Deutsche Bank criminal probe

[mgray]

The German international bank is under a years-long investigation by Interpol, I am told by multiple sources.

This criminal probe dates back to former chairman Josef Ackermann and involves looking into two "suicides" by high-level execs at the bank and its subsidiary.

One of the deaths I am told involved an exec looking to be whistleblower.

I delve into this probe here (http://wp.me/ppklu-of) and here (http://wp.me/ppklu-op).

[ramus]

THANKS FOR THE INFO .... THE BANKS ARE THE CROOKS .... LIBOR WAS PUSH UNDER THE RUG ... THE BIGGEST THIEF IN THE HISTORY OF THE WORLD

Libor underpins approximately $350 trillion in derivatives. 17 TRILLION WAS THE AMOUNT THAT WAS STOLEN ......> Robert Holmes: jamesholmeswiki.com
>
> Job Occupation. Senior Lead Scientist at Fair Isaac. He spent his entire life
in the financial and credit services. His educational background shows
exceptional emphasis on Mathematics. He has an extensive educational background.
It is reported that he was about to go before Congress to testify against a
banking scandal. Robert Holmes current position with FICO involves him handling
Fraud.Now for those of you who don�t know FICO is a company that gives credit
scores to Businesses and individuals. These credit scores helps Banks and others
make complex decisions that involve investing. They come up with these credit
scores and ratings by doing extensive analyzing and research. Then FICO provides
this information to large companies.
> Prior to Robert Holmes career at Fair Isaac he was developing Software. He was
the Senior Staff Assistant at HNC Software. He worked there for two years. This
company�s purpose is to provide different businesses with solutions to create
growth and increase profit. The software that Holmes developed at HNC compiles
research and data. With this information it helps the executives at major
companies including retail create plans that will help their service, customer
satisfaction and more. Robert Holmes describes his special emphasis on research
and analysis that he has developed over his years of work experience.
>
An interesting connection has emerged with the recent Colorado �Batman�
shooting. Alleged gunman James Holmes� father is/was set to testify regarding
the LIBOR banking scandals.

[ThePythonicCow]

The German international bank is under a years-long investigation by Interpol, I am told by multiple sources.
Thanks for the scoop, mgray ... very helpful.

[ThePythonicCow]

The German international bank is under a years-long investigation by Interpol, I am told by multiple sources.

This criminal probe dates back to former chairman Josef Ackermann and involves looking into two "suicides" by high-level execs at the bank and its subsidiary.

From your blog post (https://mgray12.wordpress.com/2016/02/10/should-deutsche-bank-be-put-on-suicide-watch/):
the liquidity question was put forth to get people off the trail of the full-blown criminal probe, which would shut the bank down as EU regulators would be forced to charge DB as a criminal operation.
That Deutsche is being investigated for multiple serious fraudulent and criminal operations does not surprise me ... Jim Willie, whom I read and listen to regularly, says pretty much the same.

But I am surprised that just being charged with such actvity would shut a bank down. Wouldn't they first get a chance to defend themselves and bargain over the resolution?

[mgray]

When a bank is formally charged with multiple criminal fraud charges, its regulators need to cease the bank's operations in those areas. It's a death sentence for the bank. Civil suits can be settled without admitting guilt, criminal suits can't be settled or pled down.

[ThePythonicCow]

When a bank is formally charged with multiple criminal fraud charges, its regulators need to cease the bank's operations in those areas. It's a death sentence for the bank. Civil suits can be settled without admitting guilt, criminal suits can't be settled or pled down.

That is what surprises me. I thought that filing criminal charges did not force any particular resolution, yet. I thought that criminal charges could be dropped, pled down, or fail to provide a guilty verdict. Moreover, I thought that in the case of banks, the regulators were not, de facto, forced to any particular action.

For example, if I had more political connections than I do, I suppose that I could be charged with the first degree murder of several people, and with a good lawyer, end up pleading guilty to manslaughter of just one person, having the other charges dropped.

For a more relevant example, don't we commonly see investigations of bank fraud in the US that conclude with paying a fine, for some vaguely specified subset of whatever was being investigated, and with no admission of guilt? Basic idea: bank steals a trillion dollars, and after a few year investigation, pays a fine of a billion dollars and the case is closed.

If I knew going in that I could steal serious money, and only have to have the business that employs me pay 0.1% fine, perhaps, and years later, with no prison time or even personal charges against me, then only my personal morals would stand between me and being much richer than I am. As we all know, the top executives in most of these banks do not suffer from a surfeit of personal morals.

===

Separate point: I suspect that the risks to the banking system, in particular to the major Western banks, are not just a matter of this purported fraud by Deutsche Bank.

I suspect that:

Many of the Western banks are or will be soon under deep distress from (1) failing national debt, such as Venezuela, Italy, or Portugal, (2) holding difficult positions in various interest rate derivatives, forex derivatives and oil hedges, and (3) an inability to make money "the old fashioned way", by lending it, due to the combination of a weak global economy and near zero interest rates.
Many of the Western banks are "lashed together", deliberately, through hedges on their positions that depend on the other banks to pay off. If Deutsche Bank, or any other one major Western Bank goes down, then this very rapidly exposes their counter-parties to extreme stress, knowing that they have to mark down some positions that depend on Deutsche Bank being solvent.

Yes, I've little doubt that Deutsche Bank is being investigated for seriously fraudulent activities.

Yes, clearly any such investigation is being kept secret.

But I suspect that the secrecy is motivated not so much by a "simple mechanical" problem that the mere announcement of such investigations, or even the filing of charges, forces any particular immediate shutdown by the regulators.

Rather I think it is a matter of confidence. If Deutsche Bank's credit default swaps balloon out of shape, as indeed they are starting to do, then it becomes increasingly difficult for them to hold and fund positions, due to others charging them more on account of the increased counter party risk. Neither Deutsche Bank nor the other major Western banks to which they are lashed have any desire to see this happen.

===

Rather than some announcement of these investigations being the real trigger event, I suspect that either the default of a major national debt, that is too large to paper over with further austerity and confiscation measures such as we saw with Greece, and/or the collapse of a major Western bank, due to the "deep distress" factors enumerated above, will be a key trigger, followed by a major banking collapse, thanks to them all being lashed together and all being under the same major stress factors.

On the other hand, some such announcement of a Deutsche Bank criminal probe might be made to appear as a trigger event ... as a way of passing the blame. There will be an over-abundance of finger pointing if such a collapse comes to pass.

[mgray]

A criminal conviction -- even if the pleads it down -- means the bank loses its charter as a bank. It is labeled a criminal enterprise and all the banking regulators from SWIFT on down pull the bank's charter to operate. Close the doors it's over.

Yes if word leaked widely that DB was the subject of a criminal probe the counter-party risk would be tremendous. Lehman Bros. would look like a small savings & loan bank in Oklahoma went out of business.

Although it seems impossible to "unwind" DB's positions in the derivative markets, a Greece default, which is again on the front burner, could be used as a trigger to unwind DB without admitting announcing a criminal probe.
But that unwinding, would cause great pain across the globe. Far worse than 2008.

For that reason, I think this will be swept under the rug.

[DNA]

Not to derail the thread by being "that" guy.

But,,,

I'm reminded of the Kerry Cassidy interview with Mark Richards, in which Kerry echoes Richard"s words that many of the high profile banker "suicides" are due to the suicide to be banker becoming aware of "off world" deposits being made in really large amounts in said bank. At the time she seemed to be talking about the beings from Aldeberan, and talking about a mass influx of these beings moving into Africa no less.

[ThePythonicCow]

A criminal conviction -- even if the pleads it down -- means the bank loses its charter as a bank.
A conviction ... yes ... I'll accept your word that a conviction could/would cost a bank its charter.

But I thought that "filing charges" or a "formal charge" was not the same as "a conviction".

[mgray]

The sniff of scandal with a criminal indictment is enough to jeopardize the bank's future.

[Pam]

The sniff of scandal with a criminal indictment is enough to jeopardize the banks future.


If the bank does fall, can you give us a brief description of the aftermath. How would this likely play out?

[mgray]

Each market would crash is probably the simplest way to put it. Germany enters a depression hours after announcement the world follows as markets open around the world. It's really a cataclysmic event.

It would have to be announced at 4:01PM in the US on a Friday to give time to develop a plan before Asian markets open on Monday morning. And even that would not stem the reaction.

This event could usher in a global bank holiday for an extended period of time.

Peter, to put it simply, it's not something anyone would want to see.

[Wide-Eyed]

Not to derail the thread by being "that" guy.

But,,,

I'm reminded of the Kerry Cassidy interview with Mark Richards, in which Kerry echoes Richard"s words that many of the high profile banker "suicides" are due to the suicide to be banker becoming aware of "off world" deposits being made in really large amounts in said bank. At the time she seemed to be talking about the beings from Aldeberan, and talking about a mass influx of these beings moving into Africa no less.

https://youtu.be/N3vB92Pw1SQ- More problem, reaction solution... control push for consolidation. Germany and France calling for this is another problem that they have solution for so it's easier for Amerika to deal with push this type of reform talked about by Dr. J Farrell in vid chat. or this by Farrell commenting on the hidden system of finance since WWII brought up here and by comments by DNA. http://gizadeathstar.com/2015/10/did-we-just-get-a-glimpse-of-a-hidden-system-of-finance/

[ThePythonicCow]

Peter, to put it simply, it's not something anyone would want to see.
Well ... the whacko conspiracy theory nut job lobe of my brain figures that there are a few who do want to see this :).

[Hervé]

Keiser: Deutsche Bank ‘technically insolvent’, running a ‘ponzi scheme’ (https://www.rt.com/news/332446-keiser-deutsche-bank-technically-insolvent/)

Published time: 14 Feb, 2016 22:10
Edited time: 14 Feb, 2016 22:20


http://www.sott.net/image/s15/302119/large/56c0f60ec46188e43f8b4591.jpg
© Luke MacGregor / Reuters


Max Keiser hit out against Deutsche Bank in the latest episode of his RT program Keiser Report, saying the bank was “technically insolvent” despite assurances from German Finance Minister Wolfgang Schaeuble that he had “no concerns” over his country’s biggest bank.

Deutsche Bank shares are down 40 percent since the beginning of the year, falling below their price at the time of the 2008 financial crisis. The bank suffered record losses of €6.8 billion in 2015.

With a balance sheet now eclipsing JP Morgan’s, Keiser warned that the bank will sooner or later have to admit to insolvency and say “we need either a huge bailout or we gotta close up shop.”




https://pbs.twimg.com/profile_images/614216224621264896/fMSbC7yd_bigger.png StockTwits ‏@StockTwits (https://twitter.com/StockTwits)

The Deutsche Bank crash just got historic. THIS happened today. $DB (https://twitter.com/search?q=%24DB&src=ctag): http://stks.co/f3uTh (https://t.co/mQsbPRkaId) 3:07 PM - 9 Feb 2016 (https://twitter.com/StockTwits/status/697059326368677888)

https://pbs.twimg.com/media/Caxzw3RVAAE4gk9.png
However, German Finance Minister Wolfgang Schaeuble dismissed concerns over Germany’s biggest lender, telling Bloomberg he was not worried about its future.

Deutsche Bank CEO John Cryan also played down the concerns in a published letter to staff on February 9, describing the bank as “absolutely rock-solid” and “strong”.


“On Monday, we took advantage of this strength to reassure the market of our capacity and commitment to pay coupons to investors who hold our Additional Tier 1 capital,” Cryan wrote. “This type of instrument has been the subject of recent market concern. The market also expressed some concern about the adequacy of our legal provisions but I don’t share that concern. We will almost certainly have to add to our legal provisions this year but this is already accounted for in our financial plan.”The bank’s contingent convertible (CoCo) bonds also plunged in value this year. CoCo bonds are designed to be converted to equity when the bank gets into trouble. They have no maturity date and come with no promise to investors that they will get their money back.




https://pbs.twimg.com/profile_images/545046583746633728/NV8jT7c0_bigger.png Bloomberg Business Verified account ‏@business (https://twitter.com/business)

What you need to know about CoCo bonds, the bank debt everyone is talking about http://bloom.bg/1pxCzso (https://t.co/Bl0Bvtm3AB)

https://pbs.twimg.com/media/Ca2AKAiUUAQRV5F.jpg
Coupon payments on the bond are contingent on the bank’s ability to keep its capital above certain thresholds. If the bank does not make a coupon payment, investors cannot call for a default.

Deutsche Bank said last week that they would likely be able to make its coupon payment for 2016, after telling investors last month that it couldn’t make its 2015 payments.

Keiser described the move as a ponzi scheme saying, “You can’t just miss coupon payments. It’s called insolvency.”

[ThePythonicCow]

The German international bank is under a years-long investigation by Interpol, I am told by multiple sources.

From your blog post (https://mgray12.wordpress.com/2016/02/10/should-deutsche-bank-be-put-on-suicide-watch/):
the liquidity question was put forth to get people off the trail of the full-blown criminal probe, which would shut the bank down as EU regulators would be forced to charge DB as a criminal operation.
I should have mentioned this earlier, but I do not agree that "the" reason that the question of Deutsche Bank's liquidity is being raised is because of these criminal probes, or leaks about these probes.

I figure that Max Keiser is right (see Hervé's post (http://projectavalon.net/forum4/showthread.php?88840-Deutsche-Bank-criminal-probe&p=1046372&viewfull=1#post1046372), just above), and that there actually is a serious liquidity problem with Deutsche Bank's liquidity.

From what Jim Willie says, and on these sorts of matters, his intel is usually pretty good, Deutsche Bank is the largest holder of derivatives in the world. If enough of these positions go the wrong way, and/or if enough of their counter-parties aren't good for the money, then Deutsche Bank is indeed bankrupt, and we're just waiting for the world to be notified.

If this is so, then I doubt that they make rugs big enough to sweep this under, especially since most of the other major banks are mired in the same muck.

[mgray]

Paul, I did not say there were not liquidity problems. I said the reason for the liquidity problems was that certain counter-parties are hearing about the criminal probe and are pulling back from doing business with DB.

I said the press is saying it is just lack of liquidity without knowing the underlying cause. The rise in DB's CDSs are bets it won't survive the criminal probe.

[ThePythonicCow]

Paul, I did not say there were not liquidity problems. I said the reason for the liquidity problems was that certain counter-parties are hearing about the criminal probe and are pulling back from doing business with DB.
True, that's what you said, and I wrote inaccurately.

What I am figuring is that the reasons for the liquidity problems is not, primarily, leakage about the criminal probes.

I am guessing that Deutsche Bank would have similar liquidity problems even if all the criminal probes had been called off, entirely, long ago, say by some well placed "God Father" in high places befriending them.

Their books, especially their derivative books, I'm guessing, suck big time.

[lucidity]

If Deutsche Bank fails, people will say in the future, that the fall of
Deutsche Bank was the trigger that started the "European depression".
The fall of Deutsche Bank would collapse the other banks, especially the French banks,
which in turn burn down many thousands of businesses across Europe.

They wont let that happen.
There will be another round of "Too Big To Fail" Quantitative Easing.
It's a game of "Let's give them lots of money" And erode the Euro and everyone's (euro) savings.
If you listen very carefully, you might just about hear the sound
of European pensions being flushed down the toilet.

Some fudge will likely be worked out.
The bank will continue with a new management board.
Or some senior bankers will ... be spoken to harshly... perhaps with fingers waved.
(Murder and theft will send you to prison in most parts of the society .... but not banking)

I wonder what the Greek for Schadenfreude is ?
Well, at least the poor people of Europe will be laughing and dancing.

On the brighter side, the NWO 'European Project' is probably dead now.
That's a strike to the homo sapiens.

Last year, legislation that was put in place in various european countries
allowing them to raid private bank accounts and subject them to a 'haircut'.
This is the Cyprus style money grab, of regular people's savings.
That legislation will kick in now. They've pre-planned for this.

Does anyone want to pop a guess at how high bitcoin is going to go ?
The price was $380 yesterday. Checking just now it's $408.
Saying bitcoin will go to 500 isn't much of a prediction.. it's en route anyway.
My safe bet is bitcoin hitting $1000 before the end of 2016.
My riskier bet is $2000 before the end of 2016
I sense it will reach up to $1500 this year.

Now would be an epic time to buy bitcoin, or better yet, litecoin.

be happy

lucidity

[ThePythonicCow]

Jim Willie opens his monthly interview with Paul Sandhu with some comments on Deutsche Bank:
skej-z9UaF4
Nothing here that will change the views of either myself, or mgray ... but some more "color commentary" and a few more details, for those who enjoy listening to Jim Willie of http://goldenjackass.com/

Here's the portion of the Youtube description that covers this portion of the interview:

1) Deutsche Bank collapse and possible contagion

- Credit Default Swap soaring from 90 in Dec to 120 in Jan to 260 in Feb
- near total collapse of DBank stock mimics the Lehman Brothers path
- in deal talks with Venezuela on gold swap (signal of Saudi demand in repatriated gold)
- told in 2013 of likely breakup of DBank into 7 entities (NEVER HAPPEN)
- DBank acquired Bankers Trust in 1998 from Wall Street site, as derivative shop
- could serve as the major bank sector fuse

[ThePythonicCow]

In related news, some other banks are also facing likely civil charges for Libor rate manipulation.

Libor is the London Interbank Offered Rate, a report of the rate that banks charge each for short term inter-bank loans. Hundreds of trillions of dollars in short-term interest rates, swaps and other financial products are pegged to Libor.

5XdEvglOQ54


Citibank And HSBC Among Banks To Be Charged By US And UK


===

Or the same from the Wall Street Journal, via Reuter's, U.S., UK likely to charge multiple banks in Libor rigging (http://www.reuters.com/article/us-libor-probe-idUSKCN0VL25U?feedType=RSS&feedName=topNews):



American and British regulators are likely to charge several banks with rigging interest rates, including Citigroup, the third-largest U.S. bank, and London-based HSBC Holdings, the Wall Street Journal reported on Friday.

The U.S. Commodity Futures Trading Commission and the U.K. Financial Conduct Authority were preparing a final round of civil charges against the banks for rate manipulation in the Libor scandal, the newspaper reported, citing people close to the investigation.

The Journal said the CFTC was still investigating J.P. Morgan Chase, the largest American bank by assets, but that may not lead to charges. U.K. regulators said last year they dropped their probe of J.P. Morgan.

U.S. and British regulators are leading a seven-year investigation into the manipulation of Libor, or the London interbank offered rate.

[lucidity]

This is actually, the _really_ big news.

The financial collapse of China ? Bullsh!t.

The financial collapse of America ? It will happen in Europe first.
And it will happen in Europe this year.
It will break up the European union and it could break up NATO.

The current Bitcoin price is $403 (from btc-e.com)
Anyone want to bet me that bitcoin hits $500 before the end of Feb ?

Notice that the bitcoin:litecoin price is currently 0.00781 (from btc-e.com)
In other words 1 litecoin is worth 0.781 percent of 1 bitcoin
Whenever, in the past, there's been a bitcoin rally, the value of litecoin has
risen in multiples of value relative to bitcoin. So it might go to 0.015
or 0.022 (say) ... but understand that's relative to bitcoin's (rising) value.
So if you put $100 dollars on bitcoin. And bitcoin doubles, you get $200.
If you put $100 dollars on litecoin and bitcoin doubles, you get $400 or $600.
Go check the historic bitcoin/litecoin charts to check what i'm telling you
is true. See here: http://coinmarketcap.com/currencies/litecoin/

be happy

lucidity

[mgray]

lucidity, do you really want to "bet" on the third or fourth derivative off of currencies?

I can see and do have gold and silver as a hedge against a cratering dollar. I have a small investment position in bitcoin and can almost see BTC as an alt-currency as it becomes more widely known. But when you get to newer crypto currencies I think the risk ramps up tremendously.

Just a thought. Good luck.

[lucidity]

lucidity, do you really want to "bet" on the third or fourth derivative off of currencies?

I can see and do have gold and silver as a hedge against a cratering dollar. I have a small investment position in bitcoin and can almost see BTC as an alt-currency as it becomes more widely known. But when you get to newer crypto currencies I think the risk ramps up tremendously.

Just a thought. Good luck.

When did you buy into gold ?
And how do you think that investment is doing ?

You should have taken a look at the LTC:BTC chart.
I provided a link.

be happy

lucidity

[ThePythonicCow]

.
Here's more evidence that it's not primarily the secret criminal probes of Deutsche Bank that's putting it in trouble. Some other European banks are in trouble too.

From EU on brink of 'terrifying crisis' Five of Europe's big banks are in danger, warns expert (Express.co.uk; Raoul Pal) (http://www.express.co.uk/finance/city/641080/European-banks-heading-for-collapse-warns-expert):

=========


SOME of Europe's biggest banks are on the brink for a crisis that echoes the 2008 meltdown, a finance expert warned, as fears over the global economy escalate.

Deutsche Bank, Credit Suisse, Santander, Barclays and RBS are among the stocks that are falling sharply sending shockwaves through the financial world, according to former hedge fund manager and ex Goldman Sachs employee Raoul Pal.

At the height of the financial disaster in 2008, the Government was forced to step in and rescue Lloyds Banks and RBS from liquidation, while the European Central Bank gave huge bailouts to Spain, Greece, Portugal and Italy.

Last month, the head of the European Central Bank Mario Draghi raised expectations that it could undergo yet more Quantitative Easing in March - in effect printing billions of pounds worth of money - in the face of ongoing economic fears.

France last month declared a state of economic crisis adding to worries about the stability of the eurozone.

Regulations now require banks in Europe to hold more cash as a buffer against market shocks, but Mr Pal said balance sheets haven't been cleaned up and warned negative interest rates are hitting the firms hard.
=========

[mgray]

lucidity, do you really want to "bet" on the third or fourth derivative off of currencies?

I can see and do have gold and silver as a hedge against a cratering dollar. I have a small investment position in bitcoin and can almost see BTC as an alt-currency as it becomes more widely known. But when you get to newer crypto currencies I think the risk ramps up tremendously.

Just a thought. Good luck.

When did you buy into gold ?
And how do you think that investment is doing ?

You should have taken a look at the LTC:BTC chart.
I provided a link.

be happy

lucidity

I'm in at an average price of $320 an ounce so no worries here.

Wish you all the luck in the world. I'm just playing devil's advocate for some not well-versed in crypto currencies.

¤=[Post Update]=¤


.
Here's more evidence that it's not primarily the secret criminal probes of Deutsche Bank that's putting it in trouble. Some other European banks are in trouble too.

From EU on brink of 'terrifying crisis' Five of Europe's big banks are in danger, warns expert (Express.co.uk; Raoul Pal) (http://www.express.co.uk/finance/city/641080/European-banks-heading-for-collapse-warns-expert):

=========


SOME of Europe's biggest banks are on the brink for a crisis that echoes the 2008 meltdown, a finance expert warned, as fears over the global economy escalate.

Deutsche Bank, Credit Suisse, Santander, Barclays and RBS are among the stocks that are falling sharply sending shockwaves through the financial world, according to former hedge fund manager and ex Goldman Sachs employee Raoul Pal.

At the height of the financial disaster in 2008, the Government was forced to step in and rescue Lloyds Banks and RBS from liquidation, while the European Central Bank gave huge bailouts to Spain, Greece, Portugal and Italy.

Last month, the head of the European Central Bank Mario Draghi raised expectations that it could undergo yet more Quantitative Easing in March - in effect printing billions of pounds worth of money - in the face of ongoing economic fears.

France last month declared a state of economic crisis adding to worries about the stability of the eurozone.

Regulations now require banks in Europe to hold more cash as a buffer against market shocks, but Mr Pal said balance sheets haven't been cleaned up and warned negative interest rates are hitting the firms hard.
=========

Would these banks not be the primary counter-parties to DB on European debt? And could this be the first wave of contagion? Just sayin'.

[ThePythonicCow]

Would these banks not be the primary counter-parties to DB on European debt? And could this be the first wave of contagion? Just sayin'.
Good point :).

In light of that observation, we might never know the answer, whether the primal cause of a collapse of multiple banks, if such a collapse happens, was the criminal probe of Deutsche, or the imbalanced balance sheets of several major banks.

[lucidity]

Would these banks not be the primary counter-parties to DB on European debt? And could this be the first wave of contagion? Just sayin'.
Good point :).

In light of that observation, we might never know the answer,
whether the primal cause of a collapse of multiple banks,
if such a collapse happens, was the criminal probe of Deutsche,
or the imbalanced balance sheets of several major banks.


The french banks are already insolvent and have been since 2008.
Zero Hedge has been calling this since 2009. So has Max Keiser.
When Deutsche falls, or is bailed out, the bank most likely to fail
is Société Générale. They're already teetering on the edge.
UBS actually did fail in 2008 and was bailed out by the Swiss tax payer.

The banks are still writing these credit default swaps betting on the
default of other banks. And it's reciprocal !
It means that if one goes down, they all go down.
They're still playing on the derivatives market casino,
and even as market makers they're losing money.

[Wide-Eyed]

Would these banks not be the primary counter-parties to DB on European debt? And could this be the first wave of contagion? Just sayin'.
Good point :).

In light of that observation, we might never know the answer,
whether the primal cause of a collapse of multiple banks,
if such a collapse happens, was the criminal probe of Deutsche,
or the imbalanced balance sheets of several major banks.


The french banks are already insolvent and have been since 2008.
Zero Hedge has been calling this since 2009. So has Max Keiser.
When Deutsche falls, or is bailed out, the bank most likely to fail
is Société Générale. They're already teetering on the edge.
UBS actually did fail in 2008 and was bailed out by the Swiss tax payer.

The banks are still writing these credit default swaps betting on the
default of other banks. And it's reciprocal !
It means that if one goes down, they all go down.
They're still playing on the derivatives market casino,
and even as market makers they're losing money.

From zerohedge : http://www.zerohedge.com/news/2016-02-16/deutsche-bank-flip-flops-now-begs-central-bank-intervention-and-ideally-more-qe

[lucidity]

This is actually, the _really_ big news.

The financial collapse of China ? Bullsh!t.

The financial collapse of America ? It will happen in Europe first.
And it will happen in Europe this year.
It will break up the European union and it could break up NATO.

The current Bitcoin price is $403 (from btc-e.com)
Anyone want to bet me that bitcoin hits $500 before the end of Feb ?

Notice that the bitcoin:litecoin price is currently 0.00781 (from btc-e.com)
In other words 1 litecoin is worth 0.781 percent of 1 bitcoin
Whenever, in the past, there's been a bitcoin rally, the value of litecoin has
risen in multiples of value relative to bitcoin. So it might go to 0.015
or 0.022 (say) ... but understand that's relative to bitcoin's (rising) value.
So if you put $100 dollars on bitcoin. And bitcoin doubles, you get $200.
If you put $100 dollars on litecoin and bitcoin doubles, you get $400 or $600.
Go check the historic bitcoin/litecoin charts to check what i'm telling you
is true. See here: http://coinmarketcap.com/currencies/litecoin/

be happy

lucidity

DATE: 18th of Feb.
BTC: $420
source: btc-e.com

$500 before the end of Feb ?

Mark my words, as the European banking collapse
progresses, watch the impact on bitcoin prices.
(..but also keep an eye on litecoin prices)

be happy

lucidity

[ThePythonicCow]

In his monthly HatTrick (http://goldenjackass.com) newsletter, released today, Jim Willie is expecting a major failure of several of the large Western money center banks, within the next couple of months, quite possibly starting with Deutsche Bank, due to the immense insolvency of their vast derivative book.

Other European banks at high risk to fail, perhaps even before Deutsche Bank, include Credit Suisse, Santander, Barclays, and RBS. Major US banks at high risk include Wells Fargo, Bank of America, Citibank, JPMorgan, and Goldman Sachs. A Hattrick reader who is a bank teller at Wells Fargo informed Jim that they have begun training for a possible bank holiday requiring emergency security measures.

If it goes down as Jim anticipates, then the financial and monetary markets will resemble my "Houston, we have lift-off" graphic, at the end of my post Spinning our wheels - a monstrous monetary/economic/financial metaphor (http://projectavalon.net/forum4/showthread.php?88850-Spinning-our-wheels-a-monstrous-monetary-economic-financial-metaphor&p=1046060&viewfull=1#post1046060).

[Wide-Eyed]

A Hattrick reader who is a bank teller, ? Paul is that a typo or not sure how it reads what it is stating ? Thx

[ThePythonicCow]

A Hattrick reader who is a bank teller, ?
Yes .

[ramus]

Ex-Deutsche Bank trader banned over Libor rigging

Published: Mar 2, 2016 6:01 a.m. ET




By
Ian
Walker

LONDON--The Financial Conduct Authority said on Wednesday that it has banned former Deutsche Bank AG trader Michael Ross Curtler for his part in a conspiracy to manipulate the bank's U.S. dollar Libor submissions.

Between 2000 and 2012, Mr. Curtler traded a variety of financial instruments tied to U.S. dollar Libor and received requests from Deutsche traders to alter his submissions for the benefit of Deutsche and the individual traders, the regulator said.

Mr. Curtler made alterations to the submissions consistent with these requests and also solicited requests from traders and changed his submissions accordingly, the FCA added.

Mr. Curtler pleaded guilty before the U.S. District Court for the Southern District of New York for his role in the conspiracy on Oct. 8, 2015.

The FCA has imposed eight fines, totaling GBP758.4 million ($1.06 billion), on firms for misconduct relating to Libor. Former Rabobank traders Lee Stewart and Paul Robson have previously been banned by the FCA for manipulating Libor.

Mr. Curtler is awaiting sentencing by the U.S. District Court where he faces a maximum period of imprisonment of 30 years. In addition, he faces a maximum fine of $1 million or twice any gain or loss to others resulting from his offense. He could also be ordered to pay restitution.

Write to Ian Walker at ian.walker@wsj.com

[Hervé]

Rothschild Bank Now Under Criminal Investigation After Baron David De Rothschild Indictment (http://thefreethoughtproject.com/rothschild-bank-criminal-investigation-baron-david-de-rothschild-idictment/)

By Matt Agorist (http://thefreethoughtproject.com/author/savy4/) March 5, 2016


http://tftppull.freethoughtllc.netdna-cdn.com/wp-content/uploads/2016/03/rths.jpg (http://tftppull.freethoughtllc.netdna-cdn.com/wp-content/uploads/2016/03/rths.jpg)


Last year, Baron David de Rothschild was indicted by the French government after he was accused of fraud in a scheme that allegedly embezzled large sums of money from British pensioners.

It has taken many years to bring this case against Rothschild and his company the Rothschild Financial Services Group, which trapped hundreds of pensioners in a bogus loan scheme between the years of 2005 and 2008.

One by one the pensioners lost their money and pressed charges against the notorious banker, beginning a case that would take many years to get even an indictment.

In June, Paris-based liaison judge Javier Gómez Bermudez ruled that Rothschild must face a trial for his crimes, and ordered local police to seek him out in his various mansions that are spread throughout the country.

“It is a good step in the right direction. The courts are now in agreement with us that there is enough evidence to interrogate Baron Rothschild. The first thing they will have to do is find him. Once they have done that they can begin to question him. It is a real breakthrough moment for everyone involved,” lawyer Antonio Flores of Lawbird told the Olive Press (http://www.theolivepress.es/spain-news/2015/06/18/exclusive-baron-rothschild-indicted-in-france-over-fraud-case/) after the ruling.

“In short, independently of what happened to the investment, Rothschild advertised a loan aimed at reducing inheritance tax, which is a breach of tax law,” he added.

While news of a single Rothschild being indicted is certainly noteworthy, a particularly important announcement was made this Friday.

The French government announced that it has launched an investigation into the entire Swiss branch of the Rothschild’s banking empire.

According to Bloomberg, (http://www.bloomberg.com/news/articles/2016-03-04/edmond-de-rothschild-in-geneva-targeted-by-french-criminal-probe)

The Swiss unit of Edmond de Rothschild (http://www.edmond-de-rothschild.com/site/luxembourg/en/corporate/about-us/the-group) said it’s the subject of a French probe regarding a former business relationship managed by a former employee.

“Edmond de Rothschild (Suisse) SA is actively participating in the criminal investigation under way,” the Geneva-based bank said in an e-mailed statement on Friday. “The bank denies all the allegations that have been made against it.”

Edmond de Rothschild, a private banking and asset management firm established in Paris in 1953, oversees about 150 billion euros ($164 billion) and is led today by Baron Benjamin de Rothschild and his wife Ariane. The Swiss unit traces its roots to the acquisition of Banque Privee in Geneva in 1965.

The company has no further comment at this time, according to the statement. Officials in Geneva weren’t immediately available to respond to a telephone call from Bloomberg News on Friday. The Rothschild empire has been instrumental in helping move the global elite’s wealth from traditional tax havens like the Bahamas, Switzerland and the British Virgin Islands to the U.S.

Last month, the Free Thought Project reported on the above the law tax haven established inside the United States by the Rothschilds.

After opening a trust company in Reno, Nev., Rothschild & Co. began ushering the massive fortunes of the world’s most wealthy individuals out of typical tax havens, and into the Rothschild run U.S. trusts, which are exempt from the international reporting requirements.

The Rothschild banking dynasty is a family line that has been accused of pulling the political strings of many different governments through their control of various economic systems throughout the world.

Historically, there is ample evidence to show that the family has used insider trading to bilk money from both private and public funds.

During the Battle of Waterloo in the Napoleonic wars, Nathan Rothschild was responsible for one of the oldest cases of “insider trading,” which led to the Rothschild family robbing a whole nation blind. In 1815 when the battle of Waterloo took place, there were no quick methods of communication like we have today so messengers were used for communication in times of war. The Rothschild’s took advantage of this by having spies on the frontlines of the battle who would return information to the family faster than the messengers used by the military.

When the British won the war, Nathan Rothschild, was of course, the first to know, and he immediately went to the stock exchange and started selling stocks while putting out the rumor that the French had won the war. This created a panic on the floor of the stock exchange and investors all over England began frantically selling their stocks. With the price of all stocks plummeting Rothschild was able to buy out the whole English market for a fraction of its cost. When word returned that the English had actually been victorious, the value of the market soared, and overnight Nathan Rothschild expanded his family’s wealth, and cemented their position as one of the richest families in the world.


http://tftppull.freethoughtllc.netdna-cdn.com/wp-content/uploads/2016/03/magorist-e1456948757204.jpg Matt Agorist is an honorably discharged veteran of the USMC and former intelligence operator directly tasked by the NSA. This prior experience gives him unique insight into the world of government corruption and the American police state. Agorist has been an independent journalist for over a decade and has been featured on mainstream networks around the world. Follow @MattAgorist (https://twitter.com/MattAgorist)

[pueblo]

Looks like this might be an attempt at a back door bail out for DB? They have over €64 trillion in derivatives exposure :flame:


Deutsche Bank Derivative Implosion have been confirmed by the pending sale of $1.1 TRILLION in derivatives to 3 US big banks

JPMorgan, Goldman Said to Discuss Buying Deutsche Bank Swaps

~Lender looking to complete sale of $1.1 trillion swaps book

~Deutsche Bank has sold about two-thirds of book since 2015

Deutsche Bank AG, the lender exiting some trading operations, is in talks with JPMorgan Chase & Co., Goldman Sachs Group Inc. and Citigroup Inc. to sell the last batches of about 1 trillion euros ($1.1 trillion) in complex financial instruments, people with knowledge of the matter said.
Deutsche Bank, based in Frankfurt, has sold about two-thirds of the portfolio of uncleared, mostly single-name credit default swaps since last year and wants to sell the rest within the next few months, according to the people, who asked not to be identified as the talks are private. The three U.S. banks have already purchased some of the instruments, the people said.

http://investmentwatchblog.com/deutsche-bank-derivative-implosion-have-been-confirmed-by-the-pending-sale-of-1-1-trillion-in-derivatives-to-3-us-big-banks/

http://www.bloomberg.com/news/articles/2016-03-10/jpmorgan-goldman-said-to-discuss-buying-deutsche-bank-swaps

[3(C)+me]

It's getting better or worse, depending on your perspective:
I1OcFUbs-XM