BEHIND THE SCENES LEGISLATION REVOKED MANY OF THE LEGAL RIGHTS OF THE INNOCENT PUERTO RICO BOND HOLDERS

UP TO $34 BILLION DOLLARS STOLEN AND THE DEPARTMENT OF JUSTICE SAYS IT’S NOT THEIR CONCERN

Opinion by : Richard Lawless

August 23, 2017

Unfortunately, the rich and powerful continue to be protected by our corrupt leaders in the Attorney General’s office and the FBI.

When you are fully informed about an investment and lose money, it is a simple and unfortunate investment loss.  When deceit and fraud are used to part you from your money and it is lost, it is criminal theft.

That is what has happened with the $70 billion-dollar Puerto Rico bond default.  The bonds were initially owned by over 50 million, middle class American’s that relied on that income for their retirement expenses. When Puerto Rico began to fall apart at the seams from all the fraud, the bonds plummeted in value and most of the innocent bond holders sold what was left at pennies on the dollar.  This is the point where the $34 billion dollars was lost, or more accurately, stolen.

A simple investigation uncovered fraudulent and misleading financials that created phantom income that would be used to pay the bondholders back.  The bond issuers never had the ability to repay the debt but for the right fees, the rating agencies issued good ratings on the bonds and the banks then knowingly sold these bad investments to their good customers as a safe investment. 

The victims put together a TV commercial that sums up the actions of all parties and a 60-minute forensic investigation (news conference) that disclosed much of the fraud was sent to the FBI.

The response from the DOJ was clear, they will not prosecute any Wall Street executives.  You see, part of the stolen money was sent to our Congressmen and Senators as political contributions and they then put pressure on the DOJ to overlook this theft.

Some Politicians went further for their Wall Street friends and passed legislation that revoked many of the legal rights of the innocent bond holders (PROMESA Legislation). Those Politicians received much bigger contributions.

For any of our readers that can’t believe this, I encourage you to click on the links in the article and see for yourself.

Richard Lawless

Richard Lawless is a former senior banker who has specialized in evaluating and granting debt for over 25 years. He has a Master’s Degree in Finance from the University of San Diego and Bachelor’s Degree from Pepperdine University. He sits on several Corporate Boards and actively writes for several finance publications.