Tag Archives: taxes

International, U.S.

World War 3, Syria says U.S. made Stinger missiles being delivered to rebel groups, U.S. welcomes resignation of Kofi Annan

In a press conference, at the United Nations in New York City, a Syrian UN rep stated that U.S. made Stinger anti-aircraft missiles were being shipped in to rebels, via NATO member Turkey.

Syrian rep states the United States is glad Kofi Annan resigned because the U.S. was against Annan’s six point peace plan. Syria, Russia, China and other countries supported Annan’s plan, but every time the Syrian government tried to implement the plan, rebels would increase their attacks forcing the Syrian government to respond in self defense.

 

 

Business/Economics, International, U.S.

LIBOR: RBS takes action against its own employees

“The LIBOR situation is on our agenda and is a stark reminder of the damage that individual wrongdoing and inadequate systems and controls can have in terms of financial and reputational impact.”-Stephen Hester, CEO RBS

03 August 2012, the Royal Bank of Scotland announced it has fired several employees for their involvement in the LIBOR rigging scandal.

RBS officials said they are cooperating with international investigators.

The government of the United Kingdom owns 82% of RBS.

RBS reported a pre-tax loss of $2.3 billion USD!  RBS is also setting aside $211 million to compensate loan insurance customers. Those customers claim RBS lied to them about what they were getting.

Check my other postings about LIBOR.

Business/Economics, International, U.S.

Global Economic War: Bolivia clarifies so called ban on Coca Cola, Brazil bans Chevron, South America fighting U.S. yankee crony capitalist imperialism

“December 21 of 2012 will be the end of egoism and division. December 21 should be the end of Coca-Cola.”-David Choquehuanca, Foreign Minister of Bolivia

This recent statement by officials from the South American country has been interpreted as meaning Coca Cola was banned from Bolivia.  But David Choquehuanca has come out and stressed that emphasis needs to placed on his use of the word “should”.

(So far the only countries with official bans on Coca Cola are Korea North, Cuba and Myanmar.)

The government of Bolivia has started a campaign pushing for Bolivians to buy products made in Bolivia, not products from the United States.

Bolivia is not alone as Venezuela has also started a similar campaign.  Venezuela even banned Coke Zero.

In 2011 Bolivia kicked out McDonalds.

At the end of July 2012, the government of Chile filed suit against McDonalds, Burger King and KFC on the grounds they violate the country’s anti-toy in happy meals law.

Also at the end of July 2012, Venezuela shut down 89 McDonalds for tax evasion.

In March 2012, Peru began enforcing their ban on the sale of food products made with genetically modified crops (aka GMO foods). The ban directly affects Monsanto, Dow Chemical and Bayer (a German company).

Brazil and Paraguay have similar bans as well.  Venezuela banned all GMO seeds.

In 2011, Argentina temporarily banned the sale of Blackberry phones and Apple computer products.  Argentina has also temporarily banned U.S. beef products.

Brazil has banned specific ingredients in cigarettes, which is hurting U.S. tobacco companies.

On 02 August 2012, Brazil officially banned Chevron from doing business in their country.  This after two massive, and unexplained, oil spills (of course U.S. media says the spills were minor).

At the end of 2011, the countries of South America formed their own economic union called Comunidad de Estados Latinoamericanos y Caribeños, or Community of Latin American and Caribbean States (CELAC).  The United States and Canada were not invited.

Now, India will be the first country to hold official trade talks with CELAC, scheduled for 07 August: “India enjoys friendly and warm relations with all CELAC countries. They have a shared understanding on the values of democracy, freedom, equality and justice.” Indian Ministry of External Affairs statement

 

 

Business/Economics, Idaho, U.S.

What Economic Recovery? “tip of iceberg” for U.S. cities going bankrupt or defaulting, blame reduced tax revenues caused by bad economy!

“We went fifty years without any municipal bankruptcies in the United States, and now we are going to get dozens of them. The governing class did not get stupid fast.”-Richard Brodsky, former 14-term New York State assemblyman

(Actually, contrary to Brodsky’s statement, I think there was one chapter 9 bankruptcy in 1994, and another in 2008 [both in California]. But the point is that we’ve never seen the numbers we’re seeing now.)

Since 2010 dozens of cities, counties and local service agencies have gone bankrupt, something not seen in at least fifty years! Analysts are predicting dozens more.  The reason is simple: Bad economy means less jobs, and most of the jobs that are available pay a pittance (minimum wage, no benefits). That means less tax revenue for state and local governments.

Some stupid local governments try to make up for it by raising local taxes.  That shows you how out of touch your local reps are.  If tax revenues are down because most people are making less money, then raising taxes will only make things worse (remember what sparked the U.S. Revolutionary War: Unfair taxes).

2010 Local Government/Service Bankruptcies

Lost Rivers District Hospital, Arco, IDAHO

Lake Lotawana Community Improvement District, Lee’s Summit, MISSOURI

Grimes County MUD 1 and Official Committee of Bondholders, Grimes County, TEXAS

The Southern Connector (toll road), Piedmont, SOUTH CAROLINA

2011 Local Government/Service Bankruptcies

Central Falls, RHODE ISLAND

Jefferson County, ALABAMA

Centerton Municipal Property Owner’s Improvement District 3, Fayetteville,  ARKANSAS

Harrisburg, PENNSYLVANIA (courts rejected claim)

Boise County, IDAHO (courts rejected claim)

Barnwell County Hospital, SOUTH CAROLINA

Bamberg County Memorial Hospital, SOUTH CAROLINA

Sanitary and Improvement District 512, Douglas County, NEBRASKA

Mendocino Coast Recreation and Park District, Fort Bragg, CALIFORNIA

2012 Local Government/Service Bankruptcies & Defaults

Harrisburg, PENNSYLVANIA (default)

Suffolk Regional Off Track Betting Corp, Hauppauge, NEW YORK (second filing, first was rejected by courts in 2011)

Hospital Authority of Charlton County, GEORGIA

Rural Water District 1, Cherokee County, OKLAHOMA

Sylamore Valley Water Association Public Facilities, Izard County, ARKANSAS

Stockton, CALIFORNIA

Mammoth lake, CALIFORNIA

San Bernardino, CALIFORNIA

Seven local governments are under emergency management in MICHIGAN

Analysts predict many more major U.S. cities to go bust

Washington DC: In debt by $537 per resident

Detroit, MICHIGAN: In debt by $217 per resident

Honolulu, HAWAII: In debt by $110 per resident

New York City, NEW YORK: In debt by $565 per resident

Almost every major city in CALIFORNIA (beware the saying; “As California goes, so goes the rest of the nation.”)

Camden, NEW JERSEY: In debt by $54 per resident

Cincinnati, OHIO: In debt by $181 per resident

And the biggest loser is: Chicago, ILLINOIS: In debt by $2,353 per resident

 

Business/Economics, International, U.S.

What Economic Recovery? Ford and Chevy sales up in the U.S.? So what! Global profits are still crashing! Layoffs in the works!

“We think this is a situation that we will have to deal with for the foreseeable future.”-Bob Shanks, Ford CFO

“We have overcapacity now in Europe. It isn’t going to come back fast and we aren’t going to be saved by volume.”-Alan Mulally, Ford CEO

02 August 2012, Ford and General Motors (GM) reporting falling profits despite earlier reports of increased sales.

GM reporting a drop in profits of 41% compared to the same time last year.  Ford reporting a 57% drop!  Both blame crashing sales in the European Union. GM lost $361 million USD in Europe, Ford lost $404 million!

GM’s biggest European brand, Opel, has been losing money big time.  German newspapers are reporting major changes in the works, such as reducing pay for employees, layoffs and even ending some production in the United States, shifting that production to Europe then shipping the cars to the U.S. for sale (of course that would mean layoffs for U.S. workers).

Chrysler, now controlled by Italy’s Fiat, was the only one to see an increase in profits. However, Fiat is hoping to use Chrysler to offset Fiat losses in Europe.

Ford also had profit losses in South America and Asia, which is worrisome since those are the two big vehicle sales markets right now. When asked if factory closings and layoffs were in the works, Ford’s CEO said cuts to “all areas of the business” were being considered.

Business/Economics, International, U.S.

World War 3: Senate passes bill that almost guarantees war with Iran! Obama must now sign or veto

On 14 December 2011 the U.S. House passed HR 1905 (click here for more info).  On 01 August 2012, the U.S. Senate passed their version, now it goes before President Obama to be accepted or rejected.

The bill affects other countries, not just Iran, and even U.S. citizens!

Iran Sanctions, Accountability, and Human Rights Act of 2012

Title I – Expansion of Multilateral Sanctions Regime with Respect to Iran
Section 101 –
Declares that it is U.S. policy to: (1) prevent Iran from acquiring or developing nuclear weapons, ballistic missiles, and advanced conventional weapons; and (2) implement all sanctions against Iran in order to compel Iran to abandon nuclear weapons efforts and to cease support for terrorism.
Section 102 –
Expresses the sense of Congress that the goal of compelling Iran to abandon efforts to acquire a nuclear weapons capability and other threatening activities can be achieved through a policy that includes economic sanctions, diplomacy, and military planning, capabilities and options, and that this objective is consistent with the one stated by President Barack Obama in the 2012 State of the Union Address.
Section 103 –
Urges the President to initiate diplomatic efforts to expand the multilateral sanctions regime regarding Iran.
Section 104 –
Expresses the sense of Congress that: (1) the President should seek to maximize the effects of existing sanctions on Iran, and (2) the United States should take all necessary measures to preserve information-sharing activities.
Title II – Expansion of Sanctions Relating to the Energy Sector of Iran and Proliferation of Weapons of Mass Destruction by Iran
Subtitle A – Expansion of Iran Sanctions Act of 1996
Section 201 –
Amends the Iran Sanctions Act of 1996 to impose specified sanctions on a person that knowingly participates in certain petroleum resource development joint ventures outside of Iran if the Iranian government is a substantial partner or investor in the joint venture, or if Iran could, through such joint venture, receive new technology or equipment that could significantly contribute to its development of petroleum resources in Iran.
Section 202 –
Imposes specified sanctions on a person that knowingly sells, leases, or provides to Iran certain petroleum and infrastructure development-related resources goods, services, technology, or support:
(1) any of which has a fair market value of $1 million or more; or
(2) that, during a 12-month period, have an aggregate fair market value of $5 million or more.
Imposes specified sanctions on a person knowingly selling, leasing, or providing to Iran certain petrochemical development-related goods, services, technology, or support:
(1) any of which has a fair market value of $250,000 or more; or
(2) that, during a 12-month period, have an aggregate fair market value of $1 million or more.
Section 203 –
Imposes specified sanctions on a person knowingly participating in certain joint ventures with Iran’s government, Iranian entities, or persons acting for or on behalf of Iran in the mining, production, or transportation of uranium. Exempts a person from sanctions if the person withdraws from such joint ventures within 180 days after enactment of this Act.
Section 204 –
Authorizes the President to: (1) direct the Secretary of State to exclude from the United States an alien who is a corporate officer, principal, or controlling shareholder in a sanctioned firm; and (2) impose sanctions against the principal executive officer or other principal executive officers of a sanctioned firm.
Subtitle B – Additional Measures Relating to Sanctions Against Iran
Section 211 –
Directs the President to block the property and property interests in the United States or under the control of a U.S. person of a person that knowingly provides ships, insurance or reinsurance, or other shipping services for transportation of goods that materially contribute to Iran’s proliferation of weapons of mass destruction (WMD) program or its terrorism-related activities. Authorizes the President to waive such provisions if in the U.S. national security interest.
Section 212 –
Amends the Comprehensive Iran Sanctions, Accountability, and Divestment Act of 2010 to impose sanctions on entities controlled or owned by a person sanctioned by U.N. Security Council resolutions regarding Iran.
Section 213 –
Prohibits an entity owned or controlled by a U.S. person and established or maintained outside the United States from engaging in any transaction with Iran or a person under Iran’s jurisdiction that would be prohibited if the transaction were engaged in by a U.S. person or in the United States. Imposes specified civil penalties for violations of such prohibition.
Exempts a person from such provisions if the person divests or terminates its business with the entity within 180 days after enactment of this Act.
Section 214 –
Amends the Securities Exchange Act of 1934 to require securities issuers to disclose in detail in their mandatory annual or quarterly reports to the Securities and Exchange Commission (SEC) whether they or their affiliates have:
(1) engaged in certain activities relating to Iran, terrorism, and the proliferation of weapons of mass destruction;
(2) knowingly engaged in specified activities, or knowingly violated certain regulations prescribed under the Comprehensive Iran Sanctions, Accountability, and Divestment Act of 2010;
(3) knowingly conducted any transaction or dealing with a person whose property and interests in property are blocked by certain Executive Orders; or
(4) knowingly conducted a transaction or dealing with any person listed in the Iranian Transactions Regulations. Requires:
(1) an issuer to disclose in a separate SEC filing that any such activity has been included in an annual or quarterly report,
(2) the SEC to transit the report to the President and Congress, and
(3) the President to initiate an investigation into the possible imposition of sanctions.
Section 215 –
Directs the President to publish a list of senior Iranian officials (and family members) involved in Iran’s:
(1) illicit nuclear activities or WMD proliferation,
(2) support for international terrorism, or
(3) human rights abuses against Iranian citizens.
Prohibits such persons from being granted U.S. immigration status or admitted into the United States, except pursuant to the United Nations Headquarters Agreement. Authorizes the President to waive such provisions if in the U.S. national interest.
Section 216 –
Expresses the sense of Congress that the loss of access by sanctioned Iranian financial institutions to specialized financial messaging services must be maintained.
Requires the Secretary of the Treasury to report to Congress regarding persons that provide specialized financial communications services to the Central Bank of Iran or other sanctioned financial institutions and efforts by the Secretary to terminate such services.
Authorizes the President to impose specified sanctions against a person providing or facilitating such services.
Section 217 –
Sets forth reporting requirements regarding: (1) foreign entities investing in Iran’s energy sector; and (2) petroleum imports to, and exports from, Iran.
Title III – Sanctions with Respect to Iran’s Revolutionary Guard Corps
Subtitle A – Identification of, and Sanctions with Respect to, Officials, Agents, Affiliates, and Supporters of Iran’s Revolutionary Guard Corps and Other Sanctioned Persons
Section 301 –
Directs the President to identify and designate for sanctions, exclusion from the United States, and freezing of assets officials, affiliates, and agents of Iran’s Islamic Revolutionary Guard Corps (IRGC) that are not already designated for the imposition of sanctions pursuant to the International Emergency Economic Powers Act. Requires investigative priority for foreign persons:
(1) identified with the government of Iran; and
(2) who have conducted transactions with Iran relating to petroleum, petrochemicals, energy resources, finances, nuclear, chemical or ballistic weapons, or sensitive technologies.
Section 302 –
Directs the President to identify and impose specified mandatory and discretionary sanctions upon a foreign person who knowingly: (1) assists or engages in any significant transactions with the IRGC or its agents and affiliates, (2) engages in any significant transactions with a person subject to U.N. sanctions relating to Iran. Authorizes the President to waive the imposition of sanctions if the person has terminated the activity or for reasons of U.S. national security.
Section 303 –
Prohibits anything in this subtitle from being construed to limit the President’s authority to designate foreign persons for the imposition of sanctions pursuant to the International Emergency Economic Powers Act.
Subtitle B – Additional Measures Relating to Iran’s Revolutionary Guard Corps
Section 311 –
Amends the Iran Sanctions Act of 1996 to require certification by prospective U.S. government contractors that neither they nor their subsidiaries have engaged in significant economic transactions with the IRGC, or its officials, agents, or affiliates whose property is blocked pursuant to the International Emergency Economic Powers Act.
Section 312 –
Amends the Comprehensive Iran Sanctions, Accountability, and Divestment Act of 2010 to direct the Secretary of the Treasury to determine whether the National Iranian Oil Company (NIOC) or the National Iranian Tanker Company (NITC) is an IRGC agent or affiliate and submit such determination to Congress. States that such provisions shall apply to petroleum transactions for NIOC or NITC 180 days after enactment of this Act, but only if the President determines that there is a sufficient supply of petroleum and petroleum products in countries other than Iran to permit purchasers to significantly reduce petroleum and petroleum product purchases from Iran.
Title IV – Measures Relating to Human Rights Abuses in Iran
Subtitle A – Expansion of Sanctions Relating to Human Rights Abuses in Iran
Section 401 –
States that the government of Iran continues to systematically violate the basic human rights of the citizens of Iran and has failed to cooperate with U.N. and similar human rights investigations.
Section 402 –
Expresses the sense of Congress that the government of Iran: (1) continues to engage in systematic violations of human rights; (2) is engaging in a systematic campaign to prevent news, entertainment, and opinions from reaching media that are not subject to government control and to eliminate any free Internet or other electronic media discussion among the people of Iran; and (3) has refused to cooperate with international organizations seeking to investigate or to alleviate such conditions.
Section 403 –
Amends the Comprehensive Iran Sanctions, Accountability, and Divestment Act of 2010 to direct the President to identify and submit a list to Congress of persons who have knowingly transferred to Iran goods or technology, or provided post-transfer services, that are likely to be used by the government of Iran to commit human rights abuses. Directs the President to: (1) freeze the assets of listed persons, and (2) impose additional sanctions if such transfers are made to the IRGC.
Section 402 –
Directs the President to impose specified sanctions against persons that have engaged in censorship or repression of the rights of freedom of expression or assembly of Iran’s citizens.
Subtitle B – Additional Measures to Promote Human Rights in Iran
Section 411 –
Requires the Office of Foreign Assets Control to expedite processing of Iran-related humanitarian, human rights and democratization aid by entities receiving funds from the Department of State, the Broadcasting Board of Governors, and other U.S. agencies.
Section 412 –
Directs the President to submit a comprehensive strategy to Congress regarding the promotion of Internet freedom and information access in Iran.
Section 413 –
Expresses the sense of Congress that: (1) the Secretary should support efforts to identify prisoners of conscience and cases of human rights abuses in Iran, and (2) the U.S. government should offer refugee status or political asylum in the United States to Iranian political dissidents if requested and consistent with U.S. laws and national security interests.
Title V – Miscellaneous
Section 501 –
Denies admission to, or excludes from, the United States an Iranian citizen seeking to enter the United States to study at an institution of higher education to prepare for a career in Iran’s energy or nuclear sectors.
Section 502 –
Amends the National Defense Authorization Act for Fiscal Year 2012 to exclude the transfer of agricultural commodities from specified sanctionable activities with Iran.
Section 503 –
Makes available for attachment, with respect to judgments entered against Iran for damages for personal injury or death caused by an act of torture, extrajudicial killing, aircraft sabotage, or hostage-taking, or the provision of material support or resources for such an act, a financial asset that is:
(1) property in the United States of a foreign securities intermediary doing business in the United States,
(2) a blocked asset that is property identified in and the subject of proceedings in Peterson et al.
v. Islamic Republic of Iran et al.; and
(3) equal in value to a financial asset of Iran that such foreign securities intermediary or a related intermediary holds abroad.
Section 504 –
Sets forth reporting requirements regarding Iranian membership in, and U.S. contributions to, international organizations.
Section 505 –
Amends the the Comprehensive Iran Sanctions, Accountability, and Divestment Act of 2010 to authorize appropriations through FY2016 for: (1) the Office of Terrorism and Financial Intelligence, and (2) the Bureau of Industry and Security. Authorizes appropriations through FY2016 for the Financial Crimes Enforcement Network.
Title VI – General Provisions
Section 601 –
Applies certain penalties under the International Emergency Economic Powers Act to persons violating specified provisions of this Act and the Comprehensive Iran Sanctions Accountability and Divestment Act of 2010.
Section 602 –
Prohibits anything in this Act from applying to authorized U.S. intelligence activities.
Section 603 –
States that nothing in this Act shall be construed as a declaration of war or an authorization of the use of force against Iran or Syria.
Title VII – Sanctions with Respect to Human Rights Abuses in Syria
Syria Human Rights Accountability Act of 2012 –
Section 702 –
Directs the President to identify and impose specified sanctions on:
(1) Syrian government officials or persons acting on behalf of that government who are responsible for or complicit in the commission of serious human rights abuses against Syrian citizens or their family members, regardless of whether such abuses occurred in Syria;
(2) persons who knowingly transfer or facilitate the transfer of goods or technologies (weapons, surveillance technology, or technology to restrict free speech or the flow of information) that are likely to be used by Syria to commit human rights abuses against the Syrian people; and
(3) persons who engage in censorship that prohibits, limits, or penalizes freedom of expression by Syrian citizens.
Authorizes the President to waive such provisions if in the U.S. national security interest.
Section 706 –
Terminates such provisions if the President certifies to Congress that the government of Syria is democratically elected and representative of the people of Syria or that a legitimate transitional government of Syria is in place.

Business/Economics, International, U.S.

What Economic Recovery? Congress forces U.S. Postal Service to default!

At 24:00 hours, 01 August 2012, for the first time the USPS officially defaulted, no thanks to the U.S. Congress.

Chock Full o’Crap commentators are gleefully calling for a fully privatized postal system. The U.S. Postal Service is already a contractor run system!

The USPS is also considered the most efficient postal system in the world: “The key thing about the U.S. Postal Service is it’s extremely efficient compared to its colleagues around the world…”-Scott Jackson, Oxford Strategic Consulting, February 2012

The United States Postal Service does not make money off taxpayers, they are solely funded by the postage they charge. The problem is that Congress dictates the prices charged by the USPS, and Congress gets to control the revenue (just like Social Security)!!!

Other Chock Full o’Crap commentators say the U.S. postal Service is not competitive enough. Yeah, how can they be when it’s the U.S. Congress pulling their strings?!

Because of the shenanigans of Congress, the USPS will not be able to pay a Congressionally mandated $5.5 billion USD payment to the U.S. Department of the Treasury, due by midnight 01 August. The USPS will also not be able to pay another $5.6 billion payment in September.

The Treasury department is supposed to apply those payments to retirement funds, but the way things are actually run in Washington DC, I doubt it!

It’s the fault of the U.S. Congress, people!!!

Business/Economics, International, Technology

What Economic Recovery? For the first time in 62 years, TV maker Sharp will layoff 5,000 workers! Despite profits Panasonic will let go 7,000 workers! Sony 10,000!

01 August 2012, Sharp announced that it will layoff 5,000 employees between now and March 2013, then, on 02 August reported a record loss of $1.6 billion USD for the quarter April-June!  That’s three times its loss from the same quarter last year!

The layoffs will affect workers in Japan, and in other countries.  Sharp hopes most of the layoffs will come from convincing older workers to retire early.

Sharp now expects to lose $3.2 billion for the year 2012!

Sharp has reported record losses, but, Panasonic recently reported profits and still plans to layoff 7,000 employees!

On 30 July 2012, Panasonic revealed that it plans to reduce its headquarter staffing by 7,000, leaving only 150 HQ staff employed!

Panasonic reported profits for the past quarter, but they (just like Sharp) suffered huge losses in 2011, and they expect sales to drop for the rest of 2012.

Panasonic executives say they hope to find other jobs for the 7,000 HQ staffers in Japan.

Back in April 2012, Sony revealed they will layoff 10,000 employees, both in Japan and in other countries.  On 02 August 2012, Sony reported a loss of $315 million for the quarter Arpil-June.

Sony officials revised their expected losses for this year, almost doubling it!

All three of these companies are losing big money in one sector of their industry: Televisions with LCD screens!  They say people around the world just aren’t buying enough LCD TVs.

Or is it that company execs messed up and ordered the production of way too many TVs with liquid crystal displays?

Idaho, U.S.

New East Idaho wildfire, Little Birds busy

01 August 2012, a human caused fire northeast of Preston, in southeastern Idaho, has burned at least 268 acres (108.4 hectares), and is still active.  It’s called the Franklin County Assist 2 Fire.

Click pics to make bigger.

The Ridge Top fire is still burning, east of Blackfoot.  It’s about 70% contained, and has burned more than 16,000 acres (6,474.9 hectares). The fire started on 27 July.

EAST IDAHO WILDFIRES CONTINUE TO BURN