Yearly Archives: 2013

Why Sir John Templeton renounced US citizenship – AKA why the US shot itself in the foot

"The media is prone to depict Templeton as a tax cheat. The reason? Had he been a U.S. citizen when he died, the U.S. government would have received approximately 100 million in estate taxes. I am not aware of Templeton ever publicly stating his reasons for renouncing U.S. citizenship. Nobody knows for sure. But, I suspect that the correlation between his renouncing U.S. citizenship in 1964 and the enactment of the CFC (Controlled Foreign Corporation and SubPart F) rules in 1962 did play a role. The 1962 changes in the Internal Revenue Code meant that Templeton may have been forced to choose between U.S. citizenship and his mutual fund business." Continue reading →

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WSJ Report: Larry Summers “Hellbent” on Becoming Fed Chairman

"Larry Summers, a former top economic adviser to President Obama, is speaking, writing, consulting, advising, teaching and still in frequent contact with the president, and some of his friends say he is more than a little interested in the Fed job, reports WSJ. But WSJ fails to point out that Summers may in reality not be that smart or caring. The Harvard endowment, when Summers was president of Harvard, lost substantial sums because of risky derivative positions that blew up on them. Iris Mack, then working for Harvard Management, which managed the endowment, warned Summers about the position in an email. He refused to lower the risk and Mack was fired." Continue reading →

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Is Actor Johnny Revilla Stateless?

"Actor Johnny Revilla, who starred in 'The Strangers', now sits as a representative of the Overseas Filipino Worker (OFW) Family Club in the Philippine House of Representatives, after taking oath on the 26th of June, 2014, could face up to seven years of imprisonment if he is a U.S. citizen. Documentation obtained from the Philippine Bureau of Immigration shows that he travelled using an American passport from 2002 up to 2009. According to OFW Family Club Rep. Roy Seneres of OFW, the former Philippine Ambassador to the United Arab Emirates, Johnny cannot be a citizen of the Philippines if he is a citizen of America. Yet, such is not the case." Continue reading →

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Before Sir John Marks Templeton, there was Cleveland Ferguson

"A few years before Templeton made his famous move to the Bahamas, another American went and made a name for himself by discussing his desire to give up his citizenship and resettle on that famous island of warm breezes and low taxes. Meet Mr. Cleveland Ferguson, Bahamian immigrant and disabled Korean War veteran. If Mr. Ferguson had been able to afford his day in court, he might have won early recognition of the fact finally recognised by a court in 2010: that no formal declaration of war is necessary to allow renunciations under that provision (now renumbered to § 349(a)(6)), as long as there exist hostilities." Continue reading →

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The State: Always the Accuser, Never the Defendant

"As Harvey Silverglate points out, each of us commits at least three acts each day that could be described as felonies by any reasonably ambitious prosecutor. By using NSA-provided metadata to conduct a 'pattern of life' analysis of a targeted individual, law enforcement agencies could probably contrive an excuse to arrest practically anybody at any time. This capacity will dramatically expand opportunities for official retaliation against Mundanes who seek redress for abuses committed by police – including family members of deceased victims." Continue reading →

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US – Sri Lankans “Asked” to Register with their Banks — What if they don’t do so voluntarily?

"This newspaper notice was placed in a Sri Lankan newspaper last month by the Sri Lanka Banker’s Association, requesting the voluntary ‘registration’ of U.S. Persons with their banks to facilitate the identification of U.S. Persons under FATCA. The voluntary registration was, apparently, not required by the Sri Lanka Central Bank, and Sri Lanka has not (yet) publicly signed an IGA or waived Sri Lankan banking secrecy to allow banks to directly enter into agreements with the IRS. Certainly, the notice for voluntarily registering oneself harkens back to 1939 for some of us, and exemplifies the positive discrimination that FATCA requires." Continue reading →

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Irish ‘rage’ after bank cheated on multi-billion bailout

"The taped conversations, obtained by the Irish Independent newspaper, between John Bowe and Peter Fitzgerald, who led Anglo-Irish's capital markets and retail banking arms, respectively, indicate the Irish government was duped into pumping €7 billion of emergency cash into the bank on the assumption that it would plug the lender's funding crisis. But the €7 billion figure was just a ruse to get the government to put 'some skin in the game,' with the bankers assuming that politicians would have no choice but to provide further emergency funding once they had been 'pulled in'." Continue reading →

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Italy Confronts Germany, Adding Additional Euro Pressure

"Greece has been relegated to the status of a Third World country, the complicity of German leaders with the ever-inflating ECB is due for a judicial hearing, British leaders are committed to a referendum on whether Britain should pull out of the EU entirely, Spain is broke, Portugal is busted ... and Italian leaders are getting ready to square off with German bankers over 'austerity.' That the euro has not always suffered some breakdown is testimony to the power of its globalist backers. It has, however, bankrupted half of Europe and even the healthier northern half is not happy with what Europe has become and is continuing to become." Continue reading →

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Italy Denies Risk to Public Finances From Debt Derivative Deals

"Italy's treasury denied on Wednesday its use of derivatives as a hedge on its huge debt pile posed any risk to public finances, following reports the country faced billions of euros in potential losses from one set of contracts. The Financial Times and La Repubblica said the eight contracts, restructured at the height of the euro zone crisis in 2012, could result in combined losses of around 8 billion euros ($10.5 billion) based on market prices on June 20. The newspapers, which quoted a report from the treasury, said the contracts had been taken out in the 1990s, some while European Central Bank president Mario Draghi was director general of the Italian treasury." Continue reading →

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Dollars Vanish as Tourists Grab Argentine Bondholder Cash

"Argentina’s supply of dollars it needs to pay bondholders is dwindling at the fastest pace since the depths of the nation’s economic crisis 11 years ago. Since Fernandez banned buying dollars for everything but travel since July, the nation has posted a deficit from tourism revenue of $223 million this year through April, a 10-fold increase from a year ago, as more Argentines went abroad to buy dollars at a cheaper exchange rateand the nation attracted fewer visitors. On the black market, a dollar costs 8.05 pesos compared with the so-called 'tourist dollar,' which is the official rate plus a 20 percent tax on credit cards, or about 6.44 per dollar." Continue reading →

Continue ReadingDollars Vanish as Tourists Grab Argentine Bondholder Cash