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Authored by Josh Stylman via The Brownstone Institute,

We live in a world where every essential human need—money, food, health, education, and even information—is controlled and manipulated by artificial systems. This matrix of artifice began with central bankers creating fiat currency: declaring something’s value, enforcing its use, and creating dependency. This template manufactured scarcity where none naturally exists, ensuring reliance on their systems. We see this pattern everywhere: money created from nothing yet always in short supply, abundant food made artificially scarce, natural healing rebranded as ‘alternative,’ wisdom replaced by credentials.

The Money Matrix

The Federal Reserve conjures currency through debt monetization, each new dollar stealing value from every existing one. Through inflation, they silently rob almost all of your savings, turning your productive energy into their power. In 1913, a solid month’s work could buy a fine suit. Today it barely covers a week’s groceries. The labor didn’t change—the money did. Fiat currency itself is a kind of enforced dependency. Since the gold standard was abandoned in 1971, there has been no limit on their monetary manipulation.

This isn’t just about currency—it’s about energy harvesting. Banks create money through keystrokes, then demand repayment in real human time and labor. When the Fed printed $6 trillion in 2020, they didn’t create value—they diluted every dollar in your savings account. It’s modern financial alchemy: transforming your productivity into their power. As Brownstone’s Jeffrey Tucker aptly puts it, ‘The Federal Reserve is the engine of one of the most sophisticated forms of theft in the history of mankind.’

As central banks race to implement Central Bank Digital Currencies (CBDCs), promising convenience while building the architecture for total financial surveillance, the endgame becomes clear. Hard money—constrained by natural or mathematical limits—can’t be summoned into existence. Gold and silver face physical extraction constraints. Bitcoin is hard-capped at 21 million coins. Land cannot be added to the map. Even these aren’t perfect, but they share one critical feature: they cannot be created like monopoly money by central planners. These limitations mean true value is earned, not fabricated, which is why they’re attacked—they can’t be inflated away.

Just as the financial system shapes our economic reality through artificial scarcity, the information landscape engineers our perception through concentrated control.

The News Nexus

Six corporations control 90% of media outlets, down from 50 companies in 1983. Further exacerbating this consolidation, it’s not about false stories—it’s about manufacturing false reality and engineering social division. Fiat currency has created a fiat news system, where the same principles apply: declare something, repeat it, enforce it, and it enters the consciousness of the masses. The illusion of media choice masks concentrated ownership: BlackRock and Vanguard are top shareholders in every major media company (incidentally, they own the major banks too). The same firms own shares in defense contractors, pharmaceutical companies, and the very corporations making headlines.

As former CBS News president Richard Salant admitted, “Our job is to give people not what they want, but what we decide they ought to have.”

By slicing society into endless opposing camps—left vs right, black vs white, vaxxed vs unvaxxed—they ensure people keep fighting each other instead of looking up to see who’s pulling the strings.

This isn’t simply about silencing dissent but shaping belief. Remember how quickly “Trust the science” became “Don’t question authority”? How “Two weeks to flatten the curve” became two years of shifting goalposts? Even the most trusting citizens began noticing the narrative management.

The Information Factory doesn’t just control what you see—it shapes how you think about what you see. Content curation algorithms create echo chambers while coordinated messaging manufactures the illusion of consensus. Media outlets are owned by corporations dependent on government contracts and regulated by the agencies they report on. When you follow the money—from pharmaceutical ads to defense contractor ownership—you see that they’re not reporting on the system; they are the system.

The manipulation of information serves as a precursor to perhaps the most devastating expression of centralized power—the machinery of endless war.

The Banker’s War Machine

War is the ultimate racket, and bankers have perfected it since the Napoleonic Wars. Create the conflict, fund all participants, profit from the destruction, and then finance the reconstruction. The same financial interests collect blood money regardless of who “wins.”

The military-industrial complex needs endless enemies to justify endless spending. When one boogeyman falls, they manufacture another. They don’t sell weapons—they sell fear. Each missile launched represents schools not built, hospitals not funded, communities not supported. The people always pay, while bankers collect the dividends.

They call it “foreign policy”—it’s really population control and resource theft. They destroy independent nations that dare create their own money systems or trade outside their control while calling it “spreading democracy.” Young people die in foreign lands while suit-wearing vultures redraw maps around oil fields and trade routes. Look at Ukraine: BlackRock is already planning the “reconstruction,” buying up land and resources while people die. 

While physical warfare destroys bodies, the credentialing system wages a quieter battle for minds, determining who can speak with authority and what truths are deemed acceptable.

The Credential Cartel

We’ve created a class of experts who mistake institutional approval for wisdom. The average medical student graduates with $241,600 in debt—how likely are they to challenge a system they’re indebted to? Fiat education produces fiat expertise, reliant on institutional validation instead of true understanding. Studies show that medical education frequently emphasizes pharmaceutical interventions, while lifestyle and dietary approaches receive comparatively little attention. When PhDs questioned lockdown policies, they were silenced while social media companies became overnight “public health experts.

The student loan crisis reveals the scam: $1.7 trillion in debt while real wages for graduates have stagnated. Real expertise comes from results, not degrees. A farmer who grows nutrient-dense food understands health better than many nutritionists. A mechanic who fixes engines grasps complex systems better than many economists. Theory without practice is just sophisticated guessing. Their degrees don’t measure intelligence—they measure obedience. The longer you stay in their system, the harder it becomes to see beyond it.

The same institutional capture that turns education into indoctrination extends into healthcare, where healing wisdom is replaced by patented interventions.

The Medical Matrix

They’ve transformed medicine from healing art to subscription service. Purdue Pharma made $35 billion selling OxyContin while calling addiction “pseudoaddiction” requiring higher doses. The FDA approves synthetic THC while natural plants are federally illegal, despite legalization in some states. The difference? One can be patented. Here again, fiat principles: replace the natural with the engineered, at a steep price. 

The corruption is measurable: The pharmaceutical industry has faced substantial financial penalties over the past two decades due to various legal violations. Among the most significant cases are:

• Pfizer: $2.3 billion in 2009, for illegal marketing of prescription drugs.
• Johnson & Johnson: $2.2 billion in 2013, for promoting drugs for unapproved uses and providing kickbacks.
• GlaxoSmithKline: $3 billion in 2012, for the illegal marketing of drugs and failing to report safety concerns. Collectively, these settlements contribute to a broader total of over $122 billion in penalties imposed on pharmaceutical companies since 2000. Yet, these fines are just a cost of doing business—a small price to pay in exchange for untouchable influence over human health. Meanwhile, insulin costs have risen 1,200% since 1996 despite no significant changes to this century-old drug.

These same companies now claim exclusive authority over human health, hooking children on SSRIs instead of teaching them to process emotions naturally. Natural healing—through sunlight, clean food, movement, and rest—gets labeled “alternative” while synthetic drugs become standard care. Your body’s innate healing power becomes suspect while their patented molecules become essential. Our bodies know how to recover when we remove the obstacles.

The medicalization of health represents just one front in a broader war against natural systems—one that extends to our most basic needs for nourishment.

The War on Natural Vitality

Look at their war on our most nutrient-dense traditional foods: They demonize meat and butter—the very foods that built our brains and sustained humanity for millennia. Dr. Weston Price’s extensive research of indigenous populations in the 1930s documented zero instances of modern chronic diseases among groups eating their traditional diets, finding rates of dental caries less than 1% and virtually no heart disease. Yet they push processed soy patties and lab-grown protein while attacking regenerative grazing that could heal our planet.

Raw milk, nature’s perfect food, becomes “dangerous” the moment it leaves the cow. Despite regulatory opposition, demand has surged, with buying clubs and small farmers facing scrutiny and even armed raids for selling fresh milk. This once-simple food choice has turned political, embraced by those questioning government authority, while ultra-processed ‘milk alternatives’ made from water and seed oils flood supermarket shelves.

Even the sun, the source of all life on Earth, has been turned into an enemy. Instead of teaching proper sun exposure for optimal vitamin D, they push chemical sunscreens that disrupt hormones and poison coral reefs.

As our connection to natural systems is severed, we’re ushered into an artificial realm that promises connection while delivering isolation.

The Digital Prison

The path to our current isolation was carefully engineered. First, they separated us physically—”Just stay 6 feet apart.” Then they confined us—”Just stay home.” Finally, they sold us the ultimate fiat substitute: the metaverse—where digital avatars replace human touch. Ironically, as social connection grows artificial, real human presence becomes rarer.

As someone who spent two decades as a technologist, I know these tools are powerful and should be universally accessible to all. The issue isn’t technology itself—it’s whether it’s deployed to centralize or decentralize power. Like electricity, which can power a community or an electric fence, digital tools can either connect and empower people or surveil and control them. The question isn’t the technology—it’s who controls it and how it’s used.

We’ve become alone together—constantly surrounded yet deeply alone. Meta’s own research shows Instagram makes body image issues worse for 32% of teen girls. Average screen time has skyrocketed to over 7 hours daily in 2023, while rates of depression doubled. We broadcast our lives to strangers while avoiding eye contact with neighbors. We share our deepest thoughts with algorithms while struggling to have real conversations. We’re drowning in communication while starving for communion.

Yes, virtual worlds can be fun escapes—there’s joy in games and digital play. But the metaverse isn’t just entertainment—it’s an attempt to replace reality itself with an artificial construct they control. A thousand TikTok friends can’t replace one real conversation. A million likes can’t substitute for one genuine hug.

We’re bioelectric beings who literally resonate with each other. Human proximity affects our:

• Heart rate variability

• Brain wave patterns

• Hormone production

• Immune system function

• Emotional well-being

They fear real human connection because it breaks their control matrix. When people gather, share stories, and exchange energy, the programming breaks down.

The Path to Liberation

The implementation starts locally: If you live in an urban area, join or start a food-buying club. If you have access to farmers, buy directly from them. Create a neighborhood skill-sharing network where people teach what they know—from food preservation to basic repair skills. Start a community garden or join an existing CSA. Build relationships with like-minded neighbors. Each small step builds resilience and weakens dependency on artificial systems.

The beautiful truth is that every artificial system has a natural counterpart that sets us free. Artificial systems rely on your participation, belief, and, ultimately, obedience. Their money only has value if we believe in it. Their authority only has power if we accept it. Their narratives only work if we consume them.

The solution isn’t complex:

• Build real friendships
• Share real meals
• Have real conversations
• Create real community
• Exchange real value
• Trust natural law

No one returns to fiat systems once they’ve experienced the real thing. You don’t go back to processed food after tasting nature’s abundance. You don’t trust fiat currency once you understand sound money. You don’t accept artificial authority once you’ve found your own sovereignty.

The revolution isn’t coming—it’s here. Every garden is a rebellion against their food system. Every bitcoin is a rebellion against their money system. Every real conversation is a rebellion against their control system. Every home cook is a rebellion against their processed food empire. Every parent teaching real history is a rebellion against their education system. Every local market is a rebellion against their corporate monopolies. Every neighborhood gathering is a rebellion against their isolation agenda.

Our ancestors thrived without fiat systems. Our descendants will view this artificial era as a dark age of manufactured limitation. The transition back to natural law isn’t just possible—it’s inevitable. Truth doesn’t need enforcement. Reality doesn’t need decree.

Your DNA remembers what your mind was programmed to forget. Freedom isn’t granted by authority—it’s your natural state.

What real thing will you choose today?

Archegos Capital founder Bill Hwang was sentenced to 18 years in prison for fraud and market manipulation linked to the 2021 collapse of his $36 billion family office today.

The sentence, handed down by US District Judge Alvin Hellerstein in New York, was less than the 21 years prosecutors requested. Hwang’s lawyers had argued for no prison time, according to Bloomberg.

The judge said during sentencing: “The amount of losses that were caused by your conduct are larger than any amount of losses I’ve deal with as a judge.”

Bloomberg wrote that during Wednesday’s hearing, Judge Alvin Hellerstein signaled he would impose a harsh sentence on Bill Hwang, dismissing his request for no jail time as “utterly ridiculous”.

Comparing Hwang to FTX founder Sam Bankman-Fried, who received 25 years for fraud, Hellerstein questioned: “What was worse? Mr. Bankman-Fried’s fraud or Mr. Hwang’s fraud?”

Hwang’s lawyer, Dani James, adjusted her request to a four-to-five-year sentence, citing his charitable work and modest lifestyle, though the judge was skeptical, noting his luxury apartment in Hudson Yards. Hwang briefly expressed regret, thanking supporters and asking for a sentence that would allow him to continue serving society.

Prosecutor Andrew Thomas called for a tougher sentence, highlighting Hwang’s prior insider trading conviction with Tiger Asia in 2012. The judge acknowledged Hwang’s history and dismissed claims that his actions at Archegos didn’t directly cause banks’ losses.

Bloomberg noted that Archegos’ case stood out as the victims were mainly Wall Street banks. Hwang’s lawyers argued the banks knowingly took risks for lucrative fees, but Judge Hellerstein barred a “blame the victim” defense, a key issue in Hwang’s planned appeal.

The jury found Hwang misled banks about Archegos’ holdings, claiming large stakes in tech giants like Apple and Microsoft, while actually concentrating in a few illiquid stocks like ViacomCBS.

As Reuters noted earlier this year, Archegos faced crippling margin calls in March 2021 due to falling stock prices. This, in turn, led to significant losses for Archegos and its lenders, including Credit Suisse and Nomura Holdings.

Hwang and CFO Patrick Halligan, charged with racketeering conspiracy and multiple counts of fraud and market manipulation, had pleaded not guilty.

At trial, they contested the prosecutors’ claims of market manipulation, which some legal experts viewed as a challenging case for the government.

Hwang was arrested in April 2022 and charged with racketeering conspiracy, securities fraud and wire fraud in connection with a scheme to manipulate the share prices of public companies in order to boost profits. He was then released on $100 million bail. 

According to the 40-page indictment, Hwang engaged in a “fraudulent scheme” that included “interlocking deceptive acts and misconduct, through false and misleading statements to security-based swap (“SBS”) counterparties and prime brokers and manipulative trading designed to artificially move the market, which, in tandem, increased Archegos’s assets under management from around $4 billion to over $36 billion in just under six months.”

Authored by Neetu Arnold via RealClearPolitics,

The 2024 election season featured an unprecedented number of Asian Americans, from Vivek Ramaswamy’s rise in the Republican primary to soon-to-be second lady Usha Vance, to the Democratic candidate herself, Kamala Harris. Just a few years ago, this would have been a cause for celebration on the political left: Asian Americans have reliably voted for Democrats for decades. But the election results revealed that racial and ethnic minorities are not as loyal to the Democratic Party as previously believed. Much like Hispanics, Asian American voters made a major shift to the right.

Nationally, 2020 and 2024 exit polls from the Washington Post show a 9-point shift to the Republicans in the presidential race among Asian American voters relative to 2020. In some states, such as Nevada and Texas, the polls suggest that Trump won the Asian American vote outright. The NBC News exit poll found a 5-point shift to the right nationally among Asian Americans relative to 2020. And in their survey of Asian American voters prior to the election, Asian Americans Advancing Justice saw a 7-point shift away from the Democrats relative to 2020.

Exit polls are far from perfect measures of voting behavior, though. A spokesperson for APIAVote, a group that focuses on encouraging Asian American political engagement, pointed out when asked for comment that the exit polls may not be a “representative sample of the Asian American electorate.” For instance, the exit polls were not conducted in any Asian languages, which would preclude some Asian American voters with poor English skills from participating.

My analysis of precinct-level voting data in four major urban areas shows that the exit polls may actually be understating the degree to which Asian Americans shifted to the right. Using census data, I identified majority-Asian precincts in these areas and compared the Republican margin of victory (or loss) between the 2024 and 2020 elections. The results are much more stark: Majority-Asian precincts in New York City, for instance, saw a rightward shift of 31 percentage points. Precincts in Dallas and Fort Bend counties in Texas both saw rightward shifts between 17 and 20 points. And precincts in Chicago saw a 23-point shift to the right.

If the rightward shift among Asian American voters is real and significant, what is behind it?

When asked, neither APIAVote nor Asian Americans Advancing Justice were able to provide an explanation. But several Republican-leaning Asian American voters I spoke with were not surprised by the shift.

“I had so many [South] Asians, who are registered Democrats, let me know specifically that they voted for TRUMP this year,” South Asian Coalition Chairwoman for New Jersey’s Republican Party Priti Pandya-Patel said. “I believe most were always ‘closet Republicans’ and now they are starting to come out.”

The economy

The voters I spoke with repeatedly mentioned a few key reasons why they and others they knew voted for Trump this election. The first was a dissatisfaction with the Democrats’ handling of the economy, particularly inflation.

“Many of us expressed discontent towards Biden’s energy policies that skyrocketed the costs of grocery prices and gas prices,” Nevada voter Lisa Noeth said. “Las Vegas specifically is like an island in the middle of the desert, the increase of fuel costs trickled down to the pockets of consumers at the grocery stores with goods being transported from California to Las Vegas.”

Rudy Pamintuan, chief of staff for Nevada’s lieutenant governor, said inflation was tough on Asian American entrepreneurs. “Many households had to take an extra part-time job to make ends meet.”

The data backs up Noeth and Pamintuan’s perceptions. John Yang, president and executive director of Asian Americans Advancing Justice, said economic-related concerns, healthcare, and housing costs were some of the top issues the organization found in its 2024 survey of Asian Americans. And a July AAPI Data survey indicated that Asian Americans thought Republicans had a slight edge on handling inflation over Democrats.

Public safety

While voters across all racial and ethnic lines felt the impacts of inflation, Asian Americans grew dissatisfied with poor Democratic leadership on crime and safety in major cities. As disorder grew after the pandemic, Asian Americans soured on Democrats as they watched their quality of life decrease. Asra Nomani, author of “Woke Army,” said many Asian Americans felt “unprotected amid rising violence and harassment.”

In New York City, a 2023 survey found substantial portions of Asian Americans adopted some kind of “avoidance behavior” to deal with crime – 48% avoided going out late at night, and 41% avoided taking public transportation. Meanwhile, Democrat-run city governments have taken more relaxed approach to handling crime, even spending thousands of dollars to protect criminals by humanizing them as “justice-impacted individuals.”

“You only understand what you signed up for after they [Democrats] win and you have to put up with crime and squalor,” Pennsylvania voter Teesta Dasgupta said.

Asian Americans increasingly oppose soft-on-crime policies. The majority of Asian Americans in California supported the passage of Proposition 36, which imposes harsher penalties for certain types of crimes. A disproportionate Asian American voter base also recalled former San Francisco District Attorney Chesa Boudin, who infamously declined to prosecute the murder of an elderly Thai immigrant as a hate crime and instead chalked it up to a “temper tantrum” of the perpetrator.

‘Wrong side of brown’

Asian American voters also told me that they were turned off by the Democrats’ racial equity policies. The Democratic Party heavily leaned into racial equity following George Floyd’s death and the riots that followed in 2020. Democrats made bold promises to reduce racial disparities in economic and other outcomes, arguing that current racial disparities are the result of decades of systemic discrimination that must be addressed. However, race-conscious policies like affirmative action often ended up pitting Asian Americans against other minority groups. For many Asian Americans, they end up on the “wrong side of brown,” as Nomani puts it.

Noeth told me that Asian American parents were “fed up” with affirmative action policies in school admissions. Sue Ghosh Stricklett, a former Trump administration appointee, said the Harvard affirmative action case and the removal of merit-based admissions at Thomas Jefferson High School in Virginia both “ignited passionate activism” among Asian American parents. In Fairfax County, Virginia, Thomas Jefferson High School for Science and Technology changed its merit-based admissions policy in a bid to “decrease the representation of Asian Americans” in favor of other racial minorities.

“The injustice of being labeled as ‘privileged,’ ‘selfish,’ ‘cheaters,’ ‘overrepresented,’ ‘white adjacent,’ and ‘resource hoarders’ hurt very deeply,” Nomani, who is also a parent of a Thomas Jefferson graduate, said. It led to “political mobilization and a reconsideration of long-standing political loyalties.”

Is this a permanent shift?

According to the Asian Americans I spoke with, many factors will determine if the momentum remains.

Kenny Xu, author of “An Inconvenient Minority,” believes the growth to the right is limited.

“There is a definite ceiling in Asian American rightward support due to their highly educated demographics, and the tendency of highly educated people to vote Left.”

Dasgupta believes growth is dependent on messaging.

“If Dems move to the center, Asian Americans stay where they are right now but if the allegiance to gender ideology and soft on crime remains then they [Asian Americans] will move right.”

Pamintuan says engagement with Asian American voters “could make a difference between winning or losing” in tight races, particularly at the local level.

Time will tell if Asian Americans will fully shift right. But an alliance is emerging. And both Democrats and Republicans should pay attention.

Neetu Arnold is a Paulson Policy Analyst at the Manhattan Institute and a Young Voices contributor. Follow her on X @neetu_arnold

If you’re trying to implement green energy solutions in Asia, chances are you’re going to need to rely on China one way or another. 

Southeast Asia’s demand for renewable energy is rising, driven by tech manufacturing and data center growth, according to Nikkei. Solarvest, the region’s leading renewable energy provider, plans to capitalize on this boom by increasing imports from China, according to a local manager.

That manager told Nikkei: “We aim to invest more in the next couple of years. Buying equipment and components from Chinese suppliers, who have mastered the supply chain and solar tech, gives us the best opportunity to generate green energy with a price that is low enough to compete against fossil fuels.”

Through its Belt and Road Initiative, Beijing has extended its influence over power infrastructure in countries like Malaysia, Thailand, and Pakistan. However, the U.S. has criticized China for subsidizing manufacturers and underpricing goods, leading to tariffs and trade barriers.

The Nikkei report says that despite U.S. opposition, China maintains an edge with economies of scale and growing climate urgency. Solar energy, seen as the most accessible renewable source, attracted $500 billion in investment in 2024, surpassing all other energy types, according to the International Energy Agency.

Offshore wind projects take over eight years to complete, while solar plants can be built in under two, making solar a faster choice for companies transitioning to renewables, industry leaders told Nikkei.

This urgency is especially pronounced in emerging Asian economies like Malaysia and Thailand, which rely on fossil fuels but aim to attract tech giants like Apple and Google, committed to 100% renewable energy through the RE100 initiative.

China dominates the global solar energy market, housing leading players like Longi Green Energy, Tongwei, and Jinko Solar, as well as the top three inverter makers: Huawei, Sungrow, and Ginlong.

Despite efforts by the U.S. and India to localize production, China is projected to maintain over 80% of global photovoltaic manufacturing capacity by 2030, with its solar products costing 20-30% less than competitors, according to the IEA.

Analysts attribute China’s edge to its economic scale, advanced technology, and cost efficiency. Even as countries impose trade barriers to curb dependence on Chinese products, demand for China’s affordable solar solutions remains strong globally.

Companies like Foxconn highlight that Chinese solar energy rivals fossil fuels in cost, driving its adoption worldwide, particularly in markets eager to expand renewable energy capacity.

China’s dominance in solar wasn’t always guaranteed. In the 2000s, Japanese and Taiwanese firms led the photovoltaic industry, but China’s massive scale and government subsidies allowed it to outpace competitors.

Now, China controls over 90% of the solar supply chain, from polysilicon production to module manufacturing.

Indian billionaire Gautam Adani has been indicted in New York for ‘massive fraud’ and a ‘multi-billion dollar’ bribery scheme, according to multiple reports Wednesday afternoon. 

According to NBC, Gautam Adani and others are accused of paying over $250 million in bribes to Indian officials to secure solar energy contracts expected to yield $2 billion in profits over 20 years. Prosecutors allege Adani personally met with officials as part of the scheme.

Adani, his nephew Sagar Adani, and Vneet Jaain, both Adani Green Energy executives, also face wire and securities fraud charges for misleading U.S. investors and lenders to obtain funding, the U.S. Attorney’s Office in Brooklyn stated.

U.S. Attorney Breon Peace commented: “The defendants orchestrated an elaborate scheme to bribe Indian government officials to secure contracts worth billions of dollars and Gautam S. Adani, Sagar R. Adani and Vneet S. Jaain lied about the bribery scheme as they sought to raise capital from U.S. and international investors.”

A DOJ press release reads: “These offenses were allegedly committed by senior executives and directors to obtain and finance massive state energy supply contracts through corruption and fraud at the expense of U.S. investors.  The Criminal Division will continue to aggressively prosecute corrupt, deceptive, and obstructive conduct that violates U.S. law, no matter where in the world it occurs.” 

“Gautam S. Adani and seven other business executives allegedly bribed the Indian government to finance lucrative contracts designed to benefit their businesses. Adani and other defendants also defrauded investors by raising capital on the basis of false statements about bribery and corruption, while still other defendants allegedly attempted to conceal the bribery conspiracy by obstructing the government’s investigation,” stated FBI Assistant Director in Charge Dennehy.  “The FBI maintains its steadfast mission to expose all corrupt agreements, especially with international governments, and protect investors from related harm.”

The indictment also charges former Azure Power executives Ranjit Gupta and Rupash Agarwal, along with three ex-employees of Canadian investor Caisse de Dépôt et Placement du Québec, with conspiring to violate the Foreign Corrupt Practices Act as part of Adani’s bribery scheme.

U.S. short seller Hindenburg Research issued a report in early 2023 claiming Adani Group conducted a “brazen stock manipulation and accounting fraud scheme over the course of decades.” Hindenburg called Adani Group “the largest con in corporate history”. 

“Today we reveal the findings of our 2-year investigation, presenting evidence that the INR 17.8 trillion (US $218 billion) Indian conglomerate Adani Group has engaged in a brazen stock manipulation and accounting fraud scheme over the course of decades,” the report said in 2023. 

Adani “has amassed a net worth of roughly $120 billion, adding over $100 billion in the past 3 years largely through stock price appreciation in the group’s 7 key listed companies, which have spiked an average of 819% in that period,” the report said. 

Bloomberg provided a quick snapshot of Hindenburg’s main allegations at the time, many of which haven’t even been addressed in this indictment (yet?):

• Identified 38 Mauritius shell entities controlled by Adani’s brother, Vinod Adani, or his close associates plus entities controlled by him in other tax havens.
• The offshore shell network seems to be used for earnings manipulation
• Adani Group has previously been the focus of 4 major government investigations relating to allegations of fraud
• Adani Enterprises and Adani Total Gas Ltd. appear to be audited by a tiny firm, with no current website, only 4 partners and 11 employees which has audited just one other listed firm
• The auditor “hardly seems capable of complex audit work” when Adani Enterprises alone has 156 subsidiaries and many more joint ventures.

Hindenburg’s report initially led to a $50 billion selloff in Adani’s corporate empire. Adani, in response, called Hindenburg’s short report “bogus” and threatened legal action. At the time, Adani Group’s legal team released a statement that said it was exploring legal action against Hindenburg for its “maliciously mischievous, unresearched” report.

Then, Dan McCrum, famous for helping unveil the fraud at Wirecard, followed up in late 2023 stating Adani “appears to have imported billions of dollars of coal at prices well above market value”.

Adani called McCrum’s article a “renewed attempt” by the paper to “rehash old and baseless allegations to tarnish the name and standing” of the company. At the time they denied any wrongdoing and said the story was based on an “old, baseless allegation”, and is “a clever recycling and selective misrepresentation of publicly available facts and information”.

“Adani is attacking journalist Dan McCrum at the Financial Times (FT) over an upcoming article,” Hindenburg’s Anderson wrote late last year after Adani’s press release. “The last company that tried that was Wirecard, later found to be the largest fraud in German history.”

Huge Israeli airstrikes rocked the outskirts of the central Syrian city of Palmyra on Wednesday, with regional reports saying the attacks were launched by Israeli jets utilizing US-controlled airspace over Al-Tanf military base in eastern Syria. 

“Israeli warplanes launched a number of missiles from the airspace of the [US] base in the Al-Tanf area on the Syrian–Iraqi–Jordanian border, in the far southeastern countryside of Homs, targeting the vicinity of the city of Palmyra,” Sputnik’s correspondent reported.

Israeli attacks on Palmyra are rare, if not unheard of, given how deep into central Syria and the eastern desert the town lies. Al-Tanf base is located a little over 200km from Palmyra. The border base has been occupied by US forces for many years now.

Syrian state SANA has cited a large casualty count, reporting at least 36 dead and over 50 wounded. SANA reports, “At approximately 1:30 p.m. today, the Israeli enemy launched an air attack from the direction of al-Tanf area, targeting a number of buildings in Palmyra City in the Syrian Desert, led to the martyrdom of 36 people, the injury of more than 50 others, and significant material damage to the buildings and the surrounding area.”

Palmyra before the war attracted tourists from across the globe as it is known for its ancient Roman ruins, and is a UNESCO World Heritage site.

The iconic ruins and temples were partially damaged when the remote outpost was overrun by the Islamic State terror group in 2015, and many Syrian Army personnel were killed trying to defend it.

Syrian government forces with the help of Russian aerial support were able to get Palmyra back from ISIS by March 2016.

Russia and Syria have long accused American forces based out of Al-Tanf of training terrorists and facilitating their movements, in order to keep up pressure on Damascus.

As for Israel, recent months have seen a clear uptick in air raids on Syria, but these strikes on Palmyra appear to be the single deadliest this year.

Israel typically describes its operations as targeting ‘Iranian assets’; however, the Syrian government is saying that many among its territorial defense units as well as civilians were killed.

Authored by Jeremy Portnoy via RealClearInvestigations,

Topline: A recent inspector general audit of the Nuclear Regulatory Commission’s travel expenses found a slew of waste and potential fraud, including nearly $50,000 in unallowed first-class flights between 2020 and 2023.

Key facts: Federal law requires most government employees to fly economy class, with exceptions made for medical or security concerns. To fly first class, employees must submit a written explanation and obtain approval from their supervisor.

Workers at the commission only had proper approval for four of the 19 first-class flights that auditors reviewed. In one instance, an employee paid $12,535 for first class when a $1,134 business-class ticket was available

Some of the first-class trips were approved by employees who had no authority to do so, according to the audit. Others had no justification.

The commission also failed to remove access to travel charge cards for 37 employees that no longer work for the government. Auditors did not find any former employees who used their charge cards, but said there was a “risk” it could have happened.

Federal law requires that charge cards have credit limits of $10,000 to minimize spending and financial risk. Auditors found three commission cards with limits of up to $20,000, with no written explanation for the increase.

The Nuclear Regulatory Commission’s agency-wide credit limit for travel also may be “too high,” increasing the risk for fraud, auditors said. The commission spent an average of $358,190 on travel each month last year, but is technically allowed to spend $5 million in a single month. 

The audit found three transactions on charge cards totaling $9,593 that appeared to be for items unrelated to government business, though further review is needed to confirm the “potential misuse.”

In total, employees put 161,816 charges worth $27 million on their travel charge cards from 2020 to 2023. Almost half of the transactions came last year.

Federal law requires employees to take a refresher course on charge card spending at least every three years. The NRC made the training voluntary and did not track attendance, auditors found.

Search all federal, state and local government salaries and vendor spending with the AI search bot, Benjamin, at OpenTheBooks.com. 

Summary: It’s a bit worrying that the agency tasked with ensuring the safety of nuclear reactors can’t handle the simple process of booking a flight.

The #WasteOfTheDay is brought to you by the forensic auditors at OpenTheBooks.com

Earlier today we wrote an extensive preview of what to expect from Nvidia’s Q3 earnings (here), but for those who missed it here is the summary: sky high expectations, which only go higher in 2025 and beyond when the full rollout of Blackwell is expected to hit the P&L, with everyone already long (Goldman desk positioning is 9 out of 10) and anything less than perfection would be punished by the market. The bull/bear case summarized by Goldman was as follows:

• Bulls playing for a ‘break-out’ trade on an expected beat/raise (with downside arguably cushioned by the upcoming Blackwell launch)
• Bears playing for a reset in the stock driven by a growing list of moving parts (Blackwell noise, scaling laws, custom ASICs/silicon, ROICs, etc) vs valuation back at ~15-mo highs.

In terms of expectations, Q3 revenue was projected to come in at $33.25BN, while the median analyst estimate for Q4 revenue is $37.1BN but buyside bogeys were $38BN+ and some were as high as $41BN. Keep in mind that that number has moved around a lot in the past few days as analysts have made last-minute tweaks to their models. While the current high sales estimate for the third quarter is $41.2 billion, some investors have have said that the whisper number may be even higher than that!

Beyond the headlines, JPM says that the key near-term bogeys are the following:

1. The margin guide (with a few saying JPM’s 73.8% buyside bar is too high),
2. The possibility of hiccups in the Blackwell ramp which – given the steep ramp – could push revenues to the April quarter;
3. Any guidance on F26 and beyond.

Other things to look out for when the company starts speaking will include how much supply it’s getting from its manufacturing partners. Like most chipmakers, Nvidia outsources production. Taiwan Semiconductor is the best in the business, and Nvidia’s pace of growth heavily depends on how well TSMC is able to provide Nvidia with the capacity it needs.

Amusingly, Nvidia shares actually closed down today, though far from session lows, ahead of the earnings report. Still, shares are up nearly 200% so far this year, and one of the best performers on the S&P 500 Index. Nvidia’s market cap north of $3.6 trillion makes it the biggest weighting in the S&P 500, meaning that any move in the stock could swing the entire market.

With that in mind, here is what NVDA reported moments ago:

• Revenue $35.08 billion, up +94% y/y, beating the median estimate of $33.25 billion (but in line with Goldman’s expectations of $35BN).
  • Data center revenue $30.8 billion vs. $14.51 billion y/y, beating estimates of $29.14 billion
  • Gaming revenue $3.3 billion, +15% y/y, beating estimates of $3.06 billion
  • Professional Visualization revenue $486 million, +17% y/y, beating estimates of $477.7 million
  • Automotive revenue $449 million, +72% y/y, beating estimates of $364.5 million
     
• Adjusted gross margin 75% vs. 75% y/y, and in line with estimates of 75%
  • Adjusted operating expenses $3.05 billion, +50% y/y, beating estimates of $2.99 billion
  • Adjusted operating income $23.28 billion vs. $11.56 billion y/y, beating estimates of $21.9 billion
     
• Adjusted EPS 81c, beating estimates 74c

The revenue trend, as expected, is impressive especially at the Data Center level where all the growth is.

Here is a full breakdown of recent results:

But while the Q3 results were stellar, the company’s guidance came in on the weak side of the buyside expectations we discussed in our premium preview.

• Revenue is expected to be $37.5 billion, plus or minus 2%: The “plus or minus 2%” means Nvidia expects 4Q revenue between $36.75 billion and $38.25 billion. The low end is ugly, and even the high end is below the median buyside bogey.

Oops: while this was above the median consensus of $37.1BN, it was far below the buyside expectations of $38.8BN; It was also well below Goldman’s Q4 revenue expectations of $39BN and close to where the bank saw the stock dropping -10%.  In fact, some estimates for Q4 revenue were as high as $41 billion!

The rest of the guidance was in line but far less important:

• Gross margins are expected to be 73.0% and 73.5%, respectively, plus or minus 50 basis points.
• Operating expenses are expected to be approximately $4.8 billion and $3.4 billion, respectively.
• Other income and expense are expected to be an income of approximately $400 million, excluding gains and losses from non-affiliated investments and publicly-held equity securities.
• Tax rates are expected to be 16.5%, plus or minus 1%, excluding any discrete items.

Nvidia has only missed analysts’ estimates on quarterly revenue once in the past five years. And it has exceeded expectations by as much as 20% in recent periods, creating a very high bar for its performance.

The muted outlook suggests that AI excitement may be getting ahead of reality according to Bloomberg. Nvidia investors had bid up the shares nearly 200% in 2024, turning it into the world’s most valuable company at $3.6 trillion in market cap. But the chipmaker has had trouble keeping up with demand for its products and struggled with production snags this year.

To be fair, even with the disappointing outlook, Nvidia’s growth over the past two years has been staggering, simply because not one chipmaker has been able to take its market share (Intel unprecedented collapse in recent years can be largely to blame for that). Its sales are poised to double for a second year in a row, and it now notches more money in profit than it used to generate in total revenue (thanks to that 75% profit margin).

Nvidia’s data center division alone now has more revenue than its two nearest rivals, Intel and AMD combined. Net income this year is on course to exceed revenue at Intel, a company that was the chip industry’s titan for decades.

The company’s biggest moneymaker is its accelerator chip, which helps develop AI models by bombarding them with data. Since OpenAI’s ChatGPT chatbot debuted in 2022, a frenzy of artificial intelligence services has created insatiable demand for the product.

Other recent earnings reports have given strong signals for AI. Major Nvidia customers, including Microsoft, Amazon’s AWS and Meta have reaffirmed their commitment to spend on AI infrastructure, even if few have actually done the spend, as we noted during the recent Meta earnings call.

Nvidia hopes to stay ahead of rivals by accelerating its pace of innovation. That includes a commitment to updating its lineup annually; the company is currently introducing a design called Blackwell, which is faster and has an improved ability to link up with other chips, and which is expected to hit the company’s P&L early next year, as a bevy of manufacturing challenges have slowed the Blackwell rollout. For now, Nvidia can’t fill all the orders it’s receiving, the company has said. After production improves, supplies will be plentiful, according to CEO Jensen Huang. For his sake, hopefully by then no competitors will have been able to come out with a faster, cheaper chip.

The Santa Clara, CA-based company has rapidly expanded its product lineup to include networking, software and services, as well as fully built-out computer systems. Huang is traveling the world lobbying for a broader adoption of his technology and trying to spread its use by corporations and government agencies.

Shares of Nvidia fell as much as 5% in after hours trading following the announcement, before settling about 2% lower, far below the 8.8% straddle. They previously closed at $145.89 in New York.

Authored by Kimberley Hayek via The Epoch Times,

Alameda County District Attorney Pamela Price conceded her recall election on Monday, nearly a week after Bay Area voters expressed their frustration with crime and homelessness by voting out multiple progressive leaders.

According to unofficial results as of Nov. 20, 63.1 percent of voters in the general election favored replacing Price, who had served in the position for less than two years.

Price is a former defense and civil rights attorney.

She had never prosecuted a single case when she was elected to the prestigious position. On the campaign trail, she promised criminal justice reforms and a “new era at the DA’s Office” if she was elected. She got a big financial boost from billionaire Democratic mega-donor George Soros and Laurene Powell Jobs, widow of Apple co-founder Steve Jobs, when she first ran for the job in 2018.

She lost that race but ran again in 2022 and edged out Terry Wiley, the county’s chief deputy district attorney. 

Soros, who funneled more than $5 million into his fundraising PAC, the California Justice & Public Safety, from 2018 to 2020, turned off the money tap to Price and Los Angeles County District Attorney George Gascon this election cycle.

Alongside Price, Oakland voters also ousted progressive Mayor Sheng Thao.

In San Francisco, Mayor London Breed lost her bid for reelection to a centrist opponent who vowed to crack down on crime and boost small businesses.

In a press conference that ran just under 20 minutes, Price outlined her office’s successes during a time when Gov. Gavin Newsom was forced to deploy additional law enforcement support to Oakland, which is within Alameda County’s jurisdiction.

“In November of 2022 Alameda County took a huge step forward toward a better criminal legal system,” Price said at Monday’s press conference, referring to her election win two years ago. 

“Under my leadership as district attorney, we made incredible strides toward serving the victims in this county.”

She said her office “diversified the workforce for the first time in decades,” hiring speakers of Cantonese, Mandarin, Hmong, as well as more African Americans. 

She said that a public accountability unit, created under her leadership, “exposed decades of prosecutorial misconduct, excluding Jewish, black residents and sometimes LGBTQ+ residents” from juries. She said there is evidence of an attempt to cover up the misconduct dating back nearly 20 years. 

Price also noted that her team prioritized the reduction of gun violence, the fentanyl crisis, and human trafficking.

“We prosecuted murderers and other violent persons throughout Alameda County at a higher rate than my predecessor and we processed more than 12,000 cases,” she said. 

She also said that she would leave with the largest grant portfolio in the history of the district attorney’s office, with more than $21 million in grants received since January 2023.

She credited the portfolio strength to Chief Assistant District Attorney Royl Roberts, who will lead the office as the interim district attorney until a new DA is appointed. 

Before working in the Alameda County DA office, Roberts worked as an executive from the Peralta Community College District, where, among other positions, he served as chief assistant to the chancellor and general counsel of the district. 

“We must not continue to have two systems of justice that are separate and unequal in Alameda County,” Price said during her press conference. “That is the way of the past. It is up to you and me to make sure that future leaders of this office remain independent decision makers and stay the course of holding public officials accountable, and law enforcement officers accountable, for their actions.”

Price initially ran on a platform including offender rehabilitation and police accountability. 

During her tenure, Newsom deployed more law enforcement to Oakland, and recently extended the California Highway Patrol’s increased presence there.

“We will continue this important work as local leadership transitions,” the governor said in a statement.

Newsom had also sent state prosecutors and surveillance cameras to Oakland. 

Geopolitically, more missiles were reported to have been sent into Russia overnight and that dragged stocks down early… and the micro and the macro kept stocks down for most of the day. Late on, buyers appeared as FOMO spread ahead of NVDA’s earnings. That lifted The Dow into the green for the day…

On the Micro side, it was all about Target’s epic fail…

 

Then, on the Macro side, round 12ET, Fed Governor Michelle Bowman poured some hawkish water on the dovish hopes:

“We have seen considerable progress in lowering inflation since early 2023, but progress seems to have stalled in recent months,” ‘Miki’ noted.

“I would prefer to proceed cautiously in bringing the policy rate down to better assess how far we are from the end point,” because progress in reducing inflation has slowed.

That sent December rate-cut odds significantly lower (33% now)…

Source: Bloomberg

Mega-Cap tech was slammed at the open, erasing all of yesterday’s gains…before the FOMO buyers stormed in late…

Source: Bloomberg

Treasury yields ended the day higher with the short-end hit hardest (but still only 3bps)

Source: Bloomberg

Bitcoin accelerated to yet another new record high today (within a few bucks of $95,000)…

Source: Bloomberg

Gold rose for the third day in a row, back to its initial low from the election…

Source: Bloomberg

Notably gold and bitcoin rose together today amid the geopolitical chaos, but decoupled shortly after the US equity market opened…

Source: Bloomberg

The dollar rallied strongly, erasing Monday’s losses…

Source: Bloomberg

Crude prices slipped lower this afternoon to end the day unchanged with WTI hovering around $69…

Source: Bloomberg

Finally, in case you were worried, the ‘Trump Trade’ continues to work..

Source: Bloomberg

..and will continue – if history is any guide – until the inauguration.