This was posted by rocket some time ago- dont know where he got it -but the point is, due to abundant systemic fraud by many entities-a market saturated w fraud- a vast amount of shares out there in thousands of companies-including blue chips apparently- cannot be traced to physical certificates and dtcc and sec as per the article reportedly know that
so with so much system wide fraud that that the agencies either wont or cant shake a stick at it, it opens the door for an unequal application of the law,whereby co's are not prosecuted necessarily for anything they have done but sometimes for what other entities have done-
in fact reportedly a lot of the problems are caused by brokers and mm's illegal naked shorts -something the co's have nothing to do with-so does the dtcc and sec go after their crony brokers [and mms] or the co's-
apparently the co's and longs sometimes end up paying the price for what other entities have done-which is an unlawful unequal application of the law -de fact prosecuting co's and longs for what those other entities have done-and even when co's themselves are responsible for unauthorized market shares,longs often pay the price=-again an unlawful unequal application of the law
btw, due to the doctrine of double jeopardy-people and co's cannot be tried twice for the same events,the current activities by dtcc and sec cannot constitutionally have anything to do w prior events for which sec prosecuted or tried to prosecute bob and cwrn.
CWRN was cleared of all charges by a judge re the sec matter-perhaps a slap in the face to the sec.
Bob, CWRN, servants, employees could not issue stock,and I very much doubt Brad has issued any stock- I'm sure he is aware of the sec etc events,and the PR noted they would file an SEC reg statement for the dividend,and brad knows how ridiculously low volume is -so it wouldnt do any good to issue stock if he tried,and brad has money-and CWRN made lots of money off the 68069 tons that shipped ca May 19 (even if some was previously paid for-the new 23000 tons trucked wasnt previously paid for) so CWRN had no need to issue stock and it would be ridiculous to do so at the low pps and volume
so it would seem-not having been told by non-transparent dtcc as to the reason-that its unlikely that CWRN is responsible for any new action by dtcc and or sec
We wait for the reason for this latest round of games-of which i think there is a new game today but I'm not sure what yet and have been busy and havent even eaten for 22 hours so let me get some chow before dealing with whatever is the latest crisis.
Quote:
The $63 billion number doesn't include any of the massive international clearing firms. And that number is after pre-CNS netting, where the day's buys are used to offset the day's sells (even naked sells) at the broker and clearing house level, before reporting to the SIA, and before going into the CNS netting system.
• Of the $130 to $160 billion per day that trades in stock, per the DTCC, 96% is handled by CNS netting. This is consistent with the disconnect in the $6 billion and the $63+ billion numbers. 96% is handled by netting, which means 4% isn't. 4% of $130 billion is $5.2 billion not handled by CNS netting. Of that $5.2 billion, $2.1 billion fails. $1.1 billion of the fails are accommodated by the stock borrow program. $1 billion isn't, and goes onto the $6 billion post netting failure pile.
• $5.2 billion per day aren't handled by CNS netting. $2.1 billion fail. That is 40% of the trades, fail. $130 billion to $160 billion stock trades daily. $63 billion fails just in NYSE firms. That is around 40%.
• The SEC insists that the failure issue isn't a big problem. So does the DTCC. So does Wall Street. None of these entities have commented on the SIA spreadsheet, nor has the NY financial press . Not one comment. None.
• $63 billion is a big problem. That is a mark-to-market number, where yesterday's $20 stock is today $1, thus yesterday's $20 billion problem is now valued as a $1 billion problem. That means the actual true value of the problem is likely 10-20 times larger.
• $630 billion to $1.2 trillion is a very big problem. Even by NY standards.
• The SEC "grandfathered" all failed to deliver trades prior to January, 2005, effectively pardoning all those trades (for which money was paid but no stock ever delivered), from ever being required to deliver. This amounts to allowing those that violated delivery rules to keep the money from their illegal conduct.
• The SEC keeps the number of shares grandfathered, as well as the dollar amount, secret, for fear of creating market disrupting "volatility".
• The above numbers do not take into account the large number of undelivered trades that are handled "Ex-Clearing" – a way of handling delivery outside the system. Nor do they take into account pre-CNS netting, nor international clearing house fails.
• Many securities scholars believe the "Ex-Clearing" failure problem is 10 times larger than the in-system problem the above numbers represent.
• Many investors that think they have "shares" in their brokerage accounts, don't. They have "markers" that have no underlying share to validate them. Some call these "counterfeit shares", with good reason. The technical term is "Securities Entitlement."
• UCC8 mandates that all Securities Entitlements have a genuine share on deposit at the DTC, or in the broker's possession, for each Securities Entitlement. That rule is ignored by the SEC and Wall Street.
• The DTCC, via Cede & Co., is the registered owner of all shares held in "Street Name," which are all shares in margin accounts.
• Margin accounts represent the bulk of independent investor account types.
• Registered owners are free to use their "property" as collateral for loans or debt.
• It is unknown what, if any, loans or debts are collateralized by the stock "owned" by the DTCC.
• The DTCC's "Stock Borrow Program" lends shares to be delivered to buyers, if sellers fail to deliver.
• The Stock Borrow Program is operated on the honor system, and is anonymous.
• It allows one genuine share to be lent multiple times, leaving a string of markers/IOUs in the share's wake.
• This creates a systemic risk for the stock market, as more markers are in investor accounts , falsely represented as shares, than shares actually authorized by the companies.
• These markers are freely traded and treated by the system as real, resulting in a large secondary market of counterfeit shares – resulting in depressed stock prices .
• With paper certificates being eliminated – by the DTCC – there is no way to confirm that a share is genuine, versus a bogus marker.
• There is nothing to stop your broker from taking your money, and merely representing to you that you bought shares, without ever actually buying them. You have no way of knowing the difference, barring demanding paper certificates for your property.
• Only a handful of people on the planet understand all this.
• In the end, it is simple – Wall Street is printing shares electronically, investors are paying real money for those bogus shares, and the whole thing is predicated on the idea that few will ever understand what is being done, or bother to check.
• This represents a hidden tax on investors and the economy.
• It is, for the most part, illegal.
• It is being kept secret by the DTCC and the SEC, who are terrified of systemic collapse, and a complete loss of investor confidence , should all the facts become known.
• All the facts are becoming known.
so with so much system wide fraud that that the agencies either wont or cant shake a stick at it, it opens the door for an unequal application of the law,whereby co's are not prosecuted necessarily for anything they have done but sometimes for what other entities have done-
in fact reportedly a lot of the problems are caused by brokers and mm's illegal naked shorts -something the co's have nothing to do with-so does the dtcc and sec go after their crony brokers [and mms] or the co's-
apparently the co's and longs sometimes end up paying the price for what other entities have done-which is an unlawful unequal application of the law -de fact prosecuting co's and longs for what those other entities have done-and even when co's themselves are responsible for unauthorized market shares,longs often pay the price=-again an unlawful unequal application of the law
btw, due to the doctrine of double jeopardy-people and co's cannot be tried twice for the same events,the current activities by dtcc and sec cannot constitutionally have anything to do w prior events for which sec prosecuted or tried to prosecute bob and cwrn.
CWRN was cleared of all charges by a judge re the sec matter-perhaps a slap in the face to the sec.
Bob, CWRN, servants, employees could not issue stock,and I very much doubt Brad has issued any stock- I'm sure he is aware of the sec etc events,and the PR noted they would file an SEC reg statement for the dividend,and brad knows how ridiculously low volume is -so it wouldnt do any good to issue stock if he tried,and brad has money-and CWRN made lots of money off the 68069 tons that shipped ca May 19 (even if some was previously paid for-the new 23000 tons trucked wasnt previously paid for) so CWRN had no need to issue stock and it would be ridiculous to do so at the low pps and volume
so it would seem-not having been told by non-transparent dtcc as to the reason-that its unlikely that CWRN is responsible for any new action by dtcc and or sec
We wait for the reason for this latest round of games-of which i think there is a new game today but I'm not sure what yet and have been busy and havent even eaten for 22 hours so let me get some chow before dealing with whatever is the latest crisis.
Quote:
The $63 billion number doesn't include any of the massive international clearing firms. And that number is after pre-CNS netting, where the day's buys are used to offset the day's sells (even naked sells) at the broker and clearing house level, before reporting to the SIA, and before going into the CNS netting system.
• Of the $130 to $160 billion per day that trades in stock, per the DTCC, 96% is handled by CNS netting. This is consistent with the disconnect in the $6 billion and the $63+ billion numbers. 96% is handled by netting, which means 4% isn't. 4% of $130 billion is $5.2 billion not handled by CNS netting. Of that $5.2 billion, $2.1 billion fails. $1.1 billion of the fails are accommodated by the stock borrow program. $1 billion isn't, and goes onto the $6 billion post netting failure pile.
• $5.2 billion per day aren't handled by CNS netting. $2.1 billion fail. That is 40% of the trades, fail. $130 billion to $160 billion stock trades daily. $63 billion fails just in NYSE firms. That is around 40%.
• The SEC insists that the failure issue isn't a big problem. So does the DTCC. So does Wall Street. None of these entities have commented on the SIA spreadsheet, nor has the NY financial press . Not one comment. None.
• $63 billion is a big problem. That is a mark-to-market number, where yesterday's $20 stock is today $1, thus yesterday's $20 billion problem is now valued as a $1 billion problem. That means the actual true value of the problem is likely 10-20 times larger.
• $630 billion to $1.2 trillion is a very big problem. Even by NY standards.
• The SEC "grandfathered" all failed to deliver trades prior to January, 2005, effectively pardoning all those trades (for which money was paid but no stock ever delivered), from ever being required to deliver. This amounts to allowing those that violated delivery rules to keep the money from their illegal conduct.
• The SEC keeps the number of shares grandfathered, as well as the dollar amount, secret, for fear of creating market disrupting "volatility".
• The above numbers do not take into account the large number of undelivered trades that are handled "Ex-Clearing" – a way of handling delivery outside the system. Nor do they take into account pre-CNS netting, nor international clearing house fails.
• Many securities scholars believe the "Ex-Clearing" failure problem is 10 times larger than the in-system problem the above numbers represent.
• Many investors that think they have "shares" in their brokerage accounts, don't. They have "markers" that have no underlying share to validate them. Some call these "counterfeit shares", with good reason. The technical term is "Securities Entitlement."
• UCC8 mandates that all Securities Entitlements have a genuine share on deposit at the DTC, or in the broker's possession, for each Securities Entitlement. That rule is ignored by the SEC and Wall Street.
• The DTCC, via Cede & Co., is the registered owner of all shares held in "Street Name," which are all shares in margin accounts.
• Margin accounts represent the bulk of independent investor account types.
• Registered owners are free to use their "property" as collateral for loans or debt.
• It is unknown what, if any, loans or debts are collateralized by the stock "owned" by the DTCC.
• The DTCC's "Stock Borrow Program" lends shares to be delivered to buyers, if sellers fail to deliver.
• The Stock Borrow Program is operated on the honor system, and is anonymous.
• It allows one genuine share to be lent multiple times, leaving a string of markers/IOUs in the share's wake.
• This creates a systemic risk for the stock market, as more markers are in investor accounts , falsely represented as shares, than shares actually authorized by the companies.
• These markers are freely traded and treated by the system as real, resulting in a large secondary market of counterfeit shares – resulting in depressed stock prices .
• With paper certificates being eliminated – by the DTCC – there is no way to confirm that a share is genuine, versus a bogus marker.
• There is nothing to stop your broker from taking your money, and merely representing to you that you bought shares, without ever actually buying them. You have no way of knowing the difference, barring demanding paper certificates for your property.
• Only a handful of people on the planet understand all this.
• In the end, it is simple – Wall Street is printing shares electronically, investors are paying real money for those bogus shares, and the whole thing is predicated on the idea that few will ever understand what is being done, or bother to check.
• This represents a hidden tax on investors and the economy.
• It is, for the most part, illegal.
• It is being kept secret by the DTCC and the SEC, who are terrified of systemic collapse, and a complete loss of investor confidence , should all the facts become known.
• All the facts are becoming known.
