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Luis Miguel Goitizolo

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RE: ARE WE NOW IN THE END TIMES?
6/21/2013 4:44:33 PM

Germany protests over Turkish minister's comments


Associated Press/Tobias Schwarz,Pool - German Chancellor Angela Merkel makes a point during her speech at the German World Bank Group Forum 2013, in Berlin Thursday June 20, 2013. (AP Photo/Tobias Schwarz,Pool)

Ukrainian President Viktor Yanukovych, left, welcomes German Foreign Minister Guido Westerwelle, during their meeting in Kiev, Ukraine, Friday, June 21, 2013. Preparations for signing the Association Agreement and European integration will be in the focus of Friday’s talks between Ukrainian Foreign Minister Leonid Kozhara and his German counterpart Guido Westerwelle, who has arrived in Kiev on a brief visit. (AP Photo/Sergey Dolzhenko, Pool)
BERLIN (AP) — Germany's Foreign Ministry summoned theTurkish ambassador on Friday to protest after a minister accused Chancellor Angela Merkel of picking on Turkey for domestic political gain before German elections, adding to tensions overTurkish security forces' crackdown on demonstrators.

Merkel on Monday criticized the crackdown as "much too strong." The chancellor has long been skeptical of Turkey's ambitions to join the European Union; her coalition government supports continuing membership talks but this week blocked a decision to move forward the negotiations.

Egemen Bagis, Turkey's minister in charge of EU affairs, said Thursday that if Merkel is looking for "internal political material" ahead of Germany's September elections "this should not be Turkey." He also pointed to the election defeat last year of then-French President Nicolas Sarkozy, a fellow opponent of Turkish EU membership.

"If Mrs. Merkel follows and reviews what happened to Sarkozy, who previously tried to use (Turkey) as political material, she will see that the fate of those who mess around with Turkey is not all that good," said Bagis, who is Turkey's chief EU negotiator.

German Foreign Ministry spokesman Andreas Peschke told reporters that ambassador Huseyin Avni Karslioglu was summoned to the ministry Friday.

He would say only that the reason was comments by a Turkish official regarding Germany and the future of the EU membership talks, adding: "These are comments that met with incomprehension — this is not in order."

Last month, German Foreign Minister Guido Westerwelle said he was hopeful of opening negotiations on another chapter in the membership talks before the end of June. But on Thursday, Germany and the Netherlands blocked a decision to do so.

That chapter concerns regional policies, not Turkey's protests. Asked whether the decision to block its opening was linked to the Turkish crackdown, Peschke said it was down to "open technical questions" on which he wouldn't elaborate.

However, he added that "of course, as always in life, everything is linked to everything else."

Human rights groups have said the protests in Turkey have left more than 5,000 people injured and more than 3,000 were detained, then released.

The demonstrations were sparked by a police crackdown on environmental activists in Istanbul May 31, but also criticized what some regard as Prime Minister Recep Tayyip Erdogan's authoritarian style of leadership.

NATO member Turkey began EU accession negotiations in 2005 but has made little progress, in part reflecting unease among some in Europe to admitting a populous Muslim nation.

Turkey's entry talks cover 35 different areas, or chapters. Only 13 have been opened, and several areas have been frozen over Turkey's refusal to allow ships and planes from Cyprus, an EU member, to enter its ports and airspace.

Germany itself is a potential obstacle to Turkish EU membership given that Merkel and her conservative party have long advocated a lesser, vaguely defined "privileged partnership," though Westerwelle's Free Democrats — her junior coalition partners— are less skeptical.

A spokesman for Merkel stressed Friday that Germany's support for continuing membership talks remains unchanged.

"Neither the chancellor nor the government are in any way questioning the accession process," Georg Streiter said. "It's not about whether, only about how the accession process is continued."

___

Suzan Fraser in Ankara, Turkey, contributed to this report.


"Choose a job you love and you will not have to work a day in your life" (Confucius)

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Luis Miguel Goitizolo

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RE: ARE WE NOW IN THE END TIMES?
6/21/2013 4:45:38 PM

Putin criticizes arms supplies to Syrian rebels

2 hrs 29 mins ago

ST PETERSBURG, Russia (Reuters) - President Vladimir Putin on Friday defended Russian arms supplies to Syrian President Bashar al-Assad and said the West should not deliver weapons to rebel forces because they include "terrorist" groups.

"If the United States ... recognizes one of the key Syrian opposition organizations, al-Nusra, as terrorist ... how can one deliver arms to those opposition members?" Putin said in an appearance with German Chancellor Angela Merkel at a Russian economic forum.

"Where will (those weapons) end up? What role will they play?" he said.

France proposed in May that the United Nations declare the al-Nusra Front a terrorist organization, to differentiate it from other Syrian rebel groups. The United States did so last year and says the group is little more than a front for al Qaeda.

U.S. President Barack Obama decided a week ago to provide military aid to rebels trying to overthrow Assad, citing use of chemical weapons by government forces.

Russia has been Assad's most powerful foreign protector during a conflict that has killed at least 93,000 people since it began in March 2011.

Putin reiterated Russia's statement that it is violating no laws by providing arms to a standing government and suggested it was foreign supporters of Syrian rebels who were doing that.

"It's clear that without deliveries from abroad, what is happening in Syria now would simply be impossible. Money is going in, weapons are going in, and well trained armed groups are going in," Putin said.

(Reporting by Gabriela Baczynska; Editing by Steve Gutterman and Robin Pomeroy)

"Choose a job you love and you will not have to work a day in your life" (Confucius)

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Luis Miguel Goitizolo

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RE: ARE WE NOW IN THE END TIMES?
6/21/2013 4:48:43 PM

GOP leader warns of attacks on free speech

2 hrs 22 mins ago

Associated Press/J. Scott Applewhite - FILE - In this June 18, 2013, photo, Senate Minority Leader Mitch McConnell of Ky.. accompanied by Senate Minority Whip John Cornyn of Texas, right, and Sen. John Barrasso, R-Wyo., gestures as he speaks with reporters on Capitol Hill in Washington. McConnell says the Internal Revenue Service’s targeting of conservative groups’ applications for tax-exempt status is just one example of the government attacking free speech on President Barack Obama's watch. He accuses the administration of pitting bureaucrats against the Americans they’re supposed to serve in several other agencies. (AP Photo/J. Scott Applewhite)

WASHINGTON (AP) — The Senate Republican leader, who last year accused the Obama administration of Nixon-style dirty tricks, said Friday that the Internal Revenue Service's targeting of conservative groups is part of a broader government assault on free speech.

Sen. Mitch McConnell of Kentucky seized on the spate of controversies besetting the White House, saying Americans are recognizing a pattern of attack on First Amendment rights across government agencies, the administration, President Barack Obama's congressional allies, left-wing groups and public-employee unions.

"As serious as the IRS scandal is, what we're dealing with here is larger than the actions of one agency or any group of employees," McConnell, who is up for re-election next year, said in a speech to the conservative American Enterprise Institute. "This administration has institutionalized the practice of pitting bureaucrats against the very people they're supposed to be serving, and it needs to stop."

Speaking to the same organization last year, McConnell accused the administration and Obama's re-election campaign of leaking tax information and maintaining an enemies list in a chilling style reminiscent of President Richard Nixon, the Republican who resigned in 1974 amid the Watergate scandal. McConnell's criticism was largely dismissed as election-year hyperbole.

In the first six months of Obama's second term, the administration's problems have produced an assortment of political targets for Republicans. One is the IRS affair, which has resulted in resignations and departures from the agency. So far, no evidence has come to light that anyone in the Obama administration outside the IRS was involved in targeting conservative groups for extra scrutiny when they applied for tax-exempt status.

Other issues facing the Obama administration this year include government surveillance of phone and Internet records; its handling of last year's terrorist attack on the U.S. diplomatic mission in Benghazi, Libya, which killed four Americans; the Justice Department's seizure of phone records of journalists at The Associated Press and, in another case, reading the emails of Fox News reporter James Rosen.

McConnell referred to the IRS episode with a bit of I-told-you-so.

"When I warned about all this last year, I got slammed by the usual suspects on the left. They said I was full of it," he said. "But even some of them now seem to realize that just because McConnell is the one pulling the alarm doesn't mean there isn't a fire. The IRS scandal has reminded people of the temptations to abuse that big government, and its political patrons, are prone to. People are waking up to a pattern here."

In comments certain to appeal to Republican voters, McConnell described public sector unions as power hungry and able to expand their reach with the help of congressional friends. He said the unions no longer serve the public's interest but rather the government's.

"There's no better illustration of this than the announcement this week that in the midst of congressional hearings into their activities, unionized employees at the IRS are about to get $70 million in bonuses," McConnell complained.

Sen. Chuck Grassley, R-Iowa, said earlier this week that the IRS plans to hand out $70 million in bonuses to employees. Under a contract with the employees' union, IRS workers can receive individual performance bonuses of up to $3,500 a year.

In response to Grassley's criticism, the agency said it's under a legal obligation to comply with its collective bargaining agreement with the National Treasury Employees Union. The agency and the union say they are in negotiations over the matter.

McConnell used the speech to deliver a forceful defense of the Supreme Court's 2010 Citizens United ruling, which lifted many restrictions on corporate spending in political elections.

____

Follow Donna Cassata at https://twitter.com/DonnaCassataAP

"Choose a job you love and you will not have to work a day in your life" (Confucius)

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Luis Miguel Goitizolo

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RE: ARE WE NOW IN THE END TIMES?
6/21/2013 9:34:24 PM

The Last Mystery of the Financial Crisis

It's long been suspected that ratings agencies like Moody's and Standard & Poor's helped trigger the meltdown. A new trove of embarrassing documents shows how they did it


Yahoo! Finance/Victor Juhasz/Rolling Stone - The Last Mystery of the Financial Crisis

What about the ratings agencies?

That's what "they" always say about the financial crisis and the teeming rat's nest of corruption it left behind. Everybody else got plenty of blame: the greed-fattened banks, the sleeping regulators, the unscrupulous mortgage hucksters like spray-tanned Countrywide ex-CEO Angelo Mozilo.

But what about the ratings agencies? Isn't it true that almost none of the fraud that's swallowed Wall Street in the past decade could have taken place without companies like Moody's and Standard & Poor's rubber-stamping it? Aren't they guilty, too?

Man, are they ever. And a lot more than even the least generous of us suspected.

Thanks to a mountain of evidence gathered for a pair of major lawsuits by the San Diego-based law firm Robbins Geller Rudman & Dowd, documents that for the most part have never been seen by the general public, we now know that the nation's two top ratings companies, Moody's and S&P, have for many years been shameless tools for the banks, willing to give just about anything a high rating in exchange for cash.

[Read more from Rolling Stone: Everything Is Rigged: The Biggest Price-Fixing Scandal Ever]

In incriminating e-mail after incriminating e-mail, executives and analysts from these companies are caught admitting their entire business model is crooked.

"Lord help our ****ing scam . . . this has to be the stupidest place I have worked at," writes one Standard & Poor's executive. "As you know, I had difficulties explaining 'HOW' we got to those numbers since there is no science behind it," confesses a high-ranking S&P analyst. "If we are just going to make it up in order to rate deals, then quants [quantitative analysts] are of precious little value," complains another senior S&P man. "Let's hope we are all wealthy and retired by the time this house of card[s] falters," ruminates one more.

Ratings agencies are the glue that ostensibly holds the entire financial industry together. These gigantic companies – also known as Nationally Recognized Statistical Rating Organizations, or NRSROs – have teams of examiners who analyze companies, cities, towns, countries, mortgage borrowers, anybody or anything that takes on debt or creates an investment vehicle.

Their primary function is to help define what's safe to buy, and what isn't. A triple-A rating is to the financial world what the USDA seal of approval is to a meat-eater, or virginity is to a Catholic. It's supposed to be sacrosanct, inviolable: According to Moody's own reports, AAA investments "should survive the equivalent of the U.S. Great Depression."

It's not a stretch to say the whole financial industry revolves around the compass point of the absolutely safe AAA rating. But the financial crisis happened because AAA ratings stopped being something that had to be earned and turned into something that could be paid for.

That this happened is even more amazing because these companies naturally have powerful leverage over their clients, as they are part of a quasi-protected industry that enjoys massive de facto state subsidies. Largely that's because government agencies like the Securities and Exchange Commission often force private companies to fulfill regulatory requirements by retaining or keeping in reserve certain fixed quantities of assets – bonds, securities, whatever – that have been rated highly by a "Nationally Recognized" ratings agency, like the "Big Three" of Moody's, S&P and Fitch. So while they're not quite part of the official regulatory infrastructure, they might as well be.

[Read more from Rolling Stone: The Scam Wall Street Learned From the Mafia]

It's not like the iniquity of the ratings agencies had gone completely unnoticed before. The Financial Crisis Inquiry Commission published a case study in 2011 of Moody's in particular and discovered that between 2000 and 2007, the agency gave nearly 45,000 mortgage-backed securities AAA ratings. One year Moody's doled out AAA ratings to 30 mortgage-backed securities every day, 83 percent of which were ultimately downgraded. "This crisis could not have happened without the rating agencies," the commission concluded.

Thanks to these documents, we now know how that happened. And showing as they do the back-and-forth between the country's top ratings agencies and one of America's biggest investment banks (Morgan Stanley) in advance of two major subprime deals, they also lay out in detail the evolution of the industrywide fraud that led to implosion of the world economy – how banks, hedge funds, mortgage lenders and ratings agencies, working at an extraordinary level of cooperation, teamed up to disguise and then sell near-worthless loans as AAA securities. It's the black box in the American financial airplane.

In April, Moody's and Standard & Poor's settled the lawsuits for a reported $225 million. Brought by a diverse group of institutional plaintiffs with King County, Washington, and the Abu Dhabi Commercial Bank taking the lead, the suits accused the ratings agencies of conspiring in the mid-to-late 2000s with Morgan Stanley to fraudulently induce heavy investment into a pair of doomed-to-implode subprime-laden deals, called Cheyne and Rhinebridge.

Stock prices for both companies soared at the settlement, with markets believing the firms would be spared the hell of reams of embarrassing evidence thrust into public view at trial. But in a quirk, an earlier judge's ruling had already made most of the documents in the case public. Although a few news outlets, including The New York Times, took note at the time, the vast majority of the material was never reported, and some was never seen by reporters at all. The cases revolved around a highly exotic and complex financial instrument called a SIV, or structured investment vehicle.

The SIV is a not-so-distant cousin of the special purpose entity, or SPE, which was the main weapon of destruction in the Enron scandal. The corporate scam du jour in those days was mass accounting fraud, in which a company would create an ostensibly independent corporate structure that would actually be controlled by its own executives, who would then move their company's liabilities off their own books and onto the remote-controlled SPE, hiding the firm's losses.

The SIV is a similar concept. They first started showing up in the late Eighties after banks discovered a loophole in international banking standards that allowed them to create SPE-like repositories full of assets like mortgage-backed securities and keep them off their own books.


Emails reveal major culprit in financial crisis

"Choose a job you love and you will not have to work a day in your life" (Confucius)

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Luis Miguel Goitizolo

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RE: ARE WE NOW IN THE END TIMES?
6/22/2013 9:43:16 AM

Does this photo of Alaska show a troublesome trend?


Rare view from space of Alaska on a nearly cloudless day (NASA Goddard Photo and Video)

A gorgeous – and rare – nearly cloudless view of the entire state of Alaska was captured by NASA’s Terra satellite on June 17, 2013.

But is the photo beautiful or a bad sign? Some on the Web suggested that warmer temperatures in the state that have led to less cloud cover could be a sign of global warming.

NASA explains on its website that the near-cloudless state is a result of higher-than-normal temperatures:

“The same ridge of high pressure that cleared Alaska's skies also brought stifling temperatures to many areas accustomed to chilly June days. Talkeetna, a town about 100 miles north of Anchorage, saw temperatures reach 96°F (36°C) on June 17. Other towns in southern Alaska set all-time record highs, including Cordova, Valez, and Seward. The high temperatures also helped fuel wildfires and hastened the breakup of sea ice in the Chukchi Sea.”

The photo raises more questions than answers about rising temperatures that may either be a fluke or a longer-term sign of a worrisome trend.

A writer for Slate noted a similar occurrence with a study of rising temperatures in Greenland last summer, when 98 percent of Greenland’s ice surface "experienced melting between July 8-15, 2012."

A change to the jet stream over Greenland could be the explanation, causing “warmer high-pressure systems to sit and stay in one place in what’s called a blocking pattern.”

So are Arctic weather patterns changing due to global climate change? As Slate points out, we’ll know more in the next few years. Meanwhile, it is a really nice view – and a potentially worrisome sign.


"Choose a job you love and you will not have to work a day in your life" (Confucius)

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