Making Money Online Forum

Roundups, IT, deals

Evernote Snags Sequoia, Kleiner Perkins Goes Social, Zuckerberg Speaks Out, & More Bay-Area BizTech News

Wade Roush 10/25/10

Companies building cloud-based services got lots of attention last week, as did those building social applications. And companies building cloud-based social applications? Watch out!

—Evernote, the Mountain View, CA-based online notekeeping service with nearly 5 million users, collected another $20 million in venture backing in a Series C round led by new investor Sequoia Capital. I interviewed CEO Phil Libin about the investment.

—I took a close look at Zoho, the Pleasanton, CA-based company offering small and medium-sized businesses free and low-cost alternatives to desktop productivity software such as Microsoft Office and even newer cloud-based services like Salesforce.com.

—While the Apple iPad may lack a camera, there’s no shortage of cool photo apps for the device, and I reviewed 10 of them in my regular Friday column.

—Kleiner Perkins Caufield & Byers announced the formation of the sFund, a $250 million fund that will be used to invest in startups building social Web applications. Facebook, Amazon, and Zynga each put some money into the kitty.

—I profiled AudioPress, a San Francisco startup that recently launched a versatile audio management app for the iPhone. The app lets users organize podcasts, streaming radio, and spoken-word articles into personalized playlists.

—San Francisco-based Siluria Technologies, which is developing a way to make natural gas into ethylene as a precursor for many types of plastics, raised $13.3 million in a Series A venture round, as Luke reported. Alloy Ventures, Arch Venture Partners, Kleiner Perkins Caufield & Byers, Altitude Life Sciences Ventures, Lux Capital, and Presidio Ventures participated.

—I Went to Startup School, and All I Got Was This Lousy Video. Just kidding—I had a great time attending Y Combinator’s Startup School event at Stanford on October 16, and as a bonus I was able to make of video recording of a 30-minute interview between Facebook CEO Mark Zuckerberg and Y Combinator partner Jessica Livingston. Zuckerberg talked about what the makers of The Social Network got right, and what they weren’t so careful about.

—As a follow-up to my column two weeks ago comparing two leading run-tracking apps, Abvio’s Runmeter and FitnessKeeper’s RunKeeper, I staged a virtual “smackdown” between Abvio co-founder Steve Kusmer and FitnessKeeper founder Jason Jacobs.

—San Francisco’s Crosslink Capital participated in a $12.5 million Series B financing round for SiOnyx, a Beverly, MA-based company working on a method for making “black silicon,” a highly photosensitive form of silicon that could eventually be used in image sensors for camera phones, as Greg reported.

—In other tech deals news, Sharethrough raised $5 million, Causes raised $9 million, Revolution Analytics raised $8.6 million, and Kontiki raised $10.7 million.

—In Xconomy news, we announced our first-ever San Francisco event: a public forum with Michael Moritz of Sequoia Capital. Moritz is widely respected as one of the leading venture capitalists in Silicon Valley, and I’ll be interviewing him on stage at San Francisco’s Kicklabs on Tuesday November 30. You can register for the event now.

Wade Roush is Xconomy's chief correspondent and editor of Xconomy San Francisco. You can e-mail him at wroush@xconomy.com, call him at 415-796-3024, or follow him on Twitter at twitter.com/wroush. You can subscribe to his Google Group and you can follow all Xconomy San Francisco stories at twitter.com/xconomysf.

Few people are more highly regarded in the blogging-for-business world than Darren Rowse of ProBlogger.net. He has essentially set the blueprint for how to turn a blog into a business, and is one of the go-to sources for tips on how to do as much. He had a chat with WebProNews at BlogWorld last week, after speaking in one of the more popular keynotes at the event. 



Rowse discussed with us how people can get started blogging, and eventually turn their blogs into moneymakers. "You need a blog to start with, then really my first priority would be getting some useful content on there - some content that's actually going to solve some problems for people," he said. "So if you're blog's a how-to type blog, you want to start thinking 'what's a beginner in this topic need to know?' and start writing that type of content that you can be referring back to later, so that when you start promoting it, you've got content there that they'll find, that is engaging for them. So that is probably the first step, and then, it's about putting yourself out there, and trying to find some readers."



Have you been able to turn your blog into a business? Let us know. 



If the how-to path is the one you're interested in traveling, I'd reccommend reading this article, discussing ways to create effective how-to articles, with tips provided by John Hewitt, who has written technical manuals for companies like IBM, Intuit, and Motorola. 



Either way, "First you want to know who you want to attract, because it's kind of easy to get noticed on the Internet, but if you do it in the wrong way, you could actually 1. take yourself further away from your goals, but 2. find the wrong readers," noted Rowse. "You could get..readers from a place like Digg or StumbleUpon...some of these social bookmarking sites, but they may not actually be the type of person that you want to journey with for the whole long term. So define who you want to reach, and ask the question, 'where can I find them online?'" 



"Answering that question, for me, on my photography site led me to Flickr. Flickr's a place where people have cameras, and not everyone takes great photos, so it was a place for me to develop a presence. For other blogs, it may lead you to Twitter or Facebook or another blog or a forum that is related to your particular niche."



Forums can actually be great for your brand (in some cases, maybe even more so than Facebook or Twitter). Forums are a good source of relevant discussion to your niche, provided you engage in the right places. They can help you establish yourself as an expert (not unlike Q&A sites), and they can be particularly good for building a search presence. Forum threads do really well in Google for certain queries, particularly when someone is looking for help with something. 



"I think a lot of bloggers treat their blog as a hobby, and I mean, that certainly is the way I started out," Rowse told us. "I didn't realize you could make money from blogging when I started. But my wife kind of gave me an ultimatum after a while. I'd began to dream about my blog becoming a business, and certainly was moving in that direction...one day, she kind of said, 'you need to do it'. Then she gave me six months to get it done."



"Once I had that ultimatum, and that deadline in mind, it just switched in my mind and started making me thinking of it as a business now, and really that was the turning point for me, because I began to think more strategically about who was reading my blog, what they needed, and products that I could launch to them," he continued. "But also, I got on the phone for the fist time and started ringing advertisers to create a direct relationship with them."



Rowse recently discussed using temporary blogs as stepping stones for your broader goals:

ABC <b>News</b> for iPad adds 2010 Election Results | iLounge <b>News</b>

iLounge news discussing the ABC News for iPad adds 2010 Election Results. Find more iPad news from leading independent iPod, iPhone, and iPad site.

Nevada Voters Complain Of Problems At Polls - Las Vegas <b>News</b> Story <b>...</b>

LAS VEGAS -- Some voters in Boulder City complained on Monday that their ballot had been cast before they went to the polls, raising questions about Clark County's electronic voting machines. Wednesday, October 27, 2010.

Google donates $5 million for <b>news</b> innovation to Knight Foundation <b>...</b>

Google and news organizations have had a rocky time of it. To overdramatize the situation only slightly: Google insists that it cares about journalism as a.

apartment property management companies

ABC <b>News</b> for iPad adds 2010 Election Results | iLounge <b>News</b>

iLounge news discussing the ABC News for iPad adds 2010 Election Results. Find more iPad news from leading independent iPod, iPhone, and iPad site.

Nevada Voters Complain Of Problems At Polls - Las Vegas <b>News</b> Story <b>...</b>

LAS VEGAS -- Some voters in Boulder City complained on Monday that their ballot had been cast before they went to the polls, raising questions about Clark County's electronic voting machines. Wednesday, October 27, 2010.

Google donates $5 million for <b>news</b> innovation to Knight Foundation <b>...</b>

Google and news organizations have had a rocky time of it. To overdramatize the situation only slightly: Google insists that it cares about journalism as a.

Roundups, IT, deals

Evernote Snags Sequoia, Kleiner Perkins Goes Social, Zuckerberg Speaks Out, & More Bay-Area BizTech News

Wade Roush 10/25/10

Companies building cloud-based services got lots of attention last week, as did those building social applications. And companies building cloud-based social applications? Watch out!

—Evernote, the Mountain View, CA-based online notekeeping service with nearly 5 million users, collected another $20 million in venture backing in a Series C round led by new investor Sequoia Capital. I interviewed CEO Phil Libin about the investment.

—I took a close look at Zoho, the Pleasanton, CA-based company offering small and medium-sized businesses free and low-cost alternatives to desktop productivity software such as Microsoft Office and even newer cloud-based services like Salesforce.com.

—While the Apple iPad may lack a camera, there’s no shortage of cool photo apps for the device, and I reviewed 10 of them in my regular Friday column.

—Kleiner Perkins Caufield & Byers announced the formation of the sFund, a $250 million fund that will be used to invest in startups building social Web applications. Facebook, Amazon, and Zynga each put some money into the kitty.

—I profiled AudioPress, a San Francisco startup that recently launched a versatile audio management app for the iPhone. The app lets users organize podcasts, streaming radio, and spoken-word articles into personalized playlists.

—San Francisco-based Siluria Technologies, which is developing a way to make natural gas into ethylene as a precursor for many types of plastics, raised $13.3 million in a Series A venture round, as Luke reported. Alloy Ventures, Arch Venture Partners, Kleiner Perkins Caufield & Byers, Altitude Life Sciences Ventures, Lux Capital, and Presidio Ventures participated.

—I Went to Startup School, and All I Got Was This Lousy Video. Just kidding—I had a great time attending Y Combinator’s Startup School event at Stanford on October 16, and as a bonus I was able to make of video recording of a 30-minute interview between Facebook CEO Mark Zuckerberg and Y Combinator partner Jessica Livingston. Zuckerberg talked about what the makers of The Social Network got right, and what they weren’t so careful about.

—As a follow-up to my column two weeks ago comparing two leading run-tracking apps, Abvio’s Runmeter and FitnessKeeper’s RunKeeper, I staged a virtual “smackdown” between Abvio co-founder Steve Kusmer and FitnessKeeper founder Jason Jacobs.

—San Francisco’s Crosslink Capital participated in a $12.5 million Series B financing round for SiOnyx, a Beverly, MA-based company working on a method for making “black silicon,” a highly photosensitive form of silicon that could eventually be used in image sensors for camera phones, as Greg reported.

—In other tech deals news, Sharethrough raised $5 million, Causes raised $9 million, Revolution Analytics raised $8.6 million, and Kontiki raised $10.7 million.

—In Xconomy news, we announced our first-ever San Francisco event: a public forum with Michael Moritz of Sequoia Capital. Moritz is widely respected as one of the leading venture capitalists in Silicon Valley, and I’ll be interviewing him on stage at San Francisco’s Kicklabs on Tuesday November 30. You can register for the event now.

Wade Roush is Xconomy's chief correspondent and editor of Xconomy San Francisco. You can e-mail him at wroush@xconomy.com, call him at 415-796-3024, or follow him on Twitter at twitter.com/wroush. You can subscribe to his Google Group and you can follow all Xconomy San Francisco stories at twitter.com/xconomysf.

Few people are more highly regarded in the blogging-for-business world than Darren Rowse of ProBlogger.net. He has essentially set the blueprint for how to turn a blog into a business, and is one of the go-to sources for tips on how to do as much. He had a chat with WebProNews at BlogWorld last week, after speaking in one of the more popular keynotes at the event. 



Rowse discussed with us how people can get started blogging, and eventually turn their blogs into moneymakers. "You need a blog to start with, then really my first priority would be getting some useful content on there - some content that's actually going to solve some problems for people," he said. "So if you're blog's a how-to type blog, you want to start thinking 'what's a beginner in this topic need to know?' and start writing that type of content that you can be referring back to later, so that when you start promoting it, you've got content there that they'll find, that is engaging for them. So that is probably the first step, and then, it's about putting yourself out there, and trying to find some readers."



Have you been able to turn your blog into a business? Let us know. 



If the how-to path is the one you're interested in traveling, I'd reccommend reading this article, discussing ways to create effective how-to articles, with tips provided by John Hewitt, who has written technical manuals for companies like IBM, Intuit, and Motorola. 



Either way, "First you want to know who you want to attract, because it's kind of easy to get noticed on the Internet, but if you do it in the wrong way, you could actually 1. take yourself further away from your goals, but 2. find the wrong readers," noted Rowse. "You could get..readers from a place like Digg or StumbleUpon...some of these social bookmarking sites, but they may not actually be the type of person that you want to journey with for the whole long term. So define who you want to reach, and ask the question, 'where can I find them online?'" 



"Answering that question, for me, on my photography site led me to Flickr. Flickr's a place where people have cameras, and not everyone takes great photos, so it was a place for me to develop a presence. For other blogs, it may lead you to Twitter or Facebook or another blog or a forum that is related to your particular niche."



Forums can actually be great for your brand (in some cases, maybe even more so than Facebook or Twitter). Forums are a good source of relevant discussion to your niche, provided you engage in the right places. They can help you establish yourself as an expert (not unlike Q&A sites), and they can be particularly good for building a search presence. Forum threads do really well in Google for certain queries, particularly when someone is looking for help with something. 



"I think a lot of bloggers treat their blog as a hobby, and I mean, that certainly is the way I started out," Rowse told us. "I didn't realize you could make money from blogging when I started. But my wife kind of gave me an ultimatum after a while. I'd began to dream about my blog becoming a business, and certainly was moving in that direction...one day, she kind of said, 'you need to do it'. Then she gave me six months to get it done."



"Once I had that ultimatum, and that deadline in mind, it just switched in my mind and started making me thinking of it as a business now, and really that was the turning point for me, because I began to think more strategically about who was reading my blog, what they needed, and products that I could launch to them," he continued. "But also, I got on the phone for the fist time and started ringing advertisers to create a direct relationship with them."



Rowse recently discussed using temporary blogs as stepping stones for your broader goals:

ABC <b>News</b> for iPad adds 2010 Election Results | iLounge <b>News</b>

iLounge news discussing the ABC News for iPad adds 2010 Election Results. Find more iPad news from leading independent iPod, iPhone, and iPad site.

Nevada Voters Complain Of Problems At Polls - Las Vegas <b>News</b> Story <b>...</b>

LAS VEGAS -- Some voters in Boulder City complained on Monday that their ballot had been cast before they went to the polls, raising questions about Clark County's electronic voting machines. Wednesday, October 27, 2010.

Google donates $5 million for <b>news</b> innovation to Knight Foundation <b>...</b>

Google and news organizations have had a rocky time of it. To overdramatize the situation only slightly: Google insists that it cares about journalism as a.

ABC <b>News</b> for iPad adds 2010 Election Results | iLounge <b>News</b>

iLounge news discussing the ABC News for iPad adds 2010 Election Results. Find more iPad news from leading independent iPod, iPhone, and iPad site.

Nevada Voters Complain Of Problems At Polls - Las Vegas <b>News</b> Story <b>...</b>

LAS VEGAS -- Some voters in Boulder City complained on Monday that their ballot had been cast before they went to the polls, raising questions about Clark County's electronic voting machines. Wednesday, October 27, 2010.

Google donates $5 million for <b>news</b> innovation to Knight Foundation <b>...</b>

Google and news organizations have had a rocky time of it. To overdramatize the situation only slightly: Google insists that it cares about journalism as a.

Affiliate Making Money

I live in North Carolina. It’s a pretty state. You get a taste of the winter months but you don’t get a lot of winter weather per se. Sure the summers are hot but that’s what air conditioning is for. Overall, it’s a great place to live and raise a family.

That is except for the state government and their attempts to collect taxes on online purchases made from Amazon. They have already pushed Amazon far enough that the online retailing giant ended its affiliate programs with North Carolina residents in 2009 thus depriving residents of the chance to bring money into the state that would be spent in the state and would give some ailing jobless folks a chance at survival. Nice move!

Apparently, Big Brother is alive and well in the Tar Heel state as well since the state government has been trying to get detailed purchase information from Amazon which would include names and addresses of those making purchases from 2003 to 2010. Fortunately, a federal judge has called the state on its draconian efforts and handed them a major setback in federal court yesterday. cnet reports:

In a victory for the free speech and privacy rights of Amazon.com customers, a federal judge ruled today that the company would not have to turn over detailed records on nearly 50 million purchases to North Carolina tax collectors.

The state had demanded sensitive information including names and addresses of North Carolina customers–and information about exactly what they had purchased between 2003 and 2010.

U.S. District Judge Marsha Pechman in Washington state said that request went too far and “runs afoul of the First Amendment.” She granted Amazon summary judgment.

The Tar Heel State’s tax collectors have “no legitimate need” for details about the literary, music, and film habits of so many Amazon customers,” Pechman wrote. “In spite of this, (North Carolina) refuses to give up the detailed information about Amazon’s customers’ purchases, while at the same time requesting the identities of the customers and, arguably, detailed records of their purchases, including the expressive content.”

With privacy victories coming too few and far between these days at least we can feel like someone is paying attention and not letting the government run rough shod over privacy while squashing commerce in the process.

I suspect that the state feels they have good reasons for doing what they are doing. They will say that the taxes they want to collect will help the state. Pardon my cynicism, but if the affiliate money that was once coming onto the hands of the residents were turned back on that would REALLY help the state.

At the heart of this ruling though is privacy.

In addition, the ACLU intervened in the lawsuit asking for an even broader injunction against the tax collectors. They wanted Amazon to be prohibited from disclosing customer purchases without a subpoena, which the court did not grant.

In general, as Amazon stressed in its lawsuit, purchases of books, DVDs, Blu-Ray discs, and other media enjoy special privacy protections.

So what is the North Carolina government trying to do here? At the core, it’s trying to collect taxes from both Amazon and its citizens because of online purchases. In the process, it is killing an avenue for commerce in the state and appearing as if it wants more data on its residents in a time when that is not considered such a good thing. I don’t get it.

In the end the state is only hurting itself though because as people learn about these attempts they will maybe stop short of saying they will set up a business in the Tar Heel state for fear of too much government intrusion. Sadly, no one wins in that scenario.

What’s your take on the idea of taxing online purchases? It’s an old story but one that will likely get more attention in these days of scarce money. Have you been impacted by rulings like this in any other states? What’s worse, more taxes or invasion of privacy to collect them?

Social Media Monitoring in Just 60-Seconds. Guaranteed!

Crawford is a 30-year-old outfielder who relies entirely on his speed. He may have more power than the Yankees current left fielder, Brett Gardner, but signing him would be a mistake.

Gardner is a pesky hitter who works long counts and drives pitchers crazy. Once he gets on base, he then causes havoc. The pitcher is so worried about him because he's a threat to steal on any pitch that they sometimes leave a cookie over the plate for the other hitters to feast on.

Both Gardner and Crawford's games are based on speed and who would you rather have? A 30-year-old who may soon lose a step or a 26-year-old who is entering his prime years?

To help solve the rotation issues the Yankees would do good to bring along Ivan Nova who impressed in his short stint in the big leagues this season. Nova possesses a mid-90s fastball and sharp breaking curveball. He has trouble getting through an opposing lineup for a third time making it paramount to develop a third pitch, but he's a cheaper alternative who could pay big dividends.

To help alleviate Jorge Posada who has shown that he cannot be an everyday catcher anymore, the Yankees should call up Jesus Montero. Montero started off his season slow, but rebounded to blast 21 home runs and hit to a .270 average.

The knock against Montero has been his defensive skills, but Yankees personnel believe his defense has improved enough to be a catcher in the big leagues. He is said to have Mike Piazza-type power to the opposite way and at worst he will be another Posada: someone who has below-average defense that can make it up with above-average offense.

To help out their aging left side of the infield the Yankees can use Eduardo Nunez to help give them days off. The Yankees made Nunez play multiple positions, so he can be super-utility player. He can play every day, but in different positions in order to give the older players rest.

Another player the Yankees are impressed with is somebody who has not gotten enough attention. His name is Brandon Laird and he played third base for the Yankees Double-A affiliate. This season he blasted 25 home runs, giving the Yankees hope he can fill a power spot in their lineup sometime soon.

Signing high-priced veterans would put the Yankees in a cycle which is hard to get out of. All one needs to do is look back to the 2002 and 2003 teams. They were filled with older players and were playoff failures, losing to teams who were more athletic and younger at every position.

This year's playoff exit happened the same way. The Texas Rangers beat out an aging Yankees team. To continue to compete against teams such as the Rangers and Rays, the Yankees need to continue to infuse young players to complement their aging core.

Youth leads to success and the Yankees should follow that memo this offseason. 

Tree crushes miner to death at Mahdia - Stabroek <b>News</b> - Guyana

The life of a 49-year old miner was yesterday afternoon snuffed out after a tree fell on him while he was working at a mining area at Mahdia in Region 8.

Arrowheadlines: Chiefs <b>News</b> 10/27 - Arrowhead Pride

Good morning Chiefs fans! There's some interesting Kansas City Chiefs news today. A great piece from Cory Greenwood's hometown newspaper, and more on Chambers' playing time start us off. Enjoy.

Telefuture | Old <b>News</b> Report | TVs Merging with Computers | Mediaite

Well, print media, you were warned. A 30 year old news report from NBC news, archived by Vortex Technology, discusses the future of television in a segment creatively entitled Telefuture. In it, they spend a lof of time examining the ...

bench craft company complaints
bench craft company complaints

Tree crushes miner to death at Mahdia - Stabroek <b>News</b> - Guyana

The life of a 49-year old miner was yesterday afternoon snuffed out after a tree fell on him while he was working at a mining area at Mahdia in Region 8.

Arrowheadlines: Chiefs <b>News</b> 10/27 - Arrowhead Pride

Good morning Chiefs fans! There's some interesting Kansas City Chiefs news today. A great piece from Cory Greenwood's hometown newspaper, and more on Chambers' playing time start us off. Enjoy.

Telefuture | Old <b>News</b> Report | TVs Merging with Computers | Mediaite

Well, print media, you were warned. A 30 year old news report from NBC news, archived by Vortex Technology, discusses the future of television in a segment creatively entitled Telefuture. In it, they spend a lof of time examining the ...

bench craft company complaints bench craft company complaints

I live in North Carolina. It’s a pretty state. You get a taste of the winter months but you don’t get a lot of winter weather per se. Sure the summers are hot but that’s what air conditioning is for. Overall, it’s a great place to live and raise a family.

That is except for the state government and their attempts to collect taxes on online purchases made from Amazon. They have already pushed Amazon far enough that the online retailing giant ended its affiliate programs with North Carolina residents in 2009 thus depriving residents of the chance to bring money into the state that would be spent in the state and would give some ailing jobless folks a chance at survival. Nice move!

Apparently, Big Brother is alive and well in the Tar Heel state as well since the state government has been trying to get detailed purchase information from Amazon which would include names and addresses of those making purchases from 2003 to 2010. Fortunately, a federal judge has called the state on its draconian efforts and handed them a major setback in federal court yesterday. cnet reports:

In a victory for the free speech and privacy rights of Amazon.com customers, a federal judge ruled today that the company would not have to turn over detailed records on nearly 50 million purchases to North Carolina tax collectors.

The state had demanded sensitive information including names and addresses of North Carolina customers–and information about exactly what they had purchased between 2003 and 2010.

U.S. District Judge Marsha Pechman in Washington state said that request went too far and “runs afoul of the First Amendment.” She granted Amazon summary judgment.

The Tar Heel State’s tax collectors have “no legitimate need” for details about the literary, music, and film habits of so many Amazon customers,” Pechman wrote. “In spite of this, (North Carolina) refuses to give up the detailed information about Amazon’s customers’ purchases, while at the same time requesting the identities of the customers and, arguably, detailed records of their purchases, including the expressive content.”

With privacy victories coming too few and far between these days at least we can feel like someone is paying attention and not letting the government run rough shod over privacy while squashing commerce in the process.

I suspect that the state feels they have good reasons for doing what they are doing. They will say that the taxes they want to collect will help the state. Pardon my cynicism, but if the affiliate money that was once coming onto the hands of the residents were turned back on that would REALLY help the state.

At the heart of this ruling though is privacy.

In addition, the ACLU intervened in the lawsuit asking for an even broader injunction against the tax collectors. They wanted Amazon to be prohibited from disclosing customer purchases without a subpoena, which the court did not grant.

In general, as Amazon stressed in its lawsuit, purchases of books, DVDs, Blu-Ray discs, and other media enjoy special privacy protections.

So what is the North Carolina government trying to do here? At the core, it’s trying to collect taxes from both Amazon and its citizens because of online purchases. In the process, it is killing an avenue for commerce in the state and appearing as if it wants more data on its residents in a time when that is not considered such a good thing. I don’t get it.

In the end the state is only hurting itself though because as people learn about these attempts they will maybe stop short of saying they will set up a business in the Tar Heel state for fear of too much government intrusion. Sadly, no one wins in that scenario.

What’s your take on the idea of taxing online purchases? It’s an old story but one that will likely get more attention in these days of scarce money. Have you been impacted by rulings like this in any other states? What’s worse, more taxes or invasion of privacy to collect them?

Social Media Monitoring in Just 60-Seconds. Guaranteed!

Crawford is a 30-year-old outfielder who relies entirely on his speed. He may have more power than the Yankees current left fielder, Brett Gardner, but signing him would be a mistake.

Gardner is a pesky hitter who works long counts and drives pitchers crazy. Once he gets on base, he then causes havoc. The pitcher is so worried about him because he's a threat to steal on any pitch that they sometimes leave a cookie over the plate for the other hitters to feast on.

Both Gardner and Crawford's games are based on speed and who would you rather have? A 30-year-old who may soon lose a step or a 26-year-old who is entering his prime years?

To help solve the rotation issues the Yankees would do good to bring along Ivan Nova who impressed in his short stint in the big leagues this season. Nova possesses a mid-90s fastball and sharp breaking curveball. He has trouble getting through an opposing lineup for a third time making it paramount to develop a third pitch, but he's a cheaper alternative who could pay big dividends.

To help alleviate Jorge Posada who has shown that he cannot be an everyday catcher anymore, the Yankees should call up Jesus Montero. Montero started off his season slow, but rebounded to blast 21 home runs and hit to a .270 average.

The knock against Montero has been his defensive skills, but Yankees personnel believe his defense has improved enough to be a catcher in the big leagues. He is said to have Mike Piazza-type power to the opposite way and at worst he will be another Posada: someone who has below-average defense that can make it up with above-average offense.

To help out their aging left side of the infield the Yankees can use Eduardo Nunez to help give them days off. The Yankees made Nunez play multiple positions, so he can be super-utility player. He can play every day, but in different positions in order to give the older players rest.

Another player the Yankees are impressed with is somebody who has not gotten enough attention. His name is Brandon Laird and he played third base for the Yankees Double-A affiliate. This season he blasted 25 home runs, giving the Yankees hope he can fill a power spot in their lineup sometime soon.

Signing high-priced veterans would put the Yankees in a cycle which is hard to get out of. All one needs to do is look back to the 2002 and 2003 teams. They were filled with older players and were playoff failures, losing to teams who were more athletic and younger at every position.

This year's playoff exit happened the same way. The Texas Rangers beat out an aging Yankees team. To continue to compete against teams such as the Rangers and Rays, the Yankees need to continue to infuse young players to complement their aging core.

Youth leads to success and the Yankees should follow that memo this offseason. 

bench craft company complaints

Tree crushes miner to death at Mahdia - Stabroek <b>News</b> - Guyana

The life of a 49-year old miner was yesterday afternoon snuffed out after a tree fell on him while he was working at a mining area at Mahdia in Region 8.

Arrowheadlines: Chiefs <b>News</b> 10/27 - Arrowhead Pride

Good morning Chiefs fans! There's some interesting Kansas City Chiefs news today. A great piece from Cory Greenwood's hometown newspaper, and more on Chambers' playing time start us off. Enjoy.

Telefuture | Old <b>News</b> Report | TVs Merging with Computers | Mediaite

Well, print media, you were warned. A 30 year old news report from NBC news, archived by Vortex Technology, discusses the future of television in a segment creatively entitled Telefuture. In it, they spend a lof of time examining the ...

bench craft company complaints bench craft company complaints

Tree crushes miner to death at Mahdia - Stabroek <b>News</b> - Guyana

The life of a 49-year old miner was yesterday afternoon snuffed out after a tree fell on him while he was working at a mining area at Mahdia in Region 8.

Arrowheadlines: Chiefs <b>News</b> 10/27 - Arrowhead Pride

Good morning Chiefs fans! There's some interesting Kansas City Chiefs news today. A great piece from Cory Greenwood's hometown newspaper, and more on Chambers' playing time start us off. Enjoy.

Telefuture | Old <b>News</b> Report | TVs Merging with Computers | Mediaite

Well, print media, you were warned. A 30 year old news report from NBC news, archived by Vortex Technology, discusses the future of television in a segment creatively entitled Telefuture. In it, they spend a lof of time examining the ...

bench craft company complaints bench craft company complaints

Tree crushes miner to death at Mahdia - Stabroek <b>News</b> - Guyana

The life of a 49-year old miner was yesterday afternoon snuffed out after a tree fell on him while he was working at a mining area at Mahdia in Region 8.

Arrowheadlines: Chiefs <b>News</b> 10/27 - Arrowhead Pride

Good morning Chiefs fans! There's some interesting Kansas City Chiefs news today. A great piece from Cory Greenwood's hometown newspaper, and more on Chambers' playing time start us off. Enjoy.

Telefuture | Old <b>News</b> Report | TVs Merging with Computers | Mediaite

Well, print media, you were warned. A 30 year old news report from NBC news, archived by Vortex Technology, discusses the future of television in a segment creatively entitled Telefuture. In it, they spend a lof of time examining the ...

bench craft company complaints bench craft company complaints

foreclosure victims

After a quick review of its procedures, Bank of America this week announced that it will resume its foreclosures in 23 lucky states next Monday. While the evidence is overwhelming that the entire foreclosure process is riddled with fraud, President Obama refuses to support a national moratorium. Indeed, his spokesmen on the issue told reporters three key things. As the Los Angeles Times reported:

A government review of botched foreclosure paperwork so far has found that the problems do not pose a "systemic" threat to the financial system, a top Obama administration official said Wednesday.

Yes, that's right. HUD reviewed the "paperwork" problem to see whether it threatened the banks -- not the homeowners who were the victims of foreclosure fraud. But it got worse, for the second point was how the government would respond to the epidemic of foreclosure fraud.

The Justice Department is leading an investigation of possible crimes involving mortgage fraud.

That language was carefully chosen to sound reassuring. But the fact is that despite our pleas the FBI has continued its "partnership" with the Mortgage Bankers Association (MBA). The MBA is the trade association of the "perps." It created a ridiculous on its face definition of "mortgage fraud." Under that definition the lenders -- who led the mortgage frauds -- are the victims. The FBI still parrots this long discredited "definition." That is one of the primary reasons why -- in complete contrast to prior financial crises -- the Justice Department has not convicted a single senior officer of the large nonprime lenders who directed, committed, and profited enormously from the frauds.

Note that the Justice Department is not investigating foreclosure fraud. HUD Secretary Donovan's statement shows why:

"We will not tolerate business as usual in the mortgage market," he said. "Where there have been mistakes made or errors, we will hold those entities, those institutions, accountable to stop those processes, review them and fix them as quickly as possible."

Note the language: "mistakes", "errors", "processes" (following the initial use of "paperwork"). No mention of "fraud", "felony", "criminal investigations", or "prosecutions" for the tens of thousands of felonies that representatives of the entities foreclosing on homes have admitted that they committed. Note that Donovan does not even demand that the felons remedy the harm caused by their past fraudulent foreclosures. Donovan wants them to "fix" "processes" -- not repair the harm their frauds caused to their victims.

The fraudulent CEOs looted with impunity, were left in power, and were granted their fondest wish when Congress, at the behest of the Chamber of Commerce, Chairman Bernanke, and the bankers' trade associations, successfully extorted the professional Financial Accounting Standards Board (FASB) to turn the accounting rules into a farce. The FASB's new rules allowed the banks (and the Fed, which has taken over a trillion dollars in toxic mortgages as wholly inadequate collateral) to refuse to recognize hundreds of billions of dollars of losses. This accounting scam produces enormous fictional "income" and "capital" at the banks. The fictional income produces real bonuses to the CEOs that make them even wealthier. The fictional bank capital allows the regulators to evade their statutory duties under the Prompt Corrective Action (PCA) law to close the insolvent and failing banks.

The inflated asset values allow the Fed and the administration to ignore the Fed's massive loss exposure and allow Treasury to spread propaganda claiming that TARP resolved all the problems -- at virtually no cost. Donovan claims that we have held the elite frauds accountable -- but we have done the opposite. We have made the CEOs of the largest financial firms -- typically already among the 500 wealthiest Americans -- even wealthier. We have rewarded fraud, incompetence, and venality by our most powerful elites.

If the government does not hold the fraudulent CEOs responsible, who is supposed to stop the epidemic of elite financial fraud? The Obama administration's answer is the fraudulent CEOs themselves, at a time of their choosing. You can't make this stuff up.

But ultimately resolving the problems is not the government's responsibility, said Michael Barr, assistant Treasury secretary for financial institutions.

"Fundamentally, this is up to the banks and the servicers to fix," he said. "They can fix it as fast as they feel like."

So who is Michael Barr and why is saying things on behalf of the Obama administration that make it appear to be a wholly-owned subsidiary of the fraudulent lenders and servicers? He's a Robert Rubin protégé and he's the senior Treasury official for banking policy.

We have a different policy view. We believe that only the government can stop fraud from growing to catastrophic levels and that among the government's highest responsibilities is to provide the regulatory "cops on the beat" with the competence, resources, courage, and integrity to take on our most elite frauds. We believe that anything less is a travesty that causes tens of millions of Americans to be defrauded and poses a grave threat to our economy and democracy.

Prompt Corrective Action

First, it is time to stop the foreclosures until the banks and servicers adopt corrective steps, certified as adequate by FDIC, that will prevent all future foreclosure fraud. They must also adopt plans to remedy the injuries their foreclosure frauds have already caused, and assist the FBI, Department of Justice, and legal ethics officials investigations of their officers' and attorneys' frauds and ethical violations.

Second, it is time to place the financial institutions that committed widespread fraud in receivership. We should remove the senior leadership of the banks and replace them with experienced bankers with a reputation for integrity and competence, i.e., the honest officers that quit or were fired because they refused to engage in fraud. We should prioritize the receiverships to deal with the worst known "control frauds" among the "systemically dangerous institutions" (SDIs). The SDIs' frauds and fraudulent leaders endanger the global economy.

We propose Bank of America for the first receivership. In the last few weeks, the SEC has obtained a large (albeit grossly inadequate) settlement of its civil fraud charges against the former senior leaders of Countrywide. (Bank of America acquired Countrywide and is responsible for its frauds.) Fannie and Freddie's investigations -- with their findings reviewed by their regulator, the Federal Housing Finance Agency (FHFA) -- have identified many billions of dollars of fraudulent loans originated by Countrywide that were sold fraudulently to Fannie and Freddie through false representations and warranties. The Fed, BlackRock, and Pimco's investigations have identified many billions of dollars of fraudulent loans provided by Countrywide under false reps and warranties. Ambac's investigation found that 97% of the Countrywide loans reviewed by Ambac were had false reps and warranties. Countrywide also engaged in widespread foreclosure fraud. This is not surprising, for every aspect of Countrywide's nonprime mortgage operations that has been examined by a truly independent body has found widespread fraud -- in loan origination, loan sales, appraisals, and foreclosures. Fraud begets fraud. Lenders that are control frauds create criminogenic environments that produce "echo" epidemics of control fraud in other professions and industries.

We have been amazed that, as one financially sophisticated entity after another found widespread fraud by Countrywide in the entire gamut of its operations, the administration, the industry, and the financial media act as if this is acceptable. Countrywide made hundreds of thousands of fraudulent loans. It fraudulently sold hundreds of thousands of loans through false reps and warranties. It fraudulently foreclosed on large numbers of loans. It victimized hundreds of thousands of people and hundreds of financial institutions, causing hundreds of billions of dollars of losses. It has defrauded more people, at a greater cost, than any entity in history.

Bank of America chose to purchase Countrywide at a point when it -- and its senior leaders -- were infamous. Bank of America made some of these Countrywide leaders its senior leaders. Yet, Bank of America is not treated as a criminal entity. President Obama, Attorney General Eric Holder, Donovan, and Barr cannot even bring themselves to use the "f" word -- fraud. They substitute euphemisms designed to trivialize elite criminality. The administration officials do not call for Bank of America to be the subject of a criminal investigation. They do not demand that Fannie, Freddie, Ambac, the FHFA, and Pimco file criminal referrals about Countrywide's frauds. They do not demand that Fannie, Freddie, and the Fed refuse to purchase or take as collateral any mortgage instrument from Bank of America. No one at the Harvard Club in New York moves to kick Bank of America's officers out of their club! The financial media treats Bank of America as if it were a legitimate bank rather than a "vector" spreading the mortgage fraud epidemic throughout much of the Western world.

For the sake of our (and the global) economy, our democracy, and our souls this willingness to allow elite control frauds to loot with impunity must end immediately. The control frauds must be taken down and their officers removed promptly. Receivership is the way to begin to reclaim our souls, our economy, and our democracy and Bank of America has the track record that makes it a good place to start. It is sufficiently large and powerful that its receivership will send the credible signal that America is restoring the rule of law and that even the most elite frauds will be held accountable.

Next we need to remove the rest of the "too big to fail" institutions -- we call them systemically dangerous institutions, or SDIs -- to reduce the global systemic risks that they pose. We are rolling the dice with disaster every day. The SDIs are inefficient, so shrinking them will reduce risk and increase efficiency. We need to follow three types of policies with respect to SDIs.

1. They cannot grow larger and compound the systemic risk they pose.


2. They must create an enforceable plan to shrink to a level and functions such that they no longer pose a systemic risk within five years.


3. Until they shrink to the point that they no longer pose systemic risks they must be regulated with far greater intensity than other banks. In particular, control fraud poses so severe a risk of triggering another global financial crisis that there must be no regulatory tolerance for control frauds at the SDIs. One of the best ways to reduce their risks is to mandate that high levels of executive compensation be paid only after sustained and superior performance (at least five years), and with "claw back" provisions if compensation was obtained by fraudulent reported income or seriously inadequate loss reserves.

Appointing a receiver for an SDI will be a major undertaking for the FDIC, but it is also well within its capabilities. Contrary to the scare mongering about "nationalizing" banks, receivers are used to returning failed banks to private ownership. Receiverships are managed by experienced bankers with records of competence and integrity rather than the dread "bureaucrats." We appointed roughly a thousand receivers during the S&L and banking crises of the 1980s and early 1990s under Presidents Reagan and Bush.

Here is how it works. A receiver is appointed on Friday. The bank opens for business as normal (from the bank's customers' perspective) on Monday. The checks clear, the ATMs work, and the branches all open. The receiver's managers direct the business operations, find the true facts about the bank's operations, senior managers, and financial condition, recognize the real losses, and make the appropriate referrals to the FBI and the SEC so that the frauds can be investigated and prosecuted.

The receiver is also a well-proven device for splitting up banks that are too large and incoherent by selling units of the business to different bidders who most value the operations.

Hullabaloo

Saturday, October 02, 2010

 

Blighted Titles

by digby

If you've been following this amazing, unfolding foreclosure fraud story then you probably already know that JP Morgan/Chase, BofA and GMAC have all suspended foreclosure processes around the country now that it's been revealed they've been committing massive fraud. And Attorneys General in a number of states have also stepped in to stop the process, for the same reason.

But if you are just coming into the story, as is most of the national press, Alan Grayson has prepared a valuable primer on the crisis that's wee worth watching:

He lays out the history from the beginning when mortgage mills failed to properly file documents, instead using shortcut electronic transfer program instead of the documentation required by law. It's snowballed from there, to the point where nobody really knows who owns what and the crisis atmosphere has given cover to fraudsters, con men and greedy bankers.

Grayson is knee deep in this issue, leading the charge to get to the bottom of it, since ground zero for the foreclosure crisis is in Florida (and which this columnist warns could destroy Florida's economy.) He's dealing with some of these situations among his own constituency and among others, has been at the forefront of bringing this to the attention of the nation:

Democratic Congressman Alan Grayson of Orlando recently wrote the Florida Supreme Court, saying, "taking someone's home should not be done lightly." He asked the court to halt foreclosure proceedings for flawed paperwork brought by the most active "foreclosure mill" law firms in the state. Four firms are already under investigation by the Florida Attorney General's office. They are the Law Offices of David J. Stern, the Law Offices of Marshall C. Watson, Shapiro & Freeman and Florida Default Group.

In response to Grayson, the state Supreme Court punted, saying it lacked the authority to get involved. The court referred the official to the Florida Bar to investigate any allegations.

Sadly, the legal system isn't rapidly stepping up to the plate in most cases to right this, offering up excuses and in some cases, indicating a far great concern for efficiency than justice. Keep in mind that this latest wave of foreclosures isn't a bunch of high flying speculators or people who bit off more than they could chew in the go-go real estate market of the Bush years. Those people were foreclosed upon already. These are prime mortgages that have gone south because of the unemployment crisis. Many of these are people who are victims of a bad economy, not their own bad judgment and in some cases they are being fraudulently foreclosed upon without just cause.

The New York Times speculates that this freeze on foreclosures is a needed pause, allowing borrowers a little breathing room and giving the market a chance to stabilize a bit. Unfortunately, it would also appear that it's going to freeze the market since title insurance companies are justifiably gun shy in the wake of all these fraud revelations. It's a huge mess.

Again, I urge you to watch Grayson's video, especially if you haven't been following this story. It's one of the best illustrations we've yet seen of how the the unregulated businesses of the manic Bush years continue to destroy the lives of average Americans. And if you feel like getting his back on this, you can donate to his campaign here.


.

digby 10/02/2010 09:00:00 AM


|

Nielsen: 362000 Monthly Users For <b>News</b> Corp.&#39;s Times Paywall <b>...</b>

News International's silence on subscriber numbers for Times and Sunday Times online content continues, three and a half months after the paywall went up. But today audience research company Nielsen has taken a stab at estimating the ...

Er, great <b>news</b>: George Lucas may be planning new “Star Wars <b>...</b>

My instinct is to shudder; most of you, I suspect, will react the same way. And let's pause here to appreciate how amazing that is. So reviled are the prequels that news of new entries in the greatest sci-fi franchise in movie history ...

Lujiazui Breakfast: <b>News</b> And Views About China Stocks (Oct. 26 <b>...</b>

Investors and traders in China's main financial district are talking about the following before the start of trade today: The dollar fell to a 15-year low against the yen yesterday, fueling speculation that major countries will continue ...

bench craft company complaints
bench craft company complaints

Nielsen: 362000 Monthly Users For <b>News</b> Corp.&#39;s Times Paywall <b>...</b>

News International's silence on subscriber numbers for Times and Sunday Times online content continues, three and a half months after the paywall went up. But today audience research company Nielsen has taken a stab at estimating the ...

Er, great <b>news</b>: George Lucas may be planning new “Star Wars <b>...</b>

My instinct is to shudder; most of you, I suspect, will react the same way. And let's pause here to appreciate how amazing that is. So reviled are the prequels that news of new entries in the greatest sci-fi franchise in movie history ...

Lujiazui Breakfast: <b>News</b> And Views About China Stocks (Oct. 26 <b>...</b>

Investors and traders in China's main financial district are talking about the following before the start of trade today: The dollar fell to a 15-year low against the yen yesterday, fueling speculation that major countries will continue ...

bench craft company complaints bench craft company complaints

After a quick review of its procedures, Bank of America this week announced that it will resume its foreclosures in 23 lucky states next Monday. While the evidence is overwhelming that the entire foreclosure process is riddled with fraud, President Obama refuses to support a national moratorium. Indeed, his spokesmen on the issue told reporters three key things. As the Los Angeles Times reported:

A government review of botched foreclosure paperwork so far has found that the problems do not pose a "systemic" threat to the financial system, a top Obama administration official said Wednesday.

Yes, that's right. HUD reviewed the "paperwork" problem to see whether it threatened the banks -- not the homeowners who were the victims of foreclosure fraud. But it got worse, for the second point was how the government would respond to the epidemic of foreclosure fraud.

The Justice Department is leading an investigation of possible crimes involving mortgage fraud.

That language was carefully chosen to sound reassuring. But the fact is that despite our pleas the FBI has continued its "partnership" with the Mortgage Bankers Association (MBA). The MBA is the trade association of the "perps." It created a ridiculous on its face definition of "mortgage fraud." Under that definition the lenders -- who led the mortgage frauds -- are the victims. The FBI still parrots this long discredited "definition." That is one of the primary reasons why -- in complete contrast to prior financial crises -- the Justice Department has not convicted a single senior officer of the large nonprime lenders who directed, committed, and profited enormously from the frauds.

Note that the Justice Department is not investigating foreclosure fraud. HUD Secretary Donovan's statement shows why:

"We will not tolerate business as usual in the mortgage market," he said. "Where there have been mistakes made or errors, we will hold those entities, those institutions, accountable to stop those processes, review them and fix them as quickly as possible."

Note the language: "mistakes", "errors", "processes" (following the initial use of "paperwork"). No mention of "fraud", "felony", "criminal investigations", or "prosecutions" for the tens of thousands of felonies that representatives of the entities foreclosing on homes have admitted that they committed. Note that Donovan does not even demand that the felons remedy the harm caused by their past fraudulent foreclosures. Donovan wants them to "fix" "processes" -- not repair the harm their frauds caused to their victims.

The fraudulent CEOs looted with impunity, were left in power, and were granted their fondest wish when Congress, at the behest of the Chamber of Commerce, Chairman Bernanke, and the bankers' trade associations, successfully extorted the professional Financial Accounting Standards Board (FASB) to turn the accounting rules into a farce. The FASB's new rules allowed the banks (and the Fed, which has taken over a trillion dollars in toxic mortgages as wholly inadequate collateral) to refuse to recognize hundreds of billions of dollars of losses. This accounting scam produces enormous fictional "income" and "capital" at the banks. The fictional income produces real bonuses to the CEOs that make them even wealthier. The fictional bank capital allows the regulators to evade their statutory duties under the Prompt Corrective Action (PCA) law to close the insolvent and failing banks.

The inflated asset values allow the Fed and the administration to ignore the Fed's massive loss exposure and allow Treasury to spread propaganda claiming that TARP resolved all the problems -- at virtually no cost. Donovan claims that we have held the elite frauds accountable -- but we have done the opposite. We have made the CEOs of the largest financial firms -- typically already among the 500 wealthiest Americans -- even wealthier. We have rewarded fraud, incompetence, and venality by our most powerful elites.

If the government does not hold the fraudulent CEOs responsible, who is supposed to stop the epidemic of elite financial fraud? The Obama administration's answer is the fraudulent CEOs themselves, at a time of their choosing. You can't make this stuff up.

But ultimately resolving the problems is not the government's responsibility, said Michael Barr, assistant Treasury secretary for financial institutions.

"Fundamentally, this is up to the banks and the servicers to fix," he said. "They can fix it as fast as they feel like."

So who is Michael Barr and why is saying things on behalf of the Obama administration that make it appear to be a wholly-owned subsidiary of the fraudulent lenders and servicers? He's a Robert Rubin protégé and he's the senior Treasury official for banking policy.

We have a different policy view. We believe that only the government can stop fraud from growing to catastrophic levels and that among the government's highest responsibilities is to provide the regulatory "cops on the beat" with the competence, resources, courage, and integrity to take on our most elite frauds. We believe that anything less is a travesty that causes tens of millions of Americans to be defrauded and poses a grave threat to our economy and democracy.

Prompt Corrective Action

First, it is time to stop the foreclosures until the banks and servicers adopt corrective steps, certified as adequate by FDIC, that will prevent all future foreclosure fraud. They must also adopt plans to remedy the injuries their foreclosure frauds have already caused, and assist the FBI, Department of Justice, and legal ethics officials investigations of their officers' and attorneys' frauds and ethical violations.

Second, it is time to place the financial institutions that committed widespread fraud in receivership. We should remove the senior leadership of the banks and replace them with experienced bankers with a reputation for integrity and competence, i.e., the honest officers that quit or were fired because they refused to engage in fraud. We should prioritize the receiverships to deal with the worst known "control frauds" among the "systemically dangerous institutions" (SDIs). The SDIs' frauds and fraudulent leaders endanger the global economy.

We propose Bank of America for the first receivership. In the last few weeks, the SEC has obtained a large (albeit grossly inadequate) settlement of its civil fraud charges against the former senior leaders of Countrywide. (Bank of America acquired Countrywide and is responsible for its frauds.) Fannie and Freddie's investigations -- with their findings reviewed by their regulator, the Federal Housing Finance Agency (FHFA) -- have identified many billions of dollars of fraudulent loans originated by Countrywide that were sold fraudulently to Fannie and Freddie through false representations and warranties. The Fed, BlackRock, and Pimco's investigations have identified many billions of dollars of fraudulent loans provided by Countrywide under false reps and warranties. Ambac's investigation found that 97% of the Countrywide loans reviewed by Ambac were had false reps and warranties. Countrywide also engaged in widespread foreclosure fraud. This is not surprising, for every aspect of Countrywide's nonprime mortgage operations that has been examined by a truly independent body has found widespread fraud -- in loan origination, loan sales, appraisals, and foreclosures. Fraud begets fraud. Lenders that are control frauds create criminogenic environments that produce "echo" epidemics of control fraud in other professions and industries.

We have been amazed that, as one financially sophisticated entity after another found widespread fraud by Countrywide in the entire gamut of its operations, the administration, the industry, and the financial media act as if this is acceptable. Countrywide made hundreds of thousands of fraudulent loans. It fraudulently sold hundreds of thousands of loans through false reps and warranties. It fraudulently foreclosed on large numbers of loans. It victimized hundreds of thousands of people and hundreds of financial institutions, causing hundreds of billions of dollars of losses. It has defrauded more people, at a greater cost, than any entity in history.

Bank of America chose to purchase Countrywide at a point when it -- and its senior leaders -- were infamous. Bank of America made some of these Countrywide leaders its senior leaders. Yet, Bank of America is not treated as a criminal entity. President Obama, Attorney General Eric Holder, Donovan, and Barr cannot even bring themselves to use the "f" word -- fraud. They substitute euphemisms designed to trivialize elite criminality. The administration officials do not call for Bank of America to be the subject of a criminal investigation. They do not demand that Fannie, Freddie, Ambac, the FHFA, and Pimco file criminal referrals about Countrywide's frauds. They do not demand that Fannie, Freddie, and the Fed refuse to purchase or take as collateral any mortgage instrument from Bank of America. No one at the Harvard Club in New York moves to kick Bank of America's officers out of their club! The financial media treats Bank of America as if it were a legitimate bank rather than a "vector" spreading the mortgage fraud epidemic throughout much of the Western world.

For the sake of our (and the global) economy, our democracy, and our souls this willingness to allow elite control frauds to loot with impunity must end immediately. The control frauds must be taken down and their officers removed promptly. Receivership is the way to begin to reclaim our souls, our economy, and our democracy and Bank of America has the track record that makes it a good place to start. It is sufficiently large and powerful that its receivership will send the credible signal that America is restoring the rule of law and that even the most elite frauds will be held accountable.

Next we need to remove the rest of the "too big to fail" institutions -- we call them systemically dangerous institutions, or SDIs -- to reduce the global systemic risks that they pose. We are rolling the dice with disaster every day. The SDIs are inefficient, so shrinking them will reduce risk and increase efficiency. We need to follow three types of policies with respect to SDIs.

1. They cannot grow larger and compound the systemic risk they pose.


2. They must create an enforceable plan to shrink to a level and functions such that they no longer pose a systemic risk within five years.


3. Until they shrink to the point that they no longer pose systemic risks they must be regulated with far greater intensity than other banks. In particular, control fraud poses so severe a risk of triggering another global financial crisis that there must be no regulatory tolerance for control frauds at the SDIs. One of the best ways to reduce their risks is to mandate that high levels of executive compensation be paid only after sustained and superior performance (at least five years), and with "claw back" provisions if compensation was obtained by fraudulent reported income or seriously inadequate loss reserves.

Appointing a receiver for an SDI will be a major undertaking for the FDIC, but it is also well within its capabilities. Contrary to the scare mongering about "nationalizing" banks, receivers are used to returning failed banks to private ownership. Receiverships are managed by experienced bankers with records of competence and integrity rather than the dread "bureaucrats." We appointed roughly a thousand receivers during the S&L and banking crises of the 1980s and early 1990s under Presidents Reagan and Bush.

Here is how it works. A receiver is appointed on Friday. The bank opens for business as normal (from the bank's customers' perspective) on Monday. The checks clear, the ATMs work, and the branches all open. The receiver's managers direct the business operations, find the true facts about the bank's operations, senior managers, and financial condition, recognize the real losses, and make the appropriate referrals to the FBI and the SEC so that the frauds can be investigated and prosecuted.

The receiver is also a well-proven device for splitting up banks that are too large and incoherent by selling units of the business to different bidders who most value the operations.

Hullabaloo

Saturday, October 02, 2010

 

Blighted Titles

by digby

If you've been following this amazing, unfolding foreclosure fraud story then you probably already know that JP Morgan/Chase, BofA and GMAC have all suspended foreclosure processes around the country now that it's been revealed they've been committing massive fraud. And Attorneys General in a number of states have also stepped in to stop the process, for the same reason.

But if you are just coming into the story, as is most of the national press, Alan Grayson has prepared a valuable primer on the crisis that's wee worth watching:

He lays out the history from the beginning when mortgage mills failed to properly file documents, instead using shortcut electronic transfer program instead of the documentation required by law. It's snowballed from there, to the point where nobody really knows who owns what and the crisis atmosphere has given cover to fraudsters, con men and greedy bankers.

Grayson is knee deep in this issue, leading the charge to get to the bottom of it, since ground zero for the foreclosure crisis is in Florida (and which this columnist warns could destroy Florida's economy.) He's dealing with some of these situations among his own constituency and among others, has been at the forefront of bringing this to the attention of the nation:

Democratic Congressman Alan Grayson of Orlando recently wrote the Florida Supreme Court, saying, "taking someone's home should not be done lightly." He asked the court to halt foreclosure proceedings for flawed paperwork brought by the most active "foreclosure mill" law firms in the state. Four firms are already under investigation by the Florida Attorney General's office. They are the Law Offices of David J. Stern, the Law Offices of Marshall C. Watson, Shapiro & Freeman and Florida Default Group.

In response to Grayson, the state Supreme Court punted, saying it lacked the authority to get involved. The court referred the official to the Florida Bar to investigate any allegations.

Sadly, the legal system isn't rapidly stepping up to the plate in most cases to right this, offering up excuses and in some cases, indicating a far great concern for efficiency than justice. Keep in mind that this latest wave of foreclosures isn't a bunch of high flying speculators or people who bit off more than they could chew in the go-go real estate market of the Bush years. Those people were foreclosed upon already. These are prime mortgages that have gone south because of the unemployment crisis. Many of these are people who are victims of a bad economy, not their own bad judgment and in some cases they are being fraudulently foreclosed upon without just cause.

The New York Times speculates that this freeze on foreclosures is a needed pause, allowing borrowers a little breathing room and giving the market a chance to stabilize a bit. Unfortunately, it would also appear that it's going to freeze the market since title insurance companies are justifiably gun shy in the wake of all these fraud revelations. It's a huge mess.

Again, I urge you to watch Grayson's video, especially if you haven't been following this story. It's one of the best illustrations we've yet seen of how the the unregulated businesses of the manic Bush years continue to destroy the lives of average Americans. And if you feel like getting his back on this, you can donate to his campaign here.


.

digby 10/02/2010 09:00:00 AM


|

bench craft company complaints

Nielsen: 362000 Monthly Users For <b>News</b> Corp.&#39;s Times Paywall <b>...</b>

News International's silence on subscriber numbers for Times and Sunday Times online content continues, three and a half months after the paywall went up. But today audience research company Nielsen has taken a stab at estimating the ...

Er, great <b>news</b>: George Lucas may be planning new “Star Wars <b>...</b>

My instinct is to shudder; most of you, I suspect, will react the same way. And let's pause here to appreciate how amazing that is. So reviled are the prequels that news of new entries in the greatest sci-fi franchise in movie history ...

Lujiazui Breakfast: <b>News</b> And Views About China Stocks (Oct. 26 <b>...</b>

Investors and traders in China's main financial district are talking about the following before the start of trade today: The dollar fell to a 15-year low against the yen yesterday, fueling speculation that major countries will continue ...

bench craft company complaints bench craft company complaints

Nielsen: 362000 Monthly Users For <b>News</b> Corp.&#39;s Times Paywall <b>...</b>

News International's silence on subscriber numbers for Times and Sunday Times online content continues, three and a half months after the paywall went up. But today audience research company Nielsen has taken a stab at estimating the ...

Er, great <b>news</b>: George Lucas may be planning new “Star Wars <b>...</b>

My instinct is to shudder; most of you, I suspect, will react the same way. And let's pause here to appreciate how amazing that is. So reviled are the prequels that news of new entries in the greatest sci-fi franchise in movie history ...

Lujiazui Breakfast: <b>News</b> And Views About China Stocks (Oct. 26 <b>...</b>

Investors and traders in China's main financial district are talking about the following before the start of trade today: The dollar fell to a 15-year low against the yen yesterday, fueling speculation that major countries will continue ...

bench craft company complaints bench craft company complaints

Nielsen: 362000 Monthly Users For <b>News</b> Corp.&#39;s Times Paywall <b>...</b>

News International's silence on subscriber numbers for Times and Sunday Times online content continues, three and a half months after the paywall went up. But today audience research company Nielsen has taken a stab at estimating the ...

Er, great <b>news</b>: George Lucas may be planning new “Star Wars <b>...</b>

My instinct is to shudder; most of you, I suspect, will react the same way. And let's pause here to appreciate how amazing that is. So reviled are the prequels that news of new entries in the greatest sci-fi franchise in movie history ...

Lujiazui Breakfast: <b>News</b> And Views About China Stocks (Oct. 26 <b>...</b>

Investors and traders in China's main financial district are talking about the following before the start of trade today: The dollar fell to a 15-year low against the yen yesterday, fueling speculation that major countries will continue ...

bench craft company complaints bench craft company complaints

Making Money on the Internet

Mobile application analytics company Flurry collected data from top iOS social networking and social gaming applications and found that in-app purchases — which encompass virtual good sales and app upgrades — are generating eight times the revenue of mobile advertisements.

A look at the chart below shows that for the month of September, the average monthly advertising revenue is roughly $1 per app user. For virtual good sales, however, the revenue per user is closer to $8.

Flurry data also highlights that, as of February, mobile advertising revenue per user has remained flat, while in-app purchases are trending upward. “During 2010 … revenue increasingly shifts from advertising to virtual goods sales until reaching a proportion of more than 80% from virtual goods,” according to the report.

Comparison data from Androidclass="blippr-nobr">Android devices is non-existent because the class='blippr-nobr'>Android Marketclass="blippr-nobr">Android Market does not yet support in-app purchases, a potential huge shortcoming of Googleclass="blippr-nobr">Google’s mobile app store if the iOS data is reflective of app user interests. Apple, on the other hand, has allowed in-app purchases since the release of iPhone 3.0 OS in mid-2009.

At the time, class='blippr-nobr'>Mashableclass="blippr-nobr">Mashable’s Ben Parr predicted, “The iPhone 3.0 OS could be transformational. Just as the class='blippr-nobr'>Internetclass="blippr-nobr">Internet transformed how people purchase goods and services, the new iPhone features may build an economy for on-demand goods and services that do not depend on any specific location or time.”

Flurry’s data represents just a slice of the iOS picture, but we believe the study’s takeaways to be sound. When application makers build compelling game experiences, users will spend money to upgrade their experience — it’s the same money-making model we already know works on the web.

Image courtesy of Cristiano Betta, class='blippr-nobr'>Flickrclass="blippr-nobr">Flickr

For more Mobile coverage:

class="f-el">class="cov-twit">Follow Mashable Mobileclass="s-el">class="cov-rss">Subscribe to the Mobile channelclass="f-el">class="cov-fb">Become a Fan on Facebookclass="s-el">class="cov-apple">Download our free apps for iPhone and iPad

DiscoveryBeat 2010 is just a day away. The conference at the Mission Bay conference center in San Francisco will have a single-minded focus on the problem of discovery, or finding the content that you want.

Like in the early days of the internet, finding what you want with the fewest steps possible is a problem that is only getting worse as more and more apps are piling into the Apple, Android and other app stores. The day of a million apps is not that far away. While Google and Yahoo solved the problem of sorting through millions of web sites, no one has figured out how to do the same in the age of apps, where cross-platform complexities and walled gardens stymie easy search solutions.

At DiscoveryBeat, we have assembled 36 experts (and a bunch of moderators) who can cover the breadth of the discovery ecosystem. If you check out our logo, you’ll see that the theme is akin to the discovery of a new world and how to navigate it. The problem of discovery exists inside apps. Brian Reynolds (left), chief game designer, can talk in his fireside chat about how you design an app from the inside out for easier discovery. The discussion will cover topics such as better user interfaces, accessible design, and moving designs to new platforms.

Sebastien DeHalleux (below right), co-founder of EA Playfish, will also have something to say about those topics in his fireside chat — but from the perspective of being inside a company with lots of well-known brands.

What does good design have to do with discovery? Our speaker Bing Gordon, a partner at Kleiner Perkins who will talk on our Investing in Discovery panel, says you can’t have discovery without engagement. If someone plays a game for two months instead of two days, they will be more engaged and share their game more widely. Gordon and his fellow panelists — Jennifer Scott Fonstad of DFJ, Savinay Berry of Granite Ventures, and Peter Relan of incubator YouWeb — will discuss what the opportunities are for investing in entrepreneurial startups and technologies in this new world. What investments make sense in this stage of of the ecosystem’s maturity?

That prompts the question: is anyone making money in discovery? Our Show Me the Money will focus on that question, with participants including Tapjoy’s Lee Linden, Flurry’s Peter Farago, Google-AdMob’s Aunkur Arya, and Mobclix’s Sunil Verma. The money must be there somewhere, right? Big brands are diving into the app markets. We’ll have a panel on that with Tim O’Brien of Disney-Tapulous, Travis Boatman of EA Mobile, James de Jesus of interactive agency AKQA, and Garrick Schmitt of agency Razorfish. And social discovery platforms are emerging. We’ll have a panel on that with Si Shen of PapayaMobile, Jason Citron of Aurora Feint, and Kabir Kasargod of Qualcomm’s Vive service.

We’ll have a lot of A lot of fresh thinking is going into discovery. Dave Smiddy, chief executive of Infrinity, is the winner of our Needle in the Haystack contest for the best new business ideas related to discovery. He’ll talk about creating a new kind of recommendation engine. William Mark, a vice president at research institute SRI, will also speak about how artificial intelligence can be applied to the problem of discovery. SRI spun out Siri, which built a cool AI-based discovery app and which was acquired by Apple.

Vijay Chattha will show that getting press for an app doesn’t have to be routine. Simon Khalaf (right) and Sean Galligan of Flurry will enlighten us on the topic of analytics and making money related to discovery. We’ll also have a lot of inspiring and instructive case studies from successful indie app makers, including Julian Farrior of BackFlip Studios (the maker of Paper Toss), Dave Castelnuovo of Bolt Creative (Pocket God), Doyon Kim of YD Online, Chris Williams of PlayFirst (Diner Dash), Justin Maples of Borken Thumb Apps (Zombie Duck Hunt) and Patrck Mork of GetJar, which runs an indie app store and which recently launched Angry Birds on Android.

One of the most successful new apps of the Twitter era has been Foursquare. We’ll hear how Foursquare — an app whose monetization is heavily related to how users discover new places — got discovered itself in a fireside chat with Holger Luedorf.

We’ll close the door with a discussion of the would-be app kingmakers and their tools. That panel will include Ben Keighran of Chomp, Alan Warms of Appolicious, Laura Fitton of oneforty (which discovers Twitter apps), and Chris DeVore of AppStoreHQ and iPhoneDevSDK.

We hope you’ll join us in the undiscovered country.

Getting content noticed is a challenge for everyone making apps. Join us at DiscoveryBeat 2010 and hear secrets from top industry executives about how to break through and profit in the new cross-platform app ecosystem. From metrics to monetization, we’ll take an in depth look at the best discovery strategies and why they’re working. See the full agenda here. The conference takes place on October 18 at the Mission Bay Conference Center in San Francisco. Sponsors include Flurry, Adobe, YD Online, Offermobi, appbackr, Altcatel-Lucent, Appolicious, AppLaunchPR, and Herakles Data Center.  To register, click here. Hurry though. Tickets are limited, and going fast.

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eric seiger eric seiger

Mobile application analytics company Flurry collected data from top iOS social networking and social gaming applications and found that in-app purchases — which encompass virtual good sales and app upgrades — are generating eight times the revenue of mobile advertisements.

A look at the chart below shows that for the month of September, the average monthly advertising revenue is roughly $1 per app user. For virtual good sales, however, the revenue per user is closer to $8.

Flurry data also highlights that, as of February, mobile advertising revenue per user has remained flat, while in-app purchases are trending upward. “During 2010 … revenue increasingly shifts from advertising to virtual goods sales until reaching a proportion of more than 80% from virtual goods,” according to the report.

Comparison data from Androidclass="blippr-nobr">Android devices is non-existent because the class='blippr-nobr'>Android Marketclass="blippr-nobr">Android Market does not yet support in-app purchases, a potential huge shortcoming of Googleclass="blippr-nobr">Google’s mobile app store if the iOS data is reflective of app user interests. Apple, on the other hand, has allowed in-app purchases since the release of iPhone 3.0 OS in mid-2009.

At the time, class='blippr-nobr'>Mashableclass="blippr-nobr">Mashable’s Ben Parr predicted, “The iPhone 3.0 OS could be transformational. Just as the class='blippr-nobr'>Internetclass="blippr-nobr">Internet transformed how people purchase goods and services, the new iPhone features may build an economy for on-demand goods and services that do not depend on any specific location or time.”

Flurry’s data represents just a slice of the iOS picture, but we believe the study’s takeaways to be sound. When application makers build compelling game experiences, users will spend money to upgrade their experience — it’s the same money-making model we already know works on the web.

Image courtesy of Cristiano Betta, class='blippr-nobr'>Flickrclass="blippr-nobr">Flickr

For more Mobile coverage:

class="f-el">class="cov-twit">Follow Mashable Mobileclass="s-el">class="cov-rss">Subscribe to the Mobile channelclass="f-el">class="cov-fb">Become a Fan on Facebookclass="s-el">class="cov-apple">Download our free apps for iPhone and iPad

DiscoveryBeat 2010 is just a day away. The conference at the Mission Bay conference center in San Francisco will have a single-minded focus on the problem of discovery, or finding the content that you want.

Like in the early days of the internet, finding what you want with the fewest steps possible is a problem that is only getting worse as more and more apps are piling into the Apple, Android and other app stores. The day of a million apps is not that far away. While Google and Yahoo solved the problem of sorting through millions of web sites, no one has figured out how to do the same in the age of apps, where cross-platform complexities and walled gardens stymie easy search solutions.

At DiscoveryBeat, we have assembled 36 experts (and a bunch of moderators) who can cover the breadth of the discovery ecosystem. If you check out our logo, you’ll see that the theme is akin to the discovery of a new world and how to navigate it. The problem of discovery exists inside apps. Brian Reynolds (left), chief game designer, can talk in his fireside chat about how you design an app from the inside out for easier discovery. The discussion will cover topics such as better user interfaces, accessible design, and moving designs to new platforms.

Sebastien DeHalleux (below right), co-founder of EA Playfish, will also have something to say about those topics in his fireside chat — but from the perspective of being inside a company with lots of well-known brands.

What does good design have to do with discovery? Our speaker Bing Gordon, a partner at Kleiner Perkins who will talk on our Investing in Discovery panel, says you can’t have discovery without engagement. If someone plays a game for two months instead of two days, they will be more engaged and share their game more widely. Gordon and his fellow panelists — Jennifer Scott Fonstad of DFJ, Savinay Berry of Granite Ventures, and Peter Relan of incubator YouWeb — will discuss what the opportunities are for investing in entrepreneurial startups and technologies in this new world. What investments make sense in this stage of of the ecosystem’s maturity?

That prompts the question: is anyone making money in discovery? Our Show Me the Money will focus on that question, with participants including Tapjoy’s Lee Linden, Flurry’s Peter Farago, Google-AdMob’s Aunkur Arya, and Mobclix’s Sunil Verma. The money must be there somewhere, right? Big brands are diving into the app markets. We’ll have a panel on that with Tim O’Brien of Disney-Tapulous, Travis Boatman of EA Mobile, James de Jesus of interactive agency AKQA, and Garrick Schmitt of agency Razorfish. And social discovery platforms are emerging. We’ll have a panel on that with Si Shen of PapayaMobile, Jason Citron of Aurora Feint, and Kabir Kasargod of Qualcomm’s Vive service.

We’ll have a lot of A lot of fresh thinking is going into discovery. Dave Smiddy, chief executive of Infrinity, is the winner of our Needle in the Haystack contest for the best new business ideas related to discovery. He’ll talk about creating a new kind of recommendation engine. William Mark, a vice president at research institute SRI, will also speak about how artificial intelligence can be applied to the problem of discovery. SRI spun out Siri, which built a cool AI-based discovery app and which was acquired by Apple.

Vijay Chattha will show that getting press for an app doesn’t have to be routine. Simon Khalaf (right) and Sean Galligan of Flurry will enlighten us on the topic of analytics and making money related to discovery. We’ll also have a lot of inspiring and instructive case studies from successful indie app makers, including Julian Farrior of BackFlip Studios (the maker of Paper Toss), Dave Castelnuovo of Bolt Creative (Pocket God), Doyon Kim of YD Online, Chris Williams of PlayFirst (Diner Dash), Justin Maples of Borken Thumb Apps (Zombie Duck Hunt) and Patrck Mork of GetJar, which runs an indie app store and which recently launched Angry Birds on Android.

One of the most successful new apps of the Twitter era has been Foursquare. We’ll hear how Foursquare — an app whose monetization is heavily related to how users discover new places — got discovered itself in a fireside chat with Holger Luedorf.

We’ll close the door with a discussion of the would-be app kingmakers and their tools. That panel will include Ben Keighran of Chomp, Alan Warms of Appolicious, Laura Fitton of oneforty (which discovers Twitter apps), and Chris DeVore of AppStoreHQ and iPhoneDevSDK.

We hope you’ll join us in the undiscovered country.

Getting content noticed is a challenge for everyone making apps. Join us at DiscoveryBeat 2010 and hear secrets from top industry executives about how to break through and profit in the new cross-platform app ecosystem. From metrics to monetization, we’ll take an in depth look at the best discovery strategies and why they’re working. See the full agenda here. The conference takes place on October 18 at the Mission Bay Conference Center in San Francisco. Sponsors include Flurry, Adobe, YD Online, Offermobi, appbackr, Altcatel-Lucent, Appolicious, AppLaunchPR, and Herakles Data Center.  To register, click here. Hurry though. Tickets are limited, and going fast.

Next Story: WSJ reports Facebook apps — including banned LOLapps games — transmitted private user data Previous Story: Why did Facebook unplug LOLapps games with 150M users?

Lindsay Lohan Photos &amp; Pics | BREAKING <b>NEWS</b> - Lindsay Lohan Avoids <b>...</b>

Lindsay Lohan appeared before Judge Elden Fox at the Beverly Hills Courthouse this morning for her latest probation violation hearing, and it appears as though spending the last month at the Betty Ford Center helped convince the judge ...

Surprise: Fox <b>News</b> signs Juan Williams to new $2 million deal <b>...</b>

Fox News Chief Executive Roger Ailes handed Williams a new three-year contract Thursday morning, in a deal that amounts to nearly $2 million, a considerable bump up from his previous salary, the Tribune Washington Bureau has learned. ...

Fox <b>News</b> Gives Fired NPR Reporter Juan Williams Fat New Contract <b>...</b>

Williams, who has served as a part-time contributor on Fox News since 1997, got an expanded, multi-year deal from the cable channel Thursday. Terms were not disclosed, though a source close to the network said Williams is getting a pay ...

eric seiger eric seiger