Tag: TMC Politics

Cross posted from The Stars Hollow Gazette

As we have documented here at Stars Hollow, the task force that was created to pursue mortgage fraud and hold the banks accountable was, and is, a sham game to protect the banks from real relief for defrauded homeowners.

Your mortgage documents are fake!

by David Dayen, Salon

Prepare to be outraged. Newly obtained filings from this Florida woman’s lawsuit uncover a horrifying scheme

A newly unsealed lawsuit, which banks settled in 2012 for $1 billion, actually offers a different reason, providing a key answer to one of the persistent riddles of the financial crisis and its aftermath. The lawsuit states that banks resorted to fake documents because they could not legally establish true ownership of the loans when trying to foreclose.

This reality, which banks did not contest but instead settled out of court, means that tens of millions of mortgages in America still lack a legitimate chain of ownership, with implications far into the future. And if Congress, supported by the Obama Administration, goes back to the same housing finance system, with the same corrupt private entities who broke the nation’s private property system back in business packaging mortgages, then shame on all of us. [..]

Most of official Washington, including President Obama, wants to wind down mortgage giants Fannie Mae and Freddie Mac, and return to a system where private lenders create securitization trusts, packaging pools of loans and selling them to investors. Government would provide a limited guarantee to investors against catastrophic losses, but the private banks would make the securities, to generate more capital for home loans and expand homeownership.

That’s despite the evidence we now have that, the last time banks tried this, they ignored the law, failed to convey the mortgages and notes to the trusts, and ripped off investors trying to cover their tracks, to say nothing of how they violated the due process rights of homeowners and stole their homes with fake documents.

The very same banks that created this criminal enterprise and legal quagmire would be in control again. Why should we view this in any way as a sound public policy, instead of a ticking time bomb that could once again throw the private property system, a bulwark of capitalism and indeed civilization itself, into utter disarray? As Lynn Szymoniak puts it, “The President’s calling for private equity to return. Why would we return to this?”

White-collar fraud expert proves ‘mortgage-backed securities’ neither mortgage-backed nor secure

by Scott Kaufmann, The Raw Story

The forged documents were endorsed by employees of companies long bankrupt, executives who signed their name eight different ways, or “people” named “Bogus Assignee for Intervening Assignments” so that the banks could establish standing to foreclose in courts. The end result, according to white-collar fraud expert Lynn Szymoniak, is that over $1.4 trillion in mortgage-backed securities are still, to this day, based on fraudulent mortgage assignments.

The lawsuit against Wells Fargo, Bank of America, JPMorgan Chase, Citi and GMAC/Ally Bank was settled in early 2012 for $1 billion, but now that the evidence is unsealed, Szymoniak and her legal team are free to pursue the other named defendants, including HSBC, the Bank of New York Mellon, and US Bank. “I’m really glad I was part of collecting this money for the government, and I’m looking forward to going through discovery and collecting the rest of it,” Szymoniak told Salon.

Eric Holder Owes the American People an Apology

Jonathan Weil, Bloomberg News

The Justice Department made a long-overdue disclosure late Friday: Last year when U.S. Attorney General Eric Holder boasted about the successes that a high-profile task force racked up pursuing mortgage fraud, the numbers he trumpeted were grossly overstated. [..]

In an updated press release Friday, which corrected its initial release of last October, the Justice Department said a review of the cases found that the inflated figures included defendants who had been sentenced or convicted in fiscal year 2012 — not just people who had been criminally charged, as originally reported. Its original, lofty tally also included cases in which the victims weren’t distressed homeowners. [..]

What a charade. No wonder the government found it so difficult to bring a meaningful number of accounting-fraud cases against bank executives after the financial crisis. Its own books were cooked. [..]

This was the second time, mind you, that Holder’s Justice Department had pulled a stunt like this. In December 2010, Holder held a press conference to tout a supposed sweep by the president’s Financial Fraud Enforcement Task Force called “Operation Broken Trust.” (The mortgage-fraud program was part of the same task force.) As with the mortgage-fraud initiative, Broken Trust wasn’t actually a sweep. All the Justice Department did was lump together a bunch of small-fry, penny-ante fraud cases that had nothing to do with one another. Then it held a press gathering.

Between this sham that protects the banks and the egregious violations of the press and privacy of all Americans with abusive use of FISA, Eric Holder owes us more than an apology, he owes us his resignation as Attorney General.

Cross posted from The Stars Hollow Gazette

August 9th was the International Day of the World’s Indigenous Peoples recognizing the achievements and contributions that indigenous people make to improve world issues such as environmental protection. On Friday, Democracy Now!‘s Amy Goodman’s guests were Oren Lyons, faithkeeper of the Onondaga Nation, and member ofthe Onondaga Nation Council of Chiefs; legendary folk singer and activist Pete Seeger and Andy Mager, project coordinator for the Two Row Wampum Renewal Campaign and a member of Neighbors of the Onondaga Nation, discussing the concerns of their concerns for the future.

Hundreds of Native Americans and their allies arrive in New York City today after paddling more than a hundred miles down the Hudson River to commemorate the 400th anniversary of the first treaty between Native Americans and the Europeans who traveled here. The event is part of the International Day of the World’s Indigenous Peoples, first proclaimed by the United Nations 20 years ago. [..]

“We’re concerned about the future, we’re concerned about the Earth – seven generations hence – and the conduct of people,” Oren says. “We wonder, how do you instruct seven billion people as to the relationship to the Earth? Because unless they understand that, and relate the way they should be, the future is pretty dim for the human species.”

In Part 2, Pete Seeger and Oren Lyons discuss fracking, indigenous struggles and the atomic bombing of Hiroshima.

In the final segment, Pete Seeger reminisces about his late wife Toshi, and sings the Civil Rights anthem “We Shall Overcome.”

Born in 1919, the 94-year-old Seeger is an American icon. In the 1940s, he performed in The Weavers, along with Woody Guthrie. In the 1950s, he opposed Senator Joseph McCarthy’s witch hunt and was almost jailed for refusing to answer questions before the House Un-American Activities Committee. Seeger helped popularize the civil rights anthem, “We Shall Overcome.” In the 1960s, he was a vocal critic of the Vietnam War and inspired a generation of protest singers. He was later at the center of the environmental and anti-nuclear movements. A month ago today, on July 9, his wife, the artist and filmmaker Toshi Seeger, died at the age of 91. She was a key leader and artistic programmer for the Great Hudson River Revival, the annual fundraiser for the Clearwater organization that helped to clean up the Hudson River in New York. She died less than two weeks short of what would have been the Seegers’ 70th wedding anniversary.

In this week’s segment of “What We Know Now,” Up host Steve Kornacki talks about the latest news that could “muck up” the GOP’s chances of taking back the Senate in 2014. Joining Steve to discuss what they have learned this week are Christina Bellantoni, PBS’ News Hour; Nick Acocella, Politifax New Jersey; Perry Bacon, Jr., The Grio.com; and Krystal Ball, cohost of MSNBC’s “The Cycle.”

Tea Party favorite Ken Buck files to run for Senate in Colorado

By Jonathan Easley, The Hill

Tea Party favorite Ken Buck (R) filed paperwork Wednesday with the Federal Election Commission to run for U.S. Senate in Colorado.

Buck, who lost a senate bid to Michael Bennet (D-Colo.) in 2010, will seek to unseat Colorado’s other incumbent senator, Mark Udall (D-Colo.), in 2014.

According to the Denver Post, Buck will launch his campaign and tour the state in early September.

Buck, a district attorney, joins state Sens. Randy Baumgardner and Owen Hill in seeking the Republican nomination.

Michelle Nunn engages battle for Senate in Georgia

Catalina Camia, USA Today

WASHINGTON — Democrat Michelle Nunn’s decision to follow in her father’s footsteps in Georgia opens a new front in the battle for control of the Senate in the 2014 elections.

Nunn, CEO of a volunteer service organization, is expected to file her paperwork Tuesday to run for the seat of retiring Republican Sen. Saxby Chambliss. The political novice declared her long-awaited candidacy on Monday in an interview with the Atlanta Journal-Constitution.

This is the same Senate seat that her father, Sam Nunn, held from 1972 to 1997 as a centrist Democrat who appealed to GOP voters. The race to succeed Chambliss has already attracted three congressmen and a former Georgia secretary of State on the Republican side.

Georgia Conservatives Like Paula Deen More Than MLK (But Only Slightly!)

By Emma Roller, Slate

From PPP:

   We asked Georgians their opinions about a number of current and historical figures in the state. Martin Luther King Jr. has a 73/15 favorability rating- it’s 83/6 with Democrats but just 59/28 with Republicans. Paula Deen remains quite popular in her home state at a 54/21 spread- she’s very popular with Republicans at 73/11 but seen positively by a plurality of Democrats at 40/33 as well.

Or, more succinctly:

Favorability ratings with Georgia Republicans: Paula Deen 73/11, Martin Luther King Jr. 59/28

— PublicPolicyPolling (@ppppolls) August 7, 2013

NRCC Fundraising Off George W. Bush’s Heart Operation

by Perry Stein, Talking Points Memo

The National Republican Congressional Committee is collecting signatures for an e-card and money to send flowers to former President George W. Bush as he recovers from a heart procedure to clear a blocked artery.

Donations are expected to far exceed the costs of a bouquet of Bluebonnets– the Texas state flower–and NRCC did not return calls to CBS on what they will do with the extra cash, though they will likely use it to help elect Republicans to the House.

Cross posted from The Stars Hollow Gazette

Someone suggested that latest lie told by President Barack Obama on the Jay Leno Show that other night stating, “There is no spying on Americans. We don’t have a domestic spying program,” was up there with the 10 greatest lies ever told. That fallacy of the president’s declaration was made very obvious in a New York Times article by Charlie Savage on the latest and greatest NSA domestic surveillance program. The NSA has been copying virtually all overseas messages that Americans send or receive, scanning them to see if they contain any references to people or subjects the agency thinks might have a link to terrorists.

Hints of the surveillance appeared in a set of rules, leaked by Mr. Snowden, for how the N.S.A. may carry out the 2008 FISA law. One paragraph mentions that the agency “seeks to acquire communications about the target that are not to or from the target.” The pages were posted online by the newspaper The Guardian on June 20, but the telltale paragraph, the only rule marked “Top Secret” amid 18 pages of restrictions, went largely overlooked amid other disclosures.

In an opinion by the New York Times Editorial Board, these messages could be very private and no connection to terrorists or terrorist activity:

That could very well include innocent communications between family members expressing fears of a terror attack. Or messages between an editor and a reporter who is covering international security issues. Or the privileged conversation between a lawyer and a client who is being investigated.

Data collection on this scale goes far beyond what Congress authorized, and it clearly shreds a common-sense understanding of the Fourth Amendment. It’s as if the government were telling its citizens not to even talk about security issues in private messages or else they will come to the attention of the nation’s spies.

At the Electronic Frontier Foundation, Mark Rumold explains what it means to be an NSA target:

When “Target” Means Searching a Specific Person’s Communications

First, at least this much is clear: a “target” under the FA (FISA Amendments Act ) must be (a) a non-US person and (b) not physically located within the United States. A “person,” for purposes of the FAA, includes individuals as well as “any group, entity, association, corporation, or foreign power.”  Under the FAA, the government can thus “target” a single individual (e.g., Vladimir Putin), a small group of people (e.g., Pussy Riot), or a formal corporation or entity (e.g., Gazprom).

So, when the NSA decides to “target” someone (or something), it turns its specific surveillance vacuum at them. [..]

When “Target” Means Searching Everyone’s Communications

Once a target is established, the NSA believes it can expand the sweep of its interception far more broadly than the communhttp://www.guardian.co.uk/world/interactive/2013/jun/20/exhibit-a-procedures-nsa-documentications of the particular, identified target. Notably, the NSA’s procedures state (emphasis added):

   [I]n those cases where NSA seeks to acquire communications about the target that are not to or from the target, NSA will either employ an Internet Protocol filter to ensure that the person from whom it seeks to obtain foreign intelligence information is located overseas, or it will target Internet links that terminate in a foreign country.

In plain English: the NSA believes it not only can (1) intercept the communications of the target, but also (2) intercept communications about a target, even if the target isn’t a party to the communication. The most likely way to assess if a communication is “about” a target is to conduct a content analysis of communications, probably based on specific search terms or selectors.

And that, folks, is what we call a content dragnet.

Importantly, under the NSA’s rules, when the agency intercepts communications about a target, the author or speaker of those communications does not, thereby, become a target: the target remains the original, non-US person. But, because the target remains a non-US person, the most robust protection for Americans’ communications under the FISA Amendments Act (and, indeed, the primary reassurance the government has given about the surveillance) flies out the window. If you communicate about a target of NSA surveillance, your citizenship is irrelevant: the only thing standing between you and NSA surveillance is your IP address or the fiber optic path through which your communications flow.

Jameel Jaffer, American Civil Liberties Union deputy legal director, made the following comments about the latest revelations:

“The program described by the New York Times involves a breathtaking invasion of millions of people’s privacy.  The NSA has cast a massive dragnet over Americans’ international communications, collecting and monitoring all of them, and retaining some untold number of them in government databases.  This is precisely the kind of generalized spying that the Fourth Amendment was intended to prohibit.

“The government’s scrutiny of virtually every international email sent by Americans will have extraordinary consequences for free expression. Americans will inevitably hesitate to discuss controversial topics, visit politically sensitive websites, or interact with foreigners with dissenting views. By injecting the NSA into virtually every cross-border interaction, the U.S. government will forever alter what has always been an open exchange of ideas.”

“There is no spying on Americans. We don’t have a domestic spying program,” is right up there with “I am not a crook” and “I did not have sex with that woman.”

Cross posted from The Stars Hollow Gazette

The National Security Agency isn’t just looking to “keep us safe” from terrorists by collecting metadata, the NSA is sharing its information with the secretive Special Operations Division of the U.S. Drug Enforcement Administration (DEA) which is then passing that information to local authorities, covering up the NSA source.

U.S. directs agents to cover up program used to investigate Americans

by John Shiffman and Kristina Cooke, Reuters

A secretive US Drug Enforcement Administration unit is funneling information from intelligence intercepts, wiretaps, informants and a massive database of telephone records to authorities across the nation to help them launch criminal investigations of Americans.

Although these cases rarely involve national security issues, documents reviewed by Reuters show that law enforcement agents have been directed to conceal how such investigations truly begin – not only from defense lawyers but also sometimes from prosecutors and judges.

The undated documents show that federal agents are trained to “recreate” the investigative trail to effectively cover up where the information originated, a practice that some experts say violates a defendant’s constitutional right to a fair trial. If defendants don’t know how an investigation began, they cannot know to ask to review potential sources of exculpatory evidence – information that could reveal entrapment, mistakes or biased witnesses.

It isn’t just the DEA that is doing this, the Justice Department is also receiving information about non-terrorist related criminal activity.

NSA handing over non-terror intelligence

by Stewart M. Powell, SFGate

The National Security Agency is handing the Justice Department information, derived from its secret electronic eavesdropping programs, about suspected criminal activity unrelated to terrorism.

This little-known byproduct of counterterrorism surveillance continues amid controversy over the NSA’s wide-ranging collection of domestic communications intelligence, including Americans’ telephone calling records and Internet use.

It is unclear whether the referrals have been built upon the content of telephone calls and emails. Administration officials have previously assured Congress that NSA surveillance focuses on so-called metadata and in the main does not delve into the content of individual calls or email messages.

Also, some in the legal community question the constitutionality of criminal prosecutions stemming from intelligence-agency eavesdropping.

Other Agencies Clamor for Data N.S.A. Compiles

by Eric Lichtblau and Michael S. Schmidt, The New York Times

The National Security Agency’s dominant role as the nation’s spy warehouse has spurred frequent tensions and turf fights with other federal intelligence agencies that want to use its surveillance tools for their own investigations, officials say.

Agencies working to curb drug trafficking, cyberattacks, money laundering, counterfeiting and even copyright infringement complain that their attempts to exploit the security agency’s vast resources have often been turned down because their own investigations are not considered a high enough priority, current and former government officials say.

Intelligence officials say they have been careful to limit the use of the security agency’s troves of data and eavesdropping spyware for fear they could be misused in ways that violate Americans’ privacy rights.

The recent disclosures of agency activities by its former contractor Edward J. Snowden have led to widespread criticism that its surveillance operations go too far and have prompted lawmakers in Washington to talk of reining them in. But out of public view, the intelligence community has been agitated in recent years for the opposite reason: frustrated officials outside the security agency say the spy tools are not used widely enough.

At emptywheel, bmaz points out this is nothing in the Reuter’s article on the SOD wasn’t already known, just no one has been paying attention:

First, the headline is misleading. The caption is:

   Exclusive: U.S. directs agents to cover up program used to investigate Americans

Well, not really (and, in fairness, the actual body of the article is about a practice that is a result of the SOD). DEA’s Special Ops Division is neither new nor secret in the least, and there is no way to “cover it up”. Google it; I got “About 289,000 results (0.29 seconds)” as a return. You will get something similar. The revelation that SOD was used in the Viktor Bout case is also not new, here is a Time story detailing it from 2011.

In fact, any criminal defense attorney who did cocaine hub conspiracy cases in the 90′s could have told you most of the Reuter’s article in their sleep. That was exactly the scene that DEA-SOD was born from. As the war on drugs went nuclear, the DEA devised what they termed the “Kingpin Strategy” (pdf):

   In 1992, the DEA instituted the Kingpin Strategy that focused investigative and enforcement efforts on specific drug trafficking organizations. The DEA planned to dis- able major organizations by attacking their most vulnerable areas-the chemicals needed to process the drugs, their finances, communications, transportation, and leadership structure.

   The Kingpin Strategy held that the greatest impact on the drug trade took place when major drug organizations were dis- rupted, weakened, and destroyed. This strategy focused enforcement efforts and resources against the highest-level traffickers and their organizations, and provided a systematic way of attacking the various vulnerabilities of the organiza- tions. By systematically attacking each of these vulnerabilities, the strategy aimed to destroy the entire organization, and with it, the organization’s capacity to finance, produce, and distrib- ute massive amounts of illegal drugs. Each blow weakened the organization and improved the prospects for arresting and prosecuting the leaders and managers of the organizations.

   The Kingpin Strategy evolved from the DEA’s domestic and overseas intelligence gathering and investigations.

And from Kingpin sprung the Special Operations Division:

   Under the original Kingpin Strategy, DEA headquarters often dictated the selection of Kingpin targets. In response to the SACs’ concerns, Administrator Constantine agreed to allow them more latitude in target selection. In conjuction with this decision, he established the Special Operations Division at Newington, Virginia, in 1994 to coordinate multi-jurisdictional investigations against major drug trafficking organizations responsible for the flow of drugs into the United States.

On this morning’s Democracy Now!, Guardian journalist Glenn Greenwald responded to a report by Reuters.

“It’s a full-frontal assault on the Fourth, Fifth and Sixth Amendments and on the integrity of the judicial process, because they’re deceiving everyone involved in criminal prosecutions about how this information has been obtained,” Greenwald says.

Cross posted from The Stars Hollow Gazette

Strange, the US intelligence agencies didn’t intercept any communications warning of the prison breaks but have info on alleged “imminent attacks.”

Yemen on ‘high alert’ over warning of imminent al-Qaida attack

by Ian Black, The Guardian

US personnel flown out of country as reports claim ‘extraordinary and unprecedented’ security measures in force in capital Sana’a

Yemeni security forces have been put on high alert amid warnings of an imminent attack by al-Qaida in Sana’a, as the US and Britain withdrew embassy staff and urged their citizens to leave the country.

BBC Arabic quoted a Yemeni security source as saying that “extraordinary and unprecedented” security measures had been put in place, with armoured vehicles deployed at the presidential palace and other sensitive government and foreign installations in Yemen’s capital.

Dozens of al-Qaida operatives were said to have streamed into Sana’a in the last few days, apparently to take part in a terrorist attack, the BBC said. The Yemeni claim could not be independently confirmed.

US embassy closures used to bolster case for NSA surveillance programs

by Spencer Ackerman and Dan Roberts, The Guardian

Congress told that NSA monitoring led to interception of al-Qaida threats but privacy campaigners fear ulterior political motives

US embassies in the Middle East are to remain closed for the rest of the week as supporters of the National Security Agency’s sweeping surveillance powers used the unspecified terror alert to bolster the case against reining in the controversial measures.

The closures follow the alleged interception of al-Qaida communications in Yemen, which intelligence committee members in Congress have been told were collected overseas using powers granted to the NSA under the Foreign Intelligence Surveillance Act – not the bulk surveillance programs disclosed by the Guardian and the Washington Post thanks to whistleblower Edward Snowden.

A privacy group questioned the publicity given to the latest alert after the State Department announced on Sunday evening that the number of embassies and consulates closed “out of an abundance of caution”

would be increased, with some remaining shut for up to a week.

Rebublican senator Saxby Chambliss said the NSA had identified threats that were the most serious for years and akin to levels of “terrorist chatter” picked up before 9/11.

On Democracy Now!, journalist for The Guardian, Glenn Greenwald discusses the latest terrorist treats and the closings ogf US embassies int the the region.

The Obama administration has announced it will keep 19 diplomatic posts in North Africa and the Middle East closed for up to a week, due to fears of a possible militant threat. On Sunday, Senator Saxby Chambliss, the top Republican on the Senate Intelligence Committee, said the decision to close the embassies was based on information collected by the National Security Agency. “If we did not have these programs, we simply would not be able to listen in on the bad guys,” Chambliss said, in a direct reference to increasing debate over widespread spying of all Americans revealed by Glenn Greenwald of The Guardian. “Nobody has ever questioned or disputed that the U.S. government, like all governments around the world, ought to be eavesdropping and monitoring the conversations of people who pose an actual threat to the United States in terms of plotting terrorist attacks,” Greenwald says.

Cross posted from The Stars Hollow Gazette

If I were the Secretary of State, I would resign.

Despite his statements to the Pakistan government that drone strikes were winding down, Secretary of State John Kerry was contradicted by his own department:

There were more drone strikes in Pakistan last month than any month since January. Three missile strikes were carried out in Yemen in the last week alone. [..]

Most elements of the drone program remain in place, including a base in the southern desert of Saudi Arabia that the Central Intelligence Agency continues to use to carry out drone strikes in Yemen. In late May, administration officials said that the bulk of drone operations would shift to the Pentagon from the C.I.A.

But the C.I.A. continues to run America’s secret air war in Pakistan, where Mr. Kerry’s comments underscored the administration’s haphazard approach to discussing these issues publicly. During a television interview in Pakistan on Thursday, Mr. Kerry said the United States had a “timeline” to end drone strikes in that country’s western mountains, adding, “We hope it’s going to be very, very soon.”

But the Obama administration is expected to carry out drone strikes in Pakistan well into the future. Hours after Mr. Kerry’s interview, the State Department issued a statement saying there was no definite timetable to end the targeted killing program in Pakistan, and a department spokeswoman, Marie Harf, said, “In no way would we ever deprive ourselves of a tool to fight a threat if it arises.”

And, we are not suppose to know about the secret CIA run drone base in Saudi Arabia that was first used for the operation that killed Anwar al-Awlaki. The Saudi government is opposed to US troops operating on their soil but the CIA assassins are OK.

A couple of questions:

Who is in charge at the State Department?

Does anyone in the Obama administration talk to each other?

Does the Obama administration really think the world is all that ignorant of what they are doing?

Who’s zooming who here?

Cross posted From The Stars Hollow Gazette

Don’t let the enthusiasm of the stock market or some financial reports that the job market and unemployment are improving or that the economy is growing faster. It’s not. None of today’s economics news is good. As a matter of facr, it’s rather depressing.

Better Than Expected Second Quarter Growth? Is the Post Kidding

by Dean Baker, Center for Economic Policy and Research

I somehow missed this Post article touting the 1.7 percent growth rate reported for the second quarter as better than expected. First it is incredible that the piece would leave readers with the impression that this strong growth, [..]

The economy’s rate of potential growth is generally estimated as being between 2.2-2.5 percent. This means that rather than making up some of the 6 percentage point gap between potential output and actual output, the gap increased in the second quarter. [..]

The GDP data released on Wednesday also included revisions to prior quarters’ data. The revision to the prior three quarters’ growth rate (Table 1A) were sharply downward lowering growth over this period by 1.3 percentage points or an average of 0.4 percent per quarter. With the revised data, growth over the last year has been just 1.4 percent. This is supposed to be a justification for withdrawing stimulus?

July Jobs Report Masks Real Problems In U.S. Labor Market

by Mark Gongloff, The Huffington Post

Fed Chairman Ben Bernanke has said the official U.S. unemployment rate could mask the real problems in the labor market. He got proof of that in July’s jobs report.

The unemployment rate dipped to 7.4 percent in July, the lowest rate since December 2008, the Bureau of Labor Statistics reported on Friday, down from 7.6 percent in June.

But payroll growth was anemic, wages dropped and more discouraged workers headed for the sidelines, continuing the slowest job-market recovery since World War II. [..]

Employers added just 162,000 jobs to non-farm payrolls in July, the Bureau of Labor Statistics reported on Friday, down from 188,000 in June, which was revised lower from an initial reading of 195,000. Together, revisions to May and June figures subtracted 26,000 jobs from payrolls, another sign of weakness. [..]

The unemployment rate, meanwhile, fell in part because 37,000 workers dropped out of the labor force, meaning they gave up looking for work. The labor-force participation rate, which measures the percentage of working-age Americans who are working or looking for work, fell to 63.4 percent in July, near a 35-year low.

The civilian employment-population ratio, which measures how many working-age Americans actually have jobs, was flat at 58.7 percent, near the lowest in 30 years and down from more than 63 percent before the recession. [..]

The majority of the jobs that have been created during the recovery have been low-paying jobs, worsening income inequality and keeping the economy sluggish.

The job market is a long way from recovery and with the slow rate of job creation there could be a deficit of 4.6 million jobs in May 2016. Not only that but the quality of the jobs that have been created are not conducive to economic stimulus:

More than half of the jobs added last month were either in retail trade or “food services and drinking places.” People employed in those sectors tend to have much shorter work weeks and much lower hourly wages than everyone else.

Even worse, a recent paper (pdf) by Canadian researchers suggests that many of the people taking these jobs are relatively over-educated. The authors argue that, since 2000, globalization and technological advancement have reduced the demand for “high-skilled” workers. Desperate for employment, these workers ended up pushing the “lower-skilled” out of the job market entirely. This may help explain why the share of people aged 25 to 54 counted as being in the labor force has plunged by 3.5 percentage points since 2000.

The quality of jobs being created is probably connected to the depressing performance of incomes and the decline in the work week. Hourly pay has grown by just 1.9 percent over the past 12 months — basically unchanged since the end of 2009. The data from the BEA tell a similar story. Real after-tax incomes fell in June. Americans still have less purchasing power than they did in November 2012. Our standard of living has barely improved over the past year.

None of this is good news. The other question is what will the Federal Reserve do? Chairmen Benjamin Bernanke has promised to keep its target interest rate near zero at least until unemployment is below 6.5 percent.

The Fed’s chairman, Ben S. Bernanke, said in June that the Fed wanted to end its current round of bond buying around the time the rate hits 7 percent, which he predicted would happen by the middle of next year. That prediction is looking conservative, suggesting the Fed could start tapering when its policy-making committee meets in September.

But Fed officials have cautioned that they want unemployment to fall because people are finding jobs, not because they’re leaving the labor force. And by broader measures, the job market remains weak. Growth is sluggish – just a 1.4 percent annualized pace in the first half of the year – and the share of American adults with jobs has actually fallen since the recession ended.

So the decision is unlikely to be clear-cut, particularly because Fed officials are divided about the benefits and the costs of the bond-buying campaign.

And the decision is not going to be made this week. Officials will see six more weeks of economic data, including one more jobs report.

I’m not all that well versed in economics but it seems fairly clear that there needs to be a huge influx of investment into the economy. Since it doesn’t appear to be coming from the private sector, which is more concerned about profits than quality job creation, then it need to start coming from the government. The likelihood of that happening any time soon is still rather grim.

In the week’s Up segment of “What We Now Know,” host Steve Kornacki and guests Krystal Ball, MSNBC’s “The Cycle”; Rick Wilson, Republican media consultant; Evan McMorris-Santoro, White  House reporter, BuzzFeed.com; and Nia-Malika Henderson, National Political Reporter, The Washingtoacn Post, discuss what they have learned this week.

Cory Booker’s Iowa Scheduling Snafu

by Ben Jacobs, The Daily Beast

Cory Booker isn’t going to Iowa after all.

Booker, the Newark, New Jersey, mayor who is currently a candidate in New Jersey’s special election for the United States Senate, had signed a contract on May 21 to speak at the University of Iowa, according to a university spokesman. The event would take place on August 29 as part of the University’s Welcome Back Week at the beginning of the academic year. He said the event was booked through the speaker’s agency that represented Booker after a committee of students and faculty invited him to speak in early May.

However, Booker campaign spokesperson Silvia Alvarez told The Daily Beast that a visit to Iowa “was not on Booker’s schedule” and said she had no idea how the event ended up on the university’s website.

Documents Show Thatcher-Reagan Rift Over U.S. Decision to Invade Grenada

by Stephen Castle, The New York Times

LONDON – Thirty-year-old documents newly released by the British government reveal just how severely America’s decision to invade the Caribbean island of Grenada in 1983 tested the warm ties between Prime Minister Margaret Thatcher and President Ronald Reagan.

While the two leaders had a strong and affectionate personal rapport, the British official papers reveal how little warning Mrs. Thatcher was given about the pending military invasion, a move that left the British irritated, bewildered and disappointed. They also show how Mr. Reagan justified the secrecy as a way to prevent leaks, and how the British later concluded that the invasion had in fact been planned long in advance. At one point during tense written exchanges, both leaders claimed, in defense of their opposing approaches to the unrest in Grenada, that lives were at stake.

Cross posted from The Stars Hollow Gazette

The US is very disappointed with Russia. Russia has granted Edward Snowden temporary asylum for one year and he has left the airport for an undisclosed location.

Edward Snowden asylum: US ‘disappointed’ by Russian decision

by  Alec Luhn in Moscow, Luke Harding, and Paul Lewis in Washington, The Guardian

White House says Moscow should hand back whistleblower and hints Barack Obama might boycott Vladimir Putin meeting

White House spokesman Jay Carney said the US was “extremely disappointed” by the decision, almost certainly taken personally by President Vladimir Putin. He said Moscow should hand Snowden back and hinted that Barack Obama might now boycott a bilateral meeting with Putin in September, due to be held when the US president travels to Russia for a G20 summit. [..]

With US-Russian relations now at a cold war-style low, Snowden slipped out of Sheremetyevo airport on Thursday afternoon. His lawyer, Anatoly Kucherena, said Russia’s federal migration service had granted him temporary asylum for one year. Snowden had left the airport to stay at an undisclosed location with expatriate Americans, he added.

Putin made no immediate comment. But having weighed Russia’s options for some weeks, he appears to have decided that Snowden’s propaganda value outweighs any possible US repercussions. Obama’s already floundering attempts to “reset”, or improve, relations with Moscow are in effect over.

Back on Capitol Hill, senators from both sides of the aisle expressed their dismay over intelligence disclosures of NSA policies.

US senators rail against intelligence disclosures over NSA practices

by Spencer Ackerman, The Guardian

Officials say bulk phone records collection was not ‘the most important tool’ – contradicting previous statements to Congress

Two senators said they now planned to introduce new legislation before the August recess that would significantly transform the transparency and oversight of the bulk surveillance program. The chairman of the committee has already advocated for ending the bulk phone records collection and plans his own legislative push to shut it down.v[..]

Patrick Leahy, a Vermont Democrat and chairman of the Senate judiciary committee, said: “We need straightforward answers, and I’m concerned we’re not getting them.”

Leahy, joined by ranking Republican Chuck Grassley of Iowa, criticised director of national intelligence James Clapper for making untruthful statements to Congress in March about the bulk phone records collection on Americans, and NSA director Keith Alexander for overstating the usefulness of that collection for stopping terrorist attacks.

Grassley called Clapper’s recent apology to senator Ron Wyden and the intelligence community “especially disturbing”.

The Guardian’s Spencer Ackerman and investigative reporter James Branford joined Amy Goodman on Democracy Now! to discuss these latest developments.

Testifying before the Senate on Wednesday, National Security Agency Deputy Director John Inglis conceded that the bulk collection of phone records of millions of Americans under Section 215 of the USA PATRIOT Act has been key in stopping only one terror plot – not the dozens officials had previously said. Ahead of Wednesday’s Senate hearing, the Obama administration released three heavily censored documents related to its surveillance efforts, but the White House has refused to declassify the legal arguments underlying the dragnet or the original rulings by the U.S. Foreign Intelligence Surveillance Court, on which the released order to collect phone records was based. Meanwhile, the head of the NSA, General Keith Alexander, was repeatedly interrupted by critics of government surveillance in a speech Wednesday before the Black Hat conference, a gathering of hackers and cybersecurity professionals in Las Vegas.

How fast the US is fast becoming the 21st century;s Soviet Union.

Cross posted from The Stars Hollow Gazette

As a hearing on reining in the secret surveillance program was taking place, another “tool” in the NSA’s collection of on-line data was revealed to the public.

Senate Panel Presses N.S.A. on Phone Logs

by Charlie Savage and David E. Sanger, The New York Times

Senators of both parties on Wednesday sharply challenged the National Security Agency’s collection of records of all domestic phone calls, even as the latest leaked N.S.A. document provided new details on the way the agency monitors Web browsing around the world.

At a Senate Judiciary Committee hearing, the chairman, Patrick J. Leahy, Democrat of Vermont, accused Obama administration officials of overstating the success of the domestic call log program. He said he had been shown a classified list of “terrorist events” detected through surveillance, and it did not show that “dozens or even several terrorist plots” had been thwarted by the domestic program.

“If this program is not effective it has to end. So far, I’m not convinced by what I’ve seen,” Mr. Leahy said, citing the “massive privacy implications” of keeping records of every American’s domestic calls.

XKeyscore: NSA tool collects ‘nearly everything a user does on the internet’

by Glenn Greenwald, The Guardian

• XKeyscore gives ‘widest-reaching’ collection of online data

• NSA analysts require no prior authorization for searches

• Sweeps up emails, social media activity and browsing history

• NSA’s XKeyscore program – read one of the presentations

A top secret National Security Agency program allows analysts to search with no prior authorization through vast databases containing emails, online chats and the browsing histories of millions of individuals, according to documents provided by whistleblower Edward Snowden.

The NSA boasts in training materials that the program, called XKeyscore, is its “widest-reaching” system for developing intelligence from the internet.

The latest revelations will add to the intense public and congressional debate around the extent of NSA surveillance programs. They come as senior intelligence officials testify to the Senate judiciary committee on Wednesday, releasing classified documents in response to the Guardian’s earlier stories on bulk collection of phone records and Fisa surveillance court oversight.

The files shed light on one of Snowden’s most controversial statements, made in his first video interview published by the Guardian on June 10.

“I, sitting at my desk,” said Snowden, could “wiretap anyone, from you or your accountant, to a federal judge or even the president, if I had a personal email”.

US officials vehemently denied this specific claim. Mike Rogers, the Republican chairman of the House intelligence committee, said of Snowden’s assertion: “He’s lying. It’s impossible for him to do what he was saying he could do.”

But training materials for XKeyscore detail how analysts can use it and other systems to mine enormous agency databases by filling in a simple on-screen form giving only a broad justification for the search. The request is not reviewed by a court or any NSA personnel before it is processed.

XKeyscore, the documents boast, is the NSA’s “widest reaching” system developing intelligence from computer networks – what the agency calls Digital Network Intelligence (DNI). One presentation claims the program covers “nearly everything a typical user does on the internet”, including the content of emails, websites visited and searches, as well as their metadata.

Analysts can also use XKeyscore and other NSA systems to obtain ongoing “real-time” interception of an individual’s internet activity.

All In host Chris Hayes talks about the new efforts at transparency and the latest NSA revelations courtesy of Edward Snowden with Senator Richard Blumenthal (D-CT) and Glenn Greenwald of The Guardian.

With the crackdown on whistleblowers and failure to pursue the crimes they revealed, one wonders just how far is the US from becoming the Soviet Russia of the 21st century.