Friday, May 26, 2017

PR owes $8 million to Microsoft & $12 billion to BPPR

Five Facts About Puerto Rico's Utter Economic Misery
Unemployment rate high on island nation
By JACKIE WATTLES May 08, 2017

NEW YORK (CNNMoney) - Puerto Rico is in the midst of a bleak economic crisis.
The island has $74 billion in debt and another $50 billion in pension obligations on the books, making its case

1. Fewer than 1 million people have jobsThe island has a population of about 3.5 million people -- and only about 1 million of them are employed.
CNNMoney has found that doctors are leaving Puerto Rico at a rate of one per day.

2. It owes $8 million to Microsoft & $12 billion to Banco Popular de PR
Banco Popular de Puerto Rico,the trustee on the massive bonds the island has issued
Puerto Rico owes Microsoft more than $8 million for "services" the software company has provided. It also owes $3.2 million to Manpower, a talent recruitment agency.

3. Puerto Rico could face 'many' creditor lawsuits
PR Faced at least 22 lawsuits from creditors at the time its bankruptcy documents were filed May 3. PROMESA safeguarded the island from law suits but that law's protections expired May 1.

4. Cutting Obamacare funds will make crisis 'exponentially' worse
Island will lose millions from the Affordable Care Act next year.

5.Pension programs are drying up
The three main retirement systems in PR are expected to "deplete" all their assets between July and December, the documents say.

Full Article: Five Facts About Puerto Rico's Utter Economic Misery

Comment by MJR: Microsoft PR  has 170 employees and receives 22.8 million in Tax Benefits a year per employee. (OUTRAGEOUS AND INCOMPREHENSIBLE !!)

Wednesday, May 24, 2017

BANKRUPTCY - End Result of Colonialism

Puerto Rico’s $123 Billion Bankruptcy Is the Cost of U.S. Colonialism
May 9 2017, 9:23 a.m.

Last week Puerto Rico officially became the largest bankruptcy case in the history of the American public bond market. On May 3, a fiscal control board imposed on the island’s government by Washington less than a year ago suddenly announced that Puerto Rico’s economic crisis had “reached a breaking point.” The board asked for the immediate appointment of a federal judge to decide how to deal with a staggering $123 billion debt the commonwealth government and its public corporations owe to both bondholders and public employee pension systems.

The announcement sparked renewed press attention to a Caribbean territory that many have dubbed America’s Greece. The island’s total debt, according to the control board, is unprecedented for any government insolvency in the U.S., and it is certain to mushroom quickly if no action is taken. Detroit’s bankruptcy, by comparison, involved just $18 billion — one-ninth the size of Puerto Rico’s.

Within days, Supreme Court Chief Justice John Roberts, acting under a provision of the Puerto Rico Oversight, Management, and Economic Stability Act (known as PROMESA), which was enacted last June, appointed federal Judge Laura Taylor Swain from the Southern District of New York to take over the Puerto Rico case. A former bankruptcy court judge who was appointed to the federal court by President Clinton, Swain famously presided over the long criminal trial of employees of the Bernie Madoff Ponzi scheme.

Few press reports on Puerto Rico’s troubles, however, have bothered to examine the deeper issues behind this crisis:

First, the colonial relationship that has prevailed between the U.S. and Puerto Rico since 1898 is no longer viable. Puerto Rico is the largest overseas territory still under the sovereign control of the United States, and it is the most important colonial possession in this nation’s history. That relationship produced uncommon profits for American subsidiaries on the island for more than a century, even as the federal government kept claiming that the Commonwealth of Puerto Rico, created in 1952, was a self-governing territory. But now, with a Washington-appointed board directly overseeing the island’s economy, and with a pivotal Supreme Court decision last year affirming that Congress continues to exercise sovereign power over Puerto Rico, the mask of self-governance has been removed.

Puerto Rico’s $123 Billion Bankruptcy Is the Cost of U.S. Colonialism