Oh I know.... which is why it's so popular.

She may be the best fade since ol' Joe Granville.

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Doing the books? Yes. An outsider doing an occasional audit? MUCH harder to catch cash skimming.

Ehhh, $225M vs. $10M....that's not like skimming at some retail operation somewhere. No, Bank Confirmations should have gone directly to US Bank for completion and reply. This is beyond ****ing stupid. I was a CPA at 23 years old and I had something that stupid at the 2nd tier Chicago firm I worked at, I would have been fired. Period.

Details on PFGBest:
http://www.reuters.com/article/2012/07/1....

Quote:

"I have committed fraud," Wasendorf wrote in the note, the contents of which he later told authorities were true. "I feel constant and intense guilt."

Yet he also wrote in almost boastful detail about the "blunt authority" that allowed him to control the flow of documents into the company; how he used a simple post office box to trick "unquestioning" regulators; and his skill in turning out forged bank statements within hours that "no one suspected...Wasendorf said he had sole control over the U.S. Bank accounts and could make counterfeit statements within a few hours using a combination of Photoshop, Excel spreadsheets, scanner and both laser and ink-jet printers, according to the complaint."

I am laughing through almost tears. This "high tech" fraud "broker' used photoshop and inkjet printers...sad.

Jwm - it wasn't stupid...it was deliberate. It was a mutually-beneficial arrangement. The "auditing firm" got a chunk of cash for doing nothing but signing worthless books, and PFGBest got the appearance of an audit. Both parties were happy with the arrangement.

Tesla....I know that's what I'm referring to when use the term opinion shopping. Wasendowrf paid.for.a.clean opinion on the financials that his management presented as factual..

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Ehhh, $225M vs. $10M....that's not like skimming at some retail operation somewhere. No, Bank Confirmations should have gone directly to US Bank for completion and reply. This is beyond ****ing stupid. I was a CPA at 23 years old and I had something that stupid at the 2nd tier Chicago firm I worked at, I would have been fired. Period.

Lol, no kidding. Confirm mailed to a dead PO box with no response and no one says ANYTHING?

ALL ARE COMPLICIT. EVERY SINGLE ONE. Just those at the top have scapegoats lined up for "incompetence" pleas. The scapegoats, at BEST, are just doing what they're told/believe it is correct. At worst they're willing(and stupid) accomplices.

That wasn't a dead PO box. The regulators received responses, but Photoshopped ones from the perp.

S&P's only up about 3% since her "GET OUT OF EVERYTHING CALL". Is she trying to give ol' Joe Granville a run for best fade of 2012. ROFL.

I could think of a better fade...

She is right as far as it goes. She is just VERY early.

Joe Granville is the king of fade so it won't be easy to out do him. However some have been calling for S&P 200 for a few years. ROFL

Fade, get out? whatever.

When this thing finally craters it won't matter.

It's been going to crater since 2009. Dow's only up about 84% since and only 3% from 52 week highs. I'd say we're at least 2-3 years from any sort of "cratering".

You could be right or it could start tomorrow.

We will see.

I don't take investing advice from anybody who VIBRATES. 'Nuff said.

Err the way I read her get out isnt because we goto 100 spx tomorrow. Its because toy simply cannot truest any party. Even basic things like segregated accounts are just optional for a firm in trouble.

Now perhaps we just saw the only 2 firms on the planet that were in trouble......

Nah, she expects everything to blow up tomorrow. It won't and I agree Dbongo on his call.

It is easy to do the maths and realize what is ahead. But another to get the timing right. But I am seeing more and more people admitting to themselves that Qe'ing and Tweristing is not going to fix this mess.
Meanwhile...

she is not saying the market will go down...she is saying that the market makers are corrupt and one day, even if you are up another 10%, your account could be a big fat zero due to lack of segregation and out and out theft of customers money.

I think you guys need to check your time line, we are not going to make it 2 years.

We are in the **** now, even with Qe whatever.

http://www.bloomberg.com/video/david-sto....

The Bush tax cuts are going to roll off, and all that money that is now going into the real economy is going to get sucked back into the Gov. black hole and FSA army. But what good is that? When you are running trillion dollar deficits.

So think about this, any increase in tax rates does not result in more gov. spending it just gets evaporated by all the insane deficit spending. Money that circulates and is spent would disappear. 99% of that money is going to supporting the life styles from the free money era.

Another kick in the balls is coming. More FSA is not going to help, politically we are run by a gangs of retards.

Here's what happens when an auditor suspects something shady, doesn't get legitimate answers, and pulls out...

Baker Tilly slammed by $50 million jury verdict

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Baker Tilly's legal troubles in Wisconsin started when consumer-finance client Aqua Finance Inc. of Wausau alleged in 2010 that its auditor had discovered a defect in Aqua Finance's accounting but waited a year to disclose it. Then, the complaint further alleged, Baker Tilly abruptly withdrew from the account in 2008 and hindered the timely hiring of a replacement auditor.

This left Aqua Finance without audited financial statements just as the credit crisis was brewing, which “dramatically and catastrophically impeded the company's crucial access to the credit necessary to maintain and grow its business,” according to the complaint.

Baker Tilly denies the allegations and says it plans to appeal. It also filed a counterclaim, alleging that Aqua Finance breached contract agreements and indemnification provisions.

https://home.chicagobusiness.com/clicksh....

And it gets better... Their insurer is refusing to cover the loss.

Quote:

Meanwhile, Baker Tilly in April sued Lexington Insurance Co. for breach of contract, alleging that the Boston-based carrier failed to defend it against Aqua Finance's claims and provide as much as $40 million in professional liability coverage, as specified in a one-year contract in place when Aqua Finance's lawsuit was filed.

“We feel there is no basis for this,” said an attorney for Lexington, Stephen Kravit of Kravit Hovel & Krawczyk S.C. in Milwaukee. “They did not reveal the known issue concerning their potential liability for malpractice to Lexington at the time coverage was sought.”

Same old ****, different day. If you had listened to any of that 'the sky is falling' crap in the last four or five years you would have missed out on a huge rally in stocks, bonds, and the US dollar.

Right she might be...sometime....but in the meantime that crap in your doomsday shelter needs to be replaced, once again, and your money is blown trying to protect yourself from armegeddon.

On a different note, if you are looking for a lower risk trade with a defined stop, put a copy of last years S&P performance over top of this year's.

One of my indicators is...

When a country's 'productivity' is primarily directed at furthering the comfort and convenience of it's masses vs producing stuff for export and competition, and laws are increasingly written to hamstring production of most any kind [and instead to further a certain political agenda], watch out.

How about an untouchable police force dedicated to the eradication of plants?

Is that something to watch out for, or well, **** happens and those that get caught up in the net deserve it ?