It is ironic that "criminal" US banking fraud contributed to the 2008/2009 market decline that was later used in Colorado as a "window of opportunity" for a $9 billion "fraudulent" government breach of the contracts of elderly Colorado residents.
In sanctioning the 2010 Colorado PERA public pension contract breach, the Colorado Supreme Court recently and conveniently found that Colorado state government is not required to pay accrued Colorado PERA pension debts. (That is, one branch of Colorado government conveniently found that another branch of Colorado government is not required to pay its accrued debts.)
In order to reach this conclusion, the Colorado Supreme Court ignored its own long-standing legal precedent, failed to conduct a "contract analysis," ignored evidence of Colorado PERA's attorneys stating that the pension benefit was indeed a Colorado PERA contractual obligation, ignored the bill (SB10-001) sponsor's testimony that the pension benefit was in fact a Colorado PERA contractual obligation, ignored recorded legislative history of the contractual nature of the public pension benefit, failed to engage in the "heightened scrutiny" of the abandonment of state financial obligations required under federal case law (US Trust) and embraced a discredited Denver District Court decision that did not even mention Colorado's on-point public pension case law. In the United States, political connections can be used to quash legal investigations of banking fraud, and political connections can be used to summarily erase billions of dollars of government debt.
Note that the Colorado PERA public pension taking has several features in common with the federal banking fraud that nearly collapsed the US economy; secret backroom deals; an existing paper trail ignored (more than 1,000 pages at saveperacola.com); evidence ignored; no trial; no discovery; no accountability; and billions of dollars seized.
Senator Josh Penry, in a videotaped discussion with Representative Mike May, (videocenter. denverpost.com) said ‘we can’t, can’t miss this window.’ And, . . . we have an opportunity to pass something that Republicans have long advocated, a significant increase in retirement age, which the PERA Board embraced, reigning in the cost of living increases . . .
“Penry went on to say, ‘I think it is important to pass something because if you lose actuarial necessity, as you know, it becomes extremely difficult to increase retirement age. You cannot change course and this year, when PERA’s investment numbers come out, their investment returns . . . numbers are going to be significant, like double, 15-16% investment return. So that could change the specter of actuarial necessity. We gotta’ do it this year or else these other structural changes won’t be possible.”
Senator Josh Penry, co-prime sponsor, SB10-001 appearing on Your Show, Channel 20 with Channel 9 News (KUSA-TV) host Adam Schrager on January 10, 2010 at 10:30 a.m.:
“What the courts have said with the case law and opinions have said is that you can’t, it is a contract unless there is actuarial necessity.”
Discover the true nature of Colorado government at saveperacola.com.
See this video regarding the recent US banking fraud: