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View Diary: Dems Kill Retroactive Mortgage Fraud Bill (132 comments)

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  •  More from Chicago Trib (1+ / 0-)
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    Money is not speech. Corporations are not people.

    by Benintn on Thu Nov 18, 2010 at 08:24:38 AM PST

    [ Parent ]

    •  My favorite part of this article: (1+ / 0-)
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      Like many other failures, Heritage went overboard on commercial real estate lending.

      "They didn't have a great crystal ball, but who did?" said Shapiro, who's not involved in the case.

      The FDIC seeks to recover losses of at least $20 million that Heritage suffered because insiders "failed to properly manage" commercial real estate lending.

      "It's making a lot of people very nervous," Shapiro said.

      Money is not speech. Corporations are not people.

      by Benintn on Thu Nov 18, 2010 at 08:25:39 AM PST

      [ Parent ]

    •  Now if only the big fish... (0+ / 0-)

      the CEO's of the TBTF banks--could be held accountable, since their actions had worldwide destructive consequences.  

      Though part of the lawsuit against Citigroup Execs. and board member was dismissed, Judge allows Citigroup securities fraud case to proceed: (emphasis mine)

      ...A federal judge is allowing a portion of a proposed class-action securities fraud lawsuit against Citigroup, several executives and a board member to go forward...

      The case, filed on behalf of Citigroup (C) shareholders, alleges executives including former CEO Charles Prince and former Chief Financial Officer Gary Crittenden misled investors through misstatements and omissions about the exposure to potential losses in the company's collateralized debt obligations (CDOs), from February 2007 through Nov. 3, 2007...

      The ruling finds the case also can proceed against five other executives...

      Of course, the Citigroup executives have responded to the lawsuit by basically saying: "Prove It!  Prove that we "intended" fraud."

      IMHO, the whole concept of the CDO's was dreamed up and executed with the sole intent of defrauding investors, but it will remain to be seen if the standard for conviction will require the equivalent of signed incriminating statements to prove the obvious.

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