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View Diary: The Obama Administration Protection of Wall Street Criminals - A Possible Explanation (326 comments)

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  •  Let's all hold our breaths (13+ / 0-)

    The government has not prosecuted the biggest criminal conspiracy in history, and ongoing investigations have thus far not changed that fact.  So it is true.  I did not say there were no investigations, just no prosecutions.  A few slap-on-the-wrist fines for big banks amount to rounding errors in their books, and are tax writeoffs for them anyway, so government is paying some of those fines.  To pretend that is meaningful prosecution of these colossal crimes is simply laughable.

    Citizens United defeated by citizens, united.

    by Dallasdoc on Thu Jan 24, 2013 at 07:17:14 AM PST

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    •  Well (2+ / 0-)
      Recommended by:
      cotterperson, artmartin

      this statement:

      From that decision flows the policy of not pursuing Wall Street executives for obvious crimes, and not using RICO to go after them
      claims that the 'executives' are not being pursued, and I'm pointing out the fact that there are ongoing investigations, the discovery phase of which are just now wrapping up (I'm talking specifically about the mortgage-backed securities meltdown). Also, having worked on these investigations myself, it's not 'obvious' to me that there were crimes. There was incompetence, but this doesn't necessarily imply criminal culpability, and it certainly doesn't imply the existence of the 'biggest criminal conspiracy in history.' You realize that the banks lost a shit ton of money, right? That they were on the verge of utter collapse because of their woefully stupid hedging strategy, wherein they did not appreciate the extent of their exposure? If that was the conspiracy, then it was a very poorly executed one.

      The recapitalization of the banks by the Fed is a completely different issue, one which I think in hindsight was grossly mishandled.

      •  These "investigations" (7+ / 0-)

        hardly constitute "going after" anybody.  They've had four years, with mountains of evidence, and have shown no inclination to start bringing cases against most of the miscreants.  Some negotiations have led to fines, which have been risible for the actors involved.  Costs of doing business.

        Come back when Lloyd Blankfein or Jamie Dimon are in the dock, and I'll change my mind.

        Citizens United defeated by citizens, united.

        by Dallasdoc on Thu Jan 24, 2013 at 08:04:28 AM PST

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        •  You don't (3+ / 0-)
          Recommended by:
          cherryXXX69, cotterperson, artmartin

          prosecute without first investigating, and yes, there are 'mountains of evidence' which need to be reviewed, coded, put in a chronology, and anlayzed. That shit takes time, it doesn't happen overnight, it takes years. I was going through several thousand documents a day, five days a week for 8 months, and I came in at the end of discovery. Like I said, this shit takes time. It might feel better to advocate for swift 'justice' when you're so certain you are in the right, while completely ignoring the reality of an investigation of a huge entity, spanning many years, dealing with millions of pieces of evidence.

      •  That very year (13+ / 0-)

        the big banks gave out bonuses.  

        Cry me a river.

        You realize that the banks lost a shit ton of money, right? That they were on the verge of utter collapse because of their woefully stupid hedging strategy, wherein they did not appreciate the extent of their exposure?
        The Fed is still buying their toxic assets.  And they are still dishing out huge bonuses.

        Jamie Dimon is in Davos right now telling everyone about how the banks are so good for the country and arguing that they need no more regulation.  Meanwhile, there's still no Volcker rule and Dimon's firm was caught red handed with their hidden internal hedge fund doing proprietary trading a la Fail Whale.

        And they still get bonuses.

        Yeah, things are really straightened out.  


        "Justice is a commodity"

        by joanneleon on Thu Jan 24, 2013 at 08:09:17 AM PST

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        •  I never even suggested everything (1+ / 0-)
          Recommended by:
          cotterperson

          was straightened out, nor am I in any way defending the banks, their practices, or their compensation structure. In fact, I did just the opposite, stating they were incompetent and lost themselves a shit-ton of money.

          Are you claiming the banks didn't collectively lose trillions of dollars? That they still gave bonuses is a sign of their greedy, asshole-ish tendencies, but that's another matter.

      •  How do you meet with major drug-dealers (9+ / 0-)

        and representatives of Iran, try to hide your actions, and not know you are doing something illegal?

        How do you crack the whip on your employee staff to make sure unwarranted mortgages are issued in their thousands and hundreds of thousands, and not know financial truth-laws are being violated?

        How do you know your mortgages are falsely rated -- and you know this because you've made deals with ratings agencies to falsely rate them -- and then represent the packages as sound investments to investors, and not be committing conscious fraud?

        It's a highly improbable coincidence, isn't it, that through all this "mere incompetence" the people acting ended up making fortunes every step of the way, while innocents end up losing everything?

        (That the banks lost fortunes as institutions is not the same thing as banking heads and apparatchiks making fortunes.)


        Markos! Not only are the Gates Not Crashed, they've fallen on us. Actual Representatives are what we urgently need, because we have almost none.

        by Jim P on Thu Jan 24, 2013 at 08:54:17 AM PST

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    •  Almost all the fines paid by shareholders, (6+ / 0-)

      btw, and not the bonus-makers themselves. Even one case where an executive was fined (CountryWide?), in the end he got bonuses enough that he could afford to pay the vig to the government and not really suffer. Bottom-line? Shareholders paid it all.


      Markos! Not only are the Gates Not Crashed, they've fallen on us. Actual Representatives are what we urgently need, because we have almost none.

      by Jim P on Thu Jan 24, 2013 at 08:44:19 AM PST

      [ Parent ]

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