When you see the democratic process being dismantled bit by bit, piece by piece, in the United States, and you know exactly which country(ies) is (are) behind what is happening, it is difficult to stand down.
The choice is now very straightforward:
Either stand down, do nothing, or get engaged in the process.
There are many invective words I would like to use but this would be playing into the hands of those who should, by all accounts, have been arrested for treason long ago.
It is not a crime to speak out in defense of democracy -especially when so many in high office are already cowed into silence.
It is not a crime to call on brothers and sisters to ask themselves whether giving a Frankenstein monster such sway will really advance the cause - or just forestall the day it will come after us (and them) - with a vengeance.
Neither is it a crime to stand by those who might be of different views if by doing so it prevents both from being obliterated. Believe me, that is what will happen if this Frankenstein monster is permitted further sway.
Traditional allies in Europe are all frightened, quaking in their shoes and boots, not knowing exactly what to do or say except trying in futile desperation to placate with complimentary platitudes - in the forlorn hope that this ''Creature'' might give them a 'Hail Mary.' - all to little avail nor effect I might also add.
As I said earlier, when this ''Darkness'' has passed (which it will - so hang on in there!) a full nationwide inquiry will be essential to identify exactly whom and how the process of bringing America and it's traditional allies to their knees was executed and all those responsible disbarred from public office and financing public office-holders for a very long time.
How could an Empire of such magnitude be brought to it's knees? Who were the co-conspirators? Was this policy devised before, during or after World War II?; perhaps while the Allies were 'distracted' in a divided Europe, and 'looking the other way? or is it revenge by Russia for the collapse of the Soviet Empire?; and what can be done to prevent another similar scenario in the future?
There are many issues of ethics and loyalty to the U.S. Constitution in stark contrast to a very different America which many are being forced to confront.
How they all negotiate these issues will determine not just the future of America and it's Allies worldwide, but whether America will continue to remain a preeminent global superpower of ethics, values and morality, or just one of several aggressive military powers which will all, inevitably, lock horns in global warfare, for military dominance of the planet
Patrick Emek, July 2018
Repost
Trump ''Considering'' Putin's ''Request'' For The GRU or FSB to ''Interview'' Former U.S. Ambassador To Russia Michael McFaul
''Cutting To the Chase''
[some brief observations]
Let me leave aside even the ''considering'' bit and cut to the chase:
Forget about impeaching this ''President'', this is what should happen in a sane world:
1.Arrest on a charge of treason
2.Confinement to Trump Tower (''house arrest'') until such time as a special facility is built at Fort Leavenworth
3.Suspension of access to Congress for all holders of Elected Office [ sic. as suspected collaborators] until a new security clearance system is in place
4.Convening by Act of Congress of a Special Bipartisan Judicial Panel to deal with all of the above
What will actually happen in the ''reality'' of the surreal world of American politics? Probably nothing.
Let all of the aboves be a warning in folly to future empires about what happens when you grease the palms of politicians with money, money in kind from the private sector and then expect them to swear loyalty to the empire - or indeed where their loyalties are to foreign powers actively damaging and working to scuttle America's global financial and security interests for their own particular country's benefit, all of which, incidentally, are alien to Western values and alien to the security of the United States and it's allies worldwide.
Cambridge Analytica, Steve Bannon, Clandestine Meettings In the British Virgin Islands, The Seychelles, Robert Mercer, Alexander Litvinenko, Christopher Steele and the Theft of an American Election
I was recently asked as to why I did not post in detail the dropbox reference which details the research data of Alexander Litvinenko.
In view of several events occurring recently in the United Kingdom I thought I'd better respond as to why I referred readers to Anastasia Kirilenko rather than give readers the information which was sent anonymously but which drew heavily on her research into Vladimir Putin's rise to power in St. Petersburg and those key individuals who have provided him with political and financial support.
The reason was that I was asked, before the anonymous dropbox reference was sent, not to elaborate on Anastasia Kirilenko's work just to refer readers on to it.
This would ensure that someone who has worked tirelessly (and whose life has been in danger because of her work) was given the full credit she deserves.
I agreed to this request because my anonymous source is impeccable. I knew it (the reference) was important for this former to have even taken the time contact me about a blog, and the sources my source can draw on are, likewise, the latter.
In the light of the above events, if you now search this article, you will find that I have added some of Anastasia Kirilenko's work after the reference section of 'Robert Mercer, Money Launderer For Vladimir Putin' - which was deliberately left up as the main blog at this site for over two months.
Can I again suggest that you contact Ms Kirilenko direct for further information?
While the mainstream media debate now focuses on all of the above, the debate has moved beyond these matters: to the type of America it's citizens want to live in.
Out of sheer ignorance (lack of knowledge) approximately 34% of the electorate in the United States simply disbelieve the issue of Russian overwhelming of the U.S. electoral system and genuinely believe that all of this is simply propaganda against Donald Trump. This is what should really alarm lawmakers. That the extent of the Kremlin's successes have been so thorough that one third of the American electorate can be so easily brainwashed.
(I cannot but express some private admiration for the Kremlin in being able to achieve this.
If there was a Leni Riefenstahl prize for propaganda it would be awarded to the Kremlin with no other contestants coming anywhere close. This must be today's definition on how to win a war and disarm a nation, leaving it in chaos, without firing a single shot.)
It is truly remarkable how this conspiracy to destroy America was conceived and implemented.
I will not say what I believe should happen to the conspirators but let me say just this.
This was such an egregious attack on the United States that, after all of the facts are revealed, it should never be allowed to happen again. This was a conspiracy by well-placed Russian moles.
Some may have been operating as sleepers, others as fellow-travelers for a very long time.
All were aided and abetted by senior politicians looking and negotiating for themselves for a new place in a new world order - with a new Master.
In my opinion all were acting in the knowledge that they were aiding and abetting a foreign superpower invade the United States and destroy it from within.
Sadly, the extent of the betrayals are so great and go so high, that the general public will probably never know all of the facts (nor all of the players) involved - because so many are 'too big to jail.'
All these facts need to also be revealed over the coming years to prevent a repetition.
If you want to read more about Anastasia Kirilenko's research please now look after the reference section of 'Robert Mercer, Money Launderer For Vladimir Putin' which you can find by using the above search button for this website. (Unfortunately you cannot do this because of the way posts are security tagged to prevent later alterations beyond a certain time. I have therefore created a new post here to reflect the additional data which was not added earlier.) So doing a search using the search button above this blog will give you the original blog but not the additional material here (below.)
Can I again request that you contact Anastasia direct (from her brief profile on the left-hand column of this drop-down web page - just scroll down until you find her name.)
PE March 20, 2018
Is There A Case For A Temporary Military Provisional Administration In The United States?
The clear and honest answer is that there is not, at present.
But the reasons that there is not a clear path to a provisional caretaker administration are less straightforward.
There continue to remain semblances of constitutional authority and hierarchical structures as inherited for more than a century which provide civil society with democratic redress.
These boundaries are, however, on a daily basis, being pushed back to enable hostile foreign superpowers and organised crime to infiltrate the structures of governance in order to destroy them (from the inside) and to 'mould' a new America in their own image.
Unfortunately the mainstream media has a lot to answer for – leaving the vast majority of Americans with little information about civil society and their responsibilities whilst flooding the airwaves with reality and games shows.
American media oligarchs have sought to create the very conditions which could now destroy free speech.
American politicians have surrendered powers to interest groups which are now turning their leverage against civil administrations – or threatening to do if such do not comply with their demands.
What is happening before our very eyes is the meltdown of democracy in the United States as it is slowly being destroyed by Donald Trump.
There will be more 'red flags' and it will be incumbent on those exercising their responsibilities to decide what they want to do as each is arrived at: – are they prepared to see American slide into a cauldron of civil war or are they prepared to exercise their duty to save the country.
And all this has been brought about by the Russian Federation – almost to the incredulity (and disbelief) of at least one quarter of the American general public.
Quite a remarkable achievement - in it's own right.
Donald Trump appointed former military personnel to his administration for one – and solely one – reason. That was to test their loyalty. When he discovered that, unlike what the conspiracists are telling the American populace – that a 'deep' conspiratorial State exists – what he actually found, much to his horror, was that such individuals were diligently performing their duties on behalf of the Office of the President of the United States – and not prepared to swear personal loyalty to him as a de facto 'godfather'. Nor as head of a criminal enterprise.
So now he has to continue to purge both the government administration, the processes of law and legislation protecting successive administrations from corruption and conspire with handfuls of politicians and extremist groups to destroy the American constitution from the inside outwards.
Donald Trump will have little time left to achieve this.
He is aware that as the Mueller investigations reveal more and more of his criminal enterprises – and as the general public become more and more aware of the extent of the conspiracy – of which this incumbent President played an active role - which took place against their country and its lawful political candidates during the last Presidential election – they will be so disgusted that the Trump administration (and all politicians who partook in the conspiracy then cover-up) will all be left ''in the dustbin of (American) history.''
It is sad to even contemplate that a body charged with the conduct of the defense of the nation might have little choice given the extent of the all-pervading influence of the Russian Federation across certain sectors of American society to the extent that such influence has the potential to bring the country to its knees.
I know as a fact that military people in the democratic world have little to no appetite for running governments. If they wanted to do this, they would have long ago exercised their democratic right to enter politics.
All the above are uncharted waters.
Faced with the prospect of seeing the United States and the Western Alliance collapse and a new world political order, which ultimately sees America as subservient to Russia, take it's place, hitherto unimagined scenarios will need to be looked at to save the nation in it's hour of crisis.
In England a similar situation arose.
A politician (former military commander who assumed both roles) named Oliver Cromwell reluctantly temporarily abolished the Royal Monarchy to save the nation from itself.
(Sadly he never discontinued the wars in Ireland – so his brother-in-law, Ireton, lies today in a disused Irish grave, killed in battle whilst fighting hopeless, endless and unwinnable wars against the fanatical Irish.)
As soon as civil society was restored, so too was the Monarchy – with reduced powers – ushering in, as with the French revolution, the era of modern Western democracy.
So there are precedents for the temporary stewardship of nations to prevent tyranny and restore democracy.
Indeed a temporary President could be installed in the United States whilst the full extent of the crimes committed against the American people during the 2016 election were openly being examined across the country and new democratic elections, free of foreign interference, were being prepared.
There was a prophesy that the 44th President of the United States would be the last.
I took little notice of it. Just the sayings of seers and mystics – who do not always get everything exactly right.
Perhaps the reality is that the 44th Presidency marked a watershed, immediately after which there would be a void, followed by a restoration?
Nothing is written in stone – but saving the nation and protecting it against all internal and enemies who would wish to enslave it to foreign superpower rivals - should play heavily on the minds of all exercising their duties and loyalty to the constitution of the United States.
Their medthods may differ but the objectives are the same:
THE TOTALITARIAN STATE
repost
ROBERT MERCER :—
MONEY LAUNDERER FOR
VLADIMIR PUTIN
Renaissance Technologies (RENTEC) is the second largest hedge fund in the US, managing $45 billion in assets. It has a reputation for being the most successful hedge fund in history, for using quantitative trading strategies designed by top scientists, and for being extremely secretive.Publicly available information on RENTEC implies that the firm is a massive money laundering tool disguised as a hedge fund, operating on behalf of Vladimir PUTIN.
BACKGROUND
Money laundering involves a transaction where illicit money is spent by one party, producing a seemingly legitimate profit for another party. Ostensibly the two parties are unrelated, but in reality, both parties are closely connected. The money laundering process can be summarized in three steps: • SOURCE Secure illegally sourced funds. • TRANSACT Illegal money is used in a transaction, resulting in profits for another party. • COVER UP The true nature of the transaction is visible only to insiders. Evidence suggests money laundering via financial markets works like this: • SOURCE Criminal organization invests in a hedge fund (Fund A) operating in a market with a high degree of corruption (for example Russia). • TRANSACT On behalf of Fund A, an international bank purchases a security in the corrupted market. The bank then sells(i.e. shorts) the same security in a second developed market (for example the UK), and forwards the proceeds to Fund B. Both funds are owned by the same criminal organization. • COVER UP The nature of the transactions are obfuscated with advanced financial techniques and the inner workings of the fund are kept secret. A significant degree of sophistication is required to launder money in plain sight via financial markets. Due to this sophistication, it’s unlikely direct evidence will come to light without access to internal records. However, by using other cases as a guide, the following mosaic of indirect evidence will likely be found: • SOURCE Key people are connected to criminal organizations via one or more intermediaries. • TRANSACT An abnormally high rate of return that allows significant amounts of money to be laundered in a short amount of time. Evidence of buying and selling the same securities in different markets. • COVER UP History of using financial engineering to hide the nature of transactions and a reputation for extreme secrecy.
SOURCE
Russia is controlled by a vast organization comprised of the intelligence services, organized crime and big business. This organization is led by Vladimir PUTIN and control is maintained through corruption, blackmail and assassination. (1)Because of the high degree of control PUTIN has over Russian centers of power, all Russians in positions of influence should be assumed to have at least PUTIN’s blessing. Any persons significantly connected with these Russians are likely contributing to PUTIN’s goals either witting or otherwise.
Robert MERCER is co-CEO of RENTEC.MERCER is the largest financial backer of Donald TRUMP’s presidential campaign, and an influential funder of Republicans and conservatives causes including Citizens United. (2)
MERCER invested in data science firm CAMBRIDGE ANALYTICA. MERCER insisted TRUMP campaign hire CAMBRIDGE ANALYTICA to design its social media strategy. Through CAMBRIDGE ANALYTICA and its owner Vincent TCHENGUIZ, MERCER is connected to PUTIN protégé Dmitry FIRTASH and Russian Intelligence Services (RIS). (3, 4)
March 2017 MERCER’s yacht the ‘Sea Owl’ was spotted in the British Virgin Islands, anchored next to Dmitry RYBOLOVLEV’s yacht the ‘Anna.’ RYBOLOVLEV is a member of PUTIN’s inner circle and likely his personal courier. (5)
MERCER is part owner of BREITBART news. The FBI is investigating BREITBART and CAMBRIDGE ANALYTICA for cooperating with RIS during the 2016 US election. Evidence suggests that CAMBRIDGE ANALYTICA and BREITBART used information warfare techniques in cooperation with RIS to support TRUMP and attack Hillary CLINTON. (3, 6, 7)
Several of RENTEC’S Russian born employees have been in the news:
• In the late 1990s Alexey KONONENKO was given a prominent role within RENTEC’s equities group. His rapid promotion was questioned by colleagues and characterized as a “power play.” (8)
• In 2001 RENTEC sued two Russian employees Alexander BELOPOLSKY & Pavel VOLFBEYN for intellectual property theft after they left for rival fund Millennium Partners. (8)
• In 2006 Alexander ASTASHKEVICH shot and killed his wife and himself. (9)
Prior to starting RENTEC in 1982, the firm’s founder Jim SIMONS was a cryptologist, contracted to the NSA. Like Edward SNOWDEN, SIMONS would have been a valued target for recruitment by RIS. (10)
2014 RENTEC received media attention for increasing its holding in Russian telecom company VIMPLECOM. Newsworthy because the stock was dropping following Russia’s annexation of Crimea. In 2016 RENTEC further increased its holding in VIMPLECOM by 438%. VIMPLECOM is controlled by PUTIN insider Mikhail FRIDMAN. (11)
TRANSACT In the past 20 years the average hedge fund returned 9% per year. In the same period RENTEC’s “MEDALLION” fund averaged 40%. After twenty years, one-thousand dollars invested in the average hedge fund would be worth nearly six-thousand dollars, the same investment made in MEDALLION would be worthover eight hundred-thousand dollars. (22)
RENTEChas long claimed that it must limit the size of its MEDALLIONfund (most recently at $10 billion) in order to preserve its high rates of return. So, it was newsworthy when shortly after the election of Donald TRUMP the firm announced that it would be increasing the fund’s size by fifty percent and that employees would only have several weeks to raise additional funds. This would increase the fund to $15 billion and at current rates of return would produce a profit of $6 billion in 2017.In normal years virtually all profits of the fund are returned to investors instead of being re-invested. This unusual degree of cash returned to investors could be used to facilitate money laundering. (22)
Hedge funds are normally secretive in order to prevent competitors from copying their investment strategies. However, RENTEC is not only secretive about its strategies, but also about its financial position and executive compensation. For this reason, very little is known about internal workings of the firm. What can be pieced together is RENTEC uses quantitative models to buy and sell millions of stocks a year based on statistical ARBITRAGE strategies.Statistical ARBITRAGE attempts to make money by buying one security and selling another. These securities could be similar stocks in the same industry, or the same security trading in different markets.
COVER UP
In 2017 DEUTSCHE BANK was fined $425 million by the US government for laundering $10 billion out of RUSSIA using a scheme known as MIRROR TRADES. The scheme involved a customer in Moscow ordering DEUTSCHE BANKto buy shares for Rubles and then to immediately sell an identical amount of the same shares in London for Dollars. (14)
The money used in the scheme belonged to Igor Putin (cousin of Vladimir PUTIN) and the ROTENBERG brothers who are old friends of PUTIN. Investigators speculated that MIRROR TRADES where a part of a much larger money laundering operation but to date no additional evidence has been made public. To outsiders MIRROR TRADES are nearly indistinguishable from ARBITRAGE. (14)
MIRROR TRADES were kept under the radar by trading “over the counter”, and through a remote booking feature that did not require direct participation of the London office. Records showing losses at the end of the trading day would mysteriously show zero losses at the beginning of the next day. This strongly indicates traders were JOURNALING assets (moving assets between accounts) in order to make up for losses in one account with gains from another. (14, 15)
RENTECis currently under investigation by the IRS for using a similar financial engineering structure to MIRROR TRADES known as BASKET OPTIONS (an option containing many different securities). Congressional investigators have claimed BASKET OPTIONS were used to avoid taxes and limitations on leverage, but they could also be used to facilitate money laundering.On behalf of the MEDALLIONfund, RENTEC purchased an option from DEUTSCHE BANK and then sold theoptionone year later and claimed the long-term tax rate (24%) applied. In reality RENTEC exercised full control of the contents of the option, and executed hundreds of millions of high frequency transactions a year, most lasting only milliseconds. (16, 17)
If the IRS finds that RENTEC should be charged the short-term tax rate (44%), the fund will owe $6.8 billion.2017 McClatchy reported on the investigation and specifically linked the possible tax bill with the increasing investments in political candidates made by RENTEC executives.
Two weeks after the report was published the author Scott CHRISTIANSON died from massive head trauma at his home. (16, 18)
Evidence presented to US Congressional committee investigating RENTEC show thatDEUTSCHE BANK allowed RENTEC to JOURNAL assets between sub accounts, thereby avoiding market transactions of buying and repurchasing the same security that could be interpreted as manipulative trading.Other evidence included emails from William BROEKSMIT, the DEUTSCHE BANK employee charged with managing the BASKET OPTIONS for RENTEC where he went into detail how the scheme was executed.
In 2014 BROEKSMIT was found dead in his London apartment as result of hanging. (16, 19)
RENTEC is also currently under investigation by the Commodity Futures Trading Commission. RENTEC has resisted calls from the agency to hand over source code that runs MEDALLION’s trading algorithms. (20)
RENTEC manages three separate funds, two of these funds are available to outside investors. The third fund is the highly secretive MEDALLION and only accepts money from RENTEC employees. Records show that only five executives own seventy percent of the fund. In 2009, investors in the public funds were unhappy that MEDALLION’s returns far exceeded returns of their investments. These complaints led to an SEC investigation. SIMONS took the blame and resigned, making MERCER co-CEO together with IBM colleague and former roommate Peter BROWN. (21, 23)
CONCLUSION The preceding sections demonstrate RENTEC has connections with Russian elites, produces extremely high rates of return via ARBITRAGE transactions, and engages in financial engineering techniques that are functionally equivalent to known money laundering methods. These are all red flags that imply RENTEC is involved in money laundering on behalf of Vladimir PUTIN.
The evidence suggests that RENTEC is a massive Russian money laundering operation hiding under the guise of a highly successful hedge fund. The scheme functions similar to MIRROR TRADES where shares are purchased in Moscow, immediately sold by RENTEC in the US, recorded as RENTEC’s profit, and the shares JOURNALED between US and Moscow accounts by DEUTSCHE BANK. RENTEC hides this scheme by executing hundreds of millions of trades a year, by using BASKET OPTIONS, and by limiting investment of the fund to RENTEC insiders. Every year RENTEC is capable of washing funds equal to the annual profits of its MEDALLIONfund which are estimated at $6 billion this year.
For this scheme to be successful, all senior RENTEC leadership would have been involved including MERCER and SIMONS.In the 2016 election cycle MERCER spent $15 million on Republican candidates with the majority going towards supporting Donald TRUMP. In the same year SIMONS also spent $15 million, but on Democratic candidates, much of it going towards Hillary CLINTON. Regardless of the election result, PUTIN was guaranteed to have an agent with significant influence on the President of the United States. q@q502q502
1. Fiona Hill, Mr. Putin: Operative in the Kremlin, 2015 2. Jane Mayer, The Reclusive Hedge-Fund Tycoon Behind the Trump Presidency, The New Yorker, 2017 3. Carole Cadwalladr, Robert Mercer: the big data billionaire waging war on mainstream media, The Gaurdian, 2017 4. Ann Marlowe, WILL DONALD TRUMP’S DATA-ANALYTICS COMPANY ALLOW RUSSIA TO ACCESS RESEARCH ON U.S. CITIZENS?, Tablet, 2016 5. John Pacenti, Yachts of Trump financial backer, Russian oligarch seen close together, My Palm Beach Post, 2017 6. Kate Brannen, DID RUSSIANS TARGET DEMOCRATIC VOTERS, WITH KUSHNER’S HELP?, Newsweek, 2017 7. Daniel Halper, Breitbart and InfoWars are drawn into FBI’s Russian bot probe, NY Post, 2017 8. Katherine Burton, Inside a Moneymaking Machine Like No Other, Bloomberg, 2016 9. Kieran Crowley, TRAGIC SIBERIA ‘EXILE’ — FOR SLAY-SUICIDE BOY, NY Post, 2017 10. wikipedia.org/wiki/James_Harris_Simons 11. Jesse Solomon, What geopolitical risk? Hedge funds bet on Russia, CNN Money, 2014 12. Richard Rubin, How an Exclusive Hedge Fund Turbocharged Its Retirement Plan, Bloomberg, 2015 13. Nathan Vardi, Renaissance And Two Sigma, Growing At Stunning Pace, Now Nation’s 2nd Biggest Hedge Funds, Forbes, 2017 14. Ed Caesar, Deutsche Bank’s $10-Billion Scandal, The New Yorker, 2016 15. NY ST DEPARTMENT OF FINANCIAL SERVICES, In the Matter of DEUTSCHE BANK AG and DEUTSCHE BANK AG NEW YORK BRANCH, 2017 16. Scott Christianson, Billionaire Robert Mercer did Trump a huge favor. Will he get a payback?, McClatchy, 2017 17. US Senate PERMANENT SUBCOMMITTEE ON INVESTIGATIONS, ABUSE OF STRUCTURED FINANCIAL PRODUCTS, 2014 18. Casey Seiler, Scott Christianson, 69, acclaimed journalist, author and advocate, Times Union, 2017 19. Michael Gray, Why are so many bankers committing suicide?, NY Post, 2017 20. Kevin Dugan, Quant fund is concerned about CFTC getting its software code, NY Post, 2017 21. Mariah Blake, Why Are These Hedge Fund Kingpins Dumping Millions Into the Midterms?, Mother Jones, 2014 22. Miles Weiss, Renaissance’s Medallion Made a Stunning Shift After Trump’s Election, Bloomberg, 2017 23. Pamela Roux, Is Trump Backer Robert Mercer a Billionaire? I Tried to Find Out, Bloomberg, 2017 Part II Please accept my apologies for the poor quality of the print below. If you require a clear print of Mr Litvinenko's Memo of 1998 and the ghosted Russian-language official correspondences you can now obtain them from: https://www.dropbox.com/sh/1k973c02jaz0f7r/AACoIMZlSCl_WXvW2I-S0kHZa/Tuesday%20-%20Day%202?dl=0&preview=Russia-as-a-Criminal-Organization_ANASTASIA-KIRILENKO.pdf
Repost
The Christopher Steele Dossier
Trump With 2 Prostitutes, then a Third engaged In Moscow Hotel Urination Revenge Act by Trump Against President Barack and First Lady Mrs Michelle Obama:
The money used in the scheme belonged to Igor Putin (cousin of Vladimir PUTIN) and the ROTENBERG brothers who are old friends of PUTIN. Investigators speculated that MIRROR TRADES where a part of a much larger money laundering operation but to date no additional evidence has been made public. To outsiders MIRROR TRADES are nearly indistinguishable from ARBITRAGE. (14)
MIRROR TRADES were kept under the radar by trading “over the counter”, and through a remote booking feature that did not require direct participation of the London office. Records showing losses at the end of the trading day would mysteriously show zero losses at the beginning of the next day. This strongly indicates traders were JOURNALING assets (moving assets between accounts) in order to make up for losses in one account with gains from another. (14, 15)
RENTEC is currently under investigation by the IRS for using a similar financial engineering structure to MIRROR TRADES known as BASKET OPTIONS (an option containing many different securities). Congressional investigators have claimed BASKET OPTIONS were used to avoid taxes and limitations on leverage, but they could also be used to facilitate money laundering. On behalf of the MEDALLION fund, RENTEC purchased an option from DEUTSCHE BANK and then sold the option one year later and claimed the long-term tax rate (24%) applied. In reality RENTEC exercised full control of the contents of the option, and executed hundreds of millions of high frequency transactions a year, most lasting only milliseconds. (16, 17)
