August 10th, 2012
(HigginsBlog) – A ‘hidden’ $600 billion is discovered as California threatens to follow suit the lead of its cites and declaring bankruptcy over a $43 billion shortfall.
California cities and counties have gone on a bankruptcy declaring spree claiming they don’t have enough money to pay the public sector debt obligations.
Three California cities filed for bankruptcy – San Bernardino, Stockton and Mammoth Lake and the trend is spreading nationwide.
In the last few weeks, three cities in California filed for bankruptcy – San Bernardino, Stockton and Mammoth Lake.
Oakland, CA is now on the verge of following suit, but they are holding off and trying to fight to stay afloat.
The disturbing trend is spreading throughout the United States with cities and even entire counties declaring bankruptcy.
In the run up to the bankruptcy public workers are often required to forfeit a massive percentage of their pay along with retirement benefits due to threats of bankruptcy being declared in which they will lose everything.
Last year a Rhode Island city told their firefighter’s and police officers to give up 50% of their pensions or risk losing it all.
At the same time the politicians in charge cut those services they are making sure that their 6 figure pensions are payed.
As California cities go on a bankruptcy declaring spree public services are being slashed so unusually high pensions can stay on the books.
As some California cities face bankruptcy, public services are being slashed so unusually high pensions can stay on the books. Stockton’s former police chief rakes in a pension of more than $200,000 a year, while also working another job.
Former Stockton Police Chief Tom Morris retired with a $204,000 pension after just eight months on the job. While his California city became the largest in the US to file for bankruptcy, he moved to another city and makes an additional $76,066 salary at a new job.
The former police chief retired at age 52, and was among four of the city’s chiefs who held the job for less than three years, while retiring with an average of 92 per cent of their final salaries.
But Morris’ unusually high pension is not an isolated incident. City councils across California have allowed public safety employees to retire after working for 30 years and collect 90 per cent of their top salaries. But while raking in a sizable pension, they often take jobs elsewhere, while still in their early 50’s.
Two former police chiefs in San Bernardino receive similarly high pensions. Keith Kilmer receives $216,581 annually, while working another job. His predecessor, Michael Billdt, who has no college degree and was accused of trying to bribe an officer to withdraw a union grievance in exchange for a dropped investigation, receives $205,014.
“We have some safety retirees that are actually earning more in retirement than they earned when they were working, because they were able to manipulate the system enough in that last year that they could crank that last year’s income and then get 3 per cent times their 25 to 30 years,” said Kathy Miller, the city’s vice mayor, in an interview with Bloomberg News.
On top of assuring the bankruptcies fund 6 figure pensions of the corrupt politicians in charge the ‘debt restructurings’ also assure that payments on Wall Street funded debt a top priority to credit ratings to be maintained.
Now the State of California is crying bankruptcy as well claiming that they can’t fund $27 billion in pension obligations and another $16 billion in budget deficits.
But, as Carl Herman reveals, this is yet another criminal lie being perpetrated by Wall Street owned politicians as the truth is $600 billion dollars in ‘hidden’ funds has been discovered in California.
CA Finance Director: “No hidden money;” CA CAFR: $600 billion in ‘hidden’ money
California’s Finance Director, Ana Matosantos, criminally lies when she claims the $54 million “found” in the Parks and Recreation Department books is an “anomaly,” “there are no other hidden pots of money.”
Ms. Matosantos’ lie can be verified within minutes for anyone who cares to look: California’s Comprehensive Annual Financial Report (CAFR) shows $600 billion in surplus taxpayer assets exactly like the “hidden” $54 million.
Ms. Matosantos’ statement is an “emperor has no clothes” obvious crime, of course. This implicates political “leadership” of both parties because they know what their own financial report contains. Both parties choose to lie to the public at the magnitude of 35 times the budget deficit claimed to “force” austerity with no other options. Moreover, it is implausible that corporate media is unaware of what independent media has broadcast and documented for years with these colossal CAFR surplus accounts.
Every lie from the US 1% helps the 99% recognize their position: oligarchs concentrated in government and key corporate cartels (including media) use the public as 21st Century serfs.
The cartels loot trillions every year in ever-more apparent crimes centered in so-called “banking” and the rigged-casinos of Wall Street, government illegally attacks ever-more nations to lord over natural and human resources, and cartel media distract and lie to protect these crimes.
The 1% psychopathic crimes annually kill millions, harm billions, and transfer trillions of the 99%’s hard-earned wealth to themselves.
In contrast, obvious solutions in monetary and credit reform, with consideration of CAFR-revealed taxpayer assets can immediately provide full-employment, renewed infrastructure, and overall falling prices.
The 99% have a choice:
- complacent serfdom under constant attack of lies, debt, and death,
- or assertion of “emperor has no clothes” obvious facts, lawful arrests, and policies for 100% of Earth’s inhabitants’ success.
What do you choose, and what will you think, say, and do to help earn your choice?
Source: Higgins Blog