I just got this from in an email from a good friend. Sounds like the SHTF very soon ! It is very coincidental to what is happening right now.
Bill: Chapman, Schultz, and Willie are no fools. They are three of the finest analysts out there, and THEY have a great deal of credibility. So, a bank holiday is definitely on the table. The first depression wiped out the so-called small country farmer banks all over the USA. That was by design. This allowed the FED to gain more control over the monetary system by eliminating the mom & pops, and replacing them with regional banks under the control of the FED. Today we are about to see "the kill shot." Those banks not under the control of the FED will be soon. Tom
Subject: $ Possible Bank Holiday in Sept.
When men with proven records established over lengthy careers lay thier reputations on the line I have to listen. These words come from Harry Schultz and Bob Chapman. This time the game is indeed for all the marbles.
BRACE FOR BANK SHUTDOWN
Harry Schultz and Bob Chapman have revealed some harsh plans for a temporary US bank system shutdown on or about September 2009. The story has been promoted by Peter Brimelow on MarketWatch for further publicity. See "Latest Schultz Shock: a Bank Holiday" which explains the US State Dept tipoff to the many US Embassies. (CLICK HERE) The July Hat Trick Letter cites multiple confirmations solicited and given. My analysis goes on about speculation as to the motive, implementation, cover for criminal activity, and market impact.
The USDollar would likely suffer a sudden quantum drop devaluation, followed by incredible pressure to avert USTreasury default. Despite the mockery in my email inbox for over two years. This inevitable disaster of upcoming USTreasury default is preparing to unfold. Creditors will show their strength very soon, very soon! The unintended consequences would be endless, not the least of which might be final declaration of state of emergency state by state, or martial law nationally.
Attempts at capital controls should be on the table of discussion soon, but that comes with a monumental backfire waiting to happen, as implementation seems next to impossible in less than two years time. Look for implementation of numerous plans to be circumvented by the reality of market forces, like elimination of the IRS-enforced income taxes in favor of a Value Added Tax nationally.
CHAOS WILL PREVAIL WITHIN SEVERAL MONTHS, PERHAPS A YEAR AT MOST. My deep suspicion is that a bank holiday would enable the forced merger of reasonably healthy banks across the nation with the dead zombies on Wall Street, to further spread their disease. These followers are an international criminal cabal posing as our government. They are following the Mussolini Fascist Business Model.
On the more local level, as my friend SteveK says, "It is my belief that as the system continues breaking apart the so-called 'authorities' will not have the resources to cope. Not even close. Chaos will reign, especially in places like East Los Angeles." Total agreement here. In fact, the breakdown will offer greater opportunity to the Powerz in (claimed, supposed) control for wildly amplified flow of rescue funds, even more to corner, confiscate, and steal. See the Iraq Reconstruction Fund, where $50 billion is missing. See the Hurricane Katrina Fund, where one dollar in three was marked as the object of fraud.
BANKS BRACE FOR NEXT CRUSHING WAVE
Details are provided in the July Hat Trick Letter on the plight of the banks. They must contend with rising prime delinquencies, rising commercial loan defaults (due to 35% property valuation declines and no funding facilities), rising Jumbo mortgage defaults, rising home equity loan defaults, and the advent of the major wave of Prime Option ARM defaults. Let's not leave out rising credit card defaults, and the unprecedented wave of small business bankruptcies. The two big assaults will clearly be delivered by the commercial loans and Prime Option ARMs, but Jumbo losses might creep up to challenge for the top ignominy.
The insane Option mortgage loan is the major time bomb that finally has entered the building for bankersters. Here is a shocker statistic: the continued spike in the delinquency rate is growing worse for prime mortgage loans. Their DQ rate has risen astoundingly in the last three years, spiking to nearly 5.94% in May. The combination salvos will be deadly. The banks masquerade as solvent, but are not, despite the Stress Test charade. With the phony accounting rule change to help lift the bank stocks, they were able to fleece investors with overpriced stock sales on dead banks.
Big banks are hoarding reserves, placing them under the watchful care of the USFed. The big banks probably are lying in wait like lions, watching and waiting for the regional banks, the mid-sized banks, to suffer painful commercial loan losses. Then the big banks will swoop down and acquire the regional banks at distress level prices, using their vast funds held at the USFed. THIS IS THE GRAND BANK CONSOLIDATION PLAN. Recall that the banking system has 96% of its reserves sequestered at the USFed. The USDept Treasury under syndicate boss Paulson ordered the participating TARP fund recipients not to open the loan gates, but rather acquire banks over time patiently. So we have some hint of intentions. THE ONLY PROBLEM FOR THE BIG BANKS IS THEIR IMMINENT RUIN FROM MAJOR ADDITIONAL CRIPPLING LOSSES FROM ABOVE CITED SOURCES. They might masquerade as healthy solvent banks, but they are actually large seaside cottages whose foundations washed away to sea long ago. The pillars visible to the beachcombing public are mere facades. Their attempts to put fresh paint on the facades do not work, since one cannot apply paint to an underwater surface.
The big banks have generously agreed to assist the State of California in the IOU coupon issuance. JPMorgan Chase, Bank of America, Wells Fargo, and Union Bank consented to accept the registered warrants as they are officially called, until last Friday July 10th. The IOUs ain't legal tender, but interest bearing warrants in coupon form. Hmm! No Constitutional challenge there! The $3.4 billion in such coupons have floated. The process is opening Pandora's Box and raises numerous questions. Big banks do not carry large exposure, but the development is one more log on a burning bonfire. Thanks to local Californians who supplied rich information, the July report covers some interesting angles. A side market, for instance, has emerged on Craigslist even after eBay was blocked by the intrepid lapdog SEC. In some cases taxes can be paid with these IOU coupons. Reminds me of a circus with numerous tents. The other tents feature migrant workers who have begun to demand cash sent from Latin American home areas, never seen before. The mortgage foreclosure endless wave of destruction continues to wreak havoc upon California. The state is one of the most besieged, with metropolitan Los Angeles the epicenter for damage. As property values continue to fall, now at nearly 40% in the Golden State, its economy and households and banks all suffer death throes, with no exaggeration.