Neo-Tech Protection Kit, Volume II

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Drexel Burnham Lambert was, in essence, financing the collapse of the white-collar hoax. As with Neo-Tech and I & O, they too quickly became a threat to the traditional power structure. But unlike Neo-Tech, Drexel Burnham lacked the philosophical grounding to protect itself and repel vicious attacks by the value destroyers. Suddenly, the most productive, competent, and knowledgeable businessmen in the country were being indicted for bogus insider trading violations and facing long jail terms. Their crime? ...Simply gaining advantages over their competition by operating their businesses at peak efficiency.

By financing corporate raiders such as T. Boone Pickens, decaying, white-collar-hoax empires, who had long-lost their competitive edge, either turned into value-producing companies or disbanded. This type of atmosphere injects a natural self-policing, capitalistic attitude into business. It also instills a survival factor into the heart and soul of the business community. As a result, companies work hard to be competitive, the best defense against corporate takeovers.

While Guiliani threatened maximum prison sentences for all those involved if Drexel Burnham refused to accept his propositions, Dr. Flint of I & O Publishing Company drafted a revealing letter to both Drexel Burnham Lambert and Mr. Guiliani. The short, to-the-point letter identified the point: Who are the value producers; who are the value destroyers. After receiving that letter, a dramatic, nontraditional change in strategy occurred within the Drexel Burnham Lambert camp and was reported in the Wall Street Journal. It appeared that Drexel had suddenly decided to refuse Guiliani's demands, forcing him to take the case to court. However, a week later, after several years in litigation and millions spent in legal fees, Fred Joseph, the CEO of Drexel Burnham Lambert, converted into a business quisling and opted to plea bargain instead. Over a year later, Drexel was forced into bankruptcy, while the heroic Mr. Milken pleaded guilty and was sentenced to forty years in prison. BP]

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There is a veritable Reign of Terror rampant in the United States now -- and everyone's cheering. "They should lock those guys up and throw away the key. Nothing is bad enough for them," says the man-in-the-street. Distinguished men are literally being dragged from their plush offices in manacles. Indictments are being handed down en masse, and punishments, including jail terms, are severe. The most notorious of these men was (a) forced to wire up and inform on his cohorts; (b) fined $100 million; (c) barred from his occupation for life; and (d) possibly faces five years in prison. The press, almost to a man, deplored the excessive lightness of this treatment.

Who are these victims/criminals? Mass murderers? Rapists? Soviet spies? Terrorists bombing restaurants or kidnapping innocent people? No, far worse than these, apparently. These dangerous, sinister men have committed the high crime of "insider trading." As one knowledgeable lawyer explained to the New York Times: "Put yourself in the role of a young investment banker who sees one of your mentors led away by federal marshals. It will have a very powerful effect on you and perhaps make you realize that insider trading is just as serious as armed robbery as far as the government is concerned."

This attorney's statement is grotesque enough, but it actually understates the case. Armed robbers are usually coddled by our judicial system. Columnists and social workers worry about their deprived backgrounds as youths, the friction between their parents, their lack of supervised playgrounds as children, and all the rest. And they are let off with a few months' probation to rob or mug again. But no one worries about the broken homes that may have spawned investment bankers and inside traders, and no social workers are there to hold their hands. They receive the full might of the law, and are sent straight to jail without stopping at "Go".

A major difference between the "crime" of insider trading and the other crimes is that insider trading is a "crime" with no victims. What is this dread inside trading? Very simply, it is using superior knowledge to make profits on the stock or other markets. A terrible thing? But this, after all, is what entrepreneurship and the free-enterprise system is all about.

We live in a world of risk and uncertainty, and in that world, the more able and knowledgeable entrepreneurs make profits, while ignorant entrepreneurs suffer losses and eventually get out of business altogether. This is what happens, not only in the financial markets, but in business in general. The assumption of risk by businessmen, seeking profits and hoping to avoid losses, is a voluntary assumption by businessmen themselves. Not only is this process the essence of the free market, but the market, by rewarding able and farsighted men and "punishing" the ignorant and short sighted, places capital resources into the hands of the most knowledgeable and efficient, and thereby the workings of the entire economic system.

And yet there are no victims of inside trading as there are in robbery or murder. Suppose that A holds 1000 shares of XYZ Co. stock, and wants to sell those shares. B has "inside knowledge" that XYZ will soon merge with Arbus Corp., and buys the 1000 shares for $50 apiece; B, let us say, is right, the merger is soon announced, and the XYZ shares rise to $75 apiece. B sells and makes $25 per share, or $25,000 profit. B has profited from his inside knowledge. But has A been victimized? Certainly not, because if there had been no inside knowledge at all, A would still have sold his shares for $50. The only difference is that someone else, say C, would have bought the shares and made the $25,000 profit. The difference, of course, is that B would have made the profits as a knowledgeable investor, whereas C would have been simply lucky. But isn't it better for the economy to have capital resources owned by the knowledgeable and farsighted rather than merely by the lucky? And, further, the point is that A hasn't been deprived of a dime by B's inside knowledge.

There is, in short, nothing wrong and everything right with inside trading. If anything, inside traders should be hailed as heroes of the free market instead of being apprehended in chains.

But, you say, it is "unfair" for some men to know more than others, and actually to profit by that knowledge. But what kind of a world view dubs it "unfair" for some men to know more than others? It is the world view of the egalitarian, who believes that any kind of superiority of one person over another -- in ability, talent, and wealth -- is somehow "unfair." But men are not ants or bees or robots; each individual is unique and different from others, and ability, talent, and wealth will therefore differ. That is the glory of the human race, to be admired and protected rather than destroyed, for in such destruction will perish human freedom and civilization.

There is another critical aspect to the current Reign of Terror over Wall Street. Freedom of speech and the right of privacy, particularly cherished possessions of man, have disappeared. Wall Streeters are literally afraid to talk to one another, because muttering over the martini that "Hey, Jim, it looks like XYZ will merge," or even, "Arbus is coming out soon with a hot new product," might well mean indictment, heavy fines, and jail terms. And where are the intrepid guardians of the First Amendment in all this?

But of course, it is literally impossible to stamp out insider trading, or Wall Streeters talking to one another, just as even the Soviet Union, with all its awesome powers of enforcement, has been unable to stamp out dissent or "black" (free) market currency trading. But what the outlawry of insider trading (or of "currency smuggling," the latest investment banker offense to be indicated) does is to give the federal government a hunting license to go after any person or firm who may be out of power in the financial-political struggles among our power elites. It is surely no accident that the indictments have been centered in groups of investment bankers who are now out of power.

Specifically, the realities are that, since last November, firms such as Drexel Burnham Lambert; Kidder Peabody; and Goldman Sachs have been under savage assault by the federal government. It is no accident that these are precisely the firms that have been financing takeover bids, which have benefited stockholders at the expense of inefficient, old-line corporate managerial elites. (Editor's note: The white-collar hoax abetted by giuliani-type value destroyers.) The federal crackdown on these and allied firms is the old-line corporate way of striking back. And looking on, the American public, blinded by envy of the intelligent and the wealthy, and by destructive egalitarian notions of fairness, cheers to the rafters.

The Neo-Tech Bible definitively identifies the immoral, destructive nature of all force-backed regulations that cripple value-generating actions such as insider trading. The Neo-Tech Bible demonstrates:

1. No anti-insider-trading law or regulation exists by logic or with the purpose of producing or enhancing values.

2. Instead, all such fake laws and regulations exist only by virtue of force-backed threats of fines and jail.

3. Those irrational laws and regulations exist for one purpose only: To support the false power and bogus livelihoods of professional value destroyers.

Identifying the cleverly disguised, destructive nature of those laws and regulations demonstrate:

1. The criminal nature of all giuliani-usurped power.

2. The immoral nature of all SEC-type regulatory scams designed to build bureaucracies that generate bogus hierarchies of destructive livelihoods.

3. The cowardly nature of all white-collar-hoax business quislings.

Bogus jobs and scam bureaucracies arise from criminal minds -- from egalitarian, envy-driven value destroyers. And such envy-driven value destroyers cleverly operate through deceptive slogans, good-sounding non sequiturs, spurious notions, and specious propaganda. One example is their "level-playing-field" propaganda designed to control security trading, foreign trade, and other value-generating activities.

Indeed, neocheaters use that one evil notion alone to penalize and control the greatest value producers. How? By laying false guilt and criminal charges on those preciously few heroes who advance civilization through the hard, rational thought and effort needed to gather, integrate, and utilize inside information. They use that inside-information knowledge to deliver more efficient and better values to others and society.

Only by manipulating good-sounding notions -- evil notions -- such as "a level playing field" can neocheaters usurp power to build bogus bureaucracies through a myriad of destructive, guilt-projecting regulations. Neocheaters obscenely wield those regulations to criminalize and control the highly competitive, productive actions of honest, hard-driving business people. Indeed, those people courageously produce the mightiest, the most sophisticated values for others and society.

Moreover, irrational business laws and regulations cripple honest business people while providing formats in which dishonest business quislings and wired-up Boesky-type informants operate. Just as irrational social laws and regulations provide formats in which drug pushers, Mafia dons, and Columbian chiefdoms operate.

Such evil ethics, regulations, and laws include prohibitions against insider trading. But also they include the myriad of destructive regulations and laws designed to make problems where none exist -- designed to block the efficient, profitable use of earned knowledge, new knowledge, insider knowledge. And now, for the first time, the Neo-Tech Bible demonstrates how and why everyone and society derive maximum benefits from the total, free use of any and all knowledge.

Yet, the benefits of acting freely on knowledge are still not "the" point. For, the one-and-only point is:

With that "the-point" question answered, all other questions about objective law, ethics, criminality, and morality are clearly and irrefutably answered.

With the broken bottle of a dead Platonistic world in hand, we beckon the SEC, the Justice Department, and all its giulianis. Come, get I & O Publishing Company for its inside information actions. Come! Use your moribund weapons. Use your RICO truncheon. Manacle us. Jail us. We will never physically or legally resist. For we have our clean minds and honest pens. ...Let us see who is the value producer and who is the value destroyer. Let us see who has earned power and who has fake power.

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A NEO-TECH INDICTMENT
served on the

White-Collar-Hoax Directors and Business-Quisling President of Drexel Burnham Lambert for the COWARDLY SACRIFICE of their Most Magnificent Value Producers to a Politically Ambitious, Value-Destroying Clown (Your craven actions will eventually destroy your company)

Surrendering To Business Terrorists

Why do certain corporate managements let professional value destroyers cripple or wipe out their magnificent, value-producing companies built over decades -- invaluable companies providing productive livelihoods to tens of thousands of employees? Why do those managements let uncompetitive clowns in usurped positions of bogus power crush the productive lives of heroic hard-driving value producers? Why do those managements throw their best people beneath the feet of envy-driven losers who daily destroy tens of millions of dollars of productive business? Replete with their guilt-filled public-relations advertising, why do those managements wimpishly sacrifice the good, the innocent to parasitical business terrorists? Why do such managements betray those who earn genuine power?

Why do those managements so unnecessarily arrange for their own greatest value producers to be fined millions, manacled, jailed, destroyed? Why do such managements sacrifice those who constantly deliver great values to others and society? Those business quislings are betraying heroic individuals who are ridding American business of stagnant, decaying white-collar-hoax managements. Those quislings are destroying those who drive business competitiveness forward to the great benefit of everyone and society. ...Those quislings are surrendering to the lazy, the dishonest, the evilly entrenched establishments in business and government. Those quislings are surrendering to those business terrorists who for their own power and survival must slow, cripple, stop, fine, jail, destroy heroic value producers.

Collapsing The Hoax

As with all white-collar-hoax managements, those quislings support a monstrous hoax built on mysticism and neocheating. And, thus, they have let their companies and their most valuable producers become the victims of that hoax -- the same hoax that has cost the happiness and lives of heroic value producers for the past 2000 years.

With Neo-Tech, however, that hoax is easy to collapse. And, with Neo-Tech, all perpetrators of that hoax can be quickly brought to justice and eventually laughed out of existence. How? Through the Neo-Tech Matrix. Neo-Tech locks into an unassailable matrix the one-and-only "the" point relevant to all giuliani-type terrorist attacks on value producers:

"The" Point
WHO IS THE VALUE PRODUCER?
WHO IS THE VALUE DESTROYER?

Neo-Tech Vanquishes All Value Destroyers

Neo-Tech first integrates that one-and-only "the" point into a monolithic matrix. Then, with that matrix, Neo-Tech easily and effectively dumps all non-sequitur "a"-point notions and laws needed by giuliani-type value destroyers to usurp their destructive power. Stripped of their "a"-point notions and laws, those usurpers are left powerless and impotent. They are left looking barbaric, evil, treacherous -- the way they really are. ...Once entrapped in the Neo-Tech matrix, government giulianis and business quislings are finished.

The Jujitsu Trap

I & O Publishing Company is quietly entrapping and emasculating professional value destroyers and business quislings in this country and abroad. All such rogues will be ferreted from the highest political, business, and religious positions down to the guns-and-fists bureaucrats of the Justice and Treasury Departments, white-collar-hoax business executives, and finally down to the local hacks and stooges. Through the Neo-Tech matrix, every offensive move by the professional value destroyers is easily jujitsued to weaken them while strengthening their intended victims. ...Once trapped in the Neo-Tech matrix, value destroyers are finished.

No Lawyer Fees, No Fines, No Jails

Heroic value producers are paying millions to lawyers who will only lead them to huge fines, lost business, lost careers, and possible jail terms. But all that insane destruction and injustice is unnecessary. For once the professional value destroyers are entrapped in the Neo-Tech matrix, they, not the value producers, will be fighting for their existence. Neo-Tech not only will save the lives, businesses, careers, reputations, and happiness of those value producers, but will forever place them before the world as the heroes they really are. At the same time, the professional value destroyers will increasingly be undermined and subverted. More and more they will look like the silly, impotent clowns they really are. Eventually, through the Neo-Tech matrix, they will be scorned and ostracized by every value producer. And finally, they will be laughed out of existence and then forgotten forever.

The Neo-Tech Matrix Will Handle The Value Destroyers

Stop dealing with value-destroying government giulianis and business quislings. For, the Neo-Tech matrix will undermine every professional value destroyer -- personally, sexually, and professionally. ...Through Neo-Tech, justice triumphs.

Justice At Last

Moreover, through Neo-Tech ostracism, all government giulianis and business quislings will eventually make restitution to their victims. For Neo-Tech reverses the age-old ploys of switching guilt and innocence -- ploys needed to parasitically drain the value producers.

The giuliani business terrorists are guilty of value destruction. All giuliani terrorists have criminal minds as precisely defined in Dostoyevsky's Crime and Punishment. ...Indeed, the entanglement of government giulianis and business quislings in the Neo-Tech matrix will make every genuine value producer increasingly powerful and happy. Then, for the first time, all value producers can guiltlessly pursue evermore proudly, joyfully, profitably their heroic careers of producing competitive values for others and society.

REJECTING THE LOCAL HACKS AND STOOGES
WHO DESTROY THE TIME OF VALUE PRODUCERS

Rejecting the Sloth and Dishonesty
of a State-Run Consumer Affairs Agency

We reject your arrogant form letters of December 1st. For they represent the essence of sloth and dishonesty found in all destructive bureaucracies. Thus, those unanswered letters are now on display in the Kenneth A. Clark Memorial Museum. Indeed, those letters demonstrate the lazy management and camouflaged fraud of state-run Consumer Affairs Agencies as revealed in Guns-and-Fists Newsletters, volumes 1-11 and 2-2. First, consider your signature-stamped, computer-generated letters: Those accusatory, threatening missives are not only sloppily written, but reflect the inveterate dishonesty found in all lazy, destructive, bureaucratic managements. For, as demonstrated in those Newsletters, consumer and business correspondence sent to you are seldom if ever read. And they are certainly not evaluated or integrated with honest thought, effort, or fairness.

Your office blindly cranks out those destructive form letters to businesses. Such harmful actions reflect contemptuous disregard for the time-wasting consequences that such letters impose on honest businesses and hard-working value producers. ...On net, what purpose do such letters serve? Indeed, they serve as a key tool for dishonest consumers who use your automatic, anti-business intimidations to rip off businesses.

No, we do not recognize the authority of your bogus organization. No, we will not respond to your destructive commands that reflect no effort to do an honest job. Moreover, we publicly challenge you to take action against us. ...Let us see who has genuine earned power and who has fake usurped power.

Making Problems Where None Exist

The most disgusting aspect of the Consumer Affairs Division is the laziness and incompetence of its management. Such management could never compete or survive in the value-producing business world -- the world toward which you spend your time hostilely making problems where none exist.

But, paradoxically, we do appreciate receiving information about any customer problem. For 20 years, we have fairly resolved every customer problem about which we were aware. Thus, while we will never respond to your bogus demands, we will do the following: In exchange for your informing us of any problem about which we are unaware, we will send you a copy of our internal customer-service memo describing the resolution of that problem.

Need for a Competent, Value-Oriented Management

At a later time, if your management is replaced with a competent value-oriented one, we would then mutually cooperate with the Consumer Affairs Division. Indeed, the first indication of a competent management would be:

1. The scrapping of that arrogant, destructive form letter which you so blindly crank out.

2. Putting a modicum of thought and effort into your work so you are a service to taxpayers rather than a tool for dishonest bureaucrats and consumers who rip off businesses.

Providing little or no service to consumers, you use a government bureaucracy to gain bogus livelihoods. Today, the Consumer Affairs Division is little more than a goofy, time-destroying bureaucracy slothfully existing off taxpayers' money.

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[ 31 ] Reprinted from Society for Individual Liberty with permission from the author.

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