RED ALERT: It's Open Season on All Customer Funds

Barnhardt.bix ^ | 8-10-12 | Ann Barnhardt

[SatinDoll]

Nope. Sorry, Duncan.

Anne’s cattle marketing instruction business is doing just fine. She teaches about the cattle business and how to market cattle.

She shut down her brokerage service because of IMF Global, and has been warning everyone to get out of the markets and banks immediately.

Go see for yourself about her cattle marketing seminars:

Cornerstone Cattle Marketing
http://cornerstonecattlemarketing.com/

[RedMDer]

[Pining_4_TX]

One of the traders on Varney & Co. said to buy “things”... gold, a house in a nice neighborhood, oil and gas stuff (not sure what he meant by that, stocks in oil companies?).

The problem always comes down to how does one protect the stuff? A nice neighborhood today could be an abandoned one tomorrow. Gold can be stolen and stocks manipulated.

If I had the money, I would move to some quiet little country and hope the parasites don’t invade when they kill their own hosts.

[mojito]

From the Reuters article:

“Sentinel allegedly pledged hundreds of millions of dollars in customer assets to secure an overnight loan at Bank of New York Mellon, leaving the bank in a secured position but Sentinel's customers out millions.

Customer funds were allegedly moved from the protected accounts to other accounts so they could be used as collateral for loans to Sentinel's own trading operations.

The appeals court said that “perhaps the bank should have known that Sentinel violated segregation requirements” but agreed with the district court's earlier ruling that “such a lack of care does not rise to the level of the egregious misconduct” needed to reprioritize a claim.

“That Sentinel failed to keep client funds properly segregated is not, on its own, sufficient to rule as a matter of law that Sentinel acted ‘with actual intent to hinder, delay, or defraud’ its customers,” U.S. Circuit Judge John D. Tinder wrote in the ruling.”

http://www.reuters.com/article/2012/08/10/us-sentinel-appeals-decision-idUSBRE87900T20120810

So henceforward, stealing your clients money is neither “fraud” nor “egregious misconduct.”

I never thought we'd become a banana republic. We are one now.

[DuncanWaring]

Looks like I got the two operations confused... ;-P

[PeterPrinciple]

What about the FDIC insurance? One would still be protected by that.

---

If you do some research you will find that FDIC is currently insolvent but HOPES to be solvent in the next 5-10 years.

[SatinDoll]

Hey, no one’s perfect!

[shove_it]

Ann Barnhardt and Rick Santelli are exactly the type of experts to be put in charge of regulating these crony capitalism markets after dumping the Dodd-Frank monstrosity in the trash.

[SCalGal]

bookmark

[EVO X]

Liquidate your 401 k and pay the tax she says, and then what? Buy a farm? Buy a herd of cattle? What? Keep it in pennies in the garage? Buy cars? What?

If one decides to go all cash/precious metals and stuff it in the matress, make darn sure you keep documentation. The IRS and law enforcement agencies would be more than happy to confiscate it if you don't have proof of ownership. If one wants to go that route, I would seek legal advice...

[DocRock]

Bookmark

[Rumplemeyer]

bump

[Freedom of Speech Wins]

So how does one protect money from all the thieves out there at the same time? Need solutions, options for protection.

[Freedom of Speech Wins]

So what do we do now?

[Freedom of Speech Wins]

What do we do now?

[DarkWaters]

I love that article from on the CME saying we need a clearing house. What the hell are they there for?! They are supposed to be the backstop when customers lose there funds when this kind of stuff happens and yet the clearly choose to punt when MF Global went under. Why? Well if they know that most CFM’s are going this, they don't have anywhere near enough cash on hand to make the private account whole hence they have no choice by to punt and at the same time keep there mouth shut to avoid causing a collapse in confidence. O....., wait, it's happening anyway.

[DarkWaters]

Unless they knew the collateral that they where putting up was coming from segregated accounts. I don't know what the facts are in this case but, in MF Global’s they did know. Also there is a special bankruptcy chapter for CFM’s where the clients are placed ahead of the line and the creditors take a back seat. I remember her talking about this before hand when MF Global first bit the dust.

[Incorrigible]

Bump

[Orange1998]

Don’t worry..... Romney/Ryan will get right on it!! I am sure bankers are not their friends.

[matt1234]

Move your money to tangible assets and real estate.

[null and void]

Nut-job Conspiracy Theory Ping!

To get onto The Nut-job Conspiracy Theory Ping List you need to threaten to report me to the Admin if I don’t add you to the list...

[null and void]

More grist here

[Yaelle]

No offense, but there were FReepers as serious sounding as you guys telling me to gather cash and guns for the 2000 Armageddon when the entire system crashes.

I need to know how serious this is.

[bgill]

If one wants to go that route, I would seek legal advice...

But then there are many crooked lawyers and it's letting more people in on what you have and where it is.

[bgill]

there were FReepers as serious sounding as you guys telling me to gather cash and guns for the 2000 Armageddon when the entire system crashes. I need to know how serious this is.

Why do you have a spare tire, home and life insurance? It's not like you really need them today or even next week. Have you even needed any of those since the 2000 Armageddon?

[EVO X]

LOL.. Point noted..

[Gilbo_3]

well SJBANKER is this as bad as it sounds ??? what was yer cut ???

seriously, is there anything besides metals that are halfway safe at this point...

the world is going to be dungeons and dragons economically before too long...

[stephenjohnbanker]

” seriously, is there anything besides metals that are halfway safe at this point...”

Metals won’t put a roof over your head, or feed you. And if Gold goes down 50%? It has done worse than that in the early 1980’s

[Gilbo_3]

Metals won’t put a roof over your head, or feed you. And if Gold goes down 50%? It has done worse than that in the early 1980’s

well, i did say halfway safe...heheheheh

cant afford gold anyways...brass and lead are still obtainable however...