TY Billy. The humorous thing about this post
is that during the 90's and early this century, the previous administration, through the IRS and SEC oversaw and allowed the largest corporate & stock market fraud in history. The administration at the time appointed and/or oversaw the IRS and SEC.
When has the IRS allowed anyone or any company to get away with anything? Never...until late last decade and early this century.
By directing and looking the other way while company after company overinflated their earnings, many benefits to the government, corporate officers and polotical parties resulted.
The result was a growth ecomony created by paper only per the compliance of the previous administration, SEC and IRS.
By allow this, phony profits led to a bubble burst which cost jobs and worse.
Why do you think a surplus occurred? It was bogus because of the fraud being allowed to occur. Oh, the numbers looked good, but the tax intake was based on higher taxes being paid from these bogus overinflated profits.
Think about it. If you are mega-company XYZ, Inc and overinflate your profits by millions and in some cases tens or hundreds of billions of dollars, the taxes your company paid to the government was also higher based on your phony overinflated numbers. You as the corporate executive win because of the bogus windfall you created for yourself. The government wins because it was NOT JUST YOUR COMPANY, but as we saw, hundreds and thousands of companies had to restate their earnings when the new administration came into office. Thus, these hundred and thousands of companies were paying higher taxes to the government based on their bogus high earning. Finally, the workforce in the 90's was created based on this lie, and the taxes these workers paid also reflected in bogus increaed tax revenues.
People wonder why the surplus eroded. There never was one to begin with. The bogus profits and paper workforce artifically created a higher tax intake.
FURTHER, ok, all of these companies had to restate their earnings. As it turns out, 90-100% of them had much lower earnings and even losses during these same periods when they were reporting bogus profits. (thanks to the plan and complance of the previous administration, IRS and SEC). Since they paid much higher taxes when they were reporting large bogus net incomes, did the government pay these companies back the amount they were overtaxed during the bubble? If the companies all paid higher taxes during the bubble, and had to restate their earnings, the government should have rightly paid them back the amount these companies overpaid. It's funny how the answer to this has been obscured.
Like I say, the companies did not care that they were paying higher taxes or being overtaxed. All they had to do is keep the bogus rosey quarterly reports coming and all was fine for them.
Now we have USCA, who has pretty much documented through pr's their London based financing agreement, investor support, JV partner's and alliances, no dillution, filed and honest 10Q in it's last filing, has advanced their business model through good deals and negociations...and the SEC has halted trading??
The SEC?? Compliance organization of the above? The same organization who allows MM's to manipulate the market day in and day out?
The MM's targeting USCA and CMKX must be scared out of their wits at any announcement this weekend or in the near term. Is it any surprise that the compliant SEC has their sympathy?
Give me a break
