While JPM is breaking itself up (to be bailed out by the taxpayer), an extensive expose for getting rid of the rest, a case now supported by 71% of Americans.
The Case for Breaking Us TBTFs
May 18th, 2012Dimon’s Deamon
May 16th, 2012Bailed out bankster Dimon gets the big stick, is waterboarded and whipped rotten with the cat-o’-nine-tails by Washington blog.
Dimon and his pathetic outfit epitomize what is wrong with the TBTF lot. Criminal investigations have started. They will probably end with a painful $75 fine, and a bailout.
Gambling Den with Attached Printing Press
May 15th, 2012TBTF banks gamble with taxpayer-funded chips in the Trillion-Dollar-Casino, while the Fed is printing money in the backroom and loading it onto the table. As the bets get larger, they will bring down the house and the currency for want of counterparties as everyone get Corzined. Interesting read.
Better Times
May 9th, 2012In the 1960s and 70s, strict capital reserve and liquidity ratios were applied to banks, and there was a panoply of sensible rules limiting the taking-on of excessive risks in mortgage lending. The authorities had a whole bag of policy clubs but the lessons of history were forgotten and the rest of the clubs were thrown away.
Pitchforks and Protection
May 9th, 2012Obankmacare is being extended to pitchfork attacks:
In 2009 Obama reportedly told Wall Street executives during a White House summit, “My administration is the only thing between you and the pitchforks.”
Meanwhile
[…] financial-fraud prosecutions are at 20-year lows and down 39% since the Enron and Worldcom scandals of 2003.
As the U.S. economy will go down the tubes in the coming months from the ongoing massive fraud committed by banksters for decades, Romney will be an even greater protector of Wall Street, and he’s receiving four times more campaign contributions than Obama.
As for the pitchforks, come out they will.
Culprits Can’t Be Found
May 5th, 2012Glimpses into Griftopia:
http://www.advisorone.com/2012/04/25/finding-the-culprits-of-the-crisis
Green Slime is Poison
April 18th, 2012Proponents of criminality called “Economists” like Mankiw are running the show in Washington. Surely they will continue to advocate a regulatory race towards the bottom, towards the economic abyss, regardless who becomes President in November. Surely they will advocated bailing out their bankster friends after the next Armageddon. Surely they won’t have to answer for their fraud.
The Sound of Fraud
April 6th, 2012Wailing and crying must have echoed through the halls of bailed-out bankster outfit JP Morgan. A $20 million (yes, that’s an m, a thousand times 20,000 bucks, no sea-view in the Hamptons for this chump change) fine was issued by government cronies for a grave violation of financial regulation; JPM abused customer funds entrusted to them to defraud its own clients.
Meanwhile crime syndicate leader Dimon is gloating about “profits” of $19 billion his outfit made thanks to the continuing government sanctioned asset transfer from the taxpayer to his criminal organization. He truly deserves a salary of $23 million.
Was the wailing we heard howls of laughter over government complicity and taxpayer stupidity?
The Squid’s Multi-Level Squeezing of Muppets
March 26th, 2012It’s not that the squid violated fundamental trading rules by not locating shares its clients promised to have.
In 2010, the S.E.C. sued Goldman on accusations that it “willfully” had failed to preborrow shares as required for its short-selling clients in January 2009, shortly after Copper River went out of business. The improprieties involved 385 short sales in which the firm had not located shares for its brokerage clients to borrow.
It’s what the squid’s SEC cronies did:
Goldman paid $450,000 to settle the case without admitting or denying the accusations.
Yes, that’s only four zeros.
The failure to locate shares exposed the squid’s own clients to extreme risk, as clients may have to buy shares that the squid promised but failed to locate at high prices:
Failing to borrow shares on behalf of customers is illegal because of concerns about market manipulation. But it can also leave a brokerage firm’s client who is short a stock dangerously exposed to an escalating price in the shares. If a stock shorted by an investor began to trade higher and the shares were not borrowed, closing out the transaction would require the fund to buy them in the open market. That could propel the already rising price of the shares even higher, adding to the costs of the trade.
This wasn’t enough juice squeezed out of the muppets, the squid may even have front-run its own clients to profit from inflated prices of the stock it fraudulently failed to pre-borrow:
As the stocks continued climbing, Mr. Cohodes came to believe that Goldman was buying the stocks that he was short ahead of him, driving up their prices and making Copper River’s short-covering purchases even more costly, he testified.
The client driven into bankruptcy:
“I think Goldman Sachs is a racketeering entity that does whatever they can to make a dime without conscience, thought, foresight or care about ramifications,” Mr. Cohodes concluded in his testimony. “I think they are cold-blooded and could care less about the law. That’s my opinion. I think I can back it up.”
The squid defrauds the client, bets against him and drives him into bankruptcy. Then the SEC cronies settle for 450k. Crazy.
Travesty of Capitalism
March 25th, 2012Take this, bailed-out bankster Dimon:
Yes, Mr. Dimon, you are a success. However, I would suggest that the success you so proudly proclaim reflects the loss of two of our nation’s most important values. The first is the failure of individuals and leaders to simply take responsibility for their actions and the actions of their companies. The second is that Wall Street, which should be the heart of American capitalism, has instead become the heart of a dysfunctional system that is destroying the nation’s wealth.
No, bankers are not capitalists. At every turn, they demonstrate that the last thing they want is the return of real capitalism to America.
Indeed, what does a bailed-out bank on permanent life support by government cronies to do with capitalism?