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View Diary: Prosecuting Wall Street Gets Real (193 comments)

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  •  uhhh, no (9+ / 0-)

    3/5 of the co-chairs are people who have a history of protecting the banks (schneiderman is one of the other 2 co-chairs)

    this will do nothing.

    this is a PR move and only a PR move.

    •  Agreed. This is window dressing... (2+ / 0-)
      Recommended by:
      lostinamerica, George Hier

      the resources needed to actually do this issue justice are immense. Here is an article that compares this with the savings and loan scandal of the 80's:

      Ok, let’s go to the substance.

      "I am pleased to report that this Working Group has considerable Department resources behind it as it builds on activities that have been underway through the broader Task Force. Currently, 15 attorneys, investigators, and analysts – here at Main Justice and throughout our U.S. Attorneys’ Offices – are supporting the investigative efforts that this Working Group will be focusing on going forward. And the FBI has assigned 10 agents and analysts to work with the group immediately. In the coming weeks, another 30 attorneys, investigators, and support staff from U.S. Attorneys’ Offices will join the Group’s work."

      So that’s a total of 55 people, 10 of whom are FBI agents. Let’s do a few comparisons. During the Savings and Loan crisis, Bill Black reminds us that there were about a thousand FBI agents working on the various cases. That’s one hundred times the number of people working on a scandal that is about forty times larger and far more complex.

      To put it another way, let’s say that this scandal cost the American public $5-7 trillion in lost home equity. That’s about $100 billion of lost home equity per person assigned to this task force. If someone stole $100 billion a corporation, like say, if somehow Apple’s entire cash hoard which is roughly that amount, suddenly disappeared, I’m guessing that the FBI would assign more than one person to the case.

      Another comparison might be Enron, which had 100 FBI agents assigned to the case. Or the stress tests. Remember this?

      For the last eight weeks, nearly 200 federal examiners have labored inside some of the nation’s biggest banks to determine how those institutions would hold up if the recession deepened.

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