red.) - Please follow along in the Minnesota CAFR. This article will not make much sense and you wont figure out how to read these things for yourself if you don’t follow along!

And now, on with the show…

 ————————————————————–

(Page 9) – Government-Wide Net Assets as listed (not including many funds and “off-balance sheet” investments and monies, as we will discuss further).

Financial Highlights

The assets of the state exceeded liabilities at June 30, 2010, by $10.9 billion (presented as net assets). Of this amount, a deficit of $2.9 billion was reported as unrestricted net assets.

(Note that this is showing only what the Minnesota government outrageously considers liabilities. But these are inevitably future liabilities. This means they are deducting monies as liabilities for things that have not been spent/paid yet. It is a trick that makes it appear that the government is not wealthy. For perspective… If you have $2,000 in your bank account today, do you write in your checking register (your own personal CAFR) that you have already spent money that you haven’t even written a check for yet, for liabilities and future bills that you might not have to pay for until 6 months to 10 years later? No!!!) 

From the CAFR…

Unrestricted net assets represents the amount available to the state to meet ongoing obligations to citizens and creditors. However, many of the resources have internally imposed designations, such as state statutory language, which limit resource use. These assets are not reported as restricted net assets because the limitations are imposed internally by the state, not externally imposed by sources such as creditors or the constitution. For discussion on the variances from prior year, see the Government-wide Financial Analysis section.

§ The state’s total net assets decreased by $1.2 billion (9.9 percent) during fiscal year 2010. Net assets of governmental activities decreased by $761 million (7.5 percent), while net assets of the business-type activities showed a decrease of $439 million (22.6 percent). For discussion on the variances from prior year, see the Government-wide Financial Analysis section.

(So the State claims that it is in the red here by over 2 billion dollars on its “government-wide {on-balance sheet}” statements. Let’s see how many hidden “off-balance sheet” investment funds we can find…)

Fund Level

§ At the end of the current fiscal year, governmental funds reported a combined ending fund balance of $2.8 billion, a decrease of $774 million compared to the prior year. Included in the ending fund balance is a General Fund unassigned deficit of $1.5 billion. For discussion on the variances from prior year, see the State Funds Financial Analysis section.

(But what about the other funds besides these governmental funds? Let’s see…)

 ————————————————————–

(Page 7) – Fund and Component Unit Definitions:

The state’s three discretely presented major component units are:

§ Housing Finance Agency

§ Metropolitan Council

§ University of Minnesota

The state’s six nonmajor component units are combined into a single column for reporting in the fund financial statements. These nonmajor component units are:

§ Agricultural and Economic Development Board

§ National Sports Center Foundation

§ Office of Higher Education

§ Public Facilities Authority

§ Rural Finance Authority

§ Workers’ Compensation Assigned Risk Plan

(We will come back to these later…)

 ————————————————————–

State Fund and Component Unit Financial Statements (definition of a “fund”)

A fund is a grouping of related self-balancing accounts used to maintain control over resources that have been segregated for specific activities or objectives. The state of Minnesota, like other state and local governments, uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements.

Fund financial statements present financial information in a format familiar to experienced users of governmental financial statements and reports. The fund financial statements focus on individual parts of the state, reporting the state’s operations in more detail than in the government-wide statements. Fund financial statements focus on the most significant funds within the state.

(Only experienced financial experts can read these reports… or angry citizens with nothing to lose like me!)

The state’s funds are divided into three categories:

Governmental Funds

Governmental funds record most of the basic services provided by the state and account for essentially the same functions as reported in the governmental activities in the government-wide financial statements. Unlike the government-wide financial statements, the fund financial statements focus on how money flows in and out of the funds during a fiscal year and spendable resources available at the end of the fiscal year.

Governmental funds are accounted for using the modified accrual basis of accounting, which recognizes revenues when they are available and measurable. Expenditures are generally recognized in the accounting period when the fund liability is incurred, if measurable. This approach is known as the flow of current financial resources measurement focus. These statements provide a detailed short-term view of the state’s finances that assists in determining whether there are more or less resources available and whether these financial resources will be adequate to meet the current needs of the state. Governmental funds include the General, special revenue, capital project, Debt Service, and Permanent funds.

The focus of governmental funds is narrower than that of the government-wide financial statements. It is useful to compare the information presented for governmental funds with similar information presented for governmental activities in the government-wide financial statements. By comparing this financial financing decisions.

The basic financial statements include a reconciliation of governmental funds to governmental activities.

These reconciliations follow the governmental funds balance sheet and the governmental funds statement of revenues, expenditures, and changes in fund balances.

The state maintained 29 individual governmental funds. However, six of these funds were either moved to the General Fund or combined into another fund and one fund was split and a portion of the activity was moved to the General Fund as a result of implementing Governmental Accounting Standards Board (GASB) Statement No. 54, “Fund Balance Reporting and Governmental Fund Type Definitions.”

(So these funds can used and merged in any way that these government crooks see fit.)

Information is presented separately in the governmental funds balance sheet and in the governmental funds statement of revenues, expenditures, and changes in fund balances for the General and Federal funds, which are reported as major funds. Information from the remaining funds is combined into a single, aggregated column. Individual fund data for each of these nonmajor governmental funds is provided in the form of combining statements included in this report.

(So they don’t report a major portion of the funds, investments, and wealth in the financial statements published to the taxpayers.)

The state adopts a biennial budget with annual appropriations for the majority of the activity reported in the General Fund. A budgetary comparison statement has been provided for the General Fund activity with appropriations included in the biennial budget to demonstrate compliance with this budget.

Proprietary Funds

When the state charges customers for the services it provides, whether to outside customers or to other agencies within the state, these services are generally reported in proprietary funds. Proprietary funds (enterprise and internal service) utilize accrual accounting which is the same method used by private sector businesses. Proprietary fund financial statements provide the same type of information as the government-wide financial statements, only in more detail.

Enterprise funds, a type of proprietary fund, are used to report activities that provide goods and services to outside (non-government) customers, including the general public. Internal service funds are an accounting device used to accumulate and allocate costs internally for goods and services provided by one program of the state to another. Because the activities reported by internal service funds predominantly benefit governmental functions rather than business-type functions, the internal service funds have been included within governmental activities in the government-wide financial statements.

(Enterprise funds are businesses run by the government, and citizens (the general public) are considered nothing more than outside customers!)

(Also, note that it tells us here that only certain funds, in this case the “internal service funds” are reported to the taxpayers; the general public. Make no mistake, government is a for-profit business and the people are just the customers… or chattel!) 

The state maintains 17 individual proprietary funds. The State Colleges and Universities and Unemployment Insurance funds, both of which are considered major funds, are presented separately in the proprietary funds statement of net assets and in the proprietary funds statement of revenues, expenses, and changes in net assets. Information from the 8 nonmajor enterprise funds and the 7 internal service funds are combined into two separate aggregated columns. Individual fund data for each of these nonmajor proprietary funds is provided in the form of combining statements presented in this report.

Fiduciary Funds

Fiduciary funds are used to report activities when the state acts as a trustee or fiduciary to hold resources for the benefit of parties outside the state. The accrual basis of accounting is used for fiduciary funds and is similar to the accounting used for proprietary funds. The government-wide statements exclude fiduciary fund activities and balances because these assets are restricted in purpose and cannot be used by the state to finance its operations. The state must assure that the assets reported in fiduciary funds are used for their intended purposes.

The state maintains 21 individual fiduciary funds. The state’s fiduciary funds are the pension trust funds, the investment trust funds (which account for the transactions, assets, liabilities, and fund equity of the external investment pools), and the Agency Fund (which accounts for the assets held for distribution by the state as an agent for other governmental units, other organizations, or individuals). Individual fund detail is included in the combining financial statements included in this report.

Component Units

Component units are legally separate organizations for which the state is financially accountable. The government-wide financial statements present information for the component units in a single column on the statement of net assets. Also, some information on the statement of changes in net assets is aggregated for component units. The component units’ statements of net assets and statement of changes in net assets provide detail for each major component unit and aggregate the detail for nonmajor component units. Individual nonmajor component unit detail can be found in the combining financial statements included in this report.

(Remember… there is no real law that states these funds cannot be used for anything at all, and they can be transferred or even closed at any time, and the money transferred to other funds or to who knows where!)

————————————————————–

(Page 66) - Investments

The State Board of Investment (SBI) manages the majority of the state‟s investments. All investments undertaken by SBI are governed by the standards codified in Minnesota Statutes, Chapters 11A and 356A. Minnesota Statutes, Section 11A.24, broadly restricts investments of the primary government to obligations and stocks of United States and Canadian governments, their agencies and registered corporations, other international securities, short-term obligations of specified high quality, restricted participation as a limited partner in venture capital, real estate, or resource equity investments, and restricted participation in registered mutual funds.

Funds not invested by SBI are primarily Minnesota State Colleges and Universities‟ funds…

SBI is authorized to establish, and has established, combined investment funds used by participating public retirement and non-retirement funds. Retirement and non-retirement funds may not be commingled. Each investment fund has its own characteristics, including investment objective and risk characteristics. Within statutory requirements and based on detailed analysis of each fund, SBI has established investment guidelines and benchmarks for all funds under its management. These investment guidelines and benchmarks are tailored to the particular needs of each fund and specify investment objectives, risk tolerance, asset allocation, investment management structure, and specific performance standards.

(Isn’t it reassuring to know that the SBI is acting within the laws that it sets for itself? Somehow that just makes this theft seem like a gift from God, doesn’t it? I mean, really, as long as the federal and state laws say that the government can steel trillions and trillions of dollars from the taxpayers without any real public disclosure and then hide that money in these funds, all seems right with the world…)

(Note: This is sarcasm. God wouldn’t like this very much, me thinks.)

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(Page 66)Synthetic Guaranteed Investment Contract (SGIC): 

State Board of Investment (SBI) maintains a fully benefit-responsive SGIC for the Supplemental Investment Pool – Fixed Interest Account of the Pension Trust and Investment Trust Funds portfolio. The investment objective of the Fixed Interest Account is to protect investors in defined contribution and deferred compensation plans from loss of their original investment and to provide a competitive interest rate. On June 30, 2010, the SGIC had a portfolio of well diversified high quality investment grade fixed income securities with a fair value of $747,887,000 that is $37,692,000 in excess of the value protected by the wrap contract. The Fixed Income Account also includes a liquid investment pool and a guaranteed investment contract with fair values of $214,955,000 and $326,545,000, respectively.  (Total = $1,289,387,000)

(Note: The author (me) is not sure if this is above and beyond what the state has reported in its Pension Fund Totals, so we won’t include this in our final total of this CAFR wealth. We’ll give it an honorable mention though, for sure! Wouldn’t want to double-count…)

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(Page 80 – 82) - Note 5 – Interfund Transactions 

Primary Government

During normal operations, the state processes routine transactions between funds, including loans, expenditures, and transfers of resources for administrative and program services, debt service, and compliance with legal mandates. In the fund financial statements, these transactions are generally recorded as transfers in/transfers out and interfund receivables/payables. Transfers generally represent legally authorized transfers between funds authorized to receive revenue and funds authorized to make expenditures, and do not represent reimbursement of expenditures.

(So monies/investments are allowed to be moved around between funds. They say again here that the -law- says it’s OK to do this. So the question we should be asking our supposedly representative government is… Why don’t you “authorize” or change the legalities (not laws) so that this investment wealth can be used for the benefit of “We, the People” instead of you greedy bankers, attorneys, and politicians? I think that’s a fair question…)

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(Now we will list these funds out, and show where the real money is invested…)

(Note: All figures listed in this CAFR are “in thousands”, meaning I have added 3 zeros {,000} to all totals.)

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(Page 31)“Major Governmental Funds” descriptions:

–General Fund - the fund accounts for all financial resources except those required to be accounted for in another fund.

–Federal Fund - The fund receives and disburses federal government grants and reimbursements. The fund is administered in accordance with grant agreements between the state and federal agencies.

(page 32) - Total for the General fund as listed on the “GOVERNMENTAL FUNDS BALANCE SHEET” is $3,916,496,000 as of June 30,2010.

.

(Note: Remember the Statement of Net Assets from above? It stated that, “Included in the ending fund balance is a General Fund unassigned deficit of $1.5 billion”. And yet here we see the actual balance in the fund is over $3.9 billion!!!)

(The Statement of Net Assets also claimed that, “At the end of the current fiscal year, governmental funds reported a combining ending fund balance of $2.8 billion, a decrease of $744 million compared to the prior year”. Obviously, this is a lie, as the balance of just the General Fund is again 3.9 billion!!!)

.

(page 32) - Total for the Federal fund as listed on the “GOVERNMENTAL FUNDS BALANCE SHEET” is $1,579,194,000 as of June 30,2010.

.

Note that while “Nonmajor Funds” are listed here too, we will be covering those funds individually in a moment…

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(Page 37) - “Major Proprietary Funds” descriptions:

State Colleges and Universities Fund - The fund accounts for the activities of Minnesota State Colleges and Universities (MnSCU). MnSCU is a system of public state universities and two-year colleges and is the largest system of higher education in the state. While the primary activity of MnSCU is to provide educational services, the fund also includes scholarships, student loans, bookstores, student living activities, research, and long-term debt.

Unemployment Insurance Fund - The fund receives unemployment taxes collected from employers and pays unemployment benefits to eligible individuals.

(Page 39) - Total for the State Colleges and Universities Fund as listed on the “STATEMENT OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS” is $1,723,766,000 as of June 30,2010.

(Page 39) - Total for the Unemployment Insurance Fund as listed on the “STATEMENT OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS” is at a negative – $266,135,000 as of June 30,2010.

.

Note that while “Nonmajor Enterprise Funds” and “Internal Service Funds” are listed here too, we will be covering those funds individually in a moment…

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(Page 47)“Major Component Unit Funds” descriptions:

Housing Finance Agency - The agency provides money for loans and technical assistance for construction and rehabilitation of housing for families of low and moderate incomes.

Metropolitan Council - The council is responsible for coordinating the planning and development of the Twin Cities metropolitan area. The council also operates the metropolitan regional sewage treatment and disposal systems and the public transit system. The Metropolitan Sports Facilities Commission, a component unit of the council, operates the Hubert H. Humphrey Metrodome sports facility. 

University of Minnesota - The multi-campus university provides undergraduate and graduate degrees, advanced research opportunities, and an extension service. The university includes several nonprofit foundations that provide resources which benefit the university.

(Note that these are the funds held by these government for-profit businesses (component units) and are NOT referring to the actual buildings, equipment, or other real assets associated with them. These are stating totals for cash and liquid investments.)

(Page 48) - Total for the Housing Finance Agency Fund as listed on the “STATEMENT OF NET ASSETS” is $1,723,766,000 as of June 30,2010.

(Page 48) - Total for the Metropolitan Council Fund as listed on the “STATEMENT OF NET ASSETS” is $1,872,301,000 as of June 30,2010.

(Page 48) - Total for the University of Minnesota Fund as listed on the “STATEMENT OF NET ASSETS” is $4,785,350,000 as of June 30,2010.

.

Note that while “Nonmajor Component Unit Funds”  are listed here too, we will be covering those funds individually in a moment…

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(Page 125 – 127) - Risk Management Fund – Read this for an explanation of Self-Insurance. This is a fund built to pay for any lawsuits or torts brought against the state or its component units. This is the hoarding and investing of taxpayer dollars. So if you sue the state, you will be receiving taxpayer money or the return on this money from investments in this fund. (Total for this fund presented later as a Nonmajor Enterprise Fund.)

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 (Page 131)Budgetary Basis vs. GAAP explanation:

Actual revenues, transfers-in, expenditures, encumbrances, and transfers-out on the budgetary basis do not equal those on the GAAP basis in the Governmental Funds Statement of Revenues, Expenditures and Changes in Fund Balances for the General Fund. This inequality results primarily from the differences in the recognition of accruals, reimbursements, deferred revenue, intrafund transactions, and loan classifications, and from the budgetary basis of accounting for encumbrances. On the budgetary basis, encumbrances are recognized as expenditures in the year encumbered. The modified accrual basis of accounting recognizes expenditures when the goods or services are received, regardless of the year funds are encumbered. A reconciliation of the fund balances under the two basis of accounting for the General Fund is provided in the following table.

(Translation: Some government money and investments are not reported on the taxpayer budget, nor in the Statement of Net Assets we listed above on page 9. There are two different ways of financial reporting, one for the dumbed down masses who can barely balance their checkbook, and one for the elite power brokers in government and the corporate world.)

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(Page 142) Actuarial Measures of Pension Funding Progress

The state of Minnesota is the employer for five defined benefit single employer plans that are administered by Minnesota State Retirement System (MSRS). MSRS prepares and publishes its own stand-alone comprehensive annual financial report (see Note 1 – Summary of Significant Accounting and Reporting Policies for the address).

(Note: When we look at the separate Pension Fund CAFR we see that the “employer” defined here as the State of Minnesota contributes/matches employee contributions to the pension fund system. So the state puts billions of taxpayer money (the state is supported by taxpayer money) into the pension fund for investment with no benefit for the taxpayers.)

The Elective State Officers Fund (ESOF) is excluded from the single employer plan disclosures since this plan is closed to new entrants and any former active employees have retired, terminated, or elected coverage under another plan.

Required supplementary information of funding progress is provided for the following plans:

§ Correctional Employees Retirement Fund (CERF)

§ Judicial Retirement Fund (JRF)

§ Legislative Retirement Fund LRF)

§ State Patrol Retirement Fund (SPRF)

 

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(Page 147 – 151) - Combining and Individual Fund Statements – Nonmajor Funds

Nonmajor Special Revenue, Debt Service, Permanent and Capital Projects Funds

(Page 151 – Chart) - COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES

(Note that these are reported “in thousands”, meaning we must add three zero’s {,ooo} to the end of each figure. These are the supposed totals for all the funds included in these categories.)

SPECIAL REVENUE       

-> $1,975,916,000

DEBT SERVICE

-> $764,447,000

PERMANENT SCHOOL

-> $694,452,000

CAPITAL PROJECTS

-> $205,002,000

TOTAL

-> $3,639,817,000

.

(Note that {in thousands} the “Net Change in Fund Balances” column (fourth row from bottom of graph) shows profits/increases of  – $122,913,000 – $22,378,000 – $64,229,000 – and $108,739,000 – with the total profit for these funds listed at $318,259,000. This is how much money was added to these funds in fiscal year 2010 over fiscal year 2009)

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(Page 152 – 153)gives a description of each “Special Revenue Fund”

Note the difference between the totals of the chart on (page 154 – 157)NONMAJOR SPECIAL REVENUE FUNDS COMBINING BALANCE SHEET”…

and the chart on (page 158 – 161)COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES”

On the “COMBINING BALANCE SHEET” we can see that total fund balances are actually in the amount of $2,719,861,000… a difference of over $700,000,000 as compared to what is reported on the “COMBINING STATEMENT” chart.

(Always go with the higher figure, as again they are attaching future liabilities to the money they have today.)

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(Page 169)gives a description of each “Capital Project Fund”

“COMBINING BALANCE SHEET” totals – $253,749,000

“COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES” totals – $205,002,000

So we can add almost $50 million to the total listed, taking the highest figure without “future obligations”. 

(This is the actual holdings at the time of this report.)

 ————————————————————–

(Page 169)gives a description of each “Nonmajor Enterprise Fund”

(Note that this is a new set of funds, not listed above, and including…)

Behavioral Services Fund

Enterprise Activities Fund

Giants Ridge Fund

Minnesota Correctional Industries Fund

911 Services Fund

Public Employees Insurance Fund

State Lottery Fund

State Operated Community Services Fund

 .

(Page 174 – 175) The “COMBINING STATEMENT OF NET ASSETS” {in thousands} chart shows $45,315,000 in these funds under the Totals column. So we can add that to our hidden wealth totals…

(Page 181)gives a description of each Nonmajor Internal Service Fund, which includes the “Risk Management Fund” that we covered above as a self-insurance fund.

(Page 182 – 183) - The “COMBINING STATEMENT OF NET ASSETS” {in thousands} chart shows $320,436,000 in total fund balances, which in this case is the same as the COMBINING STATEMENT OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS chart.

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PENSION TRUST FUNDS!!! – (Remember, Pension Funds are where the government diverts billions (trillions nationally) of taxpayer money, not just employee money.)

(Page 188 – 189) - Minnesota State Retirement System includes… 

–Correctional Employees Retirement Fund

–Elective State Officers Fund

–Hennepin County Supplemental Retirement Fund

–Judicial Retirement Fund

–Legislative Retirement Fund

–Postretirement Health Care Benefits Fund

–State Deferred Compensation Fund

–State Employees Retirement Fund

–State Patrol Retirement Fund 

–Unclassified Employees Retirement Fund 

 .

The Public Employees Retirement Association includes…

–Defined Contribution Fund 

–Minneapolis Employees Retirement Fund 

–Police and Fire Fund 

–Public Employees Correctional Fund

–Public Employees Retirement Fund

–Volunteer Firefighter Retirement Fund

 .

The Teachers Retirement Association includes…

–Teachers Retirement Fund

.

The State Colleges and Universities includes…

–Colleges and Universities Retirement Fund

 .

(Again, these funds where not included above.)

(Page 190 – 193) COMBINING STATEMENT OF NET ASSETS shows totals for these pension funds listed at $45,746,335,000.

(Page 197) This represents an increase (profit) in the fund balances over 2009 of at least $4,336,688,000.

(Yes, yes… these are the retirement funds and they are designated for the employees. We can’t touch those, right? Again, this fund represents billions and billions of dollars of taxpayer money, and the investment return on these fund’s collective investments. This total shown represents the money and investments in the fund AFTER all liabilities to the employees are paid, and after future liabilities are considered. So you tell me whose money this really is… and before you answer that, consider the fact that at any time the President of the United States can create an Executive Order that states that all collective fund balances in the government pension funds are now the property of the Federal Government. If we don’t reclaim this through strict regulation and anti-federal shields in the name of the people and soon, it will be gone with the stroke of a pen. And all of these state employees who are so defensive of their pension funds now will have nothing left to defend. It will all be gone!)

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(Page 199) -INVESTMENT TRUST FUNDS”

Supplemental Retirement Fund - The fund provides an investment vehicle for the assets of various public retirement plans and funds.

Investment Trust Fund - The fund provides an investment vehicle for external funds authorized to be invested by the state.

(Page 201) “STATEMENT OF CHANGES IN PLAN NET ASSETS” shows totals for these funds at $482,714,000. 

This is an increase of $30,835,000 over fiscal year 2009, as listed under “Net Increase”.

 ————————————————————–

(Page 203)Agency Funds” description

Agency Fund - This fund accounts for resources held in a custodial capacity for other governmental units, private organizations, or individuals.

Totals listed at $124,220,000

————————————————————–

(Page 205)“Nonmajor Component Unit Funds” descriptions…

(Note that this is not the value of the buildings, equipment, and other hard assets involved with these component units {state-run businesses}, these are the funds that each unit has in investment holdings in (liquid) assets and cash.)

Agricultural and Economic Development Board 

National Sports Center Foundation 

Office of Higher Education

Public Facilities Authority

Rural Finance Authority

Workers’ Compensation Assigned Risk Plan

.

(Page 206 – 207) The “COMBINING STATEMENT OF NET ASSETS” states that the totals for these funds are at $1,488,337,000

(Page 209) “Change in Net Assets” show and increase to these funds of $97,359,000 over fiscal year 2009.

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Last but not least, we have…

(Page 83) – Note 6 – Capital Assets:

Primary Government

The following table shows capital asset activity for the primary government:

(Page 83) - See Chart here entitled“Primary Government Capital Asset Activity Government-wide Governmental Activities”

This is the value stated after depriciation for the following “capital assets”, which represents the physical equity in the following:

Land - Buildings, Structures, Improvements - Construction in Progress - Development in Progress - Infrastructure - Easements - Art and Historical Treasures

Total value listed here for these Capital Assets are $11,982,234,000

(Note: that these are not necessarily salable or liquidate-able assets, and so we will not include them in our total below, which will only represent fund, investment, and cash on hand as of June 30, 2010.)

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END OF REPORT

————————————————————–

So let’s total up what we have found in the Minnesota CAFR, and compare that total to what the state is reporting to its taxpaying citizens on the taxpayer budget report…

General fund                                                    $3,916,496,000 

Federal fund                                                     $1,579,194,000 

State Colleges and Universities Fund     $1,723,766,000

Unemployment Insurance Fund             (- $266,135,000)

Housing Finance Agency Fund                 $1,723,766,000 

Metropolitan Council Fund                       $1,872,301,000 

University of Minnesota Fund                 $4,785,350,000

Special Revenue Funds                               $2,719,861,000

Capital Projects Funds                                   $253,749,000

Enterprise Funds                                             $320,436,000

Pension Trust Funds                                 $45,746,335,000

Investment Trust Funds                                 $482,714,000

Agency Funds                                                     $124,220,000

Nonmajor Component Unit Funds        $1,488,337,000

———————————————————————————

TOTAL FUND BALANCES…                   $66,470,390,000

———————————————————————————

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Again, this is a look at the fund balances for the state, and should not be construed as a total look at what this CAFR has to offer in the form of hidden wealth and investments for Minnesota. It would take a guru of an accountant to figure all of this out…

But I think that we have proven without a doubt that the Minnesota state government is guilty of misrepresentation of its wealth to the taxpaying public when it releases its tax-payer budget every year, and when it states in its “government-wide statement of Net Assets” that it only has $10,865,096,000 in “Total Net Assets” including Capital Assets (chart on page 10).

This financial statement (CAFR) structure will look very similar on most state CAFR’s. The order may different, but the terms and fund group types will be virtually identical. You may have to look for this information, but a bit of logic and reason should get you through. The most difficult thing to succeed at is to push aside all of the redundant and pointless information and graphs in lieu of the real hidden gold.

For more information on the corporate government CAFR system, please visit these sites:

http://thecorporationnation.com/

http://cafr1.com/

http://cafrman.com/

http://taxretirement.com/

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Happy treasure hunting to you and yours…

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–Clint Richardson (realitybloger.wordpress.com)

Wednesday, March 9th, 2011

Comprehensive Annual Financial Reports and TRF’s -vs- Common, Natural, Maritime, and UCC Law – Which takes precedence right now?


When I first met Walter Burien, I was full of anger and resentment… Not towards him, of course!

It’s just that I had learned so much about the corruption and horrific truths about so many things that I had become hopeless (thank you to great men like Alex Jones, Alan Watt, Mike Rivero, Jeff Rense, Steve Quayle, and others for that dour education).

I kept wanting to talk about things that I had researched and heard on the radio or in random emails with Walter.

“Walter, what do you think of this?” – “Walter, what about the horrible things that they did?” – “Walter, don’t you think this is important?” – “Are they the elite?”

But every time, even though he knew what I was talking about, he just shrugged it off as if it didn’t have any relevance to anything and kept talking about CAFR’s and TRF’s.

The best answer I got out of him was “What does it matter…?”

Needless to say, this pissed me off! I wanted to be heard! And because of this resentful state of mind, I wasn’t hearing or comprehending what really needed to be communicated to me.

And so, when I calmed down enough and realized that I was talking to what you might call the guru of government corruption and wealth, I fell silent and just started to listen…

And suddenly, once I was able to push all of the little pieces of the much more grand puzzle that I know I will never fully comprehend out of they way, I started to understand the importance of what this smoking, long-haired, long-winded, incredibly intuitive dude was saying. I started to comprehend what trouble we are all in if we don’t do something immediately to reverse the deadly course this country and it’s government have taken.

And I realized then that he was absolutely correct about these extraneous puzzle pieces… IT DOESN’T MATTER!!!

You see, we all perceive things in our own way. We all listen to different sources of information. We all like or dislike those sources of information based on other peoples perceptions of those sources. And we all comprehend the information that best suits our perspectives. And without even realizing it, we form our opinions of what we perceive as real or important from the hand-picked bowl of factoids swirling around in our heads that together give us our perception of the real world.

In short, we are all in a constant state of cognitive dissonance. (http://www.viewzone.com/cognitivedissonance.html) Sure, we all know so much about so many different things, and knowledge is the key to comprehension. But what good does that knowledge of scattered little pieces from the unlimited cornucopia of fruit from the tree of knowledge do for us. How does this knowledge solve the problems that we all know this tree creates?

(I just used cornucopia in a sentence!)

In the end, it’s just information. And like a computer hard drive, we can only store so much of this conspiracy in the space of our minds until the drive gets full and can’t save any more data in a comprehensive way, or without writing over something else.

We learn something new and amazing, but then that thing reveals five more amazing things. And when those are revealed, suddenly we have 25 new and amazing things to learn, which points to what seems at the time to be an unattainable 125 new and amazing things. But eventually, we attain them, or at least an interesting enough part of them to look at the next 625 things with enough curiosity to actually keep this cycle going perpetually.

So, at what point do we loose the ability to keep our peripheral vision on all of these new and amazing things before we find that our un-sunned skin and lack of social involvement are signs that we are spending way too much time online or in books trying to figure out who is the main group of conspirators and who their leader is?

IT DOESN’T MATTER !!!

Now let me justify that, as well as answer the challenge of the title of this rant… which information should take precedence right now: CAFR’s and TRF’s  -or-  everything else…

Many responses, comments and emails I’ve received from the readers of my previous entry (The Biggest Game In Town…) who by the way have been very kind, have brought up common law, natural law, UCC code and Maritime law, the court of record, and many other topics which I must say interest me to the extreme. But, I have to ask myself…

Do they matter right now?

As much as I can’t wait to tear into this multitude of information and set myself free from taxes and tyranny, unfortunately the answer is no.

Is it relevant? Oh yes, very much so…

Will it help me solve the country’s problems, not just my own personal ones? No, I’m afraid not.

Let me explain, and by no means do I mean to belittle anyone or their cause, be it just, and for the good of the republic.

First, I always like to think of things in terms of relativity. I like to have a realistic perspective on life and all that goes on within it. And I always like to tell the truth, no matter how much trouble it gets me into.

So, let’s look at an example of reality:

If you are at an intersection with a four way stop sign, and you are in a fragile Geo Metro, and to the left of you there is a massive, decked out Dodge Hemi 4×4 who just pulled up to his stop sign at the same time as you pulled up to yours, who goes through the intersection first?

Well, the “law” or at least social  protocol states that the car on your right has the “right of way“, and so the Geo Metro wins with the perceived power of right of way (the law).

But I submit to you that the truck to the left wins every time regardless of the law or your perception of it, simply because the tires are as big as the entirety of the quite crush-able Geo Metro!

Will you challenge the 4×4 (the people) with your frail little body of a car (the government, who are about as useful as a Geo Metro) if he (the people) decides to take the right of way (power) from you?

This is the perception of ownership (in this case of the road). If the people unite to become the massive supreme and sovereign force they are, take down the “owners”, and rework that ownership for the people, then the people (4×4) take ownership from the government, queens and kings (Geo Metro).

So, let’s say we discover that the Rothschilds and the queen of England do indeed “own” everything in the world…

What does that mean exactly? What if they all die? Who owns it then? Then, what if they die? And then once it gets down to the last two people on Earth, and one claims total ownership of said Earth, and he dies… then what? Do you the sole surviving human own the Earth? Can you prove this ownership? To whom? Animals don’t read…

It’s just on paper. It means nothing unless you (we) let it. And we can take it back any time we want through peaceful means by getting TRF’s voted in place in each government venue.

But only if we unite and become Bigfoot the monster-truck and get this show on the road.

Yes, common law is a fascinating thing, and I can’t wait to start studying all of this conceptual semantic law.

But… Though I am not familiar with the technical aspects of Common Law, Natural Law, UCC Code law, the court of record, and the laws of the land and all that goes with it, I do know for a fact that it isn’t nearly as significant as what Walter and CAFR’s and the comprehension of government investment wealth for the general public and the change that is necessary with that.

Frankly, I don’t care who in their own perception rules the world, and here’s why:

#1) Once we set up a TRF in a city, the whole of the books for that city will be revealed. This will reveal links to other city’s, states, and countries for which the corruption and wealth building in that now completely audited TRF’d city was involved in. Thus, we discover who’s in charge by the chain reaction of audits in new TRF-based cities.

#2) Common law has the same symptoms as misguided or misused faith. Religion gives people hope. But this kind of hope, or faith, more often than not leads to inaction due to the faith that heaven awaits you regardless of your actions. And when that happens, and otherwise good religious folks refuse to get involved in government or politics, corruption in government and politics take over. Hope is a very dangerous tool. I should only have to point to Obama’s use of the empty campaign promises of “Hope and Change” to prove my point here. A faithful person full of hope who is convinced that everything will be alright simply because he believes in something else, easily becomes inactive in the real world around him. Even to the point that they will watch their own government order our armies to kill millions of innocent darker-skinned people without even a protest, simply because they have faith in their hearts that a few of those dark-skinned people in some far off place ran a few planes into some buildings in New York and Washington.

Proof? Nope. Just blind faith in the media… their God.

Inversely, a person who removes themselves from the tyranny of Maritime U.C.C. Code and law and clings to being free by natural or common laws, also may become inactive in the fight to set things right for our country as a whole. They have faith that they are free from the constraints of government and taxes and other tyranical slavery. But there is a huge problem with this inaction or lack of participation in the system that still governs everyone else who is unfamiliar with these freedoms around them, which is probably 98% of America – who still have faith in and believe in the law of the land and their corrupt government, frustrating as that is. They cling to thier social security number as if it was their first born. And I can sum this problem and the danger of it up in one word…

Rendition!

Obama’s new hand-me-down toy. How will common law save you if you are whisked away with no trial and no jury and no rights whatsoever to a holding cell in Ecuador? Think it can’t happen to you? Do you really think freedom brings some sort of immunity to this type of thing? Is there a freedom card that you present to get out of sticky situations in other countries… Or even in our own now completely corrupt and corporate (government) owned jail system? Learn more about rendition here: (Video)  -  (Story)  -  (Story)

You see, this common law and natural freedom is still based on a set of ideals and laws, god’s laws or other ones, that are still valid at this particular time in history if you know enough to invoke them. But if we allow the government to buy up every aspect of the United States, and they almost have by this point, and then take over the country, burn the Constitution and change the name to some Global Union of _______ ,  and make it a socialist fascist corporate state, what good will all of this common law knowledge be to anyone. It will become completely obsolete – null and void the second this takeover is complete. It would be as helpful as a 400 pound woman in a 150% gravity environment. When Rome took over a neighboring country, they did not abide by that countries laws in their theft no matter how beautiful and idealistic they were. If you went up to a Roman diplomat or soldier and tried to invoke common law from your now defunct country, you’d find yourself in the Colosseum being eaten by lions.

So, if you were to ask me what the importance of this whole social viability/common law/natural law/whatever you call it law, which is completely co-dependent on the current system of government and law (in other words America still being a free America despite the SS# and all that) compared to the importance of what Walters TRF’s will accomplish in protecting all of our sacred laws, constitutional or other, I’m going to have to say that TRF’s are 20,000,000 times more important at this time. Because all of those free-man laws go out the window if and when we are overtaken in a war or on paper by another country, a union of countries, or a conglomerate corporate monster, and we become Chinamerica. That is the thing that we must concentrate on and stop. And everyone that values their common or natural law status in this as of now free country, must maintain that country in its current state in order to keep those rights viable and applicable.

They are not free. We must fight for them and keep them.

And the country or corporate fascist government with the biggest stick (the biggest 4×4 truck) is going to win, and your idealist rights which are based on this constitutional system being still valid and screwing everyone else but you and your common law, will fade away into the night. That is, unless we take the investment wealth and “ownership” of our country back. And so far, the only person that has shown me how to do this is Mr. Walter Burien. (CAFR1.com)

So, by all means continue to practice common law, natural law, and any other free law that you can think of. I personally can’t wait to indulge in this myself. It gives me goosebumps.

But don’t for one minute think that this alone makes you a free man (or woman) or that you can stop paying attention and fighting for this system and its reconstructive change. Or you might be in for a shocking surprise when there is no corrupt United States government left to claim your freedom from. The Communists shoot people like you!

I would love to be wrong about this, and I may be. Corrections and debate to my humble opinions here will be warmly accepted…

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*** No free people were harmed in the making of this rant.

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-Clint Richardson (realitybloger.wordpress.com)

Monday, January 11, 2010

The Biggest Game In Town: Walter Burien And Comprehensive Annual Financial Reports


***NOTE*** I have now released a documentary about this subject, which goes into specific detail regarding this article and the corporate structure of the United States. You may view it for free at: http://thecorporationnation.com/

 

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I’d like to share with you what happened to Walter Burien on Wednesday, January 6, 2010 as he spoke with George Noory live on Coast-To-Coast radio, the 5th largest syndicated radio show in America. This interview only happened after years of goading and begging from other guests and callers to have Walter as a guest.

Mr. Burien was scheduled to be on this show for a three-hour interview, an almost unheard of time slot reserved for only the most special of guests. Keeping in mind that the subject matter of this interview – government wealth, corruption, and the proof of this subject through the analyzing of our governments Comprehensive Annual Financial Reports (CAFR’s) – has never been allowed to be mentioned on or in any corporate or mainstream outlet. You can then perhaps understand what happened next.

On Tuesday and Wednesday (the day of the show) Mr. Burien was the only scheduled guest for the show, and Walter was prepared for a three-hour talk. As the interview went on for two solid hours and as the secretive criminal beans were being spilt in a major way, a sudden click happened in the middle of Mr. Noory talking, and Walter’s line went dead. The show suddenly had a new guest to fill the remaining hour. It was then placed onto the Coast-To-Coast website that a second guest was now to appear.

Mr. Burien tried to reconnect, but was told he was only scheduled for two hours. He waited to be called back, but never was. No explanation. No apology. And no personal note from Mr. Noory…

Just silence…

Unfortunately, Walter Burien was saving the best and most hard-hitting information for last. He didn’t get to mention many aspects of what I consider the most important information available on what some may call the real order of things. And he didn’t have the chance to tell George’s listeners about his new documentary that will be released in just about one more day.

A fresh new “The Biggest Game In Town” will be available on the web for viewing on or around the 10th of January, 2010. I would encourage everyone reading this to view the documentary and support Mr. Burien in any way you can. For, of all the thousands of men and woman out there fighting against and trying to expose the greed and corruption of our governmental system and its monetary theft of the American people, Walter is the only one who actually has a solution instead of just another perspective on the problem: a peaceful, logical, economically viable, and extremely achievable grass-roots solution – but only with our help.

Let’s face it. You know you’re on to something important, big, and secretive when you get cut off of a radio show an hour before your time is up with no explanation.

Please visit Mr. Burien’s CAFR1 website at (http://CAFR1.com) and learn what this man has to tell you. He has opened my eyes in a way that would have taken twenty years of hard studying and the constant scrutinizing and analyzing of these and other documents to even begin to comprehend this information. And now that I know, I feel it is my civic and moral duty to share it with you…

–Ω–

 

When bad men combine, the good must associate; else they will fall, one by one, an un-pitied sacrifice in a contemptible struggle.– Edmund Burke — From his essay: ‘Thoughts on the Cause of the Present Discontents’…


…and Often mis-quoted as the following:

All that’s necessary for the forces of evil to win in the world is for enough good men to do nothing.

 

The hottest fires in hell are reserved for those who remain neutral in times of moral crisis– Edmond Burke – again, with some dispute on the actual original quote.


–Ω–

I’d like now to share with you what I’ve learned from Walter Burien. This is not an easy subject to digest; in fact it hurts a bit when you realize that it is all painfully true… and fortunately, unlike most other truths in the world, quite easily verifiable. And so I would ask that you finish this essay in its entirety and click on all of the links associated with it. For if ever there was a red pill, this is it!

“Remember, all I am offering is the truth, nothing more…”

And down the rabbit hole we go…

Let’s start with how the government works, or more specifically, how it is set up. Each town, city, county and state has an individual government with individual budgets and finance books. City councils who sit in fancy pillared or droll state buildings usually govern those many individual governments. Also, there are local government bodies, such as school districts and municipalities like gas, electric, water and sewage, bridges and roadways, and so on who are individually governed bodies as well. And then there are other forms of special government wealth, like pension funds. On a larger scale, there is the federal government, the judicial and congressional governments, and so on down the line.

Together, these many individual governments are going to be referred to herein as “collective government”.

Just as ethnic groups in this country are considered minority populations with insignificant political and decision making power when compared to the Caucasian or “white” ethnic group, these individual governments are, when compared to the collective power of all of these governments joined together, insignificant.

The power of these individual ethnic groups can only be realized if they ban together to become the majority. Likewise, the thousands of individual governments in the United States are extremely powerful and wealthy when manifested as one “collective” governmental body – collective government.

Bearing this in mind, I will now reveal the man behind the curtain, so to speak…

Through collective government investments from all individual governments across the United States, the government owns most of the major corporations in America, and beyond.

I’ll say it again, in a different way. Collectively, through investment, the United States government owns most major corporations and just about everything else in America.

Please read on…

Of the Fortune 500 companies we hear about, and even invest in ourselves with our cute little peanuts we think of as personal wealth, the government has over the last 70 years or so taken financial controlling interest in all of these corporations. This is no exaggeration. This is no joke. This is the reality of the corporate and financial state of our country and it’s government.

So how has it gotten to this point?

In several ways…

Have you ever noticed that when a bond or proposition gets passed in your state for a construction or land management project, the actual project itself sometimes isn’t scheduled to begin until months or years in the future? It’s even written in most bills that the project wont start until a far off set future date.

Well… the money for that proposition or bill is immediately released upon passage of the legislation. Now you might ask yourself, if the money is there why doesn’t the project begin immediately?

Here is the answer…

That “taxpayer money” gets sent directly into what we’ll call a government “holding account” for a while, sometimes years and years before that public project actually begins.

Now, that money doesn’t just sit there… It is invested. It gains interest. It builds up extreme wealth – months or years of interest and capital gains on investments from that originally taxpayer funded money. This is all transpired digitally, of course.

But when it comes time to use that original amount of money for the project of which it was intended months or years later, the capital gains (profits) of that supposedly dormant money are separated from the original amount placed into the “holding account” and stay in the governments discretionary investment coffers and are then reinvested not for the benefit of the people, but for the wealth and profit of the corporate government. The problem and the inherent crime here is this – that profit is no longer considered tax-payer (public) owned money, since it was earned by investment or by accrued interest. That “extra money” goes elsewhere… mainly into other investments or funds which grease the pockets of the “in the know” politicians and corporations and other people and groups involved. Some open what are called “self insurance funds” and then draw dividends for themselves and their fellow conspirators for the rest of their political careers by insuring themselves with their own insurance funds. And the cycle goes on and on and on and on… and has for the last 70 years. And it has now reached the point where government owns it all!

How do I know this to be true?

When the yearly budget comes out for your town, city, district, county, state, and the whole country – the one that you and I and Joe Taxpayer sees that is usually in a deficit (in the red) – the money made on these individual government investments is not shown, because it is not in the “taxpayer budget” any longer. Therefore, it does not technically have to be accounted for to the taxpayers – who we can define as everyone who pays any form of taxes, which is by default everyone in the United States. There are of course, 100’s of different taxes – from gas tax to sales tax – that are used in this way as well. The money from all of these individual taxes once again just sits there and accumulates after being collected until it is distributed, and gains interest or is invested until it is spent for the purposes it was collected (apportioned).

On a side note: the reason so many people are against the Federal Income Tax is because that tax was never made legal. In order to be a legal tax according to the Constitution, the tax assessed must be apportioned – which means that it must be collected with the specific intent to only be used to pay for or fund a specific public works or public fund that is clearly defined. Since the Federal Income Tax is un-apportioned and therefore Constitutionally illegal, the money that is collected for that tax is used by the Federal Government to pay the interest only on the national debt. In other words, instead of printing its own money with no debt owed to anyone, our corporate government instead borrows money from the Federal Reserve Bank at interest – meaning there is never enough money printed to pay off that debt because it accrues interest the second it is printed, meaning it is devalued the second it is created.

Example: If America has one hundred dollars in circulation – meaning money printed on paper and being used as “legal tender” – that means that the treasury (government) borrowed that $100 from the Federal Reserve (a private bank), which means that in order to pay that money back, the treasury (government) must pay that $100 dollars back plus how ever much interest is attached to that $100 by the Federal Reserve Bank (a non-governmental private central bank).

So where do we get the extra printed money to pay back that money owed for the interest on the original $100 loan?

Well, since there is no money left after paying back the principle balance of $100, the only way to pay the interest owed to the Federal Reserve (private central bank) is for the Treasury (the corporate government) to borrow more money from the Federal Reserve (a corporate private bank) so that the accumulated interest owed on the first $100 can be paid back. The problem is, this new money borrowed has new interest attached, and this interest debt must eventually be paid back as well, meaning we must then borrow more money from the Fed at interest to pay the total principle balance plus the previous interest accrued on all of the previous money borrowed, and so on and so forth.

This, my friends, is what is commonly called a paradox.

In short, there is no way to ever pay off our debt to the Federal Reserve (a privately owned international bank), because there is never enough money printed to pay off the principle and the interest balances. Therefore, this system of borrowing money at interest will continue to the point that the interest owed can never be paid as it is more than the principle balance, making this the biggest scam (Ponzi scheme) ever perpetuated onto the American people in their history. Now imagine the same scenario with many trillions of dollars borrowed and re-borrowed and so on and so forth.

If you can’t picture what a trillion dollars looks like, just think of it this way… If I had 11 trillion one-dollar bills and I stacked them on top of each other in one single pile, that pile would reach all the way to the moon… and back to Earth.

Knowing then, that the Federal Reserve is a privately owned group of national and international banks and bankers, who have no actual binding ties or connections to the United States Government – and in fact control the decision and monetary policy of the United States economy, and therefore its financial and economic welfare, through the manipulation of monetary value, currency circulation, and interest rate regulation – the fact that all of our Federal Income Tax goes directly to this private corporate banking monster who controls this country through its system of tyrannical banking debt and interest, of which we are all collectively as taxpayers responsible for paying, is why there is such an uproar in the awakened minority citizenry of America. This is really just extortion. And the Feds recent threats to cause the stock market to drop 1,000 points a day until the banker bailouts were signed by congress only goes to prove that point. More and more people are learning the truth, and realizing that through this system of perpetual debt, we are not a free people but rather indentured servants to this banking conglomerate for generations to come. You’re so-called duty to pay your Federal Income Tax is non-existent, and the mindset that most people have been brainwashed into is that there is some form of honor in paying this tax, which again goes to absolutely nothing but interest owed to these central banks who are not the government. No public services are paid for with this money; money that should have been printed by our Congress as expressed in the Constitution, with no interest (debt) attached to it.

So where does the extra government corporate investment money go, and what proof is there of its existence?

The only way to see where this money goes is by looking at the Comprehensive Annual Financial Report (CAFR) for each local, city, state, and any other government office. The Federal Reserve even has one of these! You want to see an audit of the Federal Reserve? Just look at the Federal Reserve’s Comprehensive Annual Financial Report (CAFR) and go from there.

This “complete” budget and statement of earnings is required for all governments and corporate businesses, and it is available in the public domain… meaning it is very easy to acquire by the average Joe Citizen. A simple public records search or an Internet search will reveal this report for most individual governments and corporations. And if it doesn’t, they are in violation of their own codes on public disclosure.

The problem is, nobody knows its there. Nobody knows to put the pieces together. Nobody understands that there are literally 100′s of trillions of “collective” investments and funds that have been acquired by these individual governments that have been hidden in plain sight for decades, by separating the total governments wealth into individual and seemingly insignificant government funds and investments across the country. When considered collectively, these massive investment funds would pay off all debt in this country, and if worked correctly could eliminate all taxes through public-taxpayer instead of private-non-taxpayer investment of the same sort. This is what Walter Burien and CAFR1 are trying to achieve. This is the solution I mentioned earlier. His Tax Retirement Funds (TRF’s) are this country’s saving grace. Learn more about them here: (http://taxretirement.com/)

This is what I refer to as poking the scorpions’ nest!

Now, to understand how these facts regarding governments complete corporate takeover and management of America, let’s look at current events. Very recently a merger with media conglomerates NBC and Comcast was announced. These are definitely fortune 500 worthy companies. They are therefore already collectively controlled through collective government investments. And they will never let this information (CAFR’s and collective government investments) get out into the public through this government controlled media. Why? Because these media companies are collectively owned through collective government investment!

Comcast and NBC/Disney are two of the largest media conglomerates in the world. One creates and broadcasts the media – the other controls the equipment and digital airwaves to turn these broadcasts into the degrading entertainment and propaganda we see in our homes and at movie theatres, that we hear on the radio, and that we read in magazines, newspapers and digitally on our computers. Most people wont think anything of this merger and others like it that are constantly happening on a smaller scale; perhaps second-handedly recalling from an outdated textbook, the chapter on monopolies and anti-trust laws. Thinking about such things has, through the same media we are talking about here, been trumped by the reality show, celebrity lifestyles and deaths, “news entertainment” shows, and indoctrinating and manipulative sitcoms and movies – which have dumbed us down to the extent of actually believing that what happens on “Law and Order” is the reality of what actually happens in the law enforcement and criminal justice system. I assure you, this is not the case. Hospital shows are not accurate portrayals of how hospitals are actually run, and are not representative of the real state of the healthcare system. Police and detective shows are so far removed from reality that I laugh out loud at the ridiculous portrayal of “the system”.

The real conundrum of this situation is this: the merging of these two media companies, considering the controlled stock holdings of our collective government in these and most media companies, is in actuality being mandated (authorized) by the government itself as the majority stockholder. So protesting to the government about this merger is akin to asking a king to mediate his own decision regarding the merging of his own two kingdoms. Do you understand?

Corporations are the government are the corporations are the government…

Another way of looking at this conundrum is this:

When a major corporation donates money to a political campaign (remember almost all major corporations are government owned through collective investments), this is actually a loophole around campaign finance laws, as this is really just the government donating money to its own candidate or party through its collective-investment-owned “private” corporations. This is hard to swallow, but true as the nose on your face! For it was the banks who received the recent bailouts that were the largest campaign contributors to Barack Obama’s presidential campaign – in a big way. When you hear that all of these elites sit on each other’s boards of directors, that’s only a half-truth.

And sure, you can continue to vote if it makes you feel better. But rest assured you are voting for the two or three candidates that were chosen and hyped by the corporate government that is already in place, through the controlled media (that again is owned through collective government investment). Real “alternative” or “third party” candidates who campaign on truly changing “the system” for the benefit of the people will never be allowed to attain high office – the recent corporate mandate of electronic and completely hack-able and changeable voting machines in most states and the expulsion of paper ballots leaving no paper trail through no-bid government contract see’s to that fact.

It is not the votes that count, but who counts the votes.– Josef Stalin –

Our congressmen, our senators, and our president are literally automaton puppets, actors placed into power through fixed elections and then skillfully manipulated to pass laws and create legislature that helps in this whole process of land acquisition, the corporate takeover of all infrastructure and commercial real estate, and the deregulation and privatization of all regulated industries, including: banking, airlines, food, water, transportation, prisons, media, medical, and many others.

For instance, (over 1%) or 1 out of every 100 Americans are in prison. That’s 3 million plus people! That’s more than any other country in the world, including Korea and Communist China. Many prisons are now built or owned by private companies like Halliburton, since this industry was deregulated and private corporations are now allowed to build and maintain prisons. It’s big business… and cheap forced labor. And the government owns these corporations as well, through collective investment.

So let’s talk about a few of these industries that are owned by our government.

My favorite example of the collective government ownership of these corporations is Microsoft. This will really hit home with most of you. Though collective government investments, Microsoft Corporation is approximately 83% owned by government. Take the investments of the five burrows of New York City, add in the pension funds of CALPERS in California (which is now an offshore corporate fund) and other state funds, a few school districts here and there, and many other small, medium and large individual governments and municipalities across the nation, combine them together, and you come up with the representative governmental investment total of around 83% majority ownership. The easy way to say this is that the government owns 83% of Microsoft.

“Collective government” is a very important phrase to comprehend.

For those of you who don’t comprehend the severity of this situation, let me explain…

Let’s imagine for a moment a board meeting at the Microsoft Corporation. I wonder who would be there? I don’t know exactly, but I’d bet at least 83% in attendance would most likely be corporate government representatives! The Defense Department would surely be there, for national security reasons of course. CIA? Probably, since they use the Internet to catch criminals and since they have so much power now to spy on us thanks to bills like The Patriot Act. How about Homeland Security? The military, and all of its branches? Raytheon, and other weapons contractors would probably be there too. I wonder who would represent the Federal Government? How about the Federal Reserve (a non-government agency) and the IRS (the Federal Reserves non-governmental private police and collection force for the central banks)? Heck, even Bill Gates would be there, but he would probably only have about as much power as the President of the United States has over his corporation, which is thankfully still called America. Yes, in case you were wondering, the United States is a corporation. Look it up! (http://www.youtube.com/watch?v=lVsMUpPgdT0) (http://www.youtube.com/watch?v=klwWcp9eiPw&feature=related)

Ah, Microsoft…

You see, everything we do in life is now done or available on the Internet in the World Wide Web. Whether you are plugged in or not, your information is available for download. And Microsoft is how we access that virtual world (through Windows and it’s sub-programs like Internet Explorer). When we enter all of our passwords, PIN’s, account numbers, our mother’s maiden names… and then we voluntarily record all of our most closely guarded secrets and personal information onto websites like MySpace (which is now owned by Rupert Murdoch’s “Fox” News Corporation, which is a mainstream media company, which again means it’s owned collectively by government) (http://news.bbc.co.uk/2/hi/business/4697671.stm) Microsoft collects all of that information though its software and sends it back to itself and its servers and anyone else who pays for the sharing of that information.

This is called data mining. And the government (Microsoft) is data mining all of our most closely held secrets and information, and it is doing so with our permission. You gave that permission with the simple click of a mouse in that service agreement (the one with all of the small print) that you signed but did not read when you were so exited about getting that new P.C. last Christmas. This agreement – the “End User Lease Agreement” (E.U.L.A.) gives Microsoft (the government) complete control over the content, applications, and information sharing capabilities of your computer.

Web-Based Environment Management (W.B.E.M.) allows Microsoft and other companies and corporations to virtually control and monitor your computer from remote locations through the internet.

The (M.R.U.) Most Recently Used list is an individual usage list, of which there can be many MRU’s running at one time. They record every action you or your computer makes; every thing you download and everything you say. Some of the more advanced applications even record every keystroke made on your keyboard so that it can be reconstructed later. When you hear someone say, ‘My computer is acting so slow’, this is mainly because these M.R.U’s that are currently running beyond your control or knowledge are constantly updating Microsoft and anyone else who’s listening in the background.

In Windows XP (and other versions) – if you click on your Start Button, go to Settings, click Control Panel, then click Administrative Tools, and finally click on Services… you can view some of Microsoft’s so-called “services” that are controlling your computer and your life. Here are a couple examples of these services:

Routing and Remote Access – “Offers routing services to businesses in local area and wide area network environments.” – Sounds harmless, right? But when enabled, this allows corporate advertisers to localize their advertisements to your specific IP (Internet Protocol) location: the geographical area in which your Internet connection is based. This is why you see adds from lonely housewives in your town looking for love and other localized advertisements that amaze you every time you get online. How’d they do that? Well now you know. There is a lot of money involved in this type of information sharing and advertising, as you can imagine. And if you click on one of those localized advertisements, the fact that you did so means more advertisers will be knocking down your virtual door to personalize their own advertisements to you according to what sites you visit and which products you shop for and buy online. This “service” can be disabled, but Microsoft will probably enable it the next time you go online. After all, you gave it permission to do so.

Remote Registry – “Enables remote users to modify registry settings on this computer. If this service is stopped, the registry can be modified only by users on this computer. If this service is disabled, any services that explicitly depend on it will fail to start.” – The “Registry” on your computer is the program that manages your P.C. It’s like an index or blueprint of all your programs, which tells your computer’s programs and applications what they are allowed and not allowed to do when your computer is turned on. This means that if your ‘remote registry’ is enabled, any Microsoft program can change or alter your registry at any time, because you agreed to this in your E.U.L.A. You effectively gave Microsoft the right to crash your hard-drive beyond repair from a remote location when they don’t like what you are doing. Sucks, don’t it?

Oh… and for those of you who say, “Whew, glad I’m on a Mac!” guess again. Apple is a major corporation with major media outlets and influence on the economy and the citizenry… you bet they are owned by the government through collective government investments! And yes, I get adds from Lonely housewives near me on my Mac as well. And I’m writing this on Microsoft Word for Mac! Oh, the irony…

Now maybe you can understand why government control of such intricately personal aspects of our lives through corporations like Microsoft is such a concern. If a local company is advertising to you through Microsoft’s “services”, you can bet your arse that the government is using these and their own services for much more devious purposes.

So what’s the bottom line? You have absolutely no privacy in anything you do on your computer once you go online! Period.

This type of symbiotic corporate/government structure is prevalent in all industries and walks of like, not just computers. The same conglomerations often own the alternatives to anything you buy. For instance, while we think we are being somehow different or cool by listening to an “alternative music” station, we are just being manipulated by some very clever marketing. You see, the same corporation that owns that “Alternative” station also owns most of the other stations that your chosen favorite alternative station competes against, as well as the record company that produced it. It even puts down on-air those other stations it owns because that will make some listeners chose to listen to this particular media corporations’ other channels or stations. When we hear a song on a mainstream yet “alternative” radio station (remember all mainstream media is collectively owned by government, and mainstream is 99% of the media that you can effortlessly receive though the corporate governments F.C.C. airwaves), we are told who sings it, and then we go buy the album at one of the many conglomerate department stores or seemingly local chain stores (with corporately owned central hubs), all the while thinking we are being somehow unique from the rest of the crowd. This is marketing. And you and I are continuously falling victim to it and the distraction it causes. The media keeps us “masterfully entertained”, as Walter likes to say.

Then we go drive our alternative yet still equally gas and oil dependant hybrid cars, of which everyone else is also marketed to about their unique and conservation oriented styles, even though the creation and disposal of their batteries is secretly worse on the environment than ten years of the exhaust created from driving an SUV. And the battery must be replaced after five or six years! And so we drive… feeling better somehow about our insignificant pollution as we sip on one of 30 unique plastic bottled water brands marketed as environmentally friendly and recyclable, which it so happens are all owned by 4 major conglomerate corporations which are owned through collective investments by our government.

Should I choose Perrier… or its competitor, San Pellegrino? Well take your pick, for they are both owned and bottled by the Nestle’ Corporation (a government controlled entity).

Oh, well then I’ll switch to Calistoga. Oh wait, that’s Nestle’ too!

Well… who needs bubbles anyway?

Flat water… Hmmm. Let me see…

How about Arrowhead? What? That’s Nestle’ as well?

What about Crystal Geyser? Poland Spring? Zephyr Hills?

Sorry… all owned by Nestle’ along with at least 10 other alternative water brands that they purposefully market and compete against each other in their advertising and at different prices in order to appeal to at least one of the typical personality types of which billions of dollars were spent to figure out, and that we all unwittingly fit into.

You might as well just drink Nestle’ brand bottled water – the only honestly labeled brand out there, since it’s cheaper and comes from the same polluted tap water source! (https://realitybloger.wordpress.com/2009/09/28/the-california-water-museum-featuring-the-fluoride-deception/)

And, in case you missed it, the automobile industry in America was just taken over by the government. Any time the government “bails out” or gives large life-saving amounts of money to a corporation or all corporations in a certain industry… that spells takeover and control. It’s part of the “bailout” package. When the newly inducted corporations pay back that money at a later date, this is nothing more than the corporate government covering its tracks and completing the business transaction for the publics benefit and for media stories about the success of the bailouts.

So, how deep does this go?

Unfortunately, it is a bottomless pit.

While I have deep respect and admiration for local churches of any faith that do good in their communities and help the people there, I have some rather disappointing news about the religions that these churches belong to.

Since moving to Salt Lake City, I have been inundated by the Mormon doctrine. The Mormon’s essentially run the state of Utah’s government. Some places will not hire you unless you are a Mormon. Similar to Free-Masonry, of which the church’s founders were high members, the church helps those who help it… while shunning or “excommunicating” anyone who disagrees with its doctrines. Ironically, usually these are the people who need the church’s council, love and support the most.

I always wondered why the Mormon church was able to retain it’s non-profit status, since it has its hands in so many political campaigns and in the state of Utah’s government, and since it funds huge political campaigns like the recent California “vote yes on prop 8″ campaign and so many other human and civil rights issues. It’s actually a common question: How does a not-for-profit entity (church) give money for political aspirations and campaigns and influence an entire state or countries opinions in local and state elections, and still retain their non-profit status?

How indeed… Separation of church and state, right?

Wrong.

The Mormon Church (The Mormons) is actually a for-profit major corporation. It has mass wealth through these same types of investments. It is extremely, extremely wealthy.

But the corporate Mormon Church has a non-profit sub-division in which it does all of the charity work and altruistic not-for-profit Godly things that it does. This division is called “The Church of Jesus Christ of Latter Day Saints”. And they are commonly referred to as “The Mormons” which is actually a falsity since the Mormons are just another big corporation with mass control over vast world populations and local governments. And each church whether aware of this corporate structure or not, pays the corporation though the money collected from its parishioners.

To it’s credit, and compared to the government corporations, the Mormons actually do some very good things. Their welfare system is top notch and has been copied by other countries and our own government welfare system is based upon it. But it is the volunteers that make this happen, not the corporation. They are not symbiotic by necessity, only in their corporate structure. It is the people who have the power to make the world better. One must always remember that.

What makes me most concerned about this corporate structure of churches and why I mention it at all is this: the president of the Mormon Church (which is the president of the corporation that is the Mormon Church) has been known to have one-on-one, secretive (non-public) meetings with the President of the United States behind closed doors in the Oval Office. Shortly after one of these meetings, the noted Professor Steven Jones was fired from Brigham Young University. I can only assume that this was for his exposing the fact that uniquely military-grade Thermate demolition explosives were found in the World Trade Center dust, which is impossible without it have been used to implode those buildings. This is a power that should not be had by any member of any church, whether this particular event was coincidental or not.

The Catholic Church is set up in the same way: The Vatican is a country. A corporation. It has its own police force. And the Pope… who may or may not have the real power in that corporate pyramid, also meets with our president behind closed doors and influences even more people in our country and across the world.

And, come to think of it, I’m pretty sure that all churches, from the Methodists – the church that I grew up in – to the Jewish faiths, are also built like this, corporately speaking. Why else would churches have general conferences, which are really just giant budget meetings?

Anyway, this is why the Mormons, The Catholics, and all the other religions are free to be involved in politics and government as much as they like… because they are for profit corporations, who mask themselves through their not-for-profit fronts (i.e. religion) where they unfortunately manipulate the opinions, voting habits, and lifestyles of the members of their sub-corporate houses of worship.

As for the government’s involvement or investment into these holy corporations, I have not researched this yet. But obviously the political influence is there, and that should raise any honest and righteous mans brow.

Again, my respect for local non-profit churches is immense. But isn’t it time for them to become aware of these facts and separate themselves from these for-profit corporations that bind them and influence their moral character? Isn’t it time that the community church becomes the truly free and spiritual houses of God that they portray themselves to be?

Corporate service to God is a truly strange and unholy concept.

–Ω–

So who knows about this?

How does a magician pull off a seemingly impossible magic trick right before your eyes?

By using the oldest trick in the book… distraction.

As his left hand moves around gracefully, drawing your attention away from the right hand, or as his assistant dressed in scantily clad glittery lingerie takes your eyes off of the magician himself, the right hand is busy doing the bait and switch – or the “trick” – right in front of your face.

This is magic defined… illusion and subterfuge. Nothing more.

So to is the subject of CAFR’s. Take away the distraction of the TV media, sex, drugs, sports and gambling… and the magic trick is revealed. It cannot be hidden any longer once the left hand sees what the right hand is doing. It just takes someone like me to uncover the trick and expose the truth.

But one man cannot do it alone. Many are needed.

So, the point of all of this is really quite simple. The only way to fight this is to expose the facts that I’ve just written here. You will not stop the government from merging two companies that it has controlling monetary interest in by crying and sending strong worded emails, making phone calls, or holding up signs referring to anti-trust laws and how unfair this is to us little guys. Things are way past the point of protesting. The country has for the most part been sold off to private corporations and public-private partnerships (PPP) … a bridge there, a road here, a few million acres there.

Learn about the atrocity of Public-Private Partnerships and their detriment to our country, which is intricately ingrained in this corporate takeover of America, here: (http://www.infowars.com/agenda-21-alert-public-private-partnerships/)

If you watched that video, you now understand the danger and ultimate corruption of these PPP’s. And to bring this danger home, I’d like to offer the most severe of possibilities with regards to how these Public-Private-Partnerships could easily be abused by our corporate government.

Consider the following:

Say the government decides that it cannot pay the budget for our military anymore as it continues to hide the CAFR from the publics’ comprehension. It announces publically that it will now join forces in a great new public-private-partnership (PPP) with several foundations (like the Rockefeller Foundation) and a few Weapons contracting companies (like Raytheon) so that our soldiers can get the pay they deserve and the equipment they need. This is the public relations announcement. It sounds like the good old corporate world is lending a helping hand in a time of need…

But the real translation would be this: The United States Government is transferring ownership of the military from the publics government ownership to a private corporate ownership, through corporations and foundations which it already owns through its collective investments. Therefore, the military will now be a privately owned military – a private army – controlled by government, but whose weapons and arms contracts are secured for the next 1000 years at no-bid pricing through these government owned corporations. This makes it a lot easier to break every single law ever written with regards to war crimes and Constitutional restrictions of such things. If everything is private, the people will own nothing. And the Geneva Conventions do not apply.

Again, this is the most extreme of examples, but one which is not at all out of the realm of possibility. After all, isn’t the United Nations already calling the shots with our military?

This must be taken very seriously, for the country that we have always considered and taken for granted as being free, is no longer free. It is owned almost outright by government investment.

In fact, I just found out that collectively through investments, public-private partnerships, and other devious means, the government of the United States (local, city, county, state, and federal) collectively owns about 87% of all land in the United States, leaving 13% to the actual people (citizens) for private ownership… and I’m not sure yet if that includes non-government owned or private corporate ownership in that 13%.

A corporation for a government is not the American way!

As several homes and the land they are built upon around where I live are being stolen by the government in the name of eminent domain, I cringe at the thought of the selfish and evil corporate government person or group that gave those orders. For surely they have land and a home as well. The land sits for a couple of years, and once everyone in the area begins or is paid to forget about the now vacant eminent domain government owned land, suddenly a new corporate structure will be built there. This means that the land is still government owned, and that through their corporate network, the government allowed the land to be transferred to one of its sister operations. Money, being nothing but fiat (worthless) paper backed by nothing, is just a tool used in the transaction, and it eventually is filtered back into the collective government corporate coffers. And that land will never be public-owned again.

This has got to stop…

As far as commercial real estate, and the 10-20% average vacancy rates in most cities across the United States in strip malls and what are now being called ghost malls… Guess who owns or is buying that commercial space once it is in default. The government! Local governments already collectively own most large malls anyway through their investments, as well as gas stations, gyms, movie theatres… the list is endless.

Do you think the government as a corporation cares one ounce whether or not a mom-and-pop store closes its doors after 30 years in business? No. It either already owns the land and building that business is on, or is interested in buying it once the shops go out of business. Land ownership is the goal, not some meager monthly rent. Power comes with ownership.

–Ω–

Ok, I figure by now you are having one of two reactions. Either you think I’m nuts – the trained and ingrained reaction most will have when confronted with such overwhelming conspiracy and corruption – and you will not even take the time to do a simple search on CAFR’s to see that I’m telling the truth, or… this has had a major impact on your comprehension and perception of the way things really work, and you will keep this letter or email as a favor to me in the case of something happening to me like what has happened to others who have tried to expose this information. For this is the information that above all else must be exposed. As Walter Burien likes to say…

“The easiest way to steal money from someone is for them to never know they had it in the first place.”

Well, now you know. Our money has been stolen from under our noses for decades.

For those of you who constantly crusade for the truth about 9/11/2001 to be released, and for a new investigation to be initiated, I only have this to say… This will never happen under the current system of corporate government. Again, the king will not punish himself. 9/11 is a cause that is dear to my heart, since I watched the events of that day from my roof in New York City just a short distance away, and had the missing persons center right across from my front door. I will never forget that vision or that sound from that day. But again I must reiterate that while protesting and handing out literature and movies has been a great tool in waking up the people about 9/11, it is time to take a different path. All of our scattered groups must unite in one peaceful cause. That cause, in order to effect real change, should be the exposure of the Comprehensive Annual Financial Reports and collective ownership and investment wealth of our government. You see everything else will follow… Audits will be done at all levels of government, mandated by the people who vote for TRF’s. Information will flow freely from the private hands of corporate government back into the hands of the public. All truths will be necessarily exposed in this way – through mandated audits. And the impenetrable wall that is our corporate government will eventually fall back into the publics’ tax-free hands. And those responsible will be held accountable. But until this wealth and power is transferred back to the people, we as a bunch of minority advocacy groups will never accomplish anything… unless we unite into one cause and become the majority. For the system will never reveal itself. Nor will it punish itself. 9/11 will remain hidden in the same warehouse as JFK, Waco, and other cover-ups until this new information has been discussed and spread far and wide. War crimes will not be administered until CAFR’s and government wealth are exposed and the military is once again a public entity controlled by congress and the United States is taken out of the United Nations.

The last thing to keep in mind is this: What Alex Jones calls compartmentalization – meaning one hand doesn’t know what the other is doing – is actually the case with many of our financial planners and politicians who have unwittingly been a part of this in their careers. Most people involved in small government in low to mid-level positions do not understand how this all works and fits together. Banks, businesses, media, churches, government… they all have corporate pyramid structures with very few at the top understanding the bigger picture.

To put this into perspective, consider this: 100 different people, with 100 different skills, each individually making 100 different parts, can easily build a complete nuclear bomb. Yet if they are never told what it is that they are making as a whole – the end product – they have no understanding or comprehension of their complicity in the making of that deadly bomb.

And understand that greed, theft and corruption have become so commonplace in the government and regular workforce that it is hard to succeed without succumbing to these traits. So this is not a call for torches and pitchforks. That is not necessary, appealing as it may be to some. The whole thing can be reversed. The same people in power can be made to give back the wealth of our nation without bloodshed and hatred, and while continuing to reap huge rewards for their service to the public instead of the corporation. This perhaps, is the best reason to listen to Walter Burien – the man with the golden solution.

But do understand that everyone in higher politics does comprehend this information. It is their lifeblood. They’re true income and wealth is their discretionary multi-million dollar expense accounts, not their meager salaries. Unfortunately, that includes people who are our hero’s… like Ron Paul. He is a great man, well intentioned, but forced to be silent. For he would be excused, muffled, his family threatened, or worse if he were to talk about this information publicly. This is organized crime to the most extreme, so this would be like an inside boss tattling on the mafia. This would be political… and probably physical suicide for Ron Paul and other good men and women in government. So it’s up to the people to expose this information in a grass roots movement and information campaign, so that good men like these can finally step up, speak the truth, and be the patriotic men and women they are meant to be… and to help us to do what’s right.

So… I’m going to be on this full time if possible. I’m going to talk to as many people as I can, regardless of the consequences to our friendship, social, work, or family relationships. I would stand up as David to Goliath at the risk of life and limb to help change this and make Mr. Burien’s dream of eliminating all taxes, downsizing government, and taking back our government and our wealth from private to public ownership once again. This is too important not to talk about. And trust me when I say that if everyone doesn’t start talking about this, and quite soon, it will be too late for any reconciliation or reconstruction of our government to be able to take place. I expect an uphill battle. I expect my well being to be threatened. I expect to be ostracized by media and publishing companies at the expense of my humble dream of being an honest writer, journalist and novelist. I may never work in Hollywood as a professional again. But if I can see this to fruition and effectively change the world infinitely for the better good of mankind, all of this is by far worth any personal cost to myself. It is even worth my life. That’s how sure I am of the riotousness of this cause.

And so I ask you once again. Go to CAFR1.com (http://CAFR1.com) and read all that you can. Support Walter Burien financially if you are able, and by viewing his new documentary that will be online January 10th, 2010.

And get out there and start talking about this. Help change the world, one local venue at a time.

The clock is ticking…

Sincerely and in unity,

Clint Richardson
Clint@CAFR1.com
Saturday, January 9th, 2010

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