Beltane

Beltane was an ancient Gaelic festival that marked the beginning of May and marks the suns progress halfway between the spring equinox and summer solstice. Beltane and Samhain are the leading terminal dates of the ancient Gaelic calendar. The astronomical date for this midpoint is nearer to 5 May or 7 May, but this can vary from year to year. Beltane marked the beginning of the pastoral summer season, when herds of livestock were driven out to the summer pastures and mountain grazing lands. The celebration of Beltane centered around a bonfire on a hill of some significance. According to Nora Chadwick, it was “a spring-time festival of optimism. Fertility ritual … was important, in part perhaps connecting with the waxing power of the sun, symbolized by the lighting of fires through which livestock were driven, and around which the people danced in a sunwise direction”. There was more than one fire, and people would parade themselves and their livestock between the fires to cleanse themselves and bring luck. Celebrating fertility was also a focus; Maypole Dancing being one of the prominent activities – and whatever went on in the forest afterword. In old Celtic traditions, it was a time of unabashed sexuality and promiscuity where marriages of a year and a day could be undertaken. Like Samhian, Beltane was seen as a time when the Otherworld was near at hand – fairies and other folk mingled with earthly folk. May morning is a magickal time for wild water (dew, flowing streams, and springs), which is collected and used to bathe in for beauty, or to drink for health.

Beltane for surfers marks the beginning of the southern hemisphere groundswell season. And sure enough, the first week of May brought a nice south swell mixed with northwest wind swell. I surfed the Cave Bowl on the SB for three days and took the LB out to close the swell. I stayed to the hours around low tide, but had to listen to the crew tell me how good it was when there was more water over the reef – NBD – I got some fun ones. Congratulation to Anthony for becoming a new father – Titus – I do hope he becomes a defender of everything Anthony brings to the water.

Pictures range from a Beltane image to Rick’s Ranch Favorites – and they are favorites of mine.

I am not a fan of Nike – and what the heck do they bring to surfing – but the Lowers contest is on in some good surf – check it where you can. Speaking of contests, the Log Jam came and went at the top of the Point. On the Friday before the contest, it was fun to check all the LB rippers pose out at the Steps. Killing it for sure, but I am glad they were only invading and not occupying.

Speaking of the Point, what about the makeover? To revitalize the Point comes with a cost – in the eyes of some of us. The makeover is bringing in hordes to enjoy the Point – which is cool, but for those of us that had the low-population version; it’s a little harsh. Change is good, but as a pile of shit brings change with the attraction of flies, revitalization is increasing the attraction of all sectors – in mass.

Its Easter weekend – the weather was beautiful on Saturday, but the surf was nearly not. Even still, I got inspired and decided to watch the moonrise while out on the LB. A couple of other local crew members were also there with the same idea. It was nearly dark when I reached the lot and I parked my board on the fence – top rail spanning a corner spot. Took a quick rinse and was walking back to the van when a couple of kids on bikes pulled up and asked me if they had reached 26th Avenue. I let them know they had another mile and a half to go. Back to the van, and as I got ready to change, the kids started to heckle me. The kids proclaimed I was a faggot-kook riding an LB. No worries. I started to rinse with my back to the hecklers when I heard my board hitting the landscape rocks located below my board. I turned to see one of the kids pushing my board off its resting place onto the rocks. I blasted off – first stop – the kid molesting my board. I pushed him off his bike and he landed on the ground. I had my board in my hands, and while I was lifting it off the rocks, I let the kid know in no uncertain terms that no one abuses my equipment – full stop. Next thing I know, the kid was reaching into his pant’s pocket – he pulled a knife on me. I was stunned – I said: “are you kidding me?” Without thinking, I positioned the tail of my board in direct alignment with his head and told him: “put that thing away and get the fuck out of here!” Luckily, another one of the local crew, Zeke, was sitting in his car nearby, saw what was going on, and came to my aid. He yelled at the kids: “what the hell are you guys doing!” With the odd stacked against them, the kids took off on their bikes. Afterwards, with adrenalin pumping through my veins – I thanked my hero for coming to help and assessed the damage to my board. The tail got scratched up, but no holes. It’s Easter Break!

Rant: “So it is that the crisis was orchestrated by so many who should have, instead, been sounding the alarm – not only bankers but also regulators, rating firms, government agencies, private enterprises and investors. That a former U.S. Senator, Governor and CEO of a big six financial institution was at the helm of MF Global on the eve of its demise due to trading losses, or that the largest-ever Ponzi scheme was run by the former chairman of a major stock exchange will long be remembered by the public. The repercussions have stretched beyond banking, creating an atmosphere of fear affecting and inhibiting those who should be leading us toward a better post-crisis economy.” M&T Bank CEO Robert Wilmers, 2012.

The global economy will have trouble with oil prices above $125 per barrel, Hansen said.  At the other end, the cost of production establishes a floor for oil prices.  That cost ranges from around $80-$90 per barrel for Saudi Arabia to $100 for Russia.  Those are the prices necessary to guarantee domestic stability, since both countries use oil revenue for political purposes; the variable cost of production is much lower.

Each day is a chance to look at our situation in a fresh new way. Before we become dissatisfied, and look outside of our current situation, we should ask: what are our opportunities now? Take stock. What can we make of our current situation? Go to your job like it’s the first day of a new opportunity to build a business. What should we do to become sustainable and grow? Enthusiasm for the future –

“All those moments in time, like tears lost in the rain” – Roy in Blade Runner

 

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After the Big Swell

Mixed-up Patios

Tea Kettles

Spring Day

The Same Spring Day

The big swell showed up kinda sloppy, but by the late afternoon, the swell looked a bit more organized. The pictures show the big swell at mid-day. By the next day, the swell had dropped to a point where the bottom contours had something to work with. Still, the swell had a lot of west in it, so there were more closeouts than usual. And of course, Easter Break broke. It was pretty crowded after the big swell – with the masses continuing to migrate all week. Yesterday I counted over 1,000 feet of LB in the water at Tiburones. For my part, I surfed a few sessions at Sharks – Patios was way too crowded. I surfed at low tide while the wind was topping; still didn’t cut the crowd as much as I would have liked, A couple of the set waves were kelpy and the water was frigid – but I had fun. Today was small, windy, and crowded. I would have gone out, but the crowd-restricted wave count and water chill convinced me I was better off doing something else. Even still – it was a beautiful day – picture perfect.

Last Word: When the power of love overcomes the love of power the world will know peace. -Jimi Hendrix, musician, singer, and songwriter (1942-1970)

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Springter

Popeye's Favorite - Where the Valley and the Surf Meet

Stormy South - Drain Pipe

Spring Equinox!!!! Spring Equinox!!!! March 19, 2011. Just finished a solid week of rain and some surf. There was a mix of small south and near-shore groundswell producing shoulder to head-high surf. A strong north wind filled in behind the lows that have been bringing the weather. The water was cold- so cold – and the wind didn’t help. I got some fun ones at the Steps before the crowd; tide and stiffness conspired to bring me in. The shower was hot and long.

Surfed Tiburones at low tide today; the wind was blowing strong out of the north-northwest, and the cloud cover enhanced the chill. Across the bay, snow could be seen on top of the Los Padres range. Got a couple of wind-swell zippers and hightailed it home for some warmth. While I was out, I saw spring in person. A new mother otter had a small ball of fur on her belly while she swam through the kelp near the takeoff. I considered how cold I was, and how many frigid springs otters have been rearing pups. Unfuckingbelievable! March 21, 2012 – the sun came out and a spring wind textured the water. I repeated the Tiburones trek and had a fun session – small crowd – Gary and Knee-Boarder Roy. A long-wait small south was running with wind-swell inbetweeners. Water was still chilly – as expected for spring. More rain is coming.

Swell started out weak today – March 30, 2012, but definitely west-southwest. Later in the day as the tide filled in, so did the swell. Not real good shape – more west. I looked – and looked – and finally bagged it for another day. We shall see. A tad more south and things may shape up. But wait – the buoys tell the story – 9.3 feet from 300 at 17 seconds and 2.1 feet from 180 at 20 seconds.

It’s early, early early, April 1, 2012. Gerry says there’s a good south hitting the islands. I heard it was going to be macking here today. So, i checked the buoy – see below. The south would be great – the west-northwest would be overwhelming – together – a spectacle? The rising sun will provide the feedback.

Looks Big on Paper

Last Word: The universe is all whys and maybes. All meanings coincide; all answers are condensed into one or none. Nothing yields to logic. Lucius Shepard

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See Ya Scott

Winter

The Point

Lines

Moon Rise

When family or acquaintances pass away, it leaves you a little stunned, like getting jolted awake while in a dreamscape. You’re left thinking it over – life and death – death and life. Seems to me we know death as juxtaposed to life. The contrast is in what we know of life. Death is the black side of duality – the unknown shadow. So what is life – is it true – “life is what we make it?” How about the eight senses: sight, touch, taste, sound, smell, logic, emotion, and dream. Yes, I added a few. Good and bad – all you see, all you hear, scents floating in the air near and far, the taste of food and drink, the sound of rain and music, logic and emotion, a dream. Surfing encompasses all these things; love encompasses all these things; time with friends and family; your relationship with animals – life. You embrace it everyday and, once in a while, spend some time relishing the flavor – the senses. Are you seeing; are you touching; are you tasting; are you hearing; do you take time to savor the scents that you encounter; do you contemplate, read, love, and dream? Even at work! I didn’t know Scott well. He showed up after being out of the lineup for quite awhile due to injury. It was pleasant to surf with him – and heck – he went left most of the time. He was a good surfer and definitely had soul. He was also good to talk to on the cliff. Like I said – I didn’t know him well, but isn’t that the case with a lot of the guys we know from the lineup. I surfed yesterday. I was out at second bowl when I saw Scott walking down to Tiburones. I’m sure he spied the left – not big, but breaking on the shallow part of the reef. The surf was breaking close to shore – I gave him an arm wave as he slowly made his way down the beach. Later, as I got out of the water, I looked down to Sharks to see how the waves were shaping up. I saw Scott sitting on the left. Today I found out that Scott passed while surfing. It made me think about life – why I want it so and what Scott left behind. All you see, all you hear, scents floating in the air near and far, the taste of food and drink, the sound of rain and music, logic and emotion, a dream. See you on the other side when my time comes – but now I live.

Rant -

Not surprising: “Other countries negotiate very aggressively with health care providers and set rates that are much lower than we do.”  They do this in one of two ways. In countries such as Canada and Britain, the government sets prices. In others, such as Germany and Japan, they’re set by providers and insurers sitting in a room and coming to an agreement, with the government stepping in to set prices if they fail.

In America, Medicare and Medicaid negotiate prices on behalf of their tens of millions of members and, not coincidentally, purchase care at a substantial markdown from the commercial average. But outside that, it’s a free-for-all. Providers largely charge what they can get away with, often offering different prices to different insurers, and an even higher price to the uninsured.”

Check the effort -

Enjoy the Nose Ride King

The living are soft and yielding; the dead are rigid and stiff. Living plants are flexible and tender; the dead are brittle and dry. -Lao Tzu, philosopher (6th century BCE)

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Stay Local – Ride a Bike

Surfed today!!!! Went out at Tiburones at low tide. The sun was out and the wind was just for texture. The surf wasn’t big, but I got some fun ones. The first weekend of March continued to provide beautiful weather and plenty of outdoor time. The surf took a sabbatical, but low tide boning, the bike, and music kept be busy. Thank you. Pics show Bill going JTH—-

Gasoline prices are up and probably going up as you read this. All manner of bullshit is flying about. Of course, we’ve been here before, but who’s paying attention. The loudspeakers are blaming the Fed, O-lame-a, and the lack of domestic oil production. The fact that we’ve had a mild winter and natural gas production is outstripping demand is not mentioned. How about this: demand is booming in Asia and the Former Soviet Union, offsetting mediocre demand in the U.S. and Europe; inventories are low; and supply has been hit in several countries due to geopolitical and technical problems. And, a road we’ve been down before: over the past year, refineries have faced a classic margin squeeze. Prices for Brent crude have gone up, but demand for gasoline in the U.S. is at a 15-year low. That means refineries haven’t been able to pass on the higher prices to their customers. As a result, companies have chosen to shut down a handful of large refineries rather than continue to lose money on them. Since December, the U.S. has lost about 4 percent of its refining capacity. Really, the industry has no reason to keep gasoline production at capacity. Similarly, the industry has no motivation to take on more exploration or production. XL-Pipeline – its an avenue to oversees markets – its got nothing to do with the USA – except in that corporate deals will come and go – most of us will see no benefit and the use of our commons will once again be pawned off to the in-crowd. It’s hard for some to realize, but when demand is down and margins need to be maintained, prices increase – it has nothing to do with the Fed or the president.

“Capitalism might be the greatest engine of prosperity and progress ever devised, but in recent years, individuals and communities have grown increasingly disgruntled with the implicit contract that governs the rights and responsibilities of business. The global economy and the Internet have heightened our sense of interconnectedness and sharpened our awareness that when a business focuses only on enriching investors, it implies that managers view the interests of customers, employees, communities and the fate of the planet as little more than cost trade-offs in a quarter-by-quarter game.

It’s time to radically revise the deeply-etched beliefs about what business is for, whose interests it serves, and how it creates value. We need a new form of capitalism for the 21st century, one dedicated to the promotion of greater well-being rather than the single-minded pursuit of growth and profits; one that doesn’t sacrifice the future for the near term; one with an appropriate regard for every stakeholder; and one that holds leaders accountable for all of the consequences of their actions. In other words, we need a capitalism that is profoundly principled, fundamentally patient, and socially accountable.” – We Need A New Form Of Capitalism for The 21st Century, Polly LaBarre, Harvard Business Review.

It’s been said here before: A new report by the Center for Tax Justice has found General Electric made $81 billion in U.S. pretax profits over the past decade but paid just 2.3 percent of its profits in taxes — far lower than the official 35 percent corporate tax rate. Between 2006 and 2011, GE received a tax rebate of $2.7 billion.

And: A New York federal judge on Monday dismissed a lawsuit brought by thousands of organic farmers against the agribusiness giant Monsanto. The farmers were seeking to prevent Monsanto from suing them if their crops become contaminated by Monsanto’s patented products, which can drift onto nearby fields. Does this sound right?

This from Robert Reich: “But many of the gains are distributed narrowly in the form of profits to owners, and fat compensation packages to the “talent.” The share of the gains going to everyone else in the form of wages and salaries has been shrinking. It’s now the smallest since the government began keeping track in 1947. If the trend continues, inequality will become ever more extreme.”

“We’ll also face chronically insufficient demand for all the goods and services the productivity revolution can generate. That’s because the rich save more of their earnings than everyone else, while middle and lower-income families – with fewer jobs or lower wages – no longer have the purchasing power to keep the economy going at full tilt. (Before 2008 they kept up their buying by sinking deep into debt. This proved to be an unsustainable strategy.) Insufficient demand – as everyone but regressive supply-siders now recognize – is a big reason why the current recovery has been so anemic and the pie isn’t growing faster.”

“So while the productivity revolution is indubitably good, the task ahead is to figure out how to distribute more of its gains to more of our people.” Solutions offered by Mr. Reich include: higher taxes on the rich that go into wage subsidies for lower-income workers, combined with job sharing. We also need better schools (from early-childhood through young adulthood, followed by systems of lifelong learning) so everyone has a fair shot at a larger share of the gains. Finally, the benefits of the productivity revolution should be turned into more abundant public goods – cleaner air and water, better parks and recreation, improved public health, and better public transit.”

Lets take a look. Higher taxes on rich that go into wage subsidies and job sharing: First, job sharing. Sounds good, but an aspect of education – how about Corpgov use some of those large profits to train and advance their workforce, bring in new lower-skilled workers, good retirement and public service for those who have served, and keep the wheel turning? Benefit – skilled, educated, loyal, happy, self-fulfilled employees, homeland peace corps, and participation in a sustainable endeavor. Next, taxes to wage subsidies. All sorts of folks balk – suggesting its just wealth transfer – government Robin Hood. Think a little deeper; consider that a portion of those massive profits could be used to provide  higher wages instead of zombie capitalism. Now, Corpgov distributes profits over a narrow range of investors and executives, and looks to the federal government to make up the wage difference by providing food stamps, health care subsidies, child care, and a number of other programs – funded by wage-earner tax rates. Instead of tax redistribution – how about soul capitalism that looks to take care of all stakeholders and a tax system that fairly looks to all of us to support our country. Benefit: consumers without debt able to participate in the market, demand for goods and services, self-reliance, self worth, pride in self and country, and less stress (more health).

Now – schooling, training, life-long education – not even a discussion – it would only make us a better nation, a better society, and a society able to make better decisions. And public good – infrastructure, clean air and water – like it or not – even Corpgov needs these things. We all benefit. So why not look to Corpgov – taxes and profits – to maintain the public good.

Drew says: Want war – how about a war tax on every citizen and corporation. Still indirect participation, but participation nonetheless. He who feels it knows it. Maybe if we had to pay a war premium, we would pay more attention to the whole boondoggle.

It is astonishing what foolish things one can temporarily believe if one thinks too long alone – Keynes

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nEarly Spring

The last month has gone by with pretty good surf showing throughout. Good tides, fallter weather, and west to northwest groundswells kept things really fun. Of course, I’m still watching from the sidelines – but I’m real close. I haven’t been out, but from the cliff, it looks like there’s been some close comfort among the crew. I think it might have peaked over the holiday weekend. It was already a pretty crowded Sunday lineup at the Steps when 20+ testosterone- pumped transteen surf dogs came running down the street in costumes. They were toting all manner of surfboard. Fake mustaches seemed to be the meme of the day. En mass, they ran down the stairs and charged out to the peak. And low tide had consolidated the lineup into a pretty narrow take-off. Anyway, they lost no time in wreaking havoc. The lineup quickly turned into a free-for-all; all being the costumed marauders. Eight guys to a wave, boards flying, and no shortage of catcalling. Those not clued into the gag were blasted – visitors were disillusioned – even some of the crew had to let go. It was a take over.

MegaUpload – mega-bust, grab mega-assets, mega-law enforcement – I’m not sure about the dollar amount of piracy – the fraction of MegaUpload’s business related to facilitating piracy of music, movies, and other media. But I’m pretty sure it’s a fraction of the amount stolen by the financial industry. Yet, no Mega-Wall Street operation – not a word – nobody arrested, no assets seized – business as usual. Go figure.

It’s common knowledge that many of the top corporations have recently been paying little or no taxes, and I recently posted about how the US is exporting refined products – largest export of 2010 – and I noted how diesel was one of our best sellers because of our regulations restricting sulfur emissions (low-sulfur diesel). Yet – Obama’s jobs council called for overhauling the corporate tax structure and reforming federal regulations. Corporate tax rates should sink to “internationally competitive levels,” the report recommended, and an “all-in strategy” should be adopted to cut reliance on foreign fuels by expanding domestic drilling. Is there some kind of disconnect? I mean – According to the U.S. Public Interest Research Group, the so-called “Dirty Thirty” corporation paid no federal income taxes while spending more than $475 million on lobbying over a three-year period. And if there were more domestic drilling – the oil would be refined and exported to the global market to be sold for the best price – check it – right now demand is way down and there is plenty of supply – but refined product prices remain at a premium. They say it’s because of uncertainty linked to the Strait of Hormuz and Iran – manufactured uncertainty. It’s bullshit – bottom line – gasoline at the corner station is priced on the global market – period.

I read: “At some point, the top players in lots of sectors in the American economy, in education, finance, military-industry, or health-care are operating less and less in a free market, and more and more in government licensed cartels.” At first, I thought – wow, big government stamping out the free market! But, after some thought – the top players in the American economy are the top lobbyist spenders and thereby have the loudest voice (unheard) in our politics – i.e. government. So, if the top players have created an environment where they are “operating less and less in a free market, and more and more in government licensed cartels”, it’s because they want it that why. Now – why would the top players want that? Less competition (free market = competition)? Legal monopoly? Government and top players = Corpgov. It’s all about profit, not free market, not capitalism – profit. Wait – I am not against profit – I am against zombie profiteers.

The New York Times has revealed new details on how the Securities and Exchange Commission has repeatedly allowed Wall Street firms to skirt punishment for fraud. An analysis shows the SEC has granted nearly 350 waivers to financial companies, allowing them to maintain privileges even after admitting fraudulent practices. JPMorganChase received at least 22 waivers over the past 13 years while settling six fraud cases, while Bank of America and Merrill Lynch received 39 waivers and settled 15 times.

The 269-kilogramme (592-pound) bluefin — caught off the coast of Japan’s northern Aomori prefecture — stood at an eye-popping 56.49 million yen ($736,500) when the hammer came down in the first auction of the year. The figure dwarfs the previous high of 32.49 million yen paid at last year’s inaugural auction at Tsukiji, a huge working market that also features on many Tokyo tourist itineraries.

Rumors are circulating about a new Wall St. research service scam that goes like this… Research reports are written with both recommendations and coded phraseology that enables pre-market manipulation. The way it works – a report that gives recommendations also contains coded phraseology that programs trading bots on the exchange that ‘read’ the report and make various trades. The bots that put on the trades based on the coded info picks up certain word, symbol and number combinations in the report.

In the next research report – the report spells out a recommendation – that will make the trades put on as the result of the previous report profitable. Let’s say in January, the research says, “We love tech. and big pharma” but hidden in the report is coded info that was picked up by trading bots that went long Co. X. The following report recommends Co. X, making those pre-trades profitable (while containing new coded messages for the trading bots in anticipation of the next report).

This ‘research’ service is sold to traders for a hefty fee. It’s inside info that is virtually impossible to detect available to a firm’s best clients on a regular basis. Simply buy the service and enable your computer software that ‘reads’ the research to pick up the code that will trigger what trades will be profitable when the next report is published.

“This also may be the year of the gas-pocalypse, analysts warn. That’s because gasoline prices are the highest ever for the start of the year, and they’re on the rise, supercharged by expensive oil and changes in refinery operations.” The LA Times wrote.

“The Son Tay raid was audacious,” says Ropka. “Very high risk. But this is age-old tradecraft. In a raid, the first element is always surprise. You must do something no one thinks you can—or will—do. That is how to find success.”

Jalal al-Din who is also known as Rumi, was a philosopher and mystic of Islam. His doctrine advocates unlimited tolerance, positive reasoning, goodness, charity and awareness through love. To him and to his disciples all religions are more or less truth. Looking with the same eye on Muslim, Jew and Christian alike, his peaceful and tolerant teaching has appealed to people of all sects and creeds. His teachings became the base for the order of the Mevlevi which his son Sultan Walad organized. In the Mevlevi tradition, samāʿ represents a mystical journey of spiritual ascent through mind and love to the Perfect One. In this journey, the seeker symbolically turns towards the truth, grows through love, abandons the ego, finds the truth and arrives at the Perfect. The seeker then returns from this spiritual journey, with greater maturity, to love and to be of service to the whole of creation without discrimination with regard to beliefs, races, classes and nations.

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Night TIme Rage

It’s Thursday night – the surf sounds pretty big – here’s the buoy report:

Its Huge!

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Internet Swell

 

The future is pictured below. I’ve heard from all the boyz – it’s gonna be huge – check the internet! Wait a minute – sounds like it’s here!!! Buoys show 7.9 feet at 14 seconds from 275 —-

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Superlative Start

Top of the Point New Year's Eve

New Year Swell up the Point

I heard so many superlatives used to describe the day. The first of 2012 – not a cloud in the sky -  at least 75 – and waves. It wasn’t big, but it was fun and clean. I’m still out of the water, but I enjoyed being part of the gallery and talking with the boyz. It was pretty crowded, and there were the usual drop-ins and the like. But, I would have been on it – maybe LB to take the edge off.

Happy New Year! 9.7 feet at 17 seconds from 280 – and a little foggy. Still out of the water, but I’m getting ready to make weekend warriors look like pussies.

Merry Christmas! 9.2 feet at 14 seconds from 305 degrees and I can hear it.

Water – comes out of the tap, buy it custom at the store, bath in it, and recreate in it. Is Water like health care? Is water socialized? What about water and energy? Water is heavy – and needs to be lifted before it pours out the tap – questions for the coming year.

U.S. District Judge Jed Rakoff looked to end the SEC’s $258 million proposed settlement with Citibank, one judge refused to approve a $75 million settlement with Citibank, and another judge was critical of a $298 million deal between Barclay’s and the U.S. Department of Justice. In all cases, the resolution include no admission of guilt.

Violations are plentiful. For example, Bank of America’s securities unit has agreed four times since 2005 not to violate a major antifraud statute, and another four times not to violate a separate law. Merrill Lynch, which Bank of America acquired in 2008, has separately agreed not to violate the same two statutes seven times since 1999.

Of the 19 companies that the Times found to be repeat offenders over the last 15 years, 16 declined to comment. They read like a Wall Street who’s who: American International Group, Ameriprise, Bank of America, Bear Stearns, Columbia Management, Deutsche Asset Management, Credit Suisse, Goldman Sachs, JPMorgan Chase, Merrill Lynch, Morgan Stanley, Putnam Investments, Raymond James, RBC Dain Rauscher, UBS and Wells Fargo/Wachovia. Nearly every settlement allows a company to “neither admit nor deny” the accusations — even when the company has admitted to the same charges in a related case brought by the Justice Department — so that they are less vulnerable to investor lawsuits.

Bank of America provides a case study. In 2005, Bank of America was one of several companies singled out for allowing professional traders to buy or sell a mutual fund at the previous day’s closing price, when it was clear the next day that the overall market or particular stocks were going to move either up or down sharply, guaranteeing a big short-term gain or avoiding a significant loss. In its settlement, Bank of America neither admitted nor denied the conduct, but agreed to pay a $125 million fine and to put $250 million into a fund to repay investors. The company also agreed never to violate the major antifraud statutes.

Two years later, in 2007, Bank of America was accused by the S.E.C. of fraud by using its supposedly independent research analysts to bolster its investment banking activities from 1999 to 2001. In the settlement, Bank of America without admitting or denying its guilt, paid a $16 million fine and promised, once again, not to violate the law.

Again, in 2009, the S.E.C. again accused Bank of America of defrauding investors, saying that in 2007-8, the bank sold $4.5 billion of highly risky auction-rate securities by promising buyers that they were as safe as money market funds. They weren’t, and this time Bank of America agreed to be “permanently enjoined” from violating the same section of the law it had previously agreed not to break.

In fact, the company had already violated that promise, according to the S.E.C when it was accused last year of rigging bids in the municipal securities market from 1998 through 2002. To settle the charges, Bank of America paid no penalty, but refunded investors $25 million in profits plus $11 million in interest. And, the bank promised again never to violate the same law. The S.E.C. allowed the bank to settle without admitting or denying the charges, even though Bank of America had simultaneously settled a case with the Justice Department’s antitrust division admitting the very same conduct.

Now, out here in the jungle, it’s three strikes. Get caught in a robbery several times and its prison, restitution, can’t pay restitution-break parole-back to jail – no chance for a living-wage job – pretty much caught up in the law enforcement-judicial-incarceration-industrial complex. Something about Justitia’s scales just don’t seem right – like $omething tilting the balance.

More on money, law and judgment: Between 1984 and 2009, the median net worth of a member of the House more than doubled, according to the analysis of financial disclosures, from $280,000 to $725,000 in inflation-adjusted 2009 dollars, excluding home equity. Over the same period, the wealth of an American family has declined slightly, with the comparable median figure sliding from $20,600 to $20,500, according to the Panel Study of Income Dynamics from the University of Michigan.

 

 

 

 

 

 

 

 

 

Not long ago, I wrote about how consumers crashed Netflix’s ambition of higher profits. Netflix tried to gimmick a new rate structure, and the customers called them on it. This was followed by an attempt by Bank of America to charge consumers a fee on a monthly basis for using their bankcard.  Again, consumers collectively said, “blow me!” At the time, I made the point that profit growth was harder to come by, and blatant rip offs were not as easy after the great financial larceny; so, Corpgov has moved to tricks, fees, surcharge, tax, less for more – steal, lie, forge, fuck, hide and deal. Well – it’s happened again. Verizon decided that they could charge customers a fee for paying their bills with a credit or debit card via the Internet or telephone – a $2 convenience fee. Once again – people got pissed off. So the company decided not to institute the fee. Check the double speak – Verizon said the fee was “designed to improve the efficiency of those transactions.” Right. The hidden message here is that Corpgov is running out of ways to take your money and call it growth. Sustainability is not in their model – and inflation is always gnawing at growth. Be ready – there will be more attempts – from both sides of Corpgov. Importantly, consumers do have a voice! They may not care about understanding the health care system in the US – the multilevel profit structure that renders our health care system one of the worst in the industrialized world – they may not care that part of their health care expenditures go to pay for all those who do not have health care – (no mandate – we would rather pay and not know it!) – they may not care that food stamps and other welfare programs are corporate welfare – BUT –they do care when Corpgov blatantly tries to grab more for less. With a little more thought – consumers may get the idea they could change more than just the lame plans of Verizon, or B of A , or Netflix – maybe they will turn their attention to the US government.

Oh my – we must drill more and build a pipeline from Canada to Mississippi – it will lower our dependence on foreign oil…..What? U.S. refineries exported a record amount of refined fuels in 2011 to markets in South America, Central America and Europe. It was one reason why Americans spent a record amount on gasoline this year: Supplies that might have helped lower prices here had been shipped abroad. In 2007, U.S. exports of all kinds of fuel held steady throughout the year at 1.24 million to 1.25 million barrels a day, according to Energy Department statistics. But by 2011, exports of diesel, gasoline and other products surged. In November and December, U.S. fuel exports averaged between 2.77 million and 2.89 million barrels a day, the highest ever. Meanwhile, U.S. drivers paid an average of about $3.50 a gallon for gasoline during the year, also the highest ever.

On another note – those pesky regulations are “job killers” because of costs – but wait – during the last few years, U.S. low-sulfur diesel products were coveted in Europe, which had been more dependent on higher-sulfur fuel coming out of Russia. Why do we refine low-sulfur fuel?

“The first man who, having enclosed a piece of ground, took it into his head to say, ‘This is mine,’ and found people simple enough to believe him, was the true founder of civil society.” Rousseau, 1754.

Later on Christmas Day

Christmas Dusk

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Long Shadows

The shadows are at their longest and so is the night. Midwinter – Winter solstice – the axial tilt of the Earth’s polar hemisphere is farthest from the Sun. In days past, it was an important milestone marking a point in the year where harvest was complete, stores for winter were set to be metered out, fermented drink was ready, and feed animals met their fate. Stonehenge and Newgrange – among others – were built to observe the Midwinter milestone – given the effort – a tribute to the weight of the occasion. Importantly, from here on out – the days will be getting longer! Well, the sun isn’t up long, but it’s been bright; and the tides and swell have been cooperating. Buoys show swell at 10.8 feet from 300 at 12 seconds – and a continuing anomaly – south at 0.4 feet from 200 at 20 seconds. I’m still taking pictures and walking the dogs. Hey – did you see the lunar eclipse?

One wing of my family is full of financial wizards. They pay attention to markets and definitely make them work for their self-interest – as it should be – with soul. Vey often, they send me clips of lectures or presentations regarding the state of the economy – both global and here at home. Very interesting stuff – informative. But, one thing I notice is that most of these presentations discuss economic changes and how to make smart investments while the economies rise and fall. In other words, how to take advantage of bad times by noticing where the good times are, or are going to be, or how to take advantage of the economies in trouble. These are very intelligent people! But what concerns me is the tendency toward zombie capitalism – global zombie capitalism – where resources and people are just parameters.

People’s sleep needs can differ significantly. At the extreme, Margaret Thatcher managed on four hours of sleep a night while Albert Einstein needed 11. I’m with Einstein.

It’s like we’ve run out of ideas – today, with the Internet allowing countless brands, brand names, and domains – it appears creating a name that relates to the endeavor being promoted is near impossible. For example, kayak.com is the domain name for a business that allows one to compare and make travel arrangements. It’s a very thin thread that connects a kayak – a small one-man boat used by native Eskimos for hunting – and a travel service. There are many other examples – it’s tough to say what has already been said!

December 10, 2011 – it’s late and I hear sets. A review of the buoys shows a groundwater swell at 5.2 feet from 295 at 17 seconds. On paper, it sounds fun. Also, I expect good conditions tomorrow – if it is anything like the last couple of days – sunny, light breeze, and good tide.

Last Word: Human kindness has never weakened the stamina or softened the fiber of a free people. A nation does not have to be cruel to be tough. -Franklin D. Roosevelt, 32nd US President (1882-1945)

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