Big Banks Use the Shadow Banking System to Commit Massive Accounting Fraud

By Washington's Blog
Global Research, November 25, 2012
Washington's Blog 24 November 2012
Theme:

Staggering Levels of Fraud For Years On End …

The shadow banking system is bigger now than when the financial crisis started.

Not only does that e destabilize the economic system, but it allows for pervasive fraud.

As Max Keiser explains, massive fraud has continuously taken place over many years … as banks shift their liabilities into the shadow banking system during audit time – with the help of accounting firms andthe government – and then bring them back onto the books as soon as the auditor leaves:

At the end of the quarter – when they’re supposed to report to regulators their balance sheet, the liabilities and assets that they have –  they will temporarily put all of the liabilities … they’ll park them in the shadow banking system.

In other words, they won’t report the liabilities  … therefore making their profits look greater than they are.

And then when the regulators move on to the next company, they download the liabilities once again. And they do this on a quarter by quarter basis.

This is done by all of the Fortune 1,000 companies. They’re engage in  massive accounting fraud to cook their books.

These 4 remaining big accounting firms are involved day in and day out with massive accounting fraud.

And see this and this.
Articles by: Washington's Blog

Disclaimer: The contents of this article are of sole responsibility of the author(s). The Centre for Research on Globalization will not be responsible for any inaccurate or incorrect statement in this article. The Centre of Research on Globalization grants permission to cross-post Global Research articles on community internet sites as long the source and copyright are acknowledged together with a hyperlink to the original Global Research article. For publication of Global Research articles in print or other forms including commercial internet sites, contact: [email protected]

www.globalresearch.ca contains copyrighted material the use of which has not always been specifically authorized by the copyright owner. We are making such material available to our readers under the provisions of "fair use" in an effort to advance a better understanding of political, economic and social issues. The material on this site is distributed without profit to those who have expressed a prior interest in receiving it for research and educational purposes. If you wish to use copyrighted material for purposes other than "fair use" you must request permission from the copyright owner.

For media inquiries: [email protected]