frontpage |
headlines |
comments |
top
deposit into an offshore account in the Bahamas or other such tax shelter is simply a transaction on the SWIFT international funds transfer system, which in and of itself has been proven to be solid and fraud proof. SWIFT has never been defeated, unless someone obtained access to location specific passwords.
A transfer on the SWIFT system requires that the originating correspondent bank perform a compensating transaction from a deposit account in their own bank. That is to say, a transaction on the SWIFT system is only as secure as the base transaction is at the originating bank.
Since the software at the SWIFT terminals is certified to be exact and in compliance to international standards, the only window for fraud is the base account.
How solid are the DDA systems at foreign banks? How can a transaction be guaranteed to be fraud proof if the originating bank’s financial software can not detect digital laundering techniques, such as retro-deposits. At present, there is no international body overseeing banking software, there are no standards that everyone must adhere to.
If foreign banks allow deposits to be performed without state of the art proof of deposit software, such as CPCS - which is based on MICR encoding and batch deposit reconciliation, the entire international financial structure may be fraught with "systemic problems".
The moment bogus funds are "deposited" in a bank connected to the SWIFT network, they are immediately available to any other bank in the World that is a member of the network, in real time. Once "in" the global monetary system, the digital money is taken as good, and granted de-facto authenticity. Bogus digital money is indistinguishable from authentic digital money, it is all just bits and bytes, not printed on currency.
How much of the average daily dollar volume of $1.32 trillion that flows through this electronic compensation system is bogus? What kind of a financial system do we have, if we simply do not know if the digital money we are using is "real" or digitally forged? What kind of "wells" are out there, where are they, how severe is this global "systemic" problem?
The final link in this offshore fraud scheme requires that the funds be transfered into accounts in the USA without raising the audit flags in the money laundering (LCR) systems at American banks.
The most expedient practice used is to invest in US stocks and bonds, using automated brokers such as e-trade or TD-Waterhouse. The tax liability is minimized by purchasing US securities that do not generate substantial capital gains when sold. The IRS is only informed of capital gains accrued for the brokerage account, not of the source of the funds in the market account.
By using the stock market as a laundromat, faux digital money can be pumped through automated brokerage systems without leaving a trace about the owner’s original source of funds.
This scheme may explain why funds continue to flow into US securities unabated, thereby propping up the huge US current accounts deficit and granting a lavish life style to some republican elites, but condemning the vast majority of the People to servitude to faux money.
The global capitalist system is simply not fair, not just, not even true. May help us bring an end to this global corruption, for the sake of our children, who are the ones who will face the consequences of this larceny.
Atlanta,
April 14, 2005
print this article
link to this article
frontpage |
headlines |
comments |
top