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Paul Merrell

BP Settlement in Gulf Oil Spill Is Raised to $20.8 Billion - The New York Times - 0 views

  • The Justice Department on Monday announced a final settlement with the oil giant BP of $20.8 billion for its role in the disastrous 2010 Gulf of Mexico oil spill, raising the total from the initial $18.7 billion settlement announced in July.At either amount, it is the largest environmental settlement — and the largest civil settlement with any single entity — in the nation’s history.The United States attorney general, Loretta Lynch, called the filing of the final settlement “a major step forward in our effort to deliver justice to the gulf region in the wake of the Deepwater Horizon tragedy — the largest environmental disaster our nation has ever endured.”Gina McCarthy, the Environmental Protection Agency administrator, estimated that the final settlement represented a payment of $1,725 for each barrel of oil spilled in the disaster. The maximum amount that a judge could have assessed in the case was $4,300 a barrel.
  • The settlement resolves a 2010 lawsuit filed by the Justice Department against BP. It includes civil claims under the Clean Water Act, for which BP has agreed to pay a $5.5 billion penalty, the largest civil penalty in the history of environmental law. Also, it includes natural resources damages claims under the Oil Pollution Act, for which BP has agreed to pay $7.1 billion, on top of the $1 billion it previously committed to pay for early restoration work. Continue reading the main story Related in Opinion Editorial: BP Deal Will Lead to a Cleaner GulfJULY 8, 2015 In addition, the settlement includes economic damages claims, for which BP has agreed to pay $4.9 billion to the five gulf states — Alabama, Florida, Louisiana, Mississippi and Texas — and up to $1 billion to local governments. Louisiana, the hardest hit of the states, will receive $5 billion of the $8.8 billion allocated for restoration.Ms. Lynch said the increase in the total settlement represented a “refining of the numbers” over the initial settlement. “Over time, we refine numbers as the settlement is finalized,” she said.
  • Geoff Morrell, BP senior vice president for United States communications, said in a statement that the revised overall figure did not change the settlement announced in July, but included amounts previously spent or disclosed by the company. The settlement, he said, “resolves the largest litigation liabilities remaining from the tragic accident,” and provides the company “certainty with respect to its financial obligations.”Under the draft restoration plan, $8.8 billion would be allocated to restore the gulf ecosystem.
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  • A panel responsible for assessing the damages to the gulf ecosystems found effects on the region’s wildlife, including fish, oysters, plankton, birds and sea mammals; habitat, including marshes and beaches; and recreational activities.The proposed $8.8 billion in restoration would be invested across the five gulf states over 15 years, in a range of projects intended to restore those resources.“This restoration plan ensures that the funds will be distributed in ways that make sense,” Ms. McCarthy said.
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    Let's see. $20.8 billion total settlement. $8.8 billion going to environmental restoration. The Feds pocket $12 billion. And it's all pennies on the dollar in terms of ongoing damage.  The Feds, knowing that they can profit from environmental havoc committed by corporations, only paused deep ocean drilling permits for a few months, hoping for more damage to be caused by other companies.  The real scandal was and is that BP had a long and extremely well-documented history of causing environmental disasters in their pursuit of oil profits. Were there truly any environmental justice, the result would have been corporate capital punishment and virtually all of its executives in prison for the remainder of their lives, preferably at hard labor cleaning up the mess they created. But throw enough zeros after the settlement number and the human beings whose penny-pinching on safety caused the disaster walk free, free to do it all over again. They must have joined the same Too Big to Jail Golf Club that the banksters use.  
Gary Edwards

Goldman Sachs mortgage-backed securities settlement - Business Insider - 0 views

  • “Goldman took $10 billion in TARP bailout funds knowing that it had fraudulently misrepresented to investors the quality of residential mortgages bundled into mortgage backed securities,” said Special Inspector General Christy Goldsmith Romero for TARP. 
  • “Many of these toxic securities were traded in a taxpayer funded bailout program that was designed to unlock frozen credit markets during the crisis.  While crisis investigations take time, SIGTARP is committed to working with our law enforcement partners to protect taxpayers and bring accountability and justice.”
  • $5 billion settlement with Goldman Sachs over the bank’s deceptive practices leading up to the financial crisis.
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  • The settlement includes an agreed-upon statement of facts that describes how Goldman Sachs made multiple representations to RMBS investors about the quality of the mortgage loans it securitized and sold to investors, its process for screening out questionable loans, and its process for qualifying loan originators. 
  • Contrary to those representations, Goldman Sachs securitized and sold RMBS backed by large numbers of loans from originators whose mortgage loans contained material defects.
  • In the statement of facts, Goldman Sachs acknowledges that it securitized thousands of Alt-A, and subprime mortgage loans and sold the resulting residential mortgage-backed securities (“RMBS”) to investors for tens of billions of dollars. 
  • During the course of its due diligence process, Goldman Sachs received pertinent information indicating that significant percentages of the loans reviewed did not conform to the representations it made to investors.
  • Goldman also received and failed to disclose negative information that it obtained regarding the originators’ business practices.  Indeed, Goldman’s due diligence vendors provided Goldman with reports reflecting that the vendors had graded significant numbers and percentages of sampled loans as EV3s, i.e., not in compliance with originator underwriting guidelines. 
  • In certain circumstances, Goldman reevaluated loan grades and directed that such loans be waived into the pools to be purchased or securitized. 
  • In many cases, 80 percent or more of the loans in the loan pools Goldman purchased and securitized were not sampled for credit and compliance due diligence. 
  • Nevertheless, Goldman approved various offerings for securitization without requiring further due diligence to determine whether the remaining loans in the deal contained defects.  A Goldman employee overseeing due diligence for a particular loan pool noted that the pool included loans originated with “[e]xtremely aggressive underwriting” and “large program exceptions made without compensating factors.”  Despite this observation, Goldman did not review the remaining portion of the pool, and subsequently securitized thousands of loans from the pool. 
  • Goldman made statements to investors in offering documents and in certain other marketing materials regarding its process for reviewing and approving originators, yet it failed to disclose  to investors negative information it obtained about mortgage loan originators and its practice of securitizing loans from suspended originators. 
  • Attorney General Schneiderman was elected in 2010 and took office in 2011, when the five largest mortgage servicing banks, 49 state attorneys general, and the federal government were on the verge of agreeing to a settlement that would have released the banks – including Bank of America – from liability for virtually all misconduct related to the financial crisis.
  • Attorney General Schneiderman refused to agree to such sweeping immunity for the banks. As a result, Attorney General Schneiderman secured a settlement that preserved a wide range of claims for further investigation and prosecution.
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    If this doesn't qualify as fraud, nothing does. "We now know more about the $5 billion settlement Goldman Sachs has agreed to pay related to residential mortgage-backed securities it sold between 2005 and 2007. Regulators announced details of the settlement on Monday. Goldman Sachs initially announced the settlement in January. That nearly wiped out fourth-quarter earnings for the firm. "Today's settlement is yet another acknowledgment by one of our leading financial institutions that it did not live up to the representations it made to investors about the products it was selling," said one regulator, U.S. Attorney Benjamin B. Wagner of the Eastern District of California, in a statement. Morgan Stanley announced a similar settlement in February. It agreed to pay $3.2 billion over charges that it misled investors on the quality of mortgage loans it sold. And on Friday, the Justice Department announced that Wells Fargo had agreed to pay $1.2 billion to settle "shoddy" mortgage-lending practices. Here's what we learned about the Goldman settlement on Monday:"
Paul Merrell

Bank Of America's $17 Billion Mortgage Crisis Settlement Could Be A Total Bust | ThinkP... - 0 views

  • Bank of America has agreed to a legal settlement with the Department of Justice (DOJ) to avoid prosecution for the hundreds of billions of dollars in bad mortgage loans that it and its subsidiaries sold to unwitting investors in the run-up to the financial crisis, according to multiple new reports. The total on-paper cost of the deal is reportedly at least $16 billion and perhaps as high as $17 billion, which makes it the largest corporate legal settlement with the government in U.S. history. But that record price tag is deceptive. The deal is unlikely to cost Bank of America anywhere close to that amount.
  • “If you let a thief buy his way out of jail, you should really make sure the check doesn’t bounce,” HDL national campaign director Kevin Whelan said in an email. “Even a record $17 billion settlement is a small fraction of the damage done by B of A and Countrywide. But it could do real good for a lot of families,” Whelan said. “The fact that the JP Morgan Chase settlement has not delivered any noticeable relief to families makes us skeptical.”
  • the government’s decision to pursue civil settlements rather than criminal cases against banks that inflated the toxic mortgage bubble means that shareholders pay the price while executives who oversaw the misconduct earn large bonuses.
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  • Even at face value, the reported settlement is minuscule compared to the harm caused by Bank of America companies. The on-paper cost of the deal is less than 7 percent of the value of the mortgage deals Bank of America and its subsidiaries Countrywide and Merrill Lynch made before the crisis that have since gone bad. (Bank of America bought Countrywide and Merrill Lynch at the height of the crisis.) Those three companies issued just shy of a trillion dollars in mortgage-backed securities in the run-up to the financial collapse, and $245 billion of those products have gone bad, according to Bloomberg. Bank of America had pushed for a much smaller settlement for months, arguing that it should not have to pay for the sins of the firms it bought at bargain-bin prices when the economy was reeling. But a court ruling last month regarding Countrywide’s most notorious mortgage swindle caused the bank to change its tune, according to the New York Times. Judge Jed Rakoff ordered the bank to pay about $1.3 billion for one tranch of defective mortgages sold under a program that Countrywide nicknamed “Hustle” because of its fraudulent nature. Having lost one court case over Countrywide’s notorious misdeeds, the Times says, Bank of America decided to stop resisting federal officials’ settlement demands.
  • After tax deductions, the settlement could easily shrink below the roughly $15 billion in profits the company has reported since 2011. And because the financial crisis sucked something like $14 trillion out of the economy and destroyed tens of trillions of dollars in wealth for homeowners, the DOJ can hardly claim to have delivered a proportional response. The department’s claims about the Bank of America settlement are likely to draw political scrutiny. A bipartisan bill from Sens. Elizabeth Warren (D-MA) and Tom Coburn (R-OK) would require government officials to state the full tax deductibility and true cost of corporate legal settlements in all public statements about them. That bill, inspired by the revelations that JP Morgan’s sweetheart deal with the DOJ didn’t come close to the portrait that Attorney General Eric Holder painted of it, was passed out of committee late last month.
Gary Edwards

A New Reserve Currency to Challenge the Dollar | Veterans Today - 0 views

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    Author David Malone digs into world events, suggesting that all the saber rattling over Iran and nuclear weapons is really about GOLD!   He argues that the dollar is rapidly being replaced as the world's "settlement" currency.  As a function, "settlement" is different than "reserve", but since WWII and the Basel Conference, the USA Dollar has been both the currency of "reserve" and settlement".  That is now changing, and fast! David further suggests that the Iraqi wars with Saddam Hussein were also about his use of the Euro to "settle" oil purchases.  It could also be argued that Muamma Gaddafi in Lybia was removed because he was organizing all of Africa to "settle" oil and other commodity purchases in GOLD, and not the USA Dollar. Are the Islamic wars really about oil?  Or are they about how oil purchases are "settled"? David further argues that Russia, India, China and Japan are actively pursuing a GOLD based settlement currency agreement series where the Chinese Yuan plays a central role.  Interestingly, all of these countries have cut agreements with Iran.  Which seems to have triggered the December 2011 Obama response banning any banks, both private and government controlled, from dealings with Iran.   It's increasingly looking like it's not the Iranian nuclear weapons program that is upsetting to Obama and his Bankster buddies.  It's the rapid replacement of the worthless paper USA dollar as a settlement currency. One of the interesting points the venerable "Veterans Today" news sight is making is that our military is being used to forcefully prop up an inflationary Bankster Dollar, and force oil producing countries into accepting that inflated Bankster Dollar as payment.  The one thing the International Bankster Cartel doesn't want is for the trade of important commodities, especially energy, to be paid for in GOLD instead of the worthless paper they control. excerpt: I think the stand-off with Iran in the Straits of Hormuz over sanctions is a
Paul Merrell

Israel's settlement law: Consolidating apartheid | Israel | Al Jazeera - 0 views

  • "Israel has just opened the 'floodgates', and crossed a 'very, very thick red line'." These were the words of Nickolay Mladenov, United Nations' Coordinator for the Middle East Peace Process, in response to the passing of a bill at the Israeli Knesset on February 7 that retroactively legalises thousands of illegal settler homes, built on stolen Palestinian land. Mladenov's job title has grown so irrelevant in recent years that it merely delineates a reference to a bygone era: a "peace process" that has ensured the further destruction of whatever remained of the Palestinian homeland. Israeli politicians' approval of the bill is indeed an end of an era. We have reached the point where we can openly declare that the so-called peace process was an illusion from the start, for Israel had no intentions of ever conceding the occupied West Bank and East Jerusalem to the Palestinians. In response to the passing of the bill, many news reports alluded to the fact that the arrival of Donald Trump in the White House, riding a wave of right-wing populism, was the inspiration needed by equally right-wing Israeli politicians to cross that "very, very thick red line". There is truth to that, of course. But it is hardly the whole story.
  • The political map of the world is vastly changing. Just weeks before Trump made his way to the Oval Office, the international community strongly condemned Israel's illegal settlements on Palestinian land occupied since 1967, including East Jerusalem.
  • That date, Trump's inauguration was the holy grail for Israel's right-wing politicians, who mobilised immediately after Trump's rise to power. Israel's intentions received additional impetus from Britain's Conservative Prime Minister, Theresa May. Despite her government vote to condemn Israeli settlements at the UN, she too ranted against the US for its censure of Israel.
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  • The so-called "Regulation Bill" will retroactively validate 4,000 illegal structures built on private Palestinian land. In the occupied Palestinian territories, all Jewish settlements are considered illegal under international law, as further indicated in UNSC Resolution 2334. There are also 97 illegal Jewish settlement outposts - a modest estimation - that are now set to be legalised and, naturally, expanded at the expense of Palestine. The price of these settlements has been paid mostly by US taxpayers' money, but also the blood and tears of Palestinians, generation after generation. It is important, though, that we realise that Israel's latest push to legalise illegal outposts and annex large swaths of the West Bank is the norm, not the exception.
  • With the UK duly pacified, and the US in full support of Israel, moving forward with annexing Palestinian land became an obvious choice for Israeli politicians. Bezalel Smotrich, a Knesset member of the extremist Jewish Home party, put it best. "We thank the American people for voting Trump into office, which was what gave us the opportunity for the bill to pass," he said shortly after the vote.
  • But what is the Palestinian leadership doing about it? "I can't deny that the (bill) helps us to better explain our position. We couldn't have asked for anything more," a Palestinian Authority official told Al-Monitor on condition of anonymity, as quoted by Shlomi Elder. WATCH: 'The settlers and the guards harass us and our children' (2:35) Elder writes: "The bill, whether it goes through or is blocked by the Supreme Court, already proves that Israel is not interested in a diplomatic resolution of the conflict."
  • The greatest mistake that the Palestinian leadership has committed (aside from its disgraceful disunity) was entrusting the US, Israel's main enabler, with managing a "peace process" that has allowed Israel time and resources to finish its colonial projects, while devastating Palestinian rights and political aspirations. Returning to the same old channels, using the same language, seeking salvation at the altar of the same old "two-state solution" will achieve nothing, but to waste further time and energy. It is Israel's obstinacy that is now leaving Palestinians (and Israelis) with one option, and only one option: equal citizenship in one single state or a horrific apartheid. No other "solution" suffices. In fact, the Regulation Bill is further proof that the Israeli government has already made its decision: consolidating apartheid in Palestine. If Trump and May find the logic of Netanyahu's apartheid acceptable, the rest of the world shouldn't. In the words of former President Jimmy Carter, "Israel will never find peace until it ... permit(s) the Palestinians to exercise their basic human and political rights." That Israeli "permission" is yet to arrive, leaving the international community with the moral responsibility to exact it.
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    Not mentioned in the article: the Knesset's Regulation Bill formally annexed territory inside the West Bank and holds that Israeli law, rather than military law, will now govern the annexed portions. That is the fact that establishes a clean break with the 2-state solution and flies in the face of international law including the Fourth Geneva Convention, which strictly prohibits annexation and requires the immediate withdrawal of invading military forces from occupied territories immediately upon cessation of hostilities, which occurred in 1967. The two-state solution is dead, although the Regulation Bill will likely be overturned by the Israeli Supreme Court. Trump gave Israel's ultra-right wing leaders way too much encouragement.
Paul Merrell

Elizabeth Warren Denounces Travesty of Government "Settlement" With Goldman Sachs - 0 views

  • Criticism of US government leniency on Wall Street legal transgressions is now being covered widely - even by trade publications such as the National Mortgage Professional Magazine. On January 18, the trade publication ran an article about Sen. Elizabeth Warren (D-Massachusetts) condemning the most recent US government settlement with a "too-big-to-fail" financial firm, in this case Goldman Sachs, for illegal abuse of the mortgage market: Sen. Warren used her Facebook page to denounce the agreement, noting that the settlement sum was “barely a fraction of the billions investors lost” while arguing that Goldman Sachs was not properly penalized for its actions. “That’s not justice – it’s a white flag of surrender,” she wrote. “It’s time to end this farce. These companies think they’re above the law – and too many government officials go along with them. A first step would be to pass the bipartisan Truth in Settlements Act to shine more light on these backroom deals. A second step would be to get government officials who have the backbone to fight back.” Warren’s comments were echoed by the nonprofit U.S. Public Interest Research Group (U.S. PIRG).
  • The publication, which is geared toward professionals in the mortgage industry, also tellingly noted, "In announcing the [$5.1 billion] settlement, Goldman Sachs made no admission of guilt or error, and no executive from the New York-based financial giant will face criminal or civil charges."  As we have noted in this space many times, the seemingly large financial penalties levied on Wall Street firms for illegal activity are not so large, in the context of those firms' budgets: The fines are generally less than the revenue that the firms generated by engaging in the often fraudulent practices in the first place. As The Huffington Post noted in a report on the recent settlement,  About $2.4 billion of the settlement is in the form of a government penalty. The bank has said that it securitized about $125 billion of home loans between 2005 and 2008, of which about $23 billion eventually soured. The penalty represents about 10 percent of investors’ losses. Goldman can deduct the rest of the settlement, about $2.7 billion, from its future tax bills, according to a person familiar with the accord. The bank said the settlement will reduce its fourth-quarter profit by about $1.5 billion. It reports earnings next week.
  • Goldman Sachs is being let off the hook for 90 percent of the investor losses for which it was primarily responsible. Furthermore, as is consistent with past settlements with Wall Street firms by the Department of Justice and other executive agencies, much of the fine is tax-deductible. As BuzzFlash has noted before, this rewards Wall Street financial companies by allowing them to factor in settlements with the government for illegal behavior as nothing more than the cost of doing business. Former Attorney General Eric Holder, who left office last year to resume a six-figure-salary partnership at the DC corporate law firm of Covington & Burling (which defends many of the firms that Holder was responsible for prosecuting as attorney general), infamously stated to a US Senate committee in March of 2013: I am concerned that the size of some of these institutions becomes so large that it does become difficult for us to prosecute them when we are hit with indications that if we do prosecute - if we do bring a criminal charge - it will have a negative impact on the national economy, perhaps even the world economy.  Apparently, under current Attorney General Loretta Lynch, that legal exemption for too-big-to-fail financial firms and their executives has not changed.
Paul Merrell

New poll shows sharp partisan divide on UN settlements resolution, and between Jews and... - 0 views

  • A poll of registered voters from the end of the year shows that on the issue of the UN Security Council resolution against settlements of December 23, there are sharp splits between Democrats and Republicans and between Jews and African-Americans/Hispanics. There’s a huge partisan divide in the data released by Politico/Morning Consult. Democrats support the UN resolution, by 47 to 16 percent. Among Republicans, it’s the opposite: 43-24 percent against. And the Democratic Party is divided between traditional blocs: Jews were against the resolution by 47-42 percent. But Hispanics are 44-17 percent for the resolution. And African Americans are 39-18 percent for the resolution. Religious nones/atheists are also strongly for the resolution.
  • Registered voters support the resolution, overall, 35-28 percent. Good news for those who oppose settlements: the voters have the politicians’ backs. Break out whites, they support the resolution: 34-31 percent. Though bear in mind, in each of those categories, there are large numbers who are indifferent. Jews and Protestants stand out as being against the resolution. Jews: 47 oppose, 42 support. Only 12 percent don’t know. That’s the indifference quota, very low. Evangelicals: 36-27 percent oppose it. But 37 percent don’t know. Protestants oppose the resolution, 41-28. But Catholics support, it 39-30. Here’s the big kahuna in the poll: Atheists/Agnostics/Nones: 43-16 percent support the UN Resolution. That’s whopping. Notice that the Nones/Agnostics/Atheists now make up 478 of the sample of 2000 — nearly a quarter. Jews are only 63. Talk about punching above your weight! Those Nones are what gave Bernie Sanders his oomph on this issue. More of the partisanship. Clinton voters: 49-14 percent support the resolution. But Trump voters: 46-23 percent oppose it.
  • Young people don’t buy the security argument. From ages 18-44, the numbers are about 30-20 percent saying that the settlements are illegal. Between 45 and 55, it’s even. The numbers only start going the other way, for the settlements as a security measure, above age 55. The religious difference is even more pronounced when you ask whether settlements are a security measure or illegal. Jews go 52-32 percent for them being a security measure, with 16 percent having no opinion. And while evangelicals line up more or less with Jews, by 35-19 saying it’s a security measure, 47 percent don’t know/have no opinion. So much for the fervor of the evangelicals. Again: Jews know about settlements. Only 16 percent of Jews don’t know or have no opinion. But among other religions the no opinion numbers are all 39 or higher. Nones/Agnostics/Atheists say they’re illegal, 35-18. But 47 percent have no opinion. This is important because it shows that while Jews are just 3 percent of the sample, they care more than any other group. They know the story. And they’re conservative on the question.
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  • he Democratic Party is fractured. The party blocs of Nones, Higher Educated, African-Americans, Hispanics are against the settlements. Only Jews are for them. That divide is not going away. It’s getting rawer. Norman Finkelstein is surely right that the conflict is politically quiescent/sewn up in Israel/Palestine. But it’s not sewn up here. No: things are busting out all over. Wait till Republicans work to expose the differences. Wait till Keith Ellison and Tom Perez square off over this issue inside the Democratic Party.
Paul Merrell

Jamie Dimon's $13 Billion Secret | The Nation - 0 views

  • In the end, the abject fear of Ben Wagner got Jamie Dimon to cave.For much of 2013, Dimon, the chairman and chief executive of the formidable JPMorgan Chase & Company, was telling anyone who would listen that it was unfair and unjust for federal and state prosecutors to blame him and his bank for the manufacture and sale of mortgage-backed securities that occurred at Bear Stearns & Company and at Washington Mutual in the years leading up to the financial crisis. When JPMorgan Chase bought those two failing firms in 2008, Dimon argued, he was just doing what Ben Bernanke, Hank Paulson and Timothy Geithner had asked him to do. Why should his bank be held financially accountable for the bad behavior at Bear and WaMu?It was a clever argument—and wrong. Dimon's relentless effort to spin his patriotic story soon collided with the fact that Wagner, the US Attorney for the Eastern District of California, had uncovered evidence that JPMorgan itself was guilty of many of the same greedy and irresponsible behaviors. Piles of subpoenaed documents and e-mails revealed that JPMorgan bankers and traders had underwritten billions of dollars' worth of questionable mortgage-backed securities that Dimon had been telling everyone had originated at Bear Stearns and WaMu. Worse, the bad behavior had occurred on Dimon's watch.
  • The likelihood that the Justice Department would file Wagner's civil complaint last fall—exposing publicly for the first time the litany of wrongdoing at JPMorgan and threatening to push it off the perch that Dimon had so artfully constructed for it over the years—ultimately brought Dimon to the table. On September 26, just weeks after the Justice Department shared a draft copy of Wagner's complaint with Dimon, the two sides arranged for a summit meeting between Dimon and Attorney General Eric Holder. By mid-November, the bank had agreed to pay $13 billion in a comprehensive settlement of mortgage-related securities claims with various branches of the federal government and a group of states, led by the attorneys general of New York, California, Illinois, Massachusetts and Delaware.It was the largest financial settlement of all time, and it kept Wagner's complaint away from the prying eyes of the public. One thing is clear: Dimon's claim that his own bankers and traders had done nothing wrong in the years leading up to the financial crisis wasn't true. "The investigators and the lawyers were uncovering very viable evidence," explains Associate Attorney General Tony West, who headed up the settlement negotiations on behalf of the Justice Department. "I think there was recognition that we had enough evidence there that would support the complaint and would support a robust lawsuit."
  • [A disclosure of my own: after JPMorgan Chase fired me as a managing director in January 2004, I brought—and lost—a wrongful-dismissal arbitration against the bank. Separately, I remain in litigation with the bank as the result of a soured investment I made in 1999.]
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  • Dimon was more circumspect. In a conference call the day the settlement was announced, he mostly kept quiet while Marianne Lake, the firm's CFO, led financial analysts through the details, including how $7 billion of the $13 billion fine would be tax-deductible.
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    In a Matt Taibbi-quality lengthy report, William Cohan takes the reader inside the lengthy negotiations of JPMorgan's $13 billion settlement with state and federal prosecutors. JPMorgan admitted to criminal wrongdoing, and the settlement does not include immunity from criminal prosecution for anybody. But the author notes that there is not even a hint that anyone is working on criminal charges. There's a lot of discussion of dissension within the ranks of different state and federal attorneys involved. The article paints Ben Wagner, the US Attorney for the Eastern District of California, as the hero.  In my book, no one involved deserves hero status because no criminal charges have been filed against any JPMorgan managers or board members, hence there is still no incentive for any of the fraudsters who brought down the economy in 2008 to behave differently in the future. JPMorgan emains not too big to fail but too politically connected for its principals to be jailed. According to the article, the government lawyers had iron-clad proof that a group of JPMorgan managing directors had been informed that pools of mortages they were planning to buy were toxic but "buy two of the loan pools anyway, including those with the squirrelly mortgages. JPMorgan then proceeded to bundle "hundreds of millions of dollars of loans from those pools into one security." Wagner found that between the start of 2006 and the middle of 2007-when the mortgage securitization frenzy was at its peak-JPMorgan packaged and sold securities containing thousands of mortgages that were rated by a third-party evaluator to be of extremely low quality, meeting few, if any, of the bank's underwriting standards." If true, that is very serious fraud deserving of the directors' prosecution for criminal fraud and lengthy prison sentences.   The article touches on A.G. Holder's too big to jail argument but that argument, in my opinion, deserves no credibility before antitrust actions are filed to c
Gary Edwards

The Top Twelve Reasons Why You Should Hate the Mortgage Settlement « naked ca... - 0 views

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    Must read stuff.  The Obama Foreclosure Settlement Act is a clever exit strategy for criminal Banksters having committed the most egregious fraud.  A $9 Trillion dollar problem, rife with criminal activities, is settled for a mere $25 Billion, much of which will come out of the taxpayers hide thanks to Fannie and Freddie guarantees.  This deal stinks of typical Obama crony banksterism.  Now we need to watch for how many millions the Banksters pour into the newly authorized Obama Super PACS.  Should be interesting. excerpt: As we've said before, this settlement is yet another raw demonstration of who wields power in America, and it isn't you and me. It's bad enough to see these negotiations come to their predictable, sorry outcome. It adds insult to injury to see some try to depict it as a win for long suffering, still abused homeowners. 1. We've now set a price for forgeries and fabricating documents. It's $2000 per loan. This is a rounding error compared to the chain of title problem these systematic practices were designed to circumvent. The cost is also trivial in comparison to the average loan, which is roughly $180k, so the settlement represents about 1% of loan balances. It is less than the price of the title insurance that banks failed to get when they transferred the loans to the trust. It is a fraction of the cost of the legal expenses when foreclosures are challenged. It's a great deal for the banks because no one is at any of the servicers going to jail for forgery and the banks have set the upper bound of the cost of riding roughshod over 300 years of real estate law....... 12. We'll now have to listen to banks and their sycophant defenders declaring victory despite being wrong on the law and the facts. They will proceed to marginalize and write off criticisms of the servicing practices that hurt homeowners and investors and are devastating communities. But the problems will fester and the housing market will continue to suffer. Inv
Gary Edwards

Schneiderman Is Said to Face Pressure to Back Bank Deal - NYTimes.com - 0 views

  • Terms of the possible settlement under consideration center on foreclosure improprieties like so-called robo-signing and submitting apparently forged documents to the courts to speed up the process of removing troubled borrowers from homes.
  • An initial term sheet outlining a possible settlement emerged in March, with institutions including Bank of America, Citigroup, JPMorgan Chase and Wells Fargo being asked to pay about $20 billion that would go toward loan modifications and possibly counseling for homeowners
  • In exchange, the attorneys general participating in the deal would have agreed to sign broad releases preventing them from bringing further litigation on matters relating to the improper bank practice
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    • Gary Edwards
       
      You've got to be kidding me!  $20 Billion and these crooks get to illegally foreclose on mortgages they can't document or prove they own?  They've stolen trillions of dollars, sunk the worlds economy, and maybe ended the greatest experiment in self government / individual liberty in mankind's 4,000 year history.  And the tab is only $20 Billion?  The Banksters steal that much in while putting on their pants in the morning.
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    By GRETCHEN MORGENSON Published: August 21, 2011 Eric T. Schneiderman, the attorney general of New York, has come under increasing pressure from the Obama administration to drop his opposition to a wide-ranging state settlement with banks over dubious foreclosure practices, according to people briefed on discussions about the deal. Eric T. Schneiderman has objected to elements of the settlement for months.  In recent weeks, Shaun Donovan, the secretary of Housing and Urban Development, and high-level Justice Department officials have been waging an intensifying campaign to try to persuade the attorney general to support the settlement, said the people briefed on the talks. Mr. Schneiderman and top prosecutors in some other states have objected to the proposed settlement with major banks, saying it would restrict their ability to investigate and prosecute wrongdoing in a variety of areas, including the bundling of loans in mortgage securities. But Mr. Donovan and others in the administration have been contacting not only Mr. Schneiderman but his allies, including consumer groups and advocates for borrowers, seeking help to secure the attorney general's participation in the deal, these people said. One recipient described the calls from Mr. Donovan, but asked not to be identified for fear of retaliation.
Paul Merrell

A look at the growth of Israeli settlements over the years - US News - 0 views

  • The European Union's move to label goods produced in Israeli settlements is the latest expression of international disapproval of one of the country's most controversial policies. The Palestinians view Jewish settlements in the West Bank and east Jerusalem as a major obstacle to reaching any two-state solution, saying they carve up lands expected to form a future Palestinian state. Virtually the entire international community, including the United States, views the settlements as illegal or illegitimate. Israel has long dismissed the criticism, saying most settlement growth is in areas it expects to keep in any future peace agreement and that the issue should be resolved in peace talks along with other core issues like security and borders. Many Israelis want to keep the West Bank and east Jerusalem -- territories captured from Jordan in the 1967 Arab-Israeli war -- citing security concerns as well as the deep religious significance of the territories for devout Jews.
  • The settlements are now home to more than 570,000 Israelis, according to the Israeli anti-settlement watchdog Peace Now. They range from small wildcat outposts on West Bank hilltops to fully developed towns with shopping malls, schools and suburban homes. Many Israelis choose to live in settlements for economic and quality-of-life reasons. Some 2.2 million Palestinians live in the West Bank, with another 300,000 in east Jerusalem.
  • — In 1972 there were just over 10,000 Israeli settlers, with 1,500 living in the West Bank and the rest in east Jerusalem. — Twenty years later, ahead of the Oslo peace accords between Israel and the Palestinians, there were 231,200 Israelis living in the territories, with 105,400 in the West Bank and 125,800 in east Jerusalem. — At the end of 2000, when the second Palestinian uprising began, over 365,000 Israelis lived in the territories with more than 198,000 in the West Bank and some 167,000 in east Jerusalem. — In 2008, the year before Prime Minister Benjamin Netanyahu took office, over 474,000 Israelis were living in the two territories, with about 281,000 in the West Bank and some 193,000 in east Jerusalem. — Some 570,700 settlers now live in the territories, according to the latest Peace Now figures from the end of 2014, with 370,700 in the West Bank and 200,000 in east Jerusalem.
Paul Merrell

The Settlements vs. the Peace Process « LobeLog - 0 views

  • On Wednesday, in the wake of Israel’s announcement of hundreds of more units in West Bank settlements, the Israeli Ministry of Foreign Affairs posted a page on its website articulating its view that building in the occupied West Bank is legal under international law and is not, as many critics claim, an impediment to peace. The fact that the MFA felt the need to make such a case indicates that rising international criticism, particularly from the U.S., is having an impact, and that case bears an examination of its key claims. Israel claims that the settlements are not illegal because the laws of belligerent occupation do not apply to the West Bank and that the prohibition against transferring citizens of an occupying power to occupied territory “…applied to forcible transfers and not to the case of Israeli settlements.” The vast majority of legal opinions, including those of the High Court of Justice in Israel and the US State Department (which consistently refers to the West Bank as “occupied territory”), directly contradict this claim. As recently as 2004, the High Court in Israel ruled “…that Israel holds the (West Bank) in belligerent occupation,” and that its authority over the Palestinians “… flows from the provisions of public international law regarding belligerent occupation.” No ruling since has superseded this view. Indeed, in an analysis requested by the Israeli Prime Minister’s office in 1967 regarding the potential legality of settlements in the then-newly occupied territories, Israeli Foreign Ministry legal adviser Theodor Meron wrote, “My conclusion is that civilian settlement in the administered territories contravenes the explicit provisions of the Fourth Geneva Convention.” This is the overwhelming consensus view of international legal opinion, and contradicts Israel’s claim that Article 49 of the Fourth Geneva Convention applies only to forcible transfers, rather than voluntary ones like those of Israeli settlers. Israel says “the current Israeli government, like several preceding governments, has limited Jewish construction primarily to those areas that are fully expected to remain under Israeli control in any final agreement with the Palestinians.”
Paul Merrell

EU to Label Products Made in Illegal Settlements - International Middle East Media Center - 0 views

  • The European Union (EU) will soon begin to mark the products of Israeli settlements, according to the Associated Press.
  • According to Al Ray, the EU had frozen its decision to put marks on settlements products under the pressure of the United States, in 2013, but this move was restored again and approved by 13 European countries. The report added that 16 foreign ministers of EU demanded in less than two months, to go forward with procedures to mark settlement products in European marketing networks. The foreign ministers assured that the continued expansion of illegal settlements in the occupied Palestinian territories, and in other areas occupied by "Israel" in 1967, threatens the chances of reaching a final and fair peace deal. European diplomats said that "after the Israeli elections, and in the light of Prime Minister Benjamin Netanyahu's latest statements against two-state solution, it was decided to renew the initiative of marking the Israeli products ." The Belgian Foreign Minister, Dedea Rendr, is the initiator of the draft letter, according to the diplomats.
  • In 2014, Belgium published instructions obliging the marketing networks to mark the agricultural products of settlements in the occupied West Bank, the Golan Heights and East Jerusalem. To be noted, German Foreign Minister Frank-Walter Steinmeier is the only one of the five major foreign ministers of European countries who did not sign the letter.
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    See also http://nsnbc.me/2015/06/14/eu-to-label-products-made-in-illegal-settlements/ This has set off some fireworks on Capitol Hill.
Paul Merrell

Jerusalem at boiling point of polarisation and violence - EU report | World news | The ... - 0 views

  • A hard-hitting EU report on Jerusalem warns that the city has reached a dangerous boiling point of “polarisation and violence” not seen since the end of the second intifada in 2005. Calling for tougher European sanctions against Israel over its continued settlement construction in the city – which it blames for exacerbating recent conflict – the leaked document paints a devastating picture of a city more divided than at any time since 1967, when Israeli forces occupied the east of the city. The report has emerged amid strong indications that the Obama administration is also rethinking its approach to Israel and the Middle East peace process following the re-election of Binyamin Netanyahu as Israel’s prime minister. According to reports in several US papers, this may include allowing the passage of a UN security council resolution restating the principle of a two-state solution. The leaked report describes the emergence of a “vicious cycle of violence … increasingly threatening the viability of the two-state solution”, which it says has been stoked by the continuation of “systematic” settlement building by Israel in “sensitive areas” of Jerusalem.
  • The disclosure of the 2014 report – which suggests a series of potential punitive measures targeting extremist settlers and settlement products – comes days after Israeli elections which saw Netanyahu emerge as the decisive victor.
  • For its part, Israel rejects the charge of illegal settlement-building in Jerusalem, claiming the city as its “undivided capital”. Among the recommendations in the report are: Potential new restrictions against “known violent settlers and those calling for acts of violence as regards immigration regulations in EU member states”. Further coordinated steps to ensure consumers in the EU are able to exercise their right to informed choice in respect of settlement products in line with existing EU rules. New efforts to raise awareness among European businesses about the risks of working with settlements, and the advancement of voluntary guidelines for tourism operators to prevent support for settlement business.
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  • According to well-informed European sources, the report – now being discussed in Brussels – reflects a strong desire from European governments for additional measures against Israel over its continued settlement-building, and comes at a time when Europe is confronting “the new reality” of a new and potentially more rightwing Netanyahu government. The report also follows a period of growing frustration within the EU over the moribund state of the peace process, which collapsed last year, and pressure to adopt a harder line over issues such as settlement-building. Since Netanyahu’s victory on Tuesday, speculation has been mounting that both the US and the EU are looking for alternative and tougher strategies to push forward the stalled peace process.
Paul Merrell

Palestinians sue billionaire Sheldon Adelson for Israeli war crimes | The Electronic In... - 0 views

  • A group of Palestinians and Palestinian Americans are seeking $34.5 billion dollars in damages from wealthy individuals and companies they accuse of financing and profiting from Israel’s settlements in the occupied West Bank and other abuses of their rights. The plaintiffs include Palestinians who have lost family members in Israeli attacks in the West Bank and Gaza Strip. Their lawsuit is the latest effort to expose and curb the role of organizations that operate as tax-exempt US charities in fueling violence and settlement expansion on occupied Palestinian land. It names as defendants US tycoons Sheldon Adelson, Haim Saban, Irving Moskowitz and Oracle founder Lawrence Ellison.
  • Adelson is renowned for using his huge casino fortune to advance his pro-Israel political agenda and is a major financial backer of both Israeli Prime Minister Benjamin Netanyahu and the US Republican Party. Saban has donated millions of dollars to US Democratic Party presidential hopeful Hillary Clinton. Moskowitz is one of the main financiers of settler efforts to force Palestinians out of their homes in occupied East Jerusalem. The lawsuit also names Israeli diamond magnate and settlement builder Lev Leviev and Christians United for Israel founder, the US Evangelical pastor John Hagee. Twelve US-based charities and a number of Israeli and US corporations are also named as defendants. The charities include Friends of the Israel Defense Forces, The Hebron Fund and Christian Friends of Israeli Communities.
  • The plaintiffs, represented by the law firm Martin McMahon and Associates, allege that the defendants are directly responsible for violence and for the expansion of settlements. The lawsuit, filed in a Washington, DC, federal court on Monday, alleges a wide range of crimes under US and international law, including genocide, war crimes and crimes against humanity, conspiracy, money laundering, racketeering, perjury and pillage. It alleges that charitable donations are sent to the Israeli army, a violation of US laws against funding a foreign military. Last December, some of the same plaintiffs using the same law firm sued the US Treasury for allowing billions of dollars of tax-exempt donations to flow to Israeli settlements. This lawsuit targets those who are supplying the money. Several are powerful billionaires who the lawsuit contends have defrauded the US tax authorities by funnelling huge sums of money meant for illegal purposes through tax-exempt organizations. According to the lawsuit, approximately $1 billion is sent through these organizations each year, with $104 million going to the Israeli army in 2014.
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  • The lawsuit alleges that the defendants donate money to tax-exempt organizations knowing that it will be used for criminal activity, such as funding the theft and destruction of private property and financing racially discriminatory practices such as Jewish-only towns and highways.
  • But this lawsuit reaches even more broadly than charities that fund political agendas abroad. Seventeen international corporations are named as beneficiaries of the unlawful activities of the tax-exempt entities and donors. The lawsuit calls this money loop a civil conspiracy to defraud the US government. “The settlement enterprise is a very successful industry,” the law firm states in a press release. The US-based real estate firm RE/MAX has grossed $9.5 billion for selling 26,000 new homes in the occupied West Bank, according to the lawsuit. Other corporations named are G4S, Hewlett Packard, Motorola and Volvo. Israeli banks that process international wire transfers for other defendants are also accused in the conspiracy. By targeting both the funders and the profiteers, the lawsuit aims to capture the criminal economic cycle that has helped make Israel’s occupation sustainable for everyone but Palestinians.
  • Separate from the civil conspiracy charges, the lawsuit also accuses Ahava–Dead Sea Laboratories, Israel Chemicals and Nordstrom department stores of the war crime of pillage. Nordstrom sells Ahava cosmetics made with Dead Sea minerals taken from the occupied West Bank.
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    Somewhat ironic that the path to prosecution in the U.S. for damage awards against foreign governments as "sponsors of terrorism" by the Israeli Mossad front, Shurat Hadin is now being used to go after those in the U.S. who fund Israeli terrorism against Palestinians.  More coverage here: http://www.aljazeera.com/news/2016/03/palestinians-sue-pro-israel-tycoons-345bn-160307191923877.html
Gary Edwards

The Farce-Hole Gets Deeper: Obama's "Bankster Robo-Settlement For Votes" Cost To Taxpay... - 1 views

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    Incredible.  The Banksters were caught perpetrating a massive fraud on mortgage holders in default.  They set up document mills packed with "robo" signers forging legal documents to prove in a foreclosure procedure that they are in fact the mortgage provider for that property.  The fraud itself revelas the essentials of what went wrong with the entire mortgage securities scam that brought down the worlds financial structures in 2008. The MERS (Mortgage Electronic Registration systems, Inc.) electronic database was set up in 1995 as a means to enable participating Banksters to side step the quilt of State and County laws governing real estate transactions, non judicial foreclosure rights, and property ownership recording requirements.  MERS was essential to the bundling and trade in mortgage-backed securities.  In essence, MERS replaced public recordation requirements with a private, Bankster owned one. This all sounded good until waves of home owners facing default began to take their banksters to court.  Turns out that MERS mortgages lacked the legal documentation to establish a legal chain of ownership.  Realizing their mistake, and with thousands upon thousands of foreclosures hanging in the balance, the Banksters created the robo document industry, forging millions of foreclosure documents overnight.  Criminal fraud on steroids. The banksters got caught, with State Attorney Generals launching massive consumer protection law suits against the big banksters.  This put a halt to the illegal foreclosures, forcing banksters to turn to short sales on homes in default.  The short sale industry rocketed in 2011, but the to perfect a short sale, the banksters were taking the loss; sometimes as much as $100K to $250K per home.  But the real estate market inventory was effectively being cleared and market pricing corrected. The Banksters were unhappy.  Seeking to get back on the foreclosure track but facing what amounted to across the boards class action la
Gary Edwards

Neil Barofsky, Matt Stoller, and Your Humble Blogger on Why the Mortgage Sett... - 0 views

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    Two interview videos explaining the Obama Bankster Mortgage Settlement:  the first is with Yves Smith of Naked Capitalism.  The second is a Bloomberg interview with Neil Barofsky and Matt Stoller providing a nice high-level overview of why the mortgage settlement is terrible. It's particularly useful if you are looking for a few key issues to present to someone who has bought the Obama administration PR or is late to the topic.  Don't miss the property rights comments at the end of the Bloomberg interview.  Or should i say, former property rights?   the repercussions of the Obama Mortgage and Foreclosure assistance settlement promise to be far reaching and lasting.  And you thought the 14th Amendment changed the legal definition of property rights?  Watch out for this Marxist prize.
Paul Merrell

Mahmoud Abbas accused of being traitor over rejection of Israel boycott | World news | ... - 0 views

  • Palestinian president Mahmoud Abbas has been accused of being a traitor by activists after publicly rejecting calls for a boycott of Israel.His unambiguous statement, made in the aftermath of Nelson Mandela's death, has fuelled a bitter debate on the legitimacy and efficacy of sanctions over Israel's treatment of Palestinians.However, Abbas distinguished between Israel's borders and its settlements in Palestinian territories. "We do not support the boycott of Israel. But we ask everyone to boycott the products of the settlements."His comments infuriated the boycott movement, which after Mandela's death has been boosted by comparisons with the anti-apartheid campaign in South Africa and the decision last week of the American Studies Association (ASA) to boycott Israeli academic institutions.The boycott movement claims it is on a roll, citing a recent EU prohibition against giving grants or funds to bodies with links to settlements, a warning by the British government that firms risk damaging their reputations if they have dealings with Israeli enterprises across the Green Line, and the decision by a Dutch company to sever links with the Israeli water company, Mekorot.
  • The Boycott, Divestment and Sanctions (BDS) campaign, set up in 2005 by more than 170 Palestinian civil society organisations, expects next year "to cross even higher thresholds in its drive to isolate Israel, just as South Africa was isolated under apartheid", said Omar Barghouti, one of its founding members.The ASA's decision was "fresh evidence that the BDS movement may be reaching a tipping point on college campuses and among academic associations", he added. Two other US academic bodies – the Native American and Indigenous Studies Association and the Association of American Asian Studies – have also backed the boycott movement.
  • Samia Botmeh, a lecturer at Birzeit university in the West Bank and a leading member of the Palestinian Campaign for the Academic and Cultural Boycott of Israel, said restricting a boycott to settlements was to focus on the consequences, rather than the origins, of the occupation.
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  • Many observers expect the boycott movement to gain momentum should peace negotiations between Israel and the Palestinians fail to produce a deal. Andreas Reinicke, the outgoing EU envoy to the Middle East, warned last week that momentum in favour of a settlement boycott would grow without a peace agreement.Less than two years ago, only two EU countries – Britain and Denmark – backed the labelling of goods originating in settlements as such in order to allow consumers to make informed choices. Now 14 EU states support the move. "There is movement in this direction," he said.
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    The Palestinian Boycott, Sanctions, and Divestment ("BSD") campaign breaks into mainstream media. For several years, I have subscribed to a daily digest of news on Israel-Palestine issues. Modeled on the successful South African BSD movement that ended the South African apartheid state, the Palestinian movement has had a long string of victories, with only a few of the most recent discussed in this article. The BSD movement, in my studied opinion, represents the best hope of finally resolving the Palestinian Question, resulting in a single non-sectarian state spanning both Israel and Palestine. Until that day, Israel's war crimes against Palestinians, extending from the forced expulsion of 750,000 Palestinians when Israel was first formed via terrorist paramilitary actions, will likely continue.  
Paul Merrell

Netanyahu: I won't forcibly evacuate settlements | The Times of Israel - 0 views

  • he Israeli government will not force West Bank settlers to leave their homes, even under a permanent peace agreement with the Palestinians, Prime Minister Benjamin Netanyahu said in a TV interview.
  • The prime minister said it was clear that Israel would not be able to extend its sovereignty under a permanent accord to encompass all of the settlements, but he was adamant that “there will be no act of evacuation.” The comment marked the first time that he has indicated that he would not countenance a repeat of the 2005 forced evacuation of Gaza’s settlements, overseen by the late prime minister Ariel Sharon, which he opposed at the time. Asked in the Channel 2 interview on Friday how he could hope to reach a deal with the Palestinians within such limitations, and whether he expected settlers to leave their homes voluntarily, Netanyahu said it was not yet clear where the borders of a two-state solution would run, and that he did not “want to go into the details” of how an accommodation regarding the settlers might be achieved. “Of course some of the settlements won’t be part of the deal, everyone understands that,” Netanyahu said. “I will make sure that [number] is as limited as possible, if we get there.” He pledged that no Israeli will be “abandoned.” Netanyahu’s comments marked the closest he has come to confirming The Times of Israel’s exclusive report from last month, which quoted a well-placed official in the Prime Minister’s Office as saying that Netanyahu would insist that settlers who find themselves on the far side of a two-state border be given the choice between remaining in place and living under Palestinian rule, or relocating to areas under Israeli sovereign rule.
  • The prime minister charged, however, that the Palestinians under PA President Mahmoud Abbas were “a very long way” from readiness for viable peace terms. They had to recognize Israel as a Jewish state, abandon the demand for a “right of return” for millions of refugee descendants to Israel, and agree to an “end of the conflict” accord, he said, and were giving no signs of being prepared to do so. Asked about the stern interview given by Barack Obama to Bloomberg on the eve of his meeting with Netanyahu in Washington Monday — the US president had castigated the settlement enterprise in a wide-ranging critique — Netanyahu said vaguely that “lots of people say lots of things.” He said he’d “stood up to pressure” in the past, and added that he had done so again while in the US this week, but did not elaborate. More important than any critical interview, he said, was the “positive” meeting he had with Obama at the White House.
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  • he Israeli government will not force West Bank settlers to leave their homes, even under a permanent peace agreement with the Palestinians, Prime Minister Benjamin Netanyahu said in a TV interview.
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    Netanyahu serves up yet another deal-breaker in the ongoing Israel-Palestine negotiations led by John Kerry. Let's keep in mind that most of the Israeli settlements in Palestine territory are built on land forcibly stolen from Palestinians and served by stolen Palestinian water rights.
Paul Merrell

How Global Real Estate Giant Profits from Stolen Palestinian Land | Global Research - C... - 0 views

  • US-based multinational RE/MAX is marketing properties in illegal Jews-only settlements built on stolen Palestinian land such as Ariel, near Salfit in the West Bank. Keren Manor/ActiveStills Agents working for the US-headquartered real estate giant RE/MAX are promoting themselves as specialists in property built in Israel’s settlements on occupied Palestinian land. The Colorado-based corporation which says it operates in nearly 100 countries was identified as responsible by a 2013 United Nations’ probe for how its Israeli franchises sell houses and apartments in the occupied West Bank. Despite that criticism, many RE/MAX representatives are continuing to handle such property.
  • In fact, all of these “communities” are Israeli settlements inside the West Bank and are illegal under international law. Their construction and growth violates the Fourth Geneva Convention, which forbids an occupying power from transferring its civilian population into a territory that it occupies.
  • Scores of properties in the occupied West Bank (including East Jerusalem) are currently listed as for sale on RE/MAX websites. Some of them are on the market for high prices. RE/MAX is trying to sell a three-bedroom house in Jerusalem’s Old City for $1.7 million. According to RE/MAX, the house was “built over 600 years ago by the Turks.” A video for the same property posted to YouTube by Benzaquen, states that the “light train is just nearby.” That is a reference to a tram network which connects Israel’s settlements in East Jerusalem to other parts of the city. The French corporation Veolia has faced years of criticism and activist campaigns for its large-scale involvement in building the Jerusalem light rail, which Palestinians see as a means of tightening Israel’s grip on their city. RE/MAX’s Colorado headquarters did not reply to requests for comment.
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  • The firm has generally kept silent when its activities have been highlighted by Palestine solidarity activists. It did, however, issue a terse statement last year. The statement tried to distance the firm’s headquarters from its Israeli franchise and noted that RE/MAX had reduced the number of its offices in the West Bank. It failed to acknowledge that many of the agents handling property in East Jerusalem and the wider West Bank are working from offices in West Jerusalem. But the company seems to be sensitive to activist criticism that it is involved in selling homes in illegal settlements within the Israeli-occupied West Bank. Searches on the RE/MAX Israel website suggest the company may be engaging in deliberate obfuscation of its West Bank settlement listings.
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