The Solari Report / 2018 Annual Wrap Up / Part One entries. Accountants identified $17.3B in inconsistencies that affected the Fund Balance with Treasury, including $12.4B in disbursement disparities. 20011013 President George H.W. Bush signs the USA PATRIOT Act into law. law 20011100 Chris Sanders and Catherine Austin Fitts publish “The Myth of the Rule of Law,” Sanders Research Associates. media 20011128 Enron collapses after Dynegy backs out of contract to purchase it for $6B after finding accounting problems. Event 20011200 Kelly O’Meara story in Insight Magazine: “Bureaucrats Circle Their Wagons.” Media 20020108 Dan Briody writes in “Carlyle’s way: making a mint inside 'the iron triangle' of defense, government, and industry” (Red Herring, 2002): “Among those associated with Carlyle are former U.S. president George Bush Sr., former U.K. prime minister John Major, and former president of the Philippines Fidel Ramos. And Carlyle has counted George Soros, Prince Alwaleed bin Talal bin Abdul Aziz Alsaud of Saudi Arabia, and Osama bin Laden's estranged family among its high-profile clientele. The group has been able to parlay its political clout into a lucrative buyout practice (in other words, purchasing struggling companies, turning them around, and selling them for huge profits)—everything from defense contractors to telecommunications and aerospace companies. It is a kind of ruthless investing made popular by the movie Wall Street, and any industry that relies heavily on government regulation is fair game for Carlyle's brand of access capitalism. Carlyle has established itself as the gatekeeper between private business interests and U.S. defense spending. And as the Carlyle investors watched the World Trade towers go down, the group's prospects went up.” Media 20020131 “Trading Truth: A Report on Harvard’s Enron Entanglements: A HarvardWatch Report” reports that Herbert “Pug” Winokur, then a member of the Harvard Corporation (the University’s 7- member governing committee) and longtime member of the board of directors and chairman of the Finance Committee of Enron, approved the creation of more than 3,000 partnerships and subsidiaries allegedly illegally used by Enron to hide debt and avoid taxation. During the period when company executives touted Enron’s stock to employees, Harvard’s main private investment fund (Highfields Capital) short-sold several million shares of Enron stock for an estimated profit of $50MM. Media 20020300 Kelly O’Meara story in Insight Magazine: “What Does It Take to Lose a Contract?” Media, DoD 20020325 Congresswoman Cynthia McKinney appears on KPFA radio after asking for federal contracting budgets and the DOD contracts and payment systems, but her request is refused. Media, DoD 20020409 Comptroller General/Director of General Accounting Office (GAO) testifies before the House Subcommittee on Government Efficiency, Financial Management, and Intergovernmental Relations, Committee on Government Reform: “For fiscal year 2001, 18 of the 24 Chief Financial Officers (CFO) Act agencies were able to attain unqualified audit opinions on their financial statements, which is the same number of agencies as last year and up from 6 agencies for fiscal year 1996 ” and that “for fiscal year 2001, reports of inspectors general and their contract auditors indicated that 20 of the CFO Act agencies’ financial management systems were not in substantial compliance with at least one of FFMIA’s three federal financial management systems requirements, compared to 19 such agencies for fiscal year 2000.” His testimony also states: "The President’s Management Agenda frames the problem this way: 'A clean financial audit is a basic prescription for any well-managed organization, yet the federal government has failed all four [now five] audits since 1997. Moreover, most federal agencies that obtain clean audits only do so after making extraordinary labor-intensive assaults on financial records. Without accurate and timely financial information, it is not possible to accomplish the president’s agenda to secure the best performance and high measure of accountability for the American people.’” event 20020429 Kelly O’Meara story in Insight Magazine, “Government Fails Fiscal Fitness Test.” (This article cites both the $1.1 trillion at DOD and the $59 billion… at HUD.) Media, Treasury 20020522 Catherine Austin Fitts questions Congressman Van Hilleary of Tennessee (who was then running for Governor) regarding the missing money in the Federal government. In response, he says there is nothing he can do about it. Catherine Austin Fitts writes a letter to Van Hilleary published by Scoop Media (link) and as an article in The Solari Report (“The Real Deal”). It addresses the Media, DoD, HUD 1 8 2