This information cannot be backed up - or how the bankers almost lost $ 70 billion
Once, when an investor bought a stock, he received a paper certificate for it. But in the computer age, the volume of international stock trading has grown so much that now all transactions go electronically through firms that are referred to as clearing in English. They store information about the owners.
The largest of these is the DTCC in New York, which controls all relevant firms and holds on its behalf almost 99% of the US shares and possibly 99% of the world, according to some sources.
This company is a subsidiary of the Federal Reserve System, which is owned by a handful of private bankers, as you know.
To give you an idea of the size of operations, DTCC operate in the United States and 110 other countries. In 2008, the DTCC registered transactions in the amount of 1.88 quadrillion (1.880.000.000.000.000) dollars. I may have forgotten a few zeros, because I don’t know if we are talking about a short quadrillion (15 zeros) or long (24 zeros) ... In the end, it does not matter.
DTCC is a Banking Trust Company and, in accordance with the law, it does not have the right to own shares. They are owned by its subsidiary, CEDE & Co.
If you have stocks, such as gold mines or silver mines, then you have nothing if you do not ask for a certificate. The demands to extradite him are extremely annoying to bankers who regard petitioners as coming from the Stone Age, and these requests are burdensome for them. However, this is the only way to secure your investment.
Those who were interested in the history of the September 11 terrorist attack in New York know that all investigations related to the manipulation of the FBI and the financial structures of the CIA with gold were terminated on September 11, 2001. All documents, all reports of investigations, all evidence, all evidence disappeared when the towers of the shopping center fell.
Hurricane Sandy (October 2012)
After Hurricane Sandy, the DTCC announced that its storage facilities in the basements were flooded and many documents destroyed. Documents showing OTC swaps or OTC swaps. OTC means “Over The Counter” in Russian “hand washes a hand”, “confidentially” or “bribes”. These are exchanges between two financial or non-financial companies that do not go through the market. This applies to many types of contracts. But you can bet that these over-the-counter swaps have to do with the manipulation of the prices of precious metals and that they disappeared under the false pretext of flooding the vault.
The largest intermediary company of this kind in the world has warehouses that have no chance of being flooded. Not the slightest. This is 200% nonsense.
An investigation by the CFTC (US state-owned market control company) will probably be blocked for this contrived matter.
CFTC is still unaware of what could be damaged or destroyed. An article in the New York Post speaks of an armored cave measuring 10,000 m2, where 1.3 million share certificates, bonds and property rights are floating in the mud. It is a question of bearer bonds of 70 billion dollars. These are documents on good old paper and also anonymous, which is so convenient for laundering dirty money. For CFTC, which, like all clearing houses, is a money laundering center (recall the Clearstream case), this story is in a “rinse” phase. Who will rinse? We will never know that.
This is exactly what Imran Hossein suggests. He did not hesitate to say out loud that an investigation was conducted among insurers, and suspicious insurance contracts were found there, signed before Sandy, where both the guilty and all their accomplices were identified. But if the official investigation of September 11 was stuck in a quagmire so as not to pour dirt on the internal and external forces responsible for this catastrophe, then what about the investigation regarding an ordinary tropical storm?
Sandy could cause billions of bearer bonds to be lost.
This is Wall Street’s biggest mystery.
Hurricane Sandy flooded a 10,000-square-foot underground storage facility in the city center, soaking 1.3 million bonds and share certificates, including bearer bonds that function like cash, and putting them at risk of becoming a mess.
A contractor working for the owner of the vault, the Depository Trust and the Clearing Corporation, is working feverishly on paper recovery.
But the value of the endangered banknotes under 55 Water St. remains unknown to all but the innermost circle of Wall Street bankers.
One source said $ 70 billion bearer bonds were in jeopardy.
The DTCC, a custodian controlled by the largest financial firms on Wall Street, won’t say exactly what was in its vaults, how much the banknotes were, or who owned what.
Most member companies, including Deutsche Bank, JP Morgan Chase, Bank of America, UBS, and Citi, did not answer calls.
The exception was Goldman Sachs, whose spokesman Michael DuVally confirmed on Friday to The Post that his firm had kept bearer bonds in DTCC's vaults. He acknowledged that it was almost impossible to redeem them if destroyed.
DuVally developed and said yesterday morning that Goldman's bonds are worth "less than $ 1 million." An hour later, he called back and said: “The potential impact on the market value of bearer bonds is less than $ 10,000.”
DTCC spokeswoman Judy Inosanto would only say that “various stocks and bonds” were damaged. “I cannot go into details. We do not provide value for security reasons. ”
Even the contractor who bid for the cleaning and restoration work — the notes were flooded with diesel and sewer water that filled the three basements on Water Street 55 — said he was asked about the damage.
“This does not concern anyone,” he said. “The public does not need to know what is in this repository. This is between them and their customers. ”
It is known that for decades, millions of bearer bonds were stored in the vault, the value of which was many times the amount in dollars. According to DTCC reports, in 1990 two-thirds of the 32 million notes in custody were bearer bonds. Although bearer bonds matured and notes were removed, the vault continued to hold 5.4 million bearer bonds at the end of 2003.
Experts say the only hope for maintaining bundles of bonds is to dry them in a cold vacuum chamber. When the air pressure in the chamber decreases and the heat increases, the moisture in the documents evaporates.
The security service would have to observe the tight guardianship chain during the procedure, and the whole process could cost more than $ 2 million.
Belfor, a Texas-based recovery firm, is rumored to have won the job yesterday at a parking lot near 55 Water St. When asked about Goldman’s $ 70 billion bearer contract, Belfor spokesman Alex Gort said, “We have very strict confidentiality.”
Yesterday, Belfor employees described the “complete restoration work” under the “very high level of security” on site, but said they did not know anything about bonds.
“There are three vaults,” said the defender outside the building. “I was not in the vault where the bonds are. The security there is very tough. I know that they were all under water. Billions of dollars soaked. I know that they are trying to pack them.
Bearer bonds are paper certificates, usually issued by governments, which are due to be redeemed after the due date. The submitter provides an attached coupon to receive payment. Since they are generally not registered and can be used as cash, they were usually used by those who wanted to hide assets and not pay taxes on them. They were banned in 1982.
But those that were not fully redeemed remain outstanding.
Andrew Kinzinger, a securities lawyer, said that if a Wall Street firm held bonds as a custodian for investors, there would be electronic records documenting payments that would provide investors with proof of ownership.
But if Goldman or other banks own the damaged bonds themselves, paying them off can be a "problem," he said.