Vulture Funds

Sofa_King Good

blah

Sofa_King Good

I was reading about the Bankrupting of Ecuador - http://ipsnews.net/news.asp?idnews=36188

And it got me interested in the subject of world debt, namely "Vulture Funds",
explained in these 3 links. 1 http://news.bbc.co.uk/2/hi/programmes/newsnight/6362783.stm 2. http://www.nicanet.org/?p=411 3. & the attachment.

In the second attachment (if it works) to follow in next post "Box 1" and "B" are taken from the IMF website and the remainder from the website of the company in question on the BBC's article above. http://www.debtadvisory.com/research/research.html

It seems to me, and I am ignorant in economic matters that these are economic mercenaries, who are doing the work of the government without the associated accountability.

By the way, here is some background info on the founder of wallace global fund; http://www.undueinfluence.com/wallace_global_fund.htm who the report was addressed to.

Sofa_King Good

Perhaps this could go some way to explain why the US seems to have control of the poorer yet minerally rich and strategic nations of the world as demonstrated here, http://www.globalresearch.ca/index.php?context=va&aid=5564

starn

There is a company on Baggot St. Cant think of there name. But if I rember rightly they bought quite alot or Iraq and Afhganastans debt.

Trading in debts may not be very nice but it is relativly transparent. Not to sure what the conspiracy is here. But im sure Sofa King youll be able to clear it up for me

starn

Crap. Looks like Ive walked into this one

http://archives.tcm.ie/businesspost/2004/11/14/story562507453.asp

Sofa_King Good

I guess its a conpiracy of the mighty vs the weak. And the means that will be taken to consolidate power/wealth/influence.

humanji

Right, I understand nothing about world economics. Can someone dumb it down as if they were explaining to a ten year old? It's for a er...friend of mine >_> <_<

Sofa_King Good

starn wrote: »

Crap. Looks like Ive walked into this one

http://archives.tcm.ie/businesspost/2004/11/14/story562507453.asp

No way? This Madeleine Albright?

"The Americans, now the unchallenged imperial masters, are less guarded about their aims. Last year Secretary of State Madeleine Albright was asked on US television: "We have heard that half a million children have died (as a result of sanctions against Iraq). I mean, that is more children than died at Hiroshima . . . Is the price worth it?"
Albright replied: "We think the price is worth it."

Sofa_King Good

humanji wrote: »

Right, I understand nothing about world economics. Can someone dumb it down as if they were explaining to a ten year old? It's for a er...friend of mine >_> <_<

I'm the same so I'll let the Daily Kos do it for me -

"
Billionare Paul Singer's and other Vulture capitalists scam to fleece American Taxpayers appears to work as follows:
Well meaning Americans empathize with the suffering of starving third world citizen, being attacked by a changing climate, overpopulation, civil war and strife, and aids. President Bush magnanimously offers up a program to offer Debt Relief to the third world country, and the US Congress responds by approving funds, which are then held in a US account.
Simultaneously, Vulture funds such as Paul Singer's, knowing that the target country finances are about to be re-capitalized by the US Taxpayers, go out and buy up the debt which was supposed to be forgiven. Here's a recent example:

"...By extraordinary coincidence, the amount claimed is almost exactly the sum which Zambia is due to receive this year as a result of the Gleneagles debt deal..."

The Vulture funds then sue in England or other countries, and gain awards for the junk bonds that were about to be forgiven. After the Court rules in favor of the Vulture fund, the Vulture fund can then tap into the funds approved by the US Congress for debt relief.
In the case of the Vulture fund suit won Friday against Zambia, the $2 million dollar junk bonds bought by the Vulture fund must now be repaid with interest. Debt that the US Government planned on forgiving for $2 million dollars is now worth $40 million due to the British Court settlement.
Once the British Court Rules, the only one who can stop the Vulture fund from tapping into funds appropriated by the US Congress for debt relief is President Bush. And so far, President Bush has declined to prevent this misappropriation of debt relief funds:

"...And George Bush can put an end to it all with a stroke of a pen. Under the US Constitution, the President has the power to stop the vultures from collecting a penny in a US courtroom, but he hasn't done it, even though just last month George Bush publicly committed his government to debt relief..."

This probably explains why Paul Singer is President Bush's number one campaign contributor. According to Greg Palast:

" Here they are feeding on poor nations all over the globe. 36th floor, Elliott Associates, home of billionaire Paul Singer. Singer practically invented the vulture fund. In 1996, he bought up some of Peru's debt for $11 million, then threatened to bankrupt Peru if they didn't give him $58 million. He got his $58 million. Then Singer bought some discounted debt from Congo Brazzaville for only about $10 million. His company then sued the Congo and turned the $10 million into $127 million.

Now that President Bush is leaving office in 2008, US Billionaire Paul Singer needs to buy off the incoming US President, as currently the US President is the only one with the power to stop these types of transactions. Its no wonder then that Billionaire Paul Singer has pledged $15 million to the Rudy Giuliani Campaign.
Will the Giuliani Campaign get away with fillings its campaign coffers with funds meant for debt relief suffering Africans? In addition to the morally reprehensible nature of these transactions, was any of the money derived from extortion?
I am looking forward to hearing other Presidental Candidates ask Rudy Giuliani why he is accepting campaign funds from Vulture Capitalists, and if he considers it ethical to be using US Taxpayer funds intended for third world country debt relief to fund his Presidential Campaign.
So whats being done about this? John Conyers has asked President Bush about this; Bush's response - "I didn't know anything about this."
http://www.dailykos.com/story/2007/2/18/2316/18456

Mahatma coat

its the Economic Hitmen principles all over again, it serves the West well to have these nations poor and indebted to them, a strong South America does not suit western powers