Both Boeing and the New York Fed Have Been Hiding Dangerous Truths from the American People

Ed.'s note: The planned collapse of Boeing. What else can the conclusion be as the American empire comes to an end?

News update for 10 January 2019: 'Designed by clowns and supervised by monkeys': Senate investigation into Boeing air disasters reveals what employees thought of 737-MAX
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Source: Wall Street On Parade

By Pam Martens and Russ Martens: January 10, 2020 ~

New York Stock Exchange Trading Floor

The design of the Boeing 737 Max and the Wall Street banking system are both dangerously flawed. The 737 Max has been grounded for almost 10 months following two airline crashes that killed 346 people. The Wall Street banking system, which crashed in 2008 and spread its wreckage into the lives of millions of Americans with job losses, home foreclosures, and trillions of dollars in lost savings is still being allowed to operate on a wing and a prayer.

In the case of the Boeing 737 Max, Congress did not know beforehand that dangerous problems existed. In the case of the Wall Street banking system, Congress has had repeated warnings since 2012 of systemic dangers that it has simply chosen to ignore under heavy Wall Street lobbying pressure and the allure of tens of millions of dollars in political campaign funding.

Yesterday, Boeing turned over a trove of internal emails, instant messages and documents describing the 737 Max that were eerily reminiscent of the well-documented culture on Wall Street. Among the internal comments were these:

"This airplane is designed by clowns, who in turn are supervised by monkeys."

"I'll be shocked if the FAA passes this turd."

"This is a joke. This airplane is ridiculous."

"Jesus, it's doomed."

"Would you put your family on a MAX simulator trained aircraft? I wouldn't."

Had these emails made it into the public domain prior to March of 2019, 346 lives might have been saved. A 737 Max flown by Ethiopian Airlines Group crashed minutes after takeoff on Sunday, March 10, killing all 157 people on board. The March crash followed a similar crash on October 29, 2018 by a Lions Air flight in Jakarta, Indonesia that killed all 189 people on board when it plunged into the sea shortly after takeoff.

The initial reaction of the Federal Aviation Administration (FAA) following the second deadly crash in less than five months was reminiscent of the typical hubris by Wall Street’s regulators.

Instead of immediately grounding the plane, on Monday, March 11, the FAA told international airlines that the 737 Max remained airworthy. That same day, however, both the Civil Aviation Administration in China and Indonesia regulators grounded the 737 Max in their countries.

On Tuesday, March 12, in a major embarrassment to the FAA, the European Union Aviation Safety Agency grounded the 737 Max across Europe. The ban included suspending all foreign airlines from operating the jet into, within, or out of the European Union. Europe, apparently, did not trust the plane to fly over its cities, buildings or people.

On Wednesday, March 13, Canada banned the 737 Max planes, citing similarities between the Ethiopian and Lion Air crashes. There were 45 countries that had banned the plane before the FAA decided to act on March 13.

Following the epic crash on Wall Street in the fall of 2008, when century old financial institutions collapsed in a heap, hundreds of thousands of documents were obtained by both the Financial Crisis Inquiry Commission (FCIC) and the U.S. Department of Justice. The documents clearly demonstrated that insiders within these Wall Street trading houses were knowingly committing vast frauds against the American people. So confident were these miscreants on Wall Street that their actions would crash the whole U.S. financial system that they placed billions of dollars in short derivative bets (a wager that grows in value when an investment instrument declines in price).

But Wall Street was very clever. It made sure that the report from the Financial Crisis Inquiry Commission and the charges and documents from the Justice Department were not made public until after Congress had passed the toothless Dodd-Frank financial reform legislation in 2010.

The public didn’t see the FCIC report until January of 2011. The Government Accountability Office (GAO) didn’t release its audit showing that the Federal Reserve had funneled a cumulative $16 trillion to shore up these corrupt Wall Street institutions until July of 2011. Even the GAO report did not cover all of the bailout funds sluiced to Wall Street by the Federal Reserve to resuscitate a failed and corrupt business model. When the Levy Economics Institute added it all up, it came to over $29 trillion – to resuscitate a failed and corrupt business model with no hope of avoiding a future crash.

Please go to Wall Street On Parade to read the entire article.
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