Tuesday, May 17, 2011

Banker vs Banker - Dominique Strauss Kahn vs Ben Bernanke?

SDR vs US Dollar?
The IMF vs the Federal Reserve?
Banker vs Banker.
This may get ugly.

Dominique Strauss-Kahn. Saw a picture of him sitting and looking rather miserable.
I imagine a night in a Harlem precinct is a far cry from a $3000.00 a night hotel room.
There seemed a natural kind of justice in that. A poetic justice. I am sure it will be lost on Mr. Kahn.
Oh well, he doesn't get my sympathy.

In yesterday's post I touched on the fact that DSK may have been taken down in a political power struggle over just who will be at the helm of the IMF.

The shifts in the global economic power structure seemed to prelude an end to the practice of giving the IMF’s top job to a European.

Noting the IMF had been very critical of the US. DSK had also instituted changes in the allocation of voting shares

"the IMF overhauled the way it allocates voting shares. China vaulted over nations such as Britain, Germany and France to become the third-biggest shareholder after the United States and Japan. The clout of former European powers such as Belgium was seriously curbed in favour of rising powers such as Brazil. "

I would like to expand on the issues. Issues that may have been behind DSK's takeout.

An interesting article here

The IMF under Dominique Strauss Kahn has been over the past 3 years been planning it’s own currency of reserve. Calling on a currency, called an SDR (special drawing rights) in focus the point that could be the major issue is the SDR bond that allows the IMF to issue bonds that could (and most likely would) compete with US treasuries.

The moment the SDR BOND becomes popular is the exact moment the US dollar loses it’s currency reserve status.

But alas, the guy that was pushing this through finds himself behind bars on what some say are bogus charges.

You could imagine what is at stake. The US dollar itself.

-If Dominique Strauss Kahn was able to pull this off and use the IMF to draw SDR Bonds you will see a dramatic drop in the value of the US debt. ( I do not see this as the real issue because the US is already devaluing their dollar)

- Countries and investors would be buying SDR bonds rather than US treasuries. It will effectively end the USA’s ability to print off the debt.(This is the meat and potatoes of the issue with SDR)

- Was this engineered to keep the US Dollar as the currency of reserve?

Is that the reason Strauss Kahn was taken out?
If the US dollar is no longer the global currency, the reserve currency, how could the US continue on their warpath? How could the US continue to bury all other nations with indebtedness that through their economic policies, the US is deflating away?

Is this the reason as mentioned the US wanted an American at the helm of the IMF?

A quick aside: I see David Cameron is ok with an American at the helm of the IMF. He has suggested looking beyond Europe. Which would on the surface seem an odd position, but, thinking in term of banksters, it isn't.

Here is another article where the writer is making mention of the IMF's war on the US dollar-
Your will find this one quite interesting!

I've been baffled over the past couple years by calls for the IMF to play a greater role in the international economy. Unhappy with the U.S. dollar-dominated global monetary system in place today, officials in China and Russia and some economists have called for the enhanced use of the IMF's SDR as a global currency – the belief being that, backed by an impartial institution, it would be more stable than the greenback, which is governed by national policies crafted to a great degree by the Fed.

The fact that Strauss-Kahn may have tossed away his political career for a hotel maid doesn't give me much confidence in his judgment on issues regarding the life and death of the global economy. Would you rather have Strauss-Kahn or Ben Bernanke making the key decisions that impact the global monetary system? Despite his own failings, I'd put my money on Bernanke

Strauss-Kahn or Ben Bernake? A European or an American? SDR's as global currency or a continuation of the US dollar dominance of the globe?

From the Guardian

Strauss-Kahn allowed his staff earlier this year to attack the US, its main paymaster, for running a bigger budget deficit while others tried to reduce theirs.
He also changed the emphasis of the fund's lending from simply a means to impose neo-liberal capitalism on near-bankrupt victims, to a more sympathetic programme with less micro-management from Washington.
At the IMF's most recent conference in Washington, Strauss-Kahn stressed the failure of western governments to promote job creation as a means of safeguarding social democratic structures. He feared the riots in Athens would spread across Europe.

Was Strauss-Kahn biting the hand that feeds the IMF? Besides the SDR? By allowing the IMF to vocally express their disdain with the US? Job creation is an issue, but, not one that benefits the elite classes of asses. Did Strauss Kahn wish to avoid global collapse of society?

From all I have read over the past few days it is clear, quite clear to me, that DSK was taken out politically. Call it a honey pot, call it a set up, whatever?
Dominique Strauss Kahn was humiliated, worse then he had allowed the IMF to embarrass the US in their public drubbing.
He was removed from leading the IMF, an IMF that was going to use SDR's to challenge US dollar global supremacy.
He bit the hand that fed him. He crossed the Fed.
Bankers vs Bankers.
The fall out shall be interesting.


  1. Nice article, thanks for the information.

  2. When ever you write about banks and banksters Penny I detect an unusual saavy confidence.
    I know I learn alot when you do. My guess is this is your area of real expertise.
    Big guns like DSK don't go down in circumstances such as these unless some other big gun is after them. Just my two cents.

  3. Agreed, these people do this and far worse every day of the week. When one gets caught, it's a set up.

    If a maid had really complained in this way about a man like this, she'd take a dive from the roof.

  4. "A quick aside: I see David Cameron is ok with an American at the helm of the IMF. He has suggested looking beyond Europe. Which would on the surface seem an odd position"

    That might seem odd to Americans but the British establishment has always been much closer to the US than to continental Europe. In particular the English have a deep antipathy towards the French who long ago formed the Auld Alliance with the Scots to battle against the English on 2 fronts.

    That antipathy is also reflected in a schism in Freemasonary with English Freemasonary evolving from the Rosicrutians and the French from the Templars (see Scarlet and the Beast - Two Faces of Freemasonary). Note also that he Templars took refuge in Scotland and the StClair or Sinclair family has strong connections to the Templars and Freemasonary.

    Now where have I seen the Sinclair name recently?

    Also Cameron's 'beyond Europe' suggestion was seen as a way of blocking (the Scotsman) Gordon Brown who (in the UK at least) had been widely tipped to take the top IMF job.

  5. freethinker don't interpret too much in the Sinclair name of DSK's wife. Her real name is Anne-√Člise Schwartz.
    Just saying.

  6. Thanks for the correction Gallier - I should have guessed.

  7. Hey Peter!

    An unusual saavy confidence.

    That is a compliment extraordinaire!
    I thank you for it.

    Glad you are learning, because I am too, every single day, I learn something new.

    "Big guns like DSK don't go down in circumstances such as these unless some other big gun is after them. "

    I agree completely.

  8. anonymous 12:48 am:

    "these people do this and far worse every day of the week."

    cripes, even in that movie which won an oscar, the banking scum and the hookers went hand in hand, clearly they are an immoral, selfish, self-centred bunch of idiots.
    Who care not who they harm or humiliate.
    So that goes without saying

    "When one gets caught, it's a set up."

    Or it is a set up, to get on caught?

    Regarding the maid: noticing alot of contradictory stories out there..

    She is a single mom, she is married, she is a muslim, who wore a head scarf all the time.
    She has a 15 year old, she has a 9 year old.
    She is however, not a US citizen.


  9. freethinker:

    I am for the most part in the dark on the masonry stuff.

    So that is an interesting read.

  10. GAllier:

    as always a wealth of information.

    What time is it?

    I have been noticing some really interesting media reporting around this story.

    The spin surrounding the incident is out of this world.

    "U.S. Treasury Secretary Timothy Geithner has urged the International Monetary Fund to formally appoint an interim leader"


    So is this some type of posturing on the part of Timmy?
    Surely he is aware Lipsky was appointed?

    There are a number of reports urging DSK to quit.


    The Austrian and Spanish Finance Ministers seems to being cited.

    " Austrian Finance Minister Maria Fekter said after a European Union meeting: "Given the situation, that bail has been denied, he has to consider that he would otherwise do damage to the institution."

    Spanish Economy Minister Elena Salgado cast doubt on Strauss-Kahn's judgment."

    Kahn's "judgement"?

    That would be so convenient.
    Because it could then be spun as a choice DSK made due to his predicament and all the machinations that started even before his arrest would be discounted or forgotten.

  11. I also want to point this out the lawyer Jeffrey Shapiro claims he met the client, the maid in this case, through a friend?

    "Shapiro, who was introduced to the woman by a friend on Sunday, said that since the incident, she had not returned to her home and saw her daughter for the first time only on Tuesday."


    So this immigrant from the west African nation of Guinea,who is not a US citizen, actually knows someone who is friends with the lawyer Jeffrey Shapiro?

    I just find that odd.

    This hotel maid wouldn't have two nickles to rub together, but, she has friends who know high priced lawyers?

  12. And one more thing:

    The American media is treating it's audience to some really lurid stuff.

    DSK was on a plane fleeing to France after he raped this woman.


    The incident took place around noon, afterwards, DSK left for lunch, in between called the hotel regarding his forgotten cellphone, he then went to board a plane heading for a meeting with Angela Merkel.
    He was taken off the plane at 4:45 pm. Nearly 5 hours later.
    If he was fleeing, wouldn't he have left in a more timely fashion?

    Of course the judge reinforced that nonsense, with what she said when she denied bail.
    (Doing as she was told?)

    And James, in an e-mail yesterday mentioned something which is very interesting.

    He wondered why it is the US was trying so hard to keep DSK quiet.
    By keeping him in jail?

    If your about James and you wish to expand on that please do.
    (I hope you do not mind me mentioning that, it is a good point)

    My answer is something Aferrismoon said, quite brilliantly, when this all broke.

    "Trial by media"

    With DSK incarcerated, the media has him on trial, no courtroom necessary.

    Now that the maid is speaking through her lawyer..... we get the victim angle.

    Timothy Geithner is demanding a replacement (not making it to obvious eh Timmy boy?)

    Go back to mouser's comment to understand..

    And DSK is alleged to be on suicide watch, making him look that much more unstable.

  13. hi Pen,
    I started to write a response but it just kept growing so i uploaded it over at WPC as a short post and linked back to you.

  14. Great you bloggers are on the case. It's so obviously a stitch-up.

    On the back of the indecently threadbare Obama's birth certificate and OBL's supposed "death" we the sheeple are now expected to take DSK's ouster as IMF Head as down to his own misjudgement.

    They are getting so pathetically sloppy in their news management it's glaring.

  15. Hi Pen, i ended up writing a short post when thinking about answering your question/request for more thoughts.

    You can read it Winter Patriot Community - The Big Split?

  16. The IMF controls around one TRILLION dollars, so I imagine a lot of greedy pigs salivate at the thought of getting their grubby paws on that loot.

  17. Hey, first mention of a honey trap in a french medium (they are Swiss, this explains a bit).


    Sorry it's in French but google translate may help.

  18. Freeborn said...

    Great you bloggers are on the case. It's so obviously a stitch-up.

    On the back of the indecently threadbare Obama's birth certificate and OBL's supposed "death" we the sheeple are now expected to take DSK's ouster as IMF Head as down to his own misjudgement.

    They are getting so pathetically sloppy in their news management it's glaring.

    The OBL "death" was beyond non-credible.

    As for the news management. When the masses don't have an original thought firing around in their slugged out brains, the elite's get to be pathetically sloppy

  19. James: Thanks!
    I want to bring that into a new post?

    I am certain you will not mind?

  20. Gallier2: Merci!

    i shall check it out

  21. Gallier: holy shit, scuse the language, that is an eye popping article!