"Operation LeakS" Releases Initial BofA Emails Indicating Premeditated Intent To Deceive Government And Auditors

Submitted by Tyler Durden on 03/13/2011 23:31 -05

From Operation LeakS' site, http://bankofamericasuck.com, here is the initial release of what appears to be a whistleblower's (former employee) disclosure that Brian Moynihan's firm is lying to the Federal government. The punchline is that this appears to be a concerted effort from the ground up to hide foreclosure data from auditors and the Fed in order to obtain select preferential treatment in a variety of housing related axes, in many instances to accelerate foreclosures. As the whistleblower summarizes: "Balboa Insurance/Countrywide knowingly hiding foreclosure information from federal auditors during the federal takeovers of IndyMac Federal (a subsidiary of OneWest) and Aurora Loan Services (a subsidiary of Lehman Bros Holdings), falsifying loan documentation in order to proceed with foreclosures by fixing letter cycles in the system, reporting incorrect volumes to all of their lenders and to the federal auditors to avoid fines for falling behind on Loan Modifications, purposefully and knowingly adjusting premiums for REO insurance for their corporate clients while denying forebearances for individual borrowers, etc, etc, etc. In addition, if anyone can get me a copy of the image of the hard drive that Jullian Assange reportedly has from the BofA executive, it will not take a dozen financial analysis to decipher it like I've read in the news. I could find all the dirt on that hard drive within a week." We'll see if Assange steps up. In the meantime we expect Brian Moynihan, or rather Ken Lewis who was in control back then, to pull a Dick Fuld and tell a Congressional hearing he had no idea any of this was happening, leading to the termination of some mid-level employee, notably the person who invalidated the following concerns: "I'm just a little concerned about the impact this has on the department and company. Why are we removing all record of this error?... There is always going to be the paper trail when one of these sent documents come back, this to me, seems to be a huge red flag for the auditors...This just doesn't seem right to me." That's ok - it will most certainly seem right to everyone in "law enforcement." In the meantime, note the date: November 2010. This is not a Ken Lewis transgression (as we previously assumed) - this is all Brian, all the way.

Stunning Video Of Reactor 3 Explosion

Submitted by Tyler Durden on 03/13/2011 22:04 -0500

Archive film.

Update: Make That 15 Trillion; BOJ Raises Liquidity Injection To JPY12 Trillion ($146 Billion)

Submitted by Tyler Durden on 03/13/2011 21:48 -0500

The surreal black swan clusterflock continues its trek through the world: "The BOJ offered a combined 15 trillion yen ($183 billion) into the banking system on Monday in its first same-day market operation since the Greek debt crisis in May last year, to soothe market jitters in the wake of a devastating earthquake and tsunami that struck northeast Japan on Friday. The central bank's policy board will likely discuss whether the sharp fall in Tokyo stock prices and the potential damage from the quake to corporate profits warrant an immediate policy response, the sources said." And we have since learned that the extra 3 trillion will be use to buy government bonds. Hello QE, my old friend.

NHK Reports Hydrogen Explosion At Fukushima Reactor #3 As New Tsunami Is Heading For The Plant

Submitted by Tyler Durden on 03/13/2011 21:21 -0500

As a new 5 meter Tsunami is expected to hit Fukushima again, and residents are being advised to immediately get to higher ground, an explosion had been heard coming out of Reactor #3 at the power plant at 11:08 am local time. Supposedly this is a hydrogen explosion just like on Saturday, although the credibility of everyone involved at this point is zero. Dow Jones confirms that only the shell of the third reactor remains.Follow the latest at NHK in what is becoming the most surreal news night in history.

Saudi Arabia Prepares To Enter Bahrain

Submitted by Tyler Durden on 03/13/2011 21:06 -0500

And just when oil was tapering off on hopes that the Middle East supply situation may actually normalize, we get this from The Guardian: "Saudi forces are preparing to intervene in neighbouring Bahrain, after a day of clashes between police and protesters who mounted the most serious challenge to the island's royal family since demonstrations began a month ago. The Crown Prince of Bahrain is expected to formally invite security forces from Saudi Arabia into his country today, as part of a request for support from other members of the six-member Gulf Co-operation Council." Pretty mich just as we predicted earlier. And yes, this is huge as Iran will promptly respond, setting off dormant religious tensions with a bang.

TEPCO: With $91 Billion In Debt, Got CDS?

Submitted by Tyler Durden on 03/13/2011 20:45 -0500

Now that the market has had some time to digest the events over the weekend, it may be time to hedge risk on the company most exposed to the nuclear shock in Japan, Tokyo Electric Power Company. The company was just downgraded by Goldman Sachs to Neutral (which means it held it as a Buy until now) as the firm does not see "a dividend hike"... We see far greater issues for the company's equity investors than just a dividend hike. Number one: TEPCO (9501.T) has over $90 billion in debt and roughly $30 billion in equity buffer. As Bruce Krasting points out vis a vis the equity - "it's gone." More from BK: "I used to work on financing these things. It's all long term leases. The actual debt behind the power plants is multiples of what they show on the balance sheet."