Lopez, can u please do a very simple, dumbed-down "CDO Scam for Dummies"

#1--you send mr x a $10.00 bill so he will buy you a $10.00 money mart that will pay you 50 cents per year--5%--mr x makes .05//1/2%---the money is invested in short term government paper---------

#2--super geek shows mr x how he can substitute CDO paper for government paper, and can still pay you the 50 cents or 5% but mr x can also make 5% or 10 times what he made before---and the cdo paper was backed by real estate and the "models" showed it was as safe as government paper----

#3--super geek shows mr x how he can take your 10 dollars and use it as collateral and borrow 100 dollars and then buy 100 CDO's--now, on 100 dollars at 5%, there is a 5.00 profit and investor gets his 50 cents on 10.00 and mr x now clears $4.50--and all this from your ten dollars

#4--now, imagine if mr x could borrow 1000 dollars with your 10????

####and all the while on your statement or whatever, your investment shows whatever name you wanted to buy so you never have a clue and of course the boyz never dreamed they would get caught as they are too smart and you are too dumb---and they believe that--and to keep all hidden they formed SIV's (special investment vehicles) and kept them off of their balance sheets which in a way created their own little secret accounts---and you thought the USA learned nothing from Enron????