America is setting to sue the banks that sold it suspect mortgage packages for $900 million that cost it $30 billion?

Does this mean the principles of fractional reserves work in reverse when applied to the costs of public finances?

In the particular parallel universe I inhabit I read an article which gave some details of RBS RoBS pension funds, unfortunately I'v lost the link. At the end of the day these people have already proved that they will sink to any level to protect their habit.

Here's a site that you might, or might not be all aware of, mainly concerning the US, it's like a terrier in it's pursuit of the shysters, which I like.

http://dailybail.com/

This is a video, admittedly quite old, that they want people to pass on. I think it sums up the situation in as much as the content is so incredible. It should be an international scandal, but is for the main part ignored, no wonder the criminal elite act with impunity.

http://www.youtube.com/watch?v=cJqM2tFOxLQ&feature=player_embedded

"In your opinion, are the capital market players with the questionable assets using collateral swaps to dress up their books for regulators and investors?"

Excellent point! The piece by Awrey is as close to a confirmation of that as you will get:

"collateral swaps are a reflexive response to changes in the post-crisis market and regulatory environment"

As one of the comments on the source site says it's "The new shell game".

In other words – hunt the toxic assets.

The financial companies appear to completely contort any legal concept of ownership here. They are playing a curious game of Shroedinger's cat, in which the "low risk assets" can appear to be both on the books of the Banks to satisfy regulatory compliance but simultaneously underpinning the private pension of Joe Public.

The wool is just being pulled over eyes again.

– Hawkeye

http://govinthelab.com/25-major-companies-paid-more-to-ceos-than-they-did-in-taxes/.