Why The Puerto Rico Debt Crisis Is Such A Huge Threat To The U.S. Financial System

TEC ^ | 07/03/2015 | Michael Snyder

[Fai Mao]

Guam is in the same boat as Puerto Rico.
The government has systemic corruption and thousands of people simply collect welfare and do not work.

Eddy Calvo has tried to cut back on government expenses but too many people want their EBT card here and we have big naval base and big Air Force base to supplement the local monies.

Puerto Rico has less excuse there are many more people, the island is larger and has more resources and it is closer to trade routes. Guam is so isolated it will never really be self sufficient in the modern world but we could and shouold do better than we do

[ladyjane]

Even with a perfect agricultural climate and plenty of water Puerto Rico can’t even grow its own food. The majority of their food has to be imported - about 80%.

If they can’t even grow their own food why would we want them as a state? That alone should be enough without even considering their crime rate. We don’t need anymore welfare leeches.

[P.O.E.]

[Organic Panic]

The debt crisis in Puerto Rico could potentially cost financial institutionsTAXPAYERS in the United States tens of billions of dollars in losses

Like financial institutions would lose money. They got a friend in the oval office that will make sure they don't lose a penny.

[LucyT]

Ping.

Trying to catch-up Ping.

Check out thi$ one:

Why The Puerto Rico Debt Crisis Is Such A Huge Threat To The U.S. Financial System

Where is that illusive US Treasury?

Can you say Puerto Rico??

http://ppjg.me/2010/04/28/where-is-that-ellusive-us-treasury-can-you-say-puerto-rico/

Note:

This article originally appeared 4-28-10. In the brief time that has passed,27 CFR 250.11, cited as the legal definition of the Treasury Secretary has *somehow* -mysteriously and without explanation- been wiped from the Code of Federal Regulations.

It has also been wiped from all legal websites carrying copies of CFR and USC. 250.11 was titled “definitions” and described the Secretary of the Treasury as one in Puerto Rico, and the IRS as an enforcement arm of the IMF>>>>>>>

See also:

Treasury Secretary does not work for the United States

THERE IS NO US TREASURY!

The US Treasury Office, the enforcement agency of the IMF/World Bank,

-is actually located in Puerto Rico- and is not a US agency.

http://ppjg.me/2009/03/24/treasury-secretary-does-not-work-for-the-united-states/

.

[Lurker]

Thanks for the injection of clarity.

L

[GregNH]

The IRA is Incoporated in Puerto Rico

The Creature from Jekyll Island : A Second Look at the Federal Reserve

[PGalt]

Debates in the House of Representatives on the First Report on Public Credit 9–18 February 1790
James Jackson (Ga.)

But it is doubted with me whether a permanent funded debt is beneficial or not to any country.

The same effect must be produced that has taken place in other nations; it must either bring on a national bankruptcy or annihilate her existence as an independent empire. Hence I contend, sir, that a funding system, in this country, will be highly dangerous to the welfare of the republic; it may, for a moment, raise our credit and increase the circulation, by multiplying a new species of currency; but it must, in times afterward, settle upon our posterity a burthen which they can neither bear nor relieve themselves from. It will establish a precedent in America that may, and in all probability will, be pursued by the sovereign authority until it brings upon us that ruin which it has never failed to bring, or is inevitably bringing, upon all the nations of the earth who have had the temerity to make the experiment.

http://oll.libertyfund.org/titles/875

[WildHighlander57]

http://lisaleaks.com/2015/07/04/questions-and-answers-about-the-irs-the-internal-revenue-service-is-not-an-agency-of-the-united-states-government/

It was renumbered; from the above link:

“... 27 CFR 26.11 (formerly 27 CFR 250.11)...”

[WildHighlander57]

Here is the entire renumbered 27 CFR 250.11,

https://www.law.cornell.edu/cfr/text/27/26.11

Mentions a bank in New York

[WildHighlander57]

http://lisaleaks.com/2015/07/04/questions-and-answers-about-the-irs-the-internal-revenue-service-is-not-an-agency-of-the-united-states-government/

It was renumbered; from the above link:

“... 27 CFR 26.11 (formerly 27 CFR 250.11)...

The whole thing:

https://www.law.cornell.edu/cfr/text/27/26.11

Mentions a bank in New York .

[GregNH]

The IRS is incorporated in Puerto Rico. Typo above.

[Whenifhow]

Thanks. Recalled reading about the IRS being in Puerto Rico, not the US Treasury.

From your link - interesting that there are conflicts in the description of terms.

https://www.law.cornell.edu/cfr/text/27/26.11

“Commercial bank”. A bank, whether or not a member of the Federal Reserve System, which has access to the Federal Reserve Communications System (FRCS) or Fedwire. The “FRCS” or “Fedwire” is a communications network that allows Federal Reserve System member banks to effect a transfer of funds for their customers (or other commercial banks) to the Treasury Account at the Federal Reserve Bank of New York.

“Electronic fund transfer or EFT”. Any transfer of funds effected by a proprietor’s commercial bank, either directly or through a correspondent banking relationship, via the Federal Reserve Communications System (FRCS) or Fedwire to the Treasury Account at the Federal Reserve Bank of New York.

“Revenue Agent”. Any duly authorized Commonwealth Internal Revenue Agent of the Department of the Treasury of Puerto Rico.

“Treasury Account”. The Department of the Treasury’s General Account at the Federal Reserve Bank of New York.

[WildHighlander57]

Whenifhow,

That document deals with liqour etc coming in thru the Virgin Islands and Puerto Rico.
So they mention the PR treasury as well as the account of the US Treasury in New York.

Another thought, what does it say on the fed tax refund checks that people get?

[Whenifhow]

Not many get an actual check, but when it does happen, it seems like it says US Treasury with no address (city or state)

From the other link - see this - hasn’t the DOJ been representing the IRS in the scandal?

http://lisaleaks.com/2015/07/04/questions-and-answers-about-the-irs-the-internal-revenue-service-is-not-an-agency-of-the-united-states-government/

#5
Does the U.S. Department of Justice have power of attorney to represent the IRS in federal court?

Answer: No. Although the U.S. Department of Justice (“DOJ”) does have power of attorney to represent federal agencies before federal courts, the IRS is not an “agency” as that term is legally defined in the Freedom of Information Act or in the Administrative Procedures Act. The governments of all federal Territories are expressly excluded from the definition of federal “agency” by Act of Congress. See 5 U.S.C. 551(1)(C).

Since IRS is domiciled in Puerto Rico (RICO?), it is thereby excluded from the definition of federal agencies which can be represented by the DOJ.