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Jamie Dimon
JP MorganChase CEO Jamie Dimon testifies before the
Senate Banking Committee (Larry Downing/Reuters)
When J.P. Morgan's CEO Jamie Dimon testified before the Senate Banking Committee last week, many articles reporting the hearing noted how kindly the super-banker was treated by the committee. Dimon flaunted his presidential cufflinks, presumably given to him by President Obama (who has also praised Dimon publicly). The senators heaped accolades upon Dimon while asking very little about how he blew up to $7 billion of his depositors' money. After watching what this nation has gone through with its top bankers over the last four years, the reception Mr. Dimon received could not have been made up by Kafka. It stands as a near perfect example of institutional failure of a democratically elected institution and the supremacy of financial corporations as their replacement.

But it wasn't always like this.

Prior to FDR and his reforms (during the 50 years of which there was not a single American financial panic), panics were quite common. Every few years, a massive loss of confidence in financial institutions would take place, destroying massive amounts of wealth and ruining the economy. In 1907, there was a massive financial panic much like in 2008. Prior to the crash, speculators began to make risky side bets with the assets of insurance companies (like speculators do with pension funds these days). One such company, one could say the equivalent of Lehman Brothers, was the Knickerbocker Trust Company. Knickerbocker was a high flyer, with plenty of its traders and executives enjoying lavish lifestyles much like our investment bankers today. Knickerbocker, backed up by a syndicate of the nation's top banks, engaged in an elaborate bet to corner the market on copper. A massive amount of debt was run up against bank deposits and insurance company reserves in an attempt at monopoly. This didn't work out, naturally, so the trust collapsed and took the entire banking system down with it. There were bank runs. Industrial companies that depended on credit lines were ruined. Insurance companies failed to pay claims. Nationwide panic ensued.

J.P. Morgan
J.P. Morgan (Wikimedia Commons)
Into the breach stepped one John Pierpont Morgan. Morgan had some experience with panics over his long career in finance, notably the Great Panic of 1893, a financial crisis brought about by railroad stock speculators. A massive depression followed. In the 1907 disaster, Morgan organized the response to contain the financial damage to prevent a depression.  He secured a huge deposit from the United States Treasury Secretary, as well as additional funds from John D. Rockefeller and Lord Rothschild of the famed European banking house. Morgan even pledged half his own personal fortune to guarantee the United States's credit to prevent loss of confidence in the Treasury's bonds. While Morgan contained the panic and even managed to make a slight profit for his trouble, he was not pleased with having to deal with things in such a risky way:
Even if Morgan made money after the fact in 1907, the expectation of higher default risk made the possibility of lending in future panics unattractive. Perhaps this is what was realized by the New York bankers, causing them to abandon their role as de facto lenders of last resort and setting the groundwork for the establishment of the Federal Reserve System.
After many years of study initiated by Morgan, the Federal Reserve was established to mitigate the risks of financial panic. The New York branch of the bank welcomed its first president,  a Mr. Benjamin Strong, longtime assistant to Morgan. While President Roosevelt was pleased with Morgan's intervention, he was no fan of any one person having that much power. Nor was he any friend of Morgan's after having beaten him in the Supreme Court during TR's successful breakup of Morgan's western railroad trust. Still, despite all this, Roosevelt and his hand picked successor Taft went on to give a great deal of latitude to Morgan and his allies in setting up the basic structure for the Federal Reserve.
Rep. Arsene Pujo of Louisiana circa 1913 (Wikimedia Commons)
Rep. Arsene Pujo (D-LA), c. 1919
All of this seems so familiar to us, doesn't it? We too have had a financial crisis brought about by the speculation of bankers. Our Treasury officials are cozy with the big banks just like in 1907. But last week's hearing before the Senate Banking Committee stands in stark contrast to what happened in Congress to a J.P. Morgan leader over 100 years ago. The Pujo Committee was formed as a subcommittee of the House Banking Committee and was headed by Louisiana Democratic lawyer and congressman Arsene Pujo.

The Pujo Committee was the father of the more famous Pecora Commission, which looked into the causes of the Great Depression. Needless to say, J.P. Morgan himself was not welcomed into the hearing room and heaped with praise as Dimon was. In fact, he endured a torrent of tough questioning at the hands of the Committee, and derision and scorn on the House and Senate floor. Pujo's report is absolutely scathing in its takedown of Morgan and the big banks. The committee's lawyer lit into Morgan over and over again during several brutal days of testimony. In the end, some of Morgan's friends speculated that the stress of the hearings may have killed him.

Today, we have a situation where the majority whip of the Senate famously noted, speaking of Congress, that the bankers "own the place." Which is interesting considering the largest financial contributor to that Senate committee is...whaddayaknow...JP Morgan. Perhaps there needs to be a committee to investigate how that came about. You'd think a sitting Senator who is bold enough to admit that a private group of bankers owns a democratic institution would call at least one day of public hearings into the matter. Maybe then we could get to the root cause of why we have had three financial panics since the government began dismantling FDR's reforms. Maybe some sort of congressional committee concerned with banking could investigate the matter.

Perhaps one day someone on the Senate Banking Committee Banker's Senate Committee will figure out that it is their job to supervise banks and not the other way around.

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Comment Preferences

  •  jamie dimon is a criminal (16+ / 0-)

    It's charming that criminals are on the fed reserve board.

    "The real wealth of a nation consists of the contributions of its people and nature." -- Rianne Eisler

    by noofsh on Sun Jun 17, 2012 at 06:09:23 AM PDT

    •  We have many charming criminals in business (15+ / 0-)

      It's part of their success.

      The GOP is the party of mammon. They mock what Jesus taught.

      by freelunch on Sun Jun 17, 2012 at 06:25:28 AM PDT

      [ Parent ]

      •  If you're at the top, being a socipath is (6+ / 0-)

        considered being an astute, successful businessman who knows how to work the system, and you will be rewarded handsomely for it....

        How did it get this way?

        For decades the propaganda machine has bombarded the American people 24/7, telling them how great the people at the top are,
        how because of their great character, intelligence and skills they are better than 'average' people and deserve to live like royalty, while the peons can admire them and be entertained by stories of their lavish lifestyle and wealth.....

        and who owns the American propaganda machine media?

        Those very same sociopaths who now sit at the top of the game and make up the rules, laws and regulations to suit themselves.
        If you break it down to it's essence it's all a clever con game.
        American have been played for gullible suckers by clever sociopaths and conmen who have gravitated to the most profitable con game in history.

        Criminals, conmen and sociopaths will always be drawn to where the money is.
        It has always been like that and it will always be that way, but now,
        they own the Congress, the Supreme Court and at times the White House.
        They will not be regulated because they now make the rules and what they do is not illegal because they write the laws.
        They can smile and laugh at the stupidity of the American people as they loot the global economy.

        I guess they really ARE smarter than the American people, but just not in the way they would have you believe they are.

    •  Stateing the Obvious. As long as he's Obama's... (4+ / 0-)
      Recommended by:
      seabos84, snoopydawg, shaharazade, ozsea1

      friend/backer, ain't nothin' gonna happen.

  •  Bankers Senate Committee (14+ / 0-)

    I like it.
    And I hate it.

    Here is the truth: The Earth is round; Saddam Hussein did not attack us on 9/11; Elvis is dead; Obama was born in the United States; and the climate crisis is real. It is time to act. - Al Gore

    by Burned on Sun Jun 17, 2012 at 06:16:28 AM PDT

    •  Taibbi Nails it (7+ / 0-)

      Not a Pretty Picture....

      112:54 Finally there are some tough questions. Jon Tester starts asking Dimon why he accepted collateral from MF Global, even though Chase’s own risk management people were concerned that these might have been customer-segregated funds. In other words, Chase knew something was up at MF Global, but it still allowed Jon Corzine’s firm to trade off-limits customer money for cash, essentially helping Corzine rob his own customers.

      This is an interesting line of questioning, but watch the sequence from minute 112 on – Dimon grows visibly annoyed by Tester’s inquiry, to the point where Tester sort of ends up apologizing for even asking these questions. The big crew-cutted Midwesterner throws his hands up a little and basically says, "Hey, man, I’m sorry, I’m just looking out for the farmers who got wiped out by MF Global, with your help. It’s nothing personal."

      "That’s all," says Tester in a conciliatory voice. "Just lookin’ out for my folks."

      "I hope they get their money back," sniffs Dimon halfheartedly. "I still believe they will, by the way," he adds, staring off into the distance with undisguised boredom. He’s not quite rolling his eyes at all this nonsense about wounded farmers, but almost. If he was my child pulling that face at the dinner table, I would have grabbed him by the ear and sent him straight to bed without ice cream. But the senators bent to his annoyance like it was legitimate. It was disgusting.

      Only Merkley showed a little assertiveness...
  •  Oops. Typo. (0+ / 0-)
    that the bankers "own the plcae."

    I am become Man, the destroyer of worlds

    by tle on Sun Jun 17, 2012 at 06:19:33 AM PDT

    •  Likewise, a missing word (1+ / 0-)
      Recommended by:

      from here:

      The Pujo Committee was the father the more famous Pecora Commission,

      "The difference between the right word and the almost-right word is like the difference between lightning and the lightning bug." -- Mark Twain

      by Brooke In Seattle on Sun Jun 17, 2012 at 06:40:22 AM PDT

      [ Parent ]

      •  Of the Senate! (6+ / 0-)
        The investigation was launched by a majority-Republican Senate, under the Banking Committee's chairman, Senator Peter Norbeck. Hearings began on April 11, 1932, but were criticized by Democratic Party members and their supporters as being little more than an attempt by the Republicans to appease the growing demands of an angry American public suffering through the Great Depression.

        Those were the days, eh?!

        "Let each unique song be sung and the spell of differentiation be broken" - Winter Rabbit

        by cotterperson on Sun Jun 17, 2012 at 06:45:41 AM PDT

        [ Parent ]

    •  You are correct because they own that too, (1+ / 0-)
      Recommended by:

      along with owning the teaplcaeists.

      Romney went to France instead of serving in our military, got rich chop-shopping US businesses and eliminating US jobs, off-shored his money in the Cayman Islands, and now tells us to "Believe in America."

      by judyms9 on Sun Jun 17, 2012 at 09:17:02 AM PDT

      [ Parent ]

  •  committees can create political will (11+ / 0-)

    The financial crisis inquiry commission was a huge missed opportunity to rally a public support for legislation, or to rally it around the legislation that passed ahead of the report, Dodd-Frank.

    The Pecora hearings, both in the lame duck session ahead of FDR's first 100 days that saw passage of the Securities Act and during 1933 leading up to the Exchange Act, exposed the abuses and helped create the political environment for reform.

    In the 2000s, I think the political will belonged to the banks, who shuffled the public expose off-stage.

    Lapdog media is also to blame

  •  Excellent post (16+ / 0-)

    this cameo illustrates the abject failure of government for by and of the people. I don't see a way back through the political process alone.

    •  The whole business system has a different mindset (16+ / 0-)

      these days.

      I read recently about a CEO so incompetent that he managed to cut his company's value by 2/3rds in a few years.

      For this, half his bonus was withheld.

      100 years ago, he'd have been on the street. And unemployable.

      But 100 years ago, CEOs didn't serve on each others boards of directors and write each other's employment contracts. And stockholders actually had a say in the running of a business.

      Now, the top brass simply changes the by-laws....and in some companies, stockholders are prohibited from even learning the top executives compensation.  That's right. The people who own the company can't even find out what "their" managers are  paid.

      This isn't capitalism. It's corporatism. A whole different--and ugly--beast.

      Freedom has two enemies: Those who want to control everyone around them...and those who feel no need to control themselves.

      by Sirenus on Sun Jun 17, 2012 at 07:06:56 AM PDT

      [ Parent ]

    •  No, it will take economic collapse.... (9+ / 0-)

      And I'm not talking about the garden variety panic of 2008/09.  This collapse will not have a bailout, or a TARP component, to kick the can down the road another few years.  This one will result in genuine depression, and mid-teens unemployment.  Real pain, which may finally anger enough people toward action.

      Then, and only then, will the TPTB get shown the door.  Economic calamity has a way of focusing the attention of the people, who may finally then do something about the corporatocracy that has been ruling them.  

      I don't see anything else in the normal course of our political process that will get it done.

      •  Yep, which is why (0+ / 0-)

        I looked at 2010 elections with ambivalence. I figured the Tea Party taking the house might bring Armageddon a bit faster and it was appearing that was the only way we might actually see any real change.

        ~War is Peace~Freedom is Slavery~Ignorance is Strength~ George Orwell "1984"

        by Kristina40 on Sun Jun 17, 2012 at 07:55:39 AM PDT

        [ Parent ]

      •  R'd But (2+ / 0-)
        Recommended by:
        shaharazade, ozsea1
        This one will result in genuine depression, and mid-teens unemployment


        We're already wayyyy past that, unless you take seriously the smoke and mirrors/baloney government unemployment numbers.

        "Think of _Huffington_ as HuffPost's more stylish offspring". A. Huffington. Uhhh, OK! Gimme a break.

        by Superpole on Sun Jun 17, 2012 at 08:42:04 AM PDT

        [ Parent ]

      •  You might be right (0+ / 0-)

        Real pain might be the only thing that get's people to stop focusing on who won American Idle, insipid political talking points and other distractions that are irrelevant to their own lives and finances and start focusing on how the game has been rigged.

  •  Voting isn't fixing this (22+ / 0-)

    anytime soon considering the moneyed elite control the elections with their huge donations (secretly thanks Citizens United) and revolving doors between regulators and bankers. Our Treasury is run by GS and JPM as is the Federal Reserve.

    ~War is Peace~Freedom is Slavery~Ignorance is Strength~ George Orwell "1984"

    by Kristina40 on Sun Jun 17, 2012 at 06:23:55 AM PDT

  •  Dimon's shirt and cufflinks (14+ / 0-)

    are probably worth more than my truck.

    The path of the righteous man is beset on all sides by the inequities of the selfish and the tyranny of evil men.

    by xxdr zombiexx on Sun Jun 17, 2012 at 06:26:51 AM PDT

  •  They Have Given Us Our Country Back (22+ / 0-)

    and restored if not the framers' vision, the framers' actual gift to us.

    The Panic of 1819
    Panic and Depression 1832
    Panic and Depression 1836
    Six Year Depression 1837-1843
    The Panic of 1857
    Panic and Depression 1869-1871
    The Panic of 1873
    The Panic of 1893
    The Panic of 1901
    Panic, Global Crash and Depression of 1929

    50 year time out for safe economy, first large middle class under crushing liberal New Deal regulation.

    Repeal begins 1980.
    S&L Panic of the 1980's.
    Global crash and Great Recession of 2008+

    We are called to speak for the weak, for the voiceless, for victims of our nation and for those it calls enemy.... --ML King "Beyond Vietnam"

    by Gooserock on Sun Jun 17, 2012 at 06:27:55 AM PDT

  •  This is the world of Citizens United (11+ / 0-)

    Senators are not in the least hesitant to bow and scrape, openly in public, before those who can inundate either them or their opponents with piles of corrupt cash.  
    They no longer have the least concern about the voters. They have abandoned any pretense of even keeping up appearances.

    We are heading at warp speed to a new definition of RINO and DINO:

    Republic in name only.  Democracy in name only. A super-high tech post-industrial version of a hopeless plutocracy. Like a star leaving the main sequence, our until now relatively stable democracy appears to be entering an unstable and brief red giant phase, before flaming out entirely.

    "The only thing we have to fear - is fear itself." - Franklin Delano Roosevelt

    by orrg1 on Sun Jun 17, 2012 at 06:32:57 AM PDT

    •  And this is beyond national boundaries, or even (8+ / 0-)

      the boundaries of Empire.  The entire world is entering a new Gray Age, where all learning is suspect, penmanship is no longer taught, and the internet will do for all of us what the firemen did in Farenheit 451.  Most will put their heads down, labor long hours for just enough for the flat screen TV.  The reality shows will tell them how good they have it, while the lotteries and Wheel of Fortune will hold out the faint, but glittery hope that their individual lot will miraculously improve.  Meanwhile, those allowed to run for public office will be, and are, either fundamentally corrupt, or so uneducated as to be afraid of challenging the claims of such as Diamond, and his cohort in the crime of the ages.  Not much hope here, but things change in unexpected ways.  These criminals may already be over the cliff.

      Patriotism may be the last refuge of scoundrels, but religion is assuredly the first.

      by StrayCat on Sun Jun 17, 2012 at 06:46:14 AM PDT

      [ Parent ]

    •  C.O.R.R.U.P.T.I.O.N. (3+ / 0-)
      Recommended by:
      judyms9, Russgirl, flavor411

      Corruption of the political system in whole bought to you by the very institution meant to avoid it - The Supreme Court of the United States.

      Sucks to be an average American heading into the 21st century, don't it.

      Romney - his fingernails have never been anything but manicured.

      by Pescadero Bill on Sun Jun 17, 2012 at 08:26:41 AM PDT

      [ Parent ]

    •  So..... You Don't Think (0+ / 0-)
      We are heading at warp speed to a new definition of RINO and DINO:
      We're not already there?

      How many more examples like last week's corporate lovefest do you require?

      "Think of _Huffington_ as HuffPost's more stylish offspring". A. Huffington. Uhhh, OK! Gimme a break.

      by Superpole on Sun Jun 17, 2012 at 09:15:02 AM PDT

      [ Parent ]

  •  Obama saved their very livelihoods (6+ / 0-)

    and bailed them all out.  He spent all his political capital on healthcare instead of real wallstreet reform.  Today, the stock market is near 13K and corp profit and executive compensation is back at levels like nothing ever happened.  

    Obama calculated that these actions would secure donors for Obama12.  The irony is that those wallstreet donors that gave generously to Obama08 have all turned and now give tens of millions to Romney superpacs.

    The first thing to do if Obama is re-elected is revisit Dodd-Frank.  Hopefully it will be demanded in the form of a strong mandate.

  •  like speculators do with pension funds these days (1+ / 0-)
    Recommended by:

    I'm curious about what the documentation is for the statement  "like speculators do with pension funds these days".

    •  Look into MF Global (7+ / 0-)

      for a starter course ;)

      ~War is Peace~Freedom is Slavery~Ignorance is Strength~ George Orwell "1984"

      by Kristina40 on Sun Jun 17, 2012 at 06:48:55 AM PDT

      [ Parent ]

      •  Thanks.... (0+ / 0-)

        What I find on MF Global  is a lawsuit out there by the Virginia Retirement System and others based on "misleading statements that inflated the prices of MF Global Securities."  That suit claims a $19 million loss by the two lead plaintiffs, Virginia Retirement System and the Canadian province of Alberta.

        I also find general references to MF Global failing to segregate pension plan futures and cleared swaps margin in third-party safekeeping accounts.   But I'm not coming across details like dollar amounts that pension funds lost from bets made by MF Global using their assets.

        Partly I'm curious because of this line from Jon Stewart on The Daily Show on June 14th:

        As you remember...somewhere around four years ago our economy experienced a cyclical fiscal phenomenon known as a catastroph**k, when our largest financial institutions began to collapse after making incredibly risking bets basically using our pension money to gamble on the value of our houses…
        That's a great simple narrative.  It links pension fund losses directly to bank activity that either is criminal or should be.  But can someone direct me to the facts that back it up?
  •  City National Bank--now Citigroup--repeat felon (12+ / 0-)

    Pecora's dismantling of Charles Mitchell, CEO of City National Bank, by exposing his insider deals, fat compensation, knowing sales of worthless peruvian bonds, and sale of City stock to shareholders to cover a worthless loan made an interesting 10 days of theater.

    Citigroup's merger in the late 1990s led to the dismantling of Glass Steagall.  

    Citi was famously in the thick of the 2000s financial crisis, with the CEO saying about the bubble "we dance while the music is playing"

    In every financial train wreck of  the past 100 years, Citi shows up.  

    •  This will never leave my mind (8+ / 0-)
      Just days after the administration (including the Treasury Department) agrees to support the repeal, Treasury Secretary Robert Rubin, the former co-chairman of a major Wall Street investment bank, Goldman Sachs, raises eyebrows by accepting a top job at Citigroup as Weill's chief lieutenant. The previous year, Weill had called Secretary Rubin to give him advance notice of the upcoming merger announcement. When Weill told Rubin he had some important news, the secretary reportedly quipped, "You're buying the government?"
      That says it all, doesn't it?

      ~War is Peace~Freedom is Slavery~Ignorance is Strength~ George Orwell "1984"

      by Kristina40 on Sun Jun 17, 2012 at 07:03:23 AM PDT

      [ Parent ]

    •  Citi holds many state and local government (1+ / 0-)
      Recommended by:

      contracts for things like those plastic food benefits cards.  

      Romney went to France instead of serving in our military, got rich chop-shopping US businesses and eliminating US jobs, off-shored his money in the Cayman Islands, and now tells us to "Believe in America."

      by judyms9 on Sun Jun 17, 2012 at 09:39:42 AM PDT

      [ Parent ]

  •  As long as Democrats keep voting for ... (6+ / 0-)

    Wall Street owned Lessor-of-Two-Evils-Politicians, things will never change.

    Many Kossack's complain about people voting against their own self interest, then advocate voting against their self interest just 'cause the Wall Street Owned POS is a Democrat.

    Corporatist Democrats are just as evil as Corporatist Republicans.

    •  It's always a matter of what the options are, and (2+ / 0-)
      Recommended by:
      ozsea1, Kristina40

      the 1% always succeed in controlling the options.  We know at the outset that the game is rigged but we do the best we can.  The Rovians succeeding in pulling in the unwary evangelicals, gun lovers, and gay haters, which gave them the political space they needed for the full bore takeover.  Obama may be the last "common man" candidate we've had, and he just hasn't been that common.

      Romney went to France instead of serving in our military, got rich chop-shopping US businesses and eliminating US jobs, off-shored his money in the Cayman Islands, and now tells us to "Believe in America."

      by judyms9 on Sun Jun 17, 2012 at 09:44:26 AM PDT

      [ Parent ]

  •  What's the surprise about how Dimon was treated? (8+ / 0-)

    He IS a Master of the Universe with his own international empire, beyond the effective control of any kind of authority.

    He was in DC making a call on his patrons, investors and subjects. Beneficent, gracious, tolerant, he was, so as to hint at the kind of attention he will ultimately grant to them if - IF - they get better at doing his bidding.

    Obama and strong Democratic majorities in 2012!

    by TRPChicago on Sun Jun 17, 2012 at 06:54:26 AM PDT

  •  Super Post! (4+ / 0-)
    Recommended by:
    Kristina40, dinazina, Russgirl, flavor411

    That hearing is the poster boy of what the h*ll the problem is in this country! Long gone are the days of the " sternly worded letter".

    The best government money can buy ! Politicians know who their bosses are and it isn't the voters.  It's the wealthy banksters and corporate overlords who finance and donate to their party and their campaigns and promise them lucrative jobs after they leave office. Its the wealthy overlords who send in hurds of lobbyist to help them write legislation.

    Democracy is a farce in this country...with the wealthy elites determining what two viable national level political candidates we the masses get to vote for every November. The politicians know who really controls and holds the power in this country and it isnt them,its their wealthy greedy owners do as the boss says, or you face the possiblity of losing your cushy job.

    The only thing that was surprising, is that these senators now aren't hiding the fact that they are owned by the banksters. No they openly kissed Jamie Diamond's feet and butt in public....and begged him for his forgiveness for having to be there. What.a.disgrace!

    The best government banskters can buy!

    The Plutocratic States of America, the best government the top 1% and corporations can buy. We are the 99%-OWS.

    by emal on Sun Jun 17, 2012 at 07:15:11 AM PDT

    •  I forget which one (3+ / 0-)
      Recommended by:
      emal, laurnj, ozsea1

      was practically begging Jamie to move his bank to his State. It was a Republican but I forget which. It was disgusting, I figured he might just get on his knees and start blowing Jamie if he didn't get cut off by another Senator.

      ~War is Peace~Freedom is Slavery~Ignorance is Strength~ George Orwell "1984"

      by Kristina40 on Sun Jun 17, 2012 at 07:59:17 AM PDT

      [ Parent ]

      •  Yes it was disgusting (2+ / 0-)
        Recommended by:
        Kristina40, flavor411

        But this is the new normal and only going to get worst as income inequality has led to political inequality which only to leads to  more income inequality and political inequality...etcetera etceterA....Its a reinforcing cycle and I dont see it breaking anytime soon....the future is bleak.

        The Plutocratic States of America, the best government the top 1% and corporations can buy. We are the 99%-OWS.

        by emal on Sun Jun 17, 2012 at 08:04:36 AM PDT

        [ Parent ]

    •  One of them didn't kiss his arse (3+ / 0-)
      Recommended by:
      ozsea1, Eric Nelson, Kristina40

      Senator Bob Menendez (D-NJ) went after Dimon. I have no problem voting for Menendez this November. At least NJ is fortunate that both our US Senators are serious about standing up for NJ's families.

      Then again, neither of NJ's US Senators came from wealthy families.

  •  Congress Members own lots of TBTF Stocks (6+ / 0-)

    And we wonder why regulating banks and corporations is  problem for Congress.

    Most Popular Congressional Investments, 2010

    Rank       Organization                   Total

    1    General Electric           94     
    2    Procter & Gamble           74     
    3    Cisco Systems                   72     
    4    Microsoft Corp                  70     
    5    Pfizer Inc                           61     
    5    Bank of America            61     
    7    AT&T Inc                            57     
    8    Intel Corp                             54     
    8    Johnson & Johnson             54     
    8    Verizon                             54     
    11    Exxon Mobil                   53     
    12    Apple Inc                           51     
    13    Coca-Cola Co                    49     
    13    JPMorgan Chase          49   
    15    PepsiCo Inc                  47     
    16    Wells Fargo                  45   
    17    Berkshire Hathaway     43     
    18    Walt Disney Co            41     
    19    Home Depot                 40     
    20    Hewlett-Packard           38     
    20    McDonald's Corp          38     
    22    Merck & Co                   37     
    22    Citigroup Inc                37     
    24    Abbott Laboratories     35     
    25    Wal-Mart Stores           31     
    26    3M Co                           30     
    26    Oracle Corp                  30     
    28    Apache Corp                29     
    29    Qualcomm Inc              28     
    30    Google Inc                    27     
    31    Goldman Sachs             26     
    31    Ford Motor Co              26     
    31    Conocophillips              26     
    31    Time Warner                26     
    35    United Technologies     25     
    35    Chevron Corp               25     
    35    Bristol-Myers Squibb    25     
    38    BP                                    24
    38    Amgen Inc                    24     
    38    Duke Energy                 24
    38    Emerson                       24
    38    Kraft Foods                  24
    38    Teva Pharm                  24
    44    Schlumberger Ltd          23
    44    Comcast Corp              23
    44    EMC Corp                     23
    44    Altria Group                   23
    48    CVS/Caremark Corp      22
    49    Devon Energy              21
    49    DuPont Co                     21

    Here's Daryl Issa's Stocks as of 2012

    1200 Harbor Dr LP      $250,001 to $500,000
    12400 Stowe Dr LP      $5,000,001 to $25,000,000
    1709 La Costa Meadows LP      $5,000,001 to $25,000,000
    1800 Carillon Blvd LP      $5,000,001 to $25,000,000
    212 S Main Street LP      $1,000,001 to $5,000,000
    3186 Vista Way LP      $5,000,001 to $25,000,000
    5931 Priestly Dr LP      $5,000,001 to $25,000,000
    Alliance Bernstein High income Fund      $25,000,001 to $50,000,000
    American High Income Trust SBI      $5,000,001 to $25,000,000
    BB&T Capital Trust VI      $1,000,001 to $5,000,000
    BlackRock High Yield Bond Portfolio      $25,000,001 to $50,000,000
    Citigroup Inc      $1,000,001 to $5,000,000
    CMA Tax-Exempt Fund      $0
    Columbia High Yield Opportunity Fund      $5,000,001 to $25,000,000
    Congressional FCU Account      $50,001 to $100,000
    DEI LLC      $25,000,001 to $50,000,000
    Directed Insurance      $1,000,001 to $5,000,000
    Faraday Partners LLC      $1,000,001 to $5,000,000
    Fermi Court LP      $5,000,001 to $25,000,000
    General Electric      $1,000,001 to $5,000,000
    Goldman Sachs High Yield Fund      $5,000,001 to $25,000,000
    Greene Properties      $50,000,001
    Invesco/AIM High Yield Fund      $25,000,001 to $50,000,000
    Ivy Funds High Income Fund      $5,000,001 to $25,000,000
    JPMorgan High Yield Bond Fund      $5,000,001 to $25,000,000
    La Pacifica LP      $5,000,001 to $25,000,000
    Lord Abbett High Yield Fund      $5,000,001 to $25,000,000
    Mainstay High Yield Corporate Bond      $5,000,001 to $25,000,000
    MFS Utilities Fund      $5,000,001 to $25,000,000
    ML Bank Deposit Program Money Market      $100,001 to $250,000
    Ocean Collection LLC      $1,000,001 to $5,000,000
    Principal High Yield Fund      $5,000,001 to $25,000,000
    Putnam High Yield Fund      $50,000,001
    S&P US Pfd Stk Index Fund iShares      $1,000,001 to $5,000,000
    Slater Pl LP      $1,000,001 to $5,000,000
    Third I LLC      $1,000,001 to $5,000,000
    Viper LLC      $5,000,001 to $25,000,000

    It's difficult to be happy knowing so many suffer. We must unite.

    by War on Error on Sun Jun 17, 2012 at 07:19:53 AM PDT

  •  Excellent history... (3+ / 0-)
    Recommended by:
    Kristina40, ozsea1, jfdunphy

    Read Lords of Finance, it will add to this article as well..

    Do facts matter anymore?

    by Sinan on Sun Jun 17, 2012 at 07:21:31 AM PDT

  •  Once I built a railroad, now it's done - (3+ / 0-)
    Recommended by:
    Kristina40, judyms9, ozsea1

    Buddy can you spare a Dimon?

  •  look at the cufflinks (0+ / 0-)

    on Dimon!  Are they gold dubloons?  

    ‎"Find out just what any people will quietly submit to and you have the exact measure of the injustice and wrong which will be imposed on them." --Frederick Douglass

    by Nada Lemming on Sun Jun 17, 2012 at 07:50:22 AM PDT

  •  It only goes to show (1+ / 0-)
    Recommended by:

    that no good deed goes unpunished, and that our current political system is morally bankrupt.  Happy fathers day to all you dads out there.

    "Success is a dangerous as failure, hope as hollow as fear" - Lao Tzu

    by anotherroady on Sun Jun 17, 2012 at 07:55:15 AM PDT

  •  Ya'll might want to check (3+ / 0-)
    Recommended by:
    emal, ozsea1, Eric Nelson

    this out as well.

    ~War is Peace~Freedom is Slavery~Ignorance is Strength~ George Orwell "1984"

    by Kristina40 on Sun Jun 17, 2012 at 08:18:39 AM PDT

  •  In Watching (5+ / 0-)

    In watching this one couldn't help get the unmistakable impression that the Senators were confused into thinking that they work for the banks rather than the American people.

  •  "But it wasn't always like this". (4+ / 0-)
    Recommended by:
    splashoil, ozsea1, Russgirl, cdembrey
    I get it, but these historical tomes/references (complete with nice black and white photos) aren't all that relevant to the problem now, unless there's a historical example in the U.S. where a popular movement got rid of most of the deadbeat congressional incumbents and replaced them with non-corrupt people.
    Which is interesting considering the largest financial contributor to that Senate committee is...whaddayaknow...JP Morgan. Perhaps there needs to be a committee to investigate how that came about. You'd think a sitting Senator who is bold enough to admit that a private group of bankers owns a democratic institution would call at least one day of public hearings into the matter.
    No. You appear to contradict yourself. You point out the criticism of last week's blatant corporate lovefest (the committee in question is chaired by "democrat" Tim Johnson) and your answer is another committee and "study" of the matter?

    You're kidding.

    Here's the math:

    In recent years, "Democratic" members on the senate banking committee get a total $296,557 in contributions from JP Morgan Chase. Sen. Mark Warner tops out the list at $108,800.

    The repugs got $285,531.

    What is left to study? Is there a new math we need to use to make the "democrats" look better?

    Let's just stop the nonsense, stop the denial regarding how F***ed up and corrupt our system is, and stop denying democrats in congress aren't responsible. And let's stop wasting our time and money on senate "committees" which based on last week's, and numerous other recent examples, are useless.

    Here's part of Taibbi's take:

    It would be one thing if this had been a bunch of hick congressmen from the plains asking a panel of MIT professors about, say, ozone depletion, or the potential dangers of nuclear fallout. But these were members of the Senate Banking Committee, asking Dimon questions as though he were an alien from another world: "Tell us, Mr. CEO, what is this ‘derivative trading’ to which you refer? How long has it been in use on your planet?" The whole tenor of the proceeding was incredibly embarrassing, and showed just how unlikely it is that you’ll ever get anything like real questioning in a Senate hearing when a) the level of general expertise among the members is so shamefully low, and b) the witness is a man who controls millions of dollars of campaign contributions.

    "Think of _Huffington_ as HuffPost's more stylish offspring". A. Huffington. Uhhh, OK! Gimme a break.

    by Superpole on Sun Jun 17, 2012 at 09:10:13 AM PDT

  •  Dimond (5+ / 0-)
    Recommended by:
    Russgirl, LNK, Eric Nelson, cdembrey, Superpole

    As long as banks and brokers can take high risks with client's moneyl,k we continue to be a nation of thieves. Bring bacl Glass Steagle.

  •  Thank you for this diary (1+ / 0-)
    Recommended by:
    Eric Nelson

    I wish there were a way to get the info into the hearts of the general public.

    •  HUh? (0+ / 0-)

      The "general public' gets it fine--  the kind of crap we saw last week with the senate banking committee is exactly why millions don't bother to vote any more.

      "Think of _Huffington_ as HuffPost's more stylish offspring". A. Huffington. Uhhh, OK! Gimme a break.

      by Superpole on Sun Jun 17, 2012 at 12:32:01 PM PDT

      [ Parent ]

  •  Views of the minority to Pujo commisions report.. (1+ / 0-)
    Recommended by:

    ..of 1913 could just as well have been written today by the banking moguls and the like:

    If, for instance, a bank happened to hold the securities of a corporation which failed, and the public was aware of those investments, a run upon the bank might result, even though the loss did not in the least jeopardize the deposits or other liabilities pf the bank.
    The public, in other words, must be protected from itself. The one and only justification for secrecy in banking matters is that a little knowledge is apt to be a very dangerous thing. It is unquestionably dangerous for those who do not know all about a bank's condition to know too much.

     It is sufficient that the bank examiners and the directors are familiar with those details. The depositor and the individual stockholder must put their trust in the directors and officers and examiners. If the Comptroller of the Currency and his examiners can not safeguard the public in this matter, the comptroller's office might as well be abolished. Respectfully submitted.
    - emphasis added

    Secrecy, deregulation, operational autonomy and arrogance to boot.

    Nothing about money men has really changed..
     - 'Trust us we know what we are doing, you don't, let's keep it that way - for your protection' -
    .. but the momentum has gone their way:

    Thx BBB for the past to present connections

  •  Reminds me of a quote from (2+ / 0-)
    Recommended by:
    Superpole, Eric Nelson

    the expose of the Rockefeller Empire: "Does the Pennsylvania Railroad have any more business before the legislature? If not, session is adjourned."

  •  Astonished at the J.P. Morgan photo at diary top (2+ / 0-)
    Recommended by:
    brooklynbadboy, Eric Nelson

    He's holding a shiv and looks eager to use it.

    "Happiness in intelligent people is the rarest thing I know." - Hemingway

    by DavidHeart on Sun Jun 17, 2012 at 12:36:55 PM PDT

  •  Progressive Party was funded by JP Morgan (1+ / 0-)
    Recommended by:
    blue denim

    associate George Perkins.

    This is not as surprising as it sounds. Perkins had worked with TR before on parks. By 1912, TR had pretty much given up on breaking up monopolies, concluding that it would be easier and more effective to regulate them. He may have been right, and in fact the Wilson Administration adopted that policy for the telephone industry:

    But Morgan and some of his Robber Baron friends had also changed. They had been badly burned by the Panic of 1907 and realized that government intervention was needed in order to prevent such in the future. They thus supported the Aldrich Vreeland Act and the Federal Reserve Act.

    It may take the Koch Brothers getting wiped out before we see a repeat of that. And that is not good, as Koch Industries is a diverse conglomerate that will only collapse if the entire economy collapses. The Romney economic policies could easily lead to that but it won't be pretty; a lot of people will be hurt.

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