Money Illusions - Timebomb
Verizon Communications is Americas largest locally owned phone
company. In March 2002 Verizons end of year report showed a very
strong 2001 performance, a profit of around US$389 million. That
was until investigators looked into some of the small print
within the document to find US2.7 billion from its pension funds
had been reported earnings. "The company pension fund actually
lost US$3,1 billion in 2001, a footnote on page 58 of the 68-page
report revealed..."(1) Creative accounting rules have allowed
companies to artificially increase stock prices.
In the money world which relies heavily on confidence, these
‘phantom earnings’ are more than a bit of a worry.
Does the name Enron mean anything to you? – A Corporate
corruption case which sent the US stock market spiralling
downward, having more negative impact on the US economy that
"New York – US prosecutors have charged foreign exchange
traders at UBS, J.P. Morgan and 16 other firms with cheating
thousands of investors through sham or rigged currency trades in
the US$1,2 trillion-a-day (NZ$1,9 trillion) currency market..."
Many thousands of ‘ordinary citizens’ have lost
their life savings in recent corporate scandals, and financial
experts are quietly muttering that the corruption which has been
reported to date is merely the tip of the iceberg, signalling
that we are rapidly approaching a serious day of reckoning.
Bible prophecy tells us of a time not too far hence when the
whole financial system of the world will dramatically change.
Electronic surveillance and accounting transparency will be made
compulsory - through a controlled cashless society. Initially,
the general populous will buy into it as it will seem to be a
proactive step in dealing with financial fraud, scandal and
(1). NZ Weekend Herald "Account massaging a ticking timebomb"
(2). NZ Herald "Prosecutors swoop on currency traders"