Legal

☆ Bribery By Corporations Display, Not A Lack Of Product Quality, But A Dearth Of Managerial Integrity

News Analysis: Government Bribery is condemned by the Leaders of  India. To illustrate its resolve in fighting “Government Economic Treason” to the Country, it has rescinded its Purchase Agreement with its tainted foreign Helicopter Manufacturer; which had factually paid bribes to some Indians. 

The Ironic aspect of this Legal Broach is that the Excellent Helicopters manufactured by this Airframe need no additional enticements for selling. To those persons who understand Aircraft Construction and Flight Characteristics, they sell themselves.

Now, other Purchasers of Helicopters from this Manufacturer possibly may have their Integrities questioned by the Public. This aspect is  regarding Bribes these Purchasers may have received to induce them to purchase  their Helicopters? “An Unfortunate Public Speculation” Corporate Public Relations Departments may declare of this ‘down-stream fallout in the Real World.

One should realize though that this Manufacturer got caught; other Airframes, doing business around the world, have merely NOT YET been. Payoffs are Pandemic in the Aircraft Industry; World Wide for both Commercial and Military Aircraft.

The Government of India (especially Prime Minister Manmohan Singh and Defense Minister A.K. Antony) is to be commended  for its Anti-Corruption Decision. Hopefully, other Governments of the World will also follow this approach. They need to realize: “Government Bribery is Economic Treason to their Countries” (it is Nothing Less); then they may take Proper Punitive Action against the “Bribers” as well as the “Bribees”.

Pervasive Pandered Perquisites are so inculcated in “Big Ticket” Sales to be considered “Standard Operating Procedure”. For example, in much of the World Aerospace Industry, this is the case. Not only for “Bribes to Induce Purchases” as aforementioned, but also “Bribes to some Prime Manufacturers’ Managerial Personnel” so the Smaller Corporation can engage in Business with the Prime Manufacturer. “If You do not Pay, You do not Play” is their ‘Swan Song’. This is especially wide-spread.  Naturally, the ‘Prime’s’ Specious Denials are to be anticipated.

As Governments, actively  pursue corruption, the Aerospace Industry in particular, in all of its aspects, will slowly be cleansed. Then, and only then, will Governments get the Best Products for the Best Prices. Prime Manufacturers may then ‘awaken’ and  will  only solicit business from Suppliers who are proven to be “Beyond Reproach”.

Presently their are many “Rotten Apples” in the ‘Composite Barrel’.

Reality.

Reference: http://www.siasat.com/english/news/india-scraps-770-mn-agustawestland-chopper-deal

★ Cellular Telephones And Computers (CT&C) Have So many ‘Bugs” In Them Even ‘Pest Abatement’ Is Effete

News Analysis:  The Effects are the Same, if either through Intent or Negligence, of Some  ‘CT&C’ Manufacturers:  U.S. National Security Agency (NSA) Electronic “Bugs” are Pervasive in such Equipment. Users of the ‘Gear’ can now be Assured that a ‘Phantom Audience’ of the ‘NSA’ are monitoring their communications (24/7/365). Naturally, ‘Denial’ by the alleged Manufacturers is the Public Plea. The veracity of their commentaries are suspect, IT Experts suggest. Data which appears to originate from the ‘NSA’ itself makes “short shrift” of their Claims of Innocence. Perhaps because some of the ‘CT&C’ Companies have been “Bought and Paid For” by the ‘NSA’ one can understand these Manufacturers chagrin about public exposure. They must realize they have even Less Integrity than “Street Walkers”; for those Ladies are more Overt about their Monetary Intentions. The colluding ‘CT&C’ Companies have Managers and Owners (M&O) who profess their ‘Honesty to the Heavens’ yet accept Monies for their Collusion. “Anything For A Buck” (AFAB) is their ‘Calling Card’. They do not ‘Surrender’ to the ‘NSA’ for free. Presumably, the ‘NSA’ does NOT put guns to their heads to acquire assent for ‘Bug” installations. 

Some Software Companies are also “Waist Deep” in this ‘Public Intelligence Cabal’. They too profess their Innocence (for many of the same reasons as above).

Perhaps the Public should ask Hardware, Software, and ‘Personal Communication’ Sites: “How much of your ‘Startup Capital’ came from the various Intelligence Agencies PRIOR TO your Initial Public Offerings?” Rather than believe the ‘Fairy Tales’ about ‘Bedroom’ or ‘Dormitory’ Manufacturing Sites they love to ‘Humbly Reveal”, ‘NSA’ or other ‘Black Bucks’ may have been attained early on. The odds of their admitting such behavior is negligible. 

The “Bottom Line” Has Been, Is, and Will Be, that ALL ‘CT&C’ Equipment made by those Manufacturers  “Who Have been ‘Sleeping’ With The Various Intelligence Agencies” gives YOU a “Phantom Audience” in ALL your ‘Private Communications’.

Entrepreneurs, Investors, Manufacturers, and other Professionals should seek out Internationally Experienced Parties who understand Methods of Retaining Commercial Privacy.

It can be done.

Reality.

Reference: http://rt.com/usa/dell-appelbaum-30c3-apology-027/

Uruguay Sold Its PLUNA National Airline’s Aircraft For Free?

News Analysis:  Uruguay allegedly has not received payment for the sale of Seven Bombardier CRJ-900’s Aircraft.  PLUNA Primeras Lineas Uruguayas de Navegacion Aerea (First Uruguayan Air Navigation Lines) sold the Airliners to a local businessman when the Government ceased the Airlines’ operations. Many citizens of Uruguay wonder was this sale effectively  a “Gift” to the gentleman; Bombardier CRJ-900 Aircraft are not inexpensive.

Perhaps, with the assistance of Forensic Accountants, an examination can determine if payment for all of the aircraft had been made but not credited properly. Perhaps the “Holiday Spirit” influenced the Uruguayan Transportation Authorities to indulge in Aircraft “Gift Giving” on an extraordinary scale.

Reference: http://www.buenosairesherald.com/article/148031/uruguays-economy-minister-quits-amid-airline-scandal

California, U.S.A., The “Golden Arm” State

News Analysis:  The World’s “Sixth Largest Economy”, California,  also has a Plethora of Customers for Narcotics. Not limited to: “The Movie Industry” (‘Users’ whom have been well reported for decades – Especially when they “Overdose”); Various Novel Writers who use Illegal Methamphetamines; “Silicon Valley IT Nerds”; Los Angeles/Orange County ‘Professionals’; and of course, the oldest Narcotics-User-Profession of all – Medical Doctors (with their immediately available, Abundant Supply).

Since California Residents are a large ‘Customer Base’ of Illegal Narcotics Users, growers of Marijuana, for example, have established ‘Grass Farms’ in neighboring wooded areas (throughout the State) to the populations (providing lower shipping costs, interdiction by law enforcement, and greater profits). Cocaine, Heroin, and Opium Sources typically originate out of the Country.

To those Addicts who need “Medications” stronger than that provided by the “Non-American Fabrications”, they merely visit their Friendly Prescribing Physicians. Since there are Medical Doctors who are Addicts themselves, they ‘understand the needs’ of their patients.

The Medical Board of California even has a “Physician Wellness” Program for Addicted Medical Doctors since the Narcotics Problem in the Medical Community is so Acute.

To the State of California’s Credit it is trying to “Weed Out” the ‘Sham Followers of the Hippocratic Oath” and remove the Licenses of those Physicians.

Of California’s 130,000+ Physicians & Surgeons, one can realize that investigating All would be an arduous task (especially for a heavily indebted State Government). Those few who are investigated can expect, perhaps License Revocation, for a period of time. Incarceration in a State Penal Institution is highly unlikely (but a Good Story for a Film produced by the Illegal Drug Users of the “Motion Picture Industry”).

In California, in particular, as well as in other American States, there is too much profitability in the Illegal Trade by Bankers, Growers, Investors, Manufacturers, Politicians, and Tainted Law Enforcement  to reasonably expect an abatement of this Business.

Reality.

Reference: http://www.sacbee.com/2013/12/19/6015437/california-doctor-license-revocations.html

☆ European Union Banking: A “Haircut” And “Shave” For Everyone?

News Analysis: The European Union Banking Agreement recently agreed to, some say, gives False Hope regarding Control Over and Liquidation, if necessary, of ‘Non-Performing’ Banks. Contractually, many various groups would assess the viability of a Bank, and if needed, Bond Holders, Stock Holders, and DEPOSITORS would have to pay for the pending debacle (as was done in Cyprus). In this manner, Governments would not be financially  liable for Bad Management at Banks. Why a Mere Depositor who has NO CONTROL over Banking Decisions nor Ownership directly or indirectly, in the Bank, should be held liable is baffling to many people. This would be analogous to sending One’s Shirts to a Laundry and being liable for that Business’s Debts! What is the difference? As to Depositors, Very Specious Thinking brought about such a European Union Banking Decision, one might argue. 

That various groups composed of a total of over 100 persons are to efficiently and quickly assess a Bank is a ‘Mental Fantasy’, some Bankers say. Debate for weeks is not acceptable during such events.

A 55 Billion Euro Fund is to be developed for the cover collapses of Banks; many people think that is too little.

Also, are there ANY provisions to have Forensic Accountants review a “Collapsing” Bank’s Books, immediately prior to default? This, to see if any Illegal Financial Machinations occurred by the Bank’s Management? If not, why not? What Punitive Measures are in force for illegal or ‘tainted’ Banking activities?

“Bankers, in their role of ‘Bankers’, control the Monies of OTHERS, Not Their Own.” All too often, it seems that this Simple Premise ‘Escapes’ the conscious mentality of Bankers; that is when Defalcations and other problems arise.

It appears to many Europeans that, as regards to this ‘Banking Solution’, “Improper Medication” to a Patient may make him sicker than his Actual Illness.

Reality.

Reference: http://www.spiegel.de/international/business/weak-eu-banking-union-could-have-dangerous-side-effects-a-940065.html

★ 2014 Equity Investments: “Stay Long” Is A Fool’s Song

News Analysis:  As to 2014 Equity Investments, it becomes a Year of less capability of Central Banks to play “Interest Rate Lowering Games” (IRLG)  to Support their Economies. With ‘IRLG’ already, in 2013, at historic lows  in most countries, do Central Banks “lower rates into negative ranges”? Effectively: Do these Banks pay Borrowers for the Borrowing of monies from the Banks?

Since MANY Banks throughout the World already have questionable loans made to customers, if the borrowers start defaulting, en-masse, what happens to the Banks? What happens to Equity Markets? Can ALL Banks even pass ‘Stress Tests’?

Central Banks can be ordered to print more Money (mere paper with ink on it); Supported by Next To Nothing. For example, if a “Super Power”, which already has $17+ Trillion Dollars in Debt, wants ‘Monetary Expansion’, it works its ‘Bureau of Printing and Engraving’ Presses 24 hours a Day, Seven Days a week and ‘Voila” More Money! No problem! Inflationary Effects of such behavior can be curtailed in the Short Term only. The effect on the populations’ thoughts are “Things are not bad. People have money”. They spend the money and a ‘Multiplier Effect” takes place creating activities financially.

However, since the money is based not on increases in Gross Domestic Product of the Country, but on Printing Capacity, a ‘Mirage” of Good Economic Health exists (Until the ‘Patient” coughs)

Covering the Costs of War, Natural Calamities (such as America’s “Hurricane Sandy” hitting New York City, Tornadoes, or Tsunamis (like the Fukushima, Japan Incident) can  be the “Cough” the Central Banks can ill-afford. The Delayed Repairs thereafter (as in Hurricane Sandy) evidence the Government’s actual lack of financial resources (to which it is loathe to admit). Additionally, borrowing more money by Central banks increases Debt Service Expenses.

One must ask, how can the Stock Markets be at “Highs” with Weak Economies and Poor Prospects for Growth in 2014? What major Manufacturing Programs are currently occurring? Where are “High-Dollar” Service Contracts being let? Are there large  areas of the Economy paying “Good Wages”?  Is National Employment at high levels?

“Markets look SIX MONTHS Ahead” is the Stockbroker’s Mantra. Current Market Prices Of Stocks are NOT supported by Economic Realities, many people think; Not of 2013, nor 2014.

In Not “Actually Solving the Economic Problems”, as aforementioned, the governments turn to their Civilian Banks who utilize the services of the “Bubble Masters”. These are the platoon of Economic Marketeers, including the Mass Media, who start ‘blowing their “Bugles” for a ‘Charge’ into a particular Industry they have already prepared. The Bankers, Brokers, and their  ‘Buddies’ win, other lose; and so it goes. One should realize: The present  “Stock Bubble” will collapse (as did the “Gold Bubble” before it and the “Real Estate Bubble” preceding the Gold Bubble)!

“Listening to Brokers will make one ‘Broker'”, many cautious people say. Brokers opine that “2014 will be a Year of Cautious Investing” while they and their friends ‘Short the market’ (to get every ‘Last Dime’ from the “Freiers”).

 A Wise Investor may think: “Do I want to risk my current gains by seeking every  last Penney or do I cash out now and Plan for Tomorrow; with my Gains of Today?” 

When Brokers say “Stay Long” (with mediocre realities), Smart Thinkers ask “Why?”.

As the Wise Investor considers to hold or sell his or her Equities, Bankers, Brokers, and their Buddies consider which new “Market Bubble” they will create; for them to Win, others to Lose.

Very Smart Investors consult Others who can correctly ‘Connect the Dots’ for determination of ‘Incipient Economic Bubbles’ so they also can Win in these ‘Carnival Games’.

Reality.

Reference: http://news.xinhuanet.com/english/world/2013-12/28/c_133003842.htm

☆ Luxembourg’s Banque et Caisse d’Epargne de l’Etat (BCEE) Flies Through “Stress Test”

News Analysis: The Bank in Luxembourg: Banque et Caisse d’Epargne de l’Etat performed very well in its being reviewed by European Banking Authorities. It has a 16.3% Liquidity Ratio, well above a required minimum of 9% as derived from  “Basel Accord” Provisions.

The ‘Liquidity Coverage Ratio’ is set up so Financial Institutions can survive “Tremors” in short-timed liquidity situations. By holding a certain percentage of High-Liquidity Assets such as Treasury Bonds or Cash (the equivalent of or greater than the Bank’s Net Cash over thirty days time), a Bank is deemed to be “Less Stressed” since it has a minimum of 100% containment.  

The effects to possible Borrowers at a Bank is that it has less money available for short term loans.

‘BCEE’ performs with a Professionalism much in consonance with the Economic Awareness And Good Practices of other Monetary Elements in Luxembourg (which is of International Financial Renown).

Reality.

Reference: http://www.wort.lu/en/view/luxembourg-s-bcee-a-model-student-52b00f6ae4b006edcdac8714

South Dakota Is A State Americans Can Trust

News Analysis: South Dakota has established Trust Systems that Americans can employ for reduction of taxes for their heirs. It allow Trust Beneficiaries to avail themselves of portions of the Trust with the balance benefitting future generations of family members, ad infinitum.

The South Dakota Trust System (SDTS) denies the Federal Government access to Recurring Taxes on subsequent generations forever as in other States. The Growth in Federalism the past few years in America as an Operational Methodology is at odds with people spending their money as they choose. ‘Big Brother’ confiscates monies through taxation and spends them capriciously on “Bayonet Diplomacy” Programs such as the Iraq War or other ill-advised meanderings suggested by Lobbyists. ‘Friends’ of those in Washington, D.C. benefit greatly with Federalism.

Americans can spend their earned money as they choose after paying a fair amount for taxes. The ‘SDTS’ allows this to occur for the wealthy.

Reference: http://www.bloomberg.com/news/2013-12-27/moguls-rent-south-dakota-addresses-to-dodge-taxes-forever.html

Mexico Banks Multi-Billions Of Dollars

News Analysis: Contrary to Special Interest Marketing of Mexico as an “Impoverished Country  that is too poor to feed its Citizens”, Mexico’s Central Bank indicates Billions of Dollars are deposited.

The Foreign Reserves of $176.55 Billion Dollars had risen by $893 Million last week alone!

Its 9.2% growth rate in the Money Supply is nothing to dismiss lightly.

One has to ask why a Country: With Great Weather; Two Oceans; Abundant Minerals; Hard Working Citizenry; $176.55 Billion Dollars in its Central Bank has a “Prevalent Population Poverty Pose” which it allows to be fostered by the ‘Gringos al Norte’? When remittances from America, by Mexican Residents,  are in the Tens of Billions of Dollars NO ECONOMISTS NOR POLITICIANS ‘Scream’ in Washington, D.C.; Why not? the Outflow of Monies is not the best for America at this time. Some American Citizens wonder; “Are some people in the Capitol somehow benefitting Personally by this Charade of National Impoverishment?”

Reality.

Reference: http://laht.com/article.asp?ArticleId=1375950&CategoryId=14091

★ India Awakens To Benefits Of Manufacturing And Industrial Exports

News Analysis: This year of 2013, India expects to Export approximately $325 Billion Dollars of Goods. It has a Trade Deficit of $100 Billion Dollars presently. Due to this imbalance, India has established  a “National Manufacturing Policy” which itself establishes ‘National Manufacturing and Investment Zones’.

The Indian Government realizes that it needs to Accelerate Development of “Higher-End” Manufacturing for the Country’s long term Economic Benefit. Presently, Manufacturing is largely confined to: Chemicals, Computer Software, Engineering Tools, Jewelry, Leather Goods, Refined Petroleum Products and Textiles. None of the aforementioned are considered by Manufacturing Experts to be ‘Sophisticated Constructions’ (SC) such as Airplanes, Computerized Numerical Control Machinery, Helicopters, High-Speed Locomotives, Liquefied Natural Gas Ships, Robotics, Submarines, or Similar Constructions.

The Indian Government needs Foreign Direct Investment to occur with regards to its Manufacturing Sector. To get Currencies from Foreign Investors is the ‘Easier’ part of the “Equation for Manufacturing Growth” (EMG). Liberalizing Investment Returns will bring in the monies from Mutual Funds, Private Investors, and other entities.

The more difficult segment of ‘EMG’ are bringing in experienced Manufacturing Engineers and Management which have dealt with  ‘SC’. They are few and far between as to their abundance Internationally. A Technique used, by a neighboring country, was to engage WIDELY in the use of Joint Ventures in Constructions. To date, India has engaged in this process very lightly, but growing,  some people say.

Upon determining what Products the Indian Government would like for Export, appropriate funding for Research & Development will be immediately needed. In the Product Designs, any Added Value” that can be added vs. competing product in the marketplace will give India an ‘Edge” for sales. Since India will be Product-Wise the ‘New Kid On The Block’, Product Warranties that are All-Encompassing will be necessary for Consumer Satisfaction.

Efficient Marketing of the Fabrications is essential for Customer Awareness of Indian Products. A word to the Wise is: “Do NOT Besmirch the Products of Others”. Always take the “High Road”. Discuss how your Products Exceed the Needs of a possible Customer; and do it at a Competitive Price. Ergo, a Customer “Gets More Product For Less Money”; Who can resist getting Value?

Timely Delivery of “High-End” Products ARE IMPERATIVE. Only Manufacturing Fools deliver Aircraft, Machinery, Ships,  and such Late. There is NO EXCUSE for it barring a Catastrophe of Epic Proportions. When it occurs, it shows Ineptitude of Cost Estimating, Production Planning, Fabrication, and/or Vendor Selection. Worst of off it shows Management has NOT and does NOT Comprehend (ed)  where the Company went Wrong Earlier.  What “Short-Cuts” in Manufacturing or Inspection were taken to FINALLY get the Product (s) delivered? (Many Big-Name Manufacturers do; but they deny this of course.) Any  of Corporate Management that allows for such Mediocrity should be terminated. It is Unacceptable!

Once the Products are delivered on a timely basis to Customers, Communication by Manufacturing Management with Customer Management is essential. It conveys to Buyers that your Company Cares about their Needs. The Old Adage that: “Good-Will Is Worth 40%” is as true today as when it was first spoken.

“Say What You Mean, And Mean What You Say”.

The very capable Indian Government appears to be moving in the correct direction as to seeking Increased Manufacturing. Intelligent, hard-working Indians are readily available towards this realization. There is absolutely NO REASON the Indian People cannot attain that which they desire as to growth of Manufacturing in the Nation; especially with their Inspired Leadership. 

All of this enthusiasm by the Indian Government bodes well for Investors who can help the Manufacturing Sector develop. Opportunities avail themselves to those who seek them.

Reality.

Reference: http://www.siasat.com/english/news/focus-manufacturing-boost-exports-sharma