Founder, Silicon Beach Software. Chairman, Shapley (AI, stealth). Co-founder, FutureWave Software-creators of Adobe Flash. First investor-Wired magazine.

Poway, CA
Joined May 2009
Charlie Jackson retweeted
Dear Secretary Bessent @SecScottBessent, On October 14th I wrote to you about Bank of America @BankofAmerica. You did not answer. 3.6 million Americans did. I want to tell you what that looked like from where I sit, because I do not think Washington understands it yet. The messages did not come from one side. They came from Republicans and Democrats, from veterans and nurses and small business owners, from people who have not agreed with each other about anything in a decade. They all said a version of the same sentence. We have had enough. That is what a national security issue looks like when it finally breaks through. It does not pick a party. It belongs to everyone who has a kid, a bank account, or a flag on the porch. So let me be plain about my concern. I am worried that nothing is going to happen. The fine has been announced. The press cycle is already turning. In a few weeks the number will be forgotten and the bank will be back to business. I have watched this exact sequence play out before, and I am writing to you now, while there is still a window, because once that window closes it does not reopen. I am also widening this letter, because Treasury does not act alone. To the Department of Justice @TheJusticeDept and to FBI Director Kash Patel @FBIDirectorKash: Director Patel, you were not in the chair when this happened, so I want you to hear it from me directly. In 2011 I walked into the FBI with everything I had on HSBC. Not a tip. Boxes. Names, account numbers, transaction records, internal emails. Agents worked that evidence for over a year. I trusted them, and I still believe they wanted to do their jobs. Then the settlement was announced. $1.9 billion. I called the agents and asked the only question that mattered. When do you raid the building and when are the arrests? Their answer was four words. Our hands are tied. I have thought about those four words every day since. Not because the agents failed me. Because somebody above them decided that a bank was too important to treat like a defendant. That decision was made quietly, by people whose names I will never know, and it has been made again every time since. Director Patel, you now have the authority to make a different one. I remember the words carved into the stone outside the federal building in Philadelphia the day I walked in to report @HSBC: justice is the defense of our liberty. I believed that. I still want to. But a justice system that handcuffs a dealer on the corner and sends a bank a bill is not defending anyone’s liberty. It is choosing whose liberty counts. To Brian Moynihan, Chief Executive Officer of Bank of America @BankofAmerica: Mr. Moynihan, your bank just agreed to pay $1.2 billion for failures that regulators called willful. I have a few questions, and the 3.6 million people reading this would like the answers too. Who was fired? Not reassigned. Not retired early with a package. Fired, by name, for the conduct the government described. What has actually changed in your anti money laundering program? Not the budget line. Not the consultant’s slide deck. What is different today about how an alert gets cleared and who is allowed to say stop? Were there any consequences inside the building at all? Or did this land the way it landed at HSBC bank, as a line item? And how much is your bonus this year? I ask because I know what it costs a compliance officer to raise his hand inside a bank like yours. I would like to know what it cost anyone at the top. Do you even care? I am asking sincerely. I would like to be wrong. Here is what I did about all of this, and why it matters to this letter. After the government declined to help me or any of the whistleblowers I have met since, I built the thing I wished had existed. Tactical Rabbit is a private intelligence agency. We find the truth, we prove it, and we put it in the hands of people who will act on it. I made a decision a long time ago that if the government would not stop the next HSBC, I would. So to anyone inside a bank reading this who is looking at something they know is wrong: if your bank will not act, and the government will not act, come to me. I will get the truth to the public. That is not a threat. It is a promise I have already kept once. Mr. Secretary, Director Patel, the Department of Justice, and Mr. Moynihan: four addresses, one question. Will anyone be held accountable? Not fined. Not suspended. Not asked to attend training. Accountable. Please end the cycle of too big to jail. I will not stop until there is change, and neither will the millions of Americans standing behind this letter. Answer them. We need a banker in jail. Everett A. Stern HSBC Whistleblower Founder, Tactical Rabbit
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Charlie Jackson retweeted
Dear Secretary Bessent @SecScottBessent, My name is Everett Stern. In 2010 I was a compliance officer at @HSBC. From a back office in New Castle, Delaware, I watched billions of dollars move to drug cartels, sanctioned regimes, and terrorist organizations. The enemies of the United States. I documented it, I escalated it, and when the bank would not act, I took it to the @FBI, the @CIA, and eventually the @SECGov. The result was a $1.92 billion settlement. At the time, it was one of the largest in American history. It was also about five weeks of the bank’s profit. Not one banker was charged. Not one went to prison. I paid a different price. I lost my career, my savings, and my place in the industry I had trained for. I was blacklisted. Every door in American finance closed at once. I slept on a camping cot in a 300 square foot apartment because I could not afford a bed, and I waited tables at @PFChangs to eat. I tell you this not for sympathy, but so you understand that I know exactly what it costs to do the right thing in American finance, and exactly how little the system does in return. I made that sacrifice because I believed it would change something. Yesterday, your department fined @BankofAmerica $1.2 billion for failing to report more than $5 billion in suspicious transactions, some of it tied by your own findings to Chinese laundering networks, narcotics, and the southwest border, alongside 475 apparent sanctions violations touching Russia, Iran, and global terrorism. The bank admitted it willfully violated the Bank Secrecy Act. Fourteen years after HSBC. A bank with “America” in its name. And once again, not one individual charged. Secretary Bessent, I want to say plainly what I believe you already know. The fines are not working. A fine is paid by shareholders, absorbed by the balance sheet, and forgotten by the next earnings call. Bank of America reported earnings this morning. Nobody who set the alert thresholds, nobody who decided the 2024 cease and desist could wait, nobody who chose the backlog over the law will lose a single thing they value. Their lives are untouched. That is the entire reason the behavior repeats. This is money laundering. This is blood money. Money that reaches a cartel buys fentanyl that kills Americans. Money that reaches a terrorist organization buys the next attack. This country has fought a war on drugs and a war on terror for decades, at enormous cost in lives and treasure, and all the while we have allowed the financing to flow through institutions we charter and regulate. Cut off the money and we win. We have never seriously tried. There is also a question of equal justice that I cannot let go. Before I walked into the FBI building to report HSBC, I stopped in front of the Great Seal on the wall and read the words engraved beneath it: “Justice is the defense of our liberty.” I believed that. I still want to. But every day in this country, people go to prison for crimes that are nothing next to moving money for the people who want Americans dead. A suit, a title, and a corporate badge should not be a shield from the consequences that apply to everyone else. If a street dealer goes to prison for what he sells, the banker who moved the cartel’s money should be standing next to him. I also want to raise something that is rarely said in these conversations. Why has no one inside Bank of America come forward the way I did? The answer is that everyone in American banking knows what happened to me, and to the whistleblowers who came after. The last person who spoke up is the only policy anyone believes. That is a culture problem, and it starts with leadership, in the banks and in the agencies that regulate them. This is not a political issue. It has spanned administrations of both parties. It is a national security issue, and I am asking you to treat it as one. Three things would change the math overnight. Refer individuals for criminal prosecution. Not the analyst in the queue. The executives who set the thresholds and chose the risk. One banker in handcuffs would do more than every fine in Treasury’s history combined. End “too big to jail.” An institution cannot be too big to fail and too big to jail at the same time. If it is the first, it must be held to a higher standard, not a lower one. And if Bank of America will not act as America’s bank, review its charter. A national charter is a privilege granted on behalf of the American people. It should be conditioned on not moving money for the people trying to kill them. Secretary Bessent, you said yesterday that these actions send a clear message that even the biggest institutions are not above the law. With respect, the institution was never the problem. The people inside it are above the law, and they know it. Until that changes, I will keep writing letters like this one, and the next bank will keep paying the next fine. I gave up everything I had to stop this. I am asking you to use the power you have to finish it. Respectfully, Everett A. Stern HSBC Whistleblower Founder and Intelligence Director, Tactical Rabbit
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People should be aware of what ABC News is doing here.
Replying to @ABC
@ABC News continues to lie, this time privately to their friends in the press. This was a coordinated influence operation planted by our competition, not "premature publication". 7:01 AM October 7th, story goes live. Within minutes, dozens of high-profile commentators, politicians, and news outlets are sharing it with tens of millions of followers. We immediately contact ABC and demand they correct their false claims - after multiple rounds of refusal, they finally make a single one-word grammar edit. The editors stand by the reporting and insist the false claims are true. Finally, eight hours after I was forced to call them out publicly, they delete everything. The editors hide all the comments, the author deletes his X account, and the story is completely wiped from their website without any explanation, directly violating SPJ ethics standards and ABC's own internal rules. ABC is currently running a coverup operation, ignoring all of our requests for correction/retraction while telling their buddies to spread the word that this was nothing more than a CMS publication timeline error.
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The cat is out of the bag, as they say. People see what OpenAI and Anthropic are trying to do. If you're interested in this issue, read this. It lays it out perfectly. @CynicalPublius, here's the best commentary I've seen.
Dario has written that we need to “pace the frontier,” and Sam has agreed. People may be surprised by my response: go ahead. You guys are the frontier. By any reasonable metric — market share, revenue growth, model capability — the two of you have a duopoly on frontier intelligence. You’ve also claimed the lead is widening because of recursive self-improvement. I don’t see what you see in the lab. If the unreleased models are scary enough that you think you should slow down, I support your decision to be responsible. But stop pretending you need anyone else’s permission. Stop pretending antitrust law has to be suspended so you can form a cartel. Stop pretending you need a regulatory approval process that supersedes product liability. Stop pretending METR is independent when it is intertwined with Anthropic’s investors and staff. Stop pretending you need those same evaluators to police competitors who aren’t even at the frontier. Most of all, stop pretending the motivation to slow down is purely altruistic. You face massive product-liability exposure if your products enable a truly damaging cyberattack. The market already punishes models that behave in unpredictable or unauthorized ways. After the Hugging Face episode, it is simply good business for OpenAI and Anthropic to trade some raw power for reliability and predictability. Call it alignment if you want. It is also just giving customers what they want. Pacing the frontier would also create breathing room for a more intelligent conversation about regulation than Bernie Sanders’ “shut it all down.” China is very unlikely to join a global agreement, as you know, and that has to be taken into account as well. So go ahead and pace the frontier. You are the ones setting it. The easiest way not to build superintelligence is for you to agree not to build it. Demanding your preferred regulatory framework as the price of that will look like blackmail of the public and the political system. So just do it. If you do, you’ll buy goodwill for the next conversation. If you don’t, we’ll know this was just another bid for regulatory capture — or an election-season psyop.
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If you're interested in what's happening in AI, read this. And, read some of the thread that accompanies it. Some people have figured out what the two largest AI companies are trying to do right now. They are in dire straits, and check out their response.
This is what Dario and Sama fear - - the cost of fine tuned open source models trained on custom data was 95% less than the frontier models - And they performed better than the frontier models - And they could train them in less than 48 hours The big AI labs have no moat.. Even at the enterprise level.. Any sane company would prefer a custom trained open source model instead of paying API pricing to Anthropic and Open AI If open source keeps growing at the pace it is, frontier labs' business collapses.. only way out is oldest trick in manipulation - FUD -> Fear, Uncertainty, Death Step 1 - Seed the psyop - Test a swarm of agents trained to "hack" - The swarm does what its supposed to do - hack - Publish a report - AI is too dangerous Step 2 - weed out the doubters - Get an employee to quit your company - Go viral saying both companies are not doing enough to self regulate AI - AI is dangerous - will kill humanity by the end of the decade Step 3 - Prepare for fruition - write an "essay" to "pace the frontier" - Advocate regulation - Only a few holier than though companies get to build AI - Scare the world into agreeing with AI Doom - Effectively turn your competitors into criminals (genius business strategy) Endgame - - Become a cartel that controls AI (and the world) - Raise prices (coz business is unsustainable... ofc) - IPO (offload liability of said unsustainable business to the public) Laugh all the way to the bank 🤑 Win!
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I pay high taxes in California. It's amazing how much fraud has been going on. And it took a young man with a video camera to expose it all. Incredible.
🚨 BOOM! All the hospices are gone. Not a single hospice remains. No more luxury vehicles and no more of your dollars funding their fraudulent scheme. They were all frauds. In this one location alone we saved America $30 million+. END IT ALL.
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Yeah, I think this is what is going to happen as soon as the companies working on "world-view approach " start shipping products. Check out Yann LeCunn. I've been using AI-LLMs for research, and now for writing code. Pretty amazing stuff, but I see shortcomings.
Mark Cuban is describing the moment AI stops reading us and starts reading the world. Cuban: “We’re going from large language models, I think, to what’s called a world view approach, where it’s built on understanding the physics of the world and being able to take video and understand it.” Language was the easiest place to start. It was the first place with enough structure to prove the method works. The method reads backward. Anything built by rules carries those rules in its shape, and seeing enough of the output gives them back. Point that at protein folding and fifty years of failure comes apart. The folding was regular the whole time. Nobody had enough eyes on it. Cuban: “I invested in one company that’s putting up satellites that can look at different materials and tell you what the makeup of those natural materials are. Is it wood, is it rock, whatever is in there. Like a spectrograph.” That satellite produces the first record ever made of what it passes over, and no person wrote a word of it. We have flown over every part of this planet and measured almost none of it. Geology built two centuries of theory on whatever the ground happened to expose. Outcrops, riverbanks, road cuts. Cuban: “I think that’s going to supersede a lot of what Claude and Grok, etc., are doing.” Science runs forward. You form a theory, work out what it predicts, then go see whether the world agrees. That order came from a limit inside the person. A mind holds a few variables at once and has to guess which ones matter before collecting anything. Reading backward starts at the finished object and recovers the rule that made it. The protein was already folded and the rock already had its composition. The answer sat inside the outcome the entire time. Every mystery is a solved problem whose instructions we lost. Weather, cells, markets, the interior of the earth. We called them random because the pattern ran larger than a person. Cuban: “We haven’t seen the best of AI, in my opinion, and it’s going to just get crazier and crazier and crazier.” Text taught us how to read. The physical world is what the reading was for. Reaching it takes machines that move through it and collect what nobody wrote down. Nothing in nature is arbitrary. Every outcome had causes, and causes leave their signature in what they produce. The world has been describing itself since long before anyone was here to notice. We finally built something that can read it.
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Welp, my esteemed politicians here in Calif are at it again. They say the Billionaire Tax would raise $25B, but people who actually know how to do these kinds of estimates say it would lose $25B. Who to believe? California's Billionaire Tax Would Cost $25 Billion | Josh Rauh
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Gotta love these bait-and-switch folks who are all over the place. "Check out our free XYZ . . . oh, and then check out our pricing."
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We all know how lame the mainstream media is. There is a lot going on right now, and they only see one thing at a time. This is a very good analysis of a bigger picture, tying various things together. tanviratna.substack.com/p/th…
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When someone tries to tell you that AI is approaching human intelligence, please just laugh in their face. And here's another example: the other day I asked an AI to summarize points number 1 and number 3. It did numbers 1 and 2. techspot.com/news/111485-hum…
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Well, I can't tell you how shocked I am that Chinese companies are stealing. /sarcasm off/ And why do they always steal? Because, for some unknown reason, they can't innovate. anthropic.com/news/detecting…
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Charlie Jackson retweeted
mostly the misery of social media comes from a sense not only that the world is broken, but that you have to fix it somehow (pointing out absurdities, arguing more forcefully, persuading). alas, you can't fix the world with a post. all you can really do is not be crazy.
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Replying to @RedWavePress
Yeah, some fishermen.
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Occasionally you might think things are not great these days. Well, you can thank the soulless media for that impression. Watch this, listen to this, and you'll realize that mostly, things are actually fabulous.
HARMONY OF RESILIENCE: Recorded in space and sent to Earth via @SpaceX’s @Starlink constellation, Polaris Dawn crewmember and violinist @Gillis_SarahE invites you to enjoy this music moment in support of @StJude & @ElSistemaUSA → polarisprogram.com/music
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I asked #ChatGPT about Jonathan Turley, a law professor at Georgetown who said he was being ghosted. Sure enough: "I'm unable to produce a response." And then, it wouldn't answer any other questions. Whoa, it appears OpenAI really doesn't like it when you ask about #Turley.
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