Financial Crisis | FORECLOSURE FRAUD | by DinSFLA

Tag Archive | "Financial Crisis"

SEC official: Feds conclude that many allegations of financial wrongdoing can’t succeed as criminal prosecutions

SEC official: Feds conclude that many allegations of financial wrongdoing can’t succeed as criminal prosecutions


WSJ-

A former top U.S. official in charge of investigating the financial crisis said the government has concluded that many inquiries of wrongdoing by financial executives can’t succeed as criminal prosecutions.

“There’s been a realization and a more deliberate targeting by the Department of Justice before we launch criminally on some of these cases” said David Cardona, who was a deputy assistant director at the Federal Bureau of Investigation until he left last month for a job at the Securities and Exchange Commission. The Justice Department has decided it is “better left to regulators” to take civil-enforcement action on those cases, …

[WALL STREET JOURNAL] subscription needed

© 2010-15 FORECLOSURE FRAUD | by DinSFLA. All rights reserved.



Posted in STOP FORECLOSURE FRAUDComments (1)

Secrets of the Bailout, Now Revealed – Gretchen Morgenson

Secrets of the Bailout, Now Revealed – Gretchen Morgenson


I’ve always said if walls could talk in these secretive rooms, look no further than Gretchen to shut it down with a story.

NYT-

A FRESH account emerged last week about the magnitude of financial aid that the Federal Reserve bestowed on big banks during the 2008-09 credit crisis. The report came from Bloomberg News, which had to mount a lengthy legal fight to wrest documents from the Fed that detailed its rescue efforts.

It is dispiriting, of course, that we are still learning about the billions provided to various financial firms during the crisis. Another sad element to this mess is that getting the truth requires the legal firepower of an organization as rich as Bloomberg.

[NEW YORK TIMES]

© 2010-15 FORECLOSURE FRAUD | by DinSFLA. All rights reserved.



Posted in STOP FORECLOSURE FRAUDComments (0)

Cummings Requests Hearing on Secret Government Loans to Rescue Banks

Cummings Requests Hearing on Secret Government Loans to Rescue Banks


New Bloomberg Report Estimates that Banks Reaped $13 Billion from Below-Market Rate Loans

Washington, DC (Nov. 28, 2011) – Today, Rep. Elijah E. Cummings, Ranking Member of the House Committee on Oversight and Government Reform, sent a letter to Chairman Darrell Issa requesting that the Committee hold a hearing with Federal Reserve Chairman Ben Bernanke and officials from the nation’s largest financial institutions that benefitted from trillions of dollars in previously undisclosed government loans provided at below-market rates.

“Many Americans are struggling to understand why banks deserve such preferential treatment while millions of homeowners are being denied assistance and are at increasing risk of foreclosure,” said Cummings.

Cummings requested the hearing in light of a report in Bloomberg Markets Magazine that revealed that the Federal Reserve secretly committed more than $7 trillion as of March 2009 to rescuing the nation’s top financial institutions, and that these banks “reaped an estimated $13 billion of income by taking advantage of the Fed’s below-market rates.”

According to economists cited in the Bloomberg report, this “secret financing helped America’s biggest financial firms get bigger and go on to pay employees as much as they did at the height of the housing bubble.”  The Bloomberg report disclosed that total assets at the largest six banks increased by 39% and executive compensation increased by 20% over the past five years.

According to the Bloomberg report, information about these secret loans was withheld from Congress as it debated reforms ultimately included in the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010, and banks also failed to disclose this information to their shareholders.

The full letter follows:
November 28, 2011

The Honorable Darrell E. Issa
Chairman
Committee on Oversight and Government Reform
U.S. House of Representatives
Washington, DC 20515

Dear Mr. Chairman:

    I am writing to request that the Committee hold a hearing with Federal Reserve Chairman Ben Bernanke and officials from the nation’s largest financial institutions that benefitted from trillions of dollars in previously undisclosed government loans provided at below-market rates.

    In the past, the Oversight Committee has played a prominent role in investigating the actions of government entities and private sector corporations that led to the financial collapse.  On October 23, 2008, for example, former Federal Reserve Chairman Alan Greenspan testified before our Committee, stating:  “I made a mistake in presuming that the self-interest of organizations, specifically banks and others, was such that they were best capable of protecting their own shareholders.”

Yet, a report yesterday in Bloomberg Markets Magazine disclosed that the Federal Reserve secretly committed more than $7 trillion as of March 2009 to rescuing the nation’s top financial institutions.  As a result, the banks that received these loans “reaped an estimated $13 billion of income by taking advantage of the Fed’s below-market rates.”  This report was based on 29,000 pages of Federal Reserve documents obtained under the Freedom of Information Act after a protracted legal dispute.

    According to economists cited in the Bloomberg report, the scope of these previously undisclosed loans resulted in a financial windfall for the banks.  For example, Dean Baker, co-director of the Center for Economic and Policy Research, stated:  “getting loans at below-market rates during a financial crisis—is quite a gift.”  Similarly, Viral Acharya, an economics professor at New York University, stated:  “Banks don’t give lines of credit to corporations for free.  Why should all these government guarantees and liquidity facilities be for free?”

    The Bloomberg report disclosed that this “secret financing helped America’s biggest financial firms get bigger and go on to pay employees as much as they did at the height of the housing bubble.”  According to Federal Reserve data cited in the report, total assets held by the six largest U.S. banks increased 39% from 2006 to 2011.  In addition, based on data from the Bureau of Labor Statistics, employees at these banks received more than $146 billion in compensation in 2010, an increase of nearly 20% from five years earlier.  According to Anil Kashyap, a former Federal Reserve economist, “The pay levels came back so fast at some of these firms that it appeared they really wanted to pretend they hadn’t been bailed out.”

The Bloomberg report explained that Congress lacked access to information about the secret Federal Reserve loans while it debated reforms ultimately included in the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010.  For example, former Senator Judd Gregg stated:  “We didn’t know the specifics.”  Similarly, Senator Richard Shelby stated:  “I believe that the Fed should have independence in conducting highly technical monetary policy, but when they are putting taxpayer resources at risk, we need transparency and accountability.”  According to Neil Barofsky, the former Special Inspector General for the Troubled Asset Relief Program, “The lack of transparency is not just frustrating; it really blocked accountability.”

When Congress passed the Dodd-Frank Act, it required the Government Accountability Office to “conduct a onetime audit of all loans and other financial assistance” from December 1, 2007, to July 21, 2010.  Although GAO issued its report in July, it analyzed assistance—including mortgage-backed securities purchased through open market operations—with peak outstanding balances of only $3.5 trillion.  Even with respect to these amounts, GAO concluded:

The context for the Federal Reserve System’s management of risk of losses on its loans differed from that for private sector institutions.  In contrast to private banks that seek to maximize profits on their lending activities, the Federal Reserve System stood ready to accept risks that the market participants were not willing to accept to help stabilize markets.

    In addition to withholding information about these loans from Congress, banks also apparently failed to disclose this information to their shareholders.  For example, Kenneth D. Lewis, the Chief Executive Officer of Bank of America, told shareholders on November 26, 2008, that the company was “one of the strongest and most stable major banks in the world.”  According to the Bloomberg report, however, he failed to disclose that “his Charlotte, North Carolina-based firm owed the central bank $86 billion that day.”

    Many Americans are struggling to understand why banks deserve such preferential treatment while millions of homeowners are being denied assistance and are at increasing risk of foreclosure.  Unfortunately, officials from many of these financial institutions declined to comment about these loans, including officials from Goldman Sachs, JPMorgan, Bank of America, Citigroup, and Morgan Stanley. 

For all of these reasons, I respectfully request that the Committee hold a hearing with the Federal Reserve chairman and officials from each of these financial institutions to examine these issues in greater detail.  Thank you for your consideration of this request.

                        Sincerely,

                        Elijah E. Cummings
                        Ranking Member

[ipaper docId=74060982 access_key=key-qgfj6rxm5qliut1229p height=600 width=600 /]

Source: http://democrats.oversight.house.gov

© 2010-15 FORECLOSURE FRAUD | by DinSFLA. All rights reserved.



Posted in STOP FORECLOSURE FRAUDComments (0)

Secret Fed Loans Gave Banks Undisclosed $13B

Secret Fed Loans Gave Banks Undisclosed $13B


After you read this, come back and read Matt Taibbi’s story: Woman Gets Jail For Food-Stamp Fraud; Wall Street Fraudsters Get Bailouts

See if any of this makes any sense?

 

Bloomberg-

The Federal Reserve and the big banks fought for more than two years to keep details of the largest bailout in U.S. history a secret. Now, the rest of the world can see what it was missing.

The Fed didn’t tell anyone which banks were in trouble so deep they required a combined $1.2 trillion on Dec. 5, 2008, their single neediest day. Bankers didn’t mention that they took tens of billions of dollars in emergency loans at the same time they were assuring investors their firms were healthy. And no one calculated until now that banks reaped an estimated $13 billion of income by taking advantage of the Fed’s below-market rates, Bloomberg Markets magazine reports in its January issue.

Saved by the bailout, bankers lobbied against government regulations, a job made easier by the Fed, which never disclosed the details of the rescue to lawmakers even as Congress doled out more money and debated new rules aimed at preventing the next collapse.

[BLOOMBERG]

© 2010-15 FORECLOSURE FRAUD | by DinSFLA. All rights reserved.



Posted in STOP FORECLOSURE FRAUDComments (0)

Keep Wall Street Occupied, Get Creative

Keep Wall Street Occupied, Get Creative


A fast, easy, free, and non-violent way to drive the big banks out of their greedy little minds is sitting in your mailbox right now. You just don’t know it yet.

Funny, I personally was told about this a few months ago. This woman was getting 2-3 of these mailers from the same institution each week. She told me she did this! Brilliant!

 

© 2010-15 FORECLOSURE FRAUD | by DinSFLA. All rights reserved.



Posted in STOP FORECLOSURE FRAUDComments (2)

BofA, Wells Fargo, Citigroup Left TARP Early To Avoid Restrictions On Executive Pay

BofA, Wells Fargo, Citigroup Left TARP Early To Avoid Restrictions On Executive Pay


Same characters, continuing with rewarded favors.

HuffPo-

In the wake of the financial crisis, a number of the nation’s largest banks were excused from the government’s rescue program before they had returned to a position of complete financial security — in part because they wanted to avoid restrictions on how much their executives would get paid, according to a new report from the program’s government overseer.

Citigroup, Wells Fargo, PNC and Bank of America successfully lobbied to leave the federal bailout program early in 2009, even though the Federal Reserve Board and the Federal Deposit Insurance Corporation had recommended they take additional steps to shore up their assets, according to a new report from the Special Inspector General for the Troubled Relief Asset Program, a government watchdog office.

[HUFFINGTON POST]

© 2010-15 FORECLOSURE FRAUD | by DinSFLA. All rights reserved.



Posted in STOP FORECLOSURE FRAUDComments (1)

Hold banks to account for their role in crisis

Hold banks to account for their role in crisis


TOO Big to FAIL, doesn’t have to mean they’re TOO Big not to JAIL.

SacBee-

Three years ago this week, the financial system came unhinged. In rapid-fire succession, one major financial institution after another crumpled as years of recklessness on Wall Street and regulatory neglect in Washington took their toll. Before it was over, the federal government had committed trillions of dollars to bail out the nation’s largest banks and the economy was in tatters, with gnawing questions remaining about what went wrong and who was responsible.

The unraveling had dire consequences. Twenty-four million Americans are unemployed or unable to find full-time work, with wages as a share of gross domestic product at the lowest level since the 1930s. Meanwhile, the banks barely skipped a beat, with compensation at publicly traded Wall Street firms reaching a record $135 billion in 2010.

© 2010-15 FORECLOSURE FRAUD | by DinSFLA. All rights reserved.



Posted in STOP FORECLOSURE FRAUDComments (0)

Nassim Taleb: The American Economy Will Transfer $5 Trillion To Banker Pay And Bonuses Over The Next 10 Years

Nassim Taleb: The American Economy Will Transfer $5 Trillion To Banker Pay And Bonuses Over The Next 10 Years


Rewarding Wall Street addiction does not fit the equation… This only perpetuates more trouble down the future.

H/T Business Insider-

For the American economy – and for many other developed economies – the elephant in the room is the amount of money paid to bankers over the last five years. In the United States, the sum stands at an astounding $2.2 trillion.

Extrapolating over the coming decade, the numbers would approach $5 trillion, an amount vastly larger than what both President Barack Obama’s administration and his Republican opponents seem willing to cut from further government deficits.

That $5 trillion dollars is not money invested in building roads, schools, and other long-term projects, but is directly transferred from the American economy to the personal accounts of bank executives and employees.

Such transfers represent as cunning a tax on everyone else as one can imagine. It feels quite


Read more: http://www.project-syndicate.org/commentary/taleb1/English#ixzz1XCYMv8y8

© 2010-15 FORECLOSURE FRAUD | by DinSFLA. All rights reserved.



Posted in STOP FORECLOSURE FRAUDComments (0)

US, France Knew In 2007 Financial Collapse Was Imminent Due To Wall Street Fraud

US, France Knew In 2007 Financial Collapse Was Imminent Due To Wall Street Fraud


#WikiLeaks- PAULSON DISCUSSES FINANCIAL MARKETS, IRAN WITH SARKOZY, LAGARDE

Alexander Higgins-

In 2007 top US and France officials knew rampant fraud being committed by regulators, rating agencies and Wall Street Banks would soon cause a global financial collapse.

While investors and nations around the world were happily giving trillions of dollars away to crooked Wall Street bankers top officials in the United States and France knew the market would soon collapse and people would be robbed of millions.

While raising the issue that the role of government regulators and rating agencies needed to be reviewed in the wake of the upcoming crisis, US officials ignored calls from the French government to enact necessary regulation to stop the rampant fraud that would soon result in investors losing tens of trillions of dollars they had invested into the markets.

The cable reveals that while discussing the ability of the French banks to survive the crisis, French President Sarkozy was pushing the US to enact regulations to forestall the crisis. Instead, Henry Paulson responded by telling Sarkozy not to overreacted because the” it would take months, not weeks, for credit to be re-priced” telling France this is “not a major crisis.”

Paulson went on to warn that the major problem was with the German banks and which would require a bailout from the taxpayer while warning that the assets held by banks but covered up from investors by being held off-balance sheet presented systematic risk to banks and to sovereign wealth.

The cable clearly reveals that taxpayer bailouts would be needed.  Paulson further up sticks up for the Wall Street hedge fund saying they were not to blame for the crisis while acknowledging there were major Wall Street transparency issues.

To summarize, the cable reveals that top government officials in France and the US knew Wall street banks were committing fraud in the origination and packaging of sub-prime mortgage and lying to investors about the resulting securities they were creating and selling. Officials knew banks were also lying about their own liabilities and hiding them from investors by keeping the assets off their balance sheets.  The government also knew that both regulators and ratings agencies were participating in the scheme.

Remember as you read this cable, these conversations all took place over a year before the 2008 financial collapse when taxpayers around the world were forced into giving up trillions of dollars for banker bailouts. Also keep in mind that while the cable discusses “systemic risk”, “bailouts” and “market turbulence”, none of these had happened yet. They were discussing what would soon happen in the future.

The discussion of “systemic risk”, “market turbulence” and “taxpayer bailouts” over a year before the markets actually collapsed and those events actually occurred, show they knew a global financial collapse. Not only did they know it would occur but knew what the consequences would be for the investors and the governments who were fleeced by Wall Street. As the cable reveals, Paulson chose to deal with the crisis by letting it continue and urging France to keep the issue underwaps  by  urging Sarkozy not  to “over react”, hence allowing the scandal to the continue which just postponed the inevitable.

Also remember when we were forced into these bailouts, it was  under the guise that our governments had no idea the banks were doing this and this was a sudden and unforeseeable crisis. Finally, remember that – while there have been plenty of accusations from “conspiracy theorists”,  “fringe economists” and “wing nut” politicians such as Ron Paul – there still has been no admission from our government that financial regulators or the ratings agencies played a role in the crisis.

[ALEXANDER HIGGINS]

© 2010-15 FORECLOSURE FRAUD | by DinSFLA. All rights reserved.



Posted in STOP FORECLOSURE FRAUDComments (0)

The Rescue That Missed Main Street – Gretchen Morgenson

The Rescue That Missed Main Street – Gretchen Morgenson


But NOT Wall Street

Fair Game-

FOR the last three years we have been told repeatedly by government officials that funneling hundreds of billions of dollars to large and teetering banks during the credit crisis was necessary to save the financial system, and beneficial to Main Street.

But this has been a hard sell to an increasingly skeptical public. As Henry M. Paulson Jr., the former Treasury secretary, told the Financial Crisis Inquiry Commission back in May 2010, “I was never able to explain to the American people in a way in which they understood it why these rescues were for them and for their benefit, not for Wall Street.”

The American people were right to question Mr. Paulson’s pitch, as it turns out. And that became clearer than ever last week when Bloomberg News published fresh and disturbing details about the crisis-era bailouts.

[NEW YORK TIMES]

© 2010-15 FORECLOSURE FRAUD | by DinSFLA. All rights reserved.



Posted in STOP FORECLOSURE FRAUDComments (0)

Sound Familiar? Who says history doesn’t repeat?

Sound Familiar? Who says history doesn’t repeat?


Cross-Posted from Chink in the Armor

In 62 BC,  the Roman Senate was in a terrible state. They functioned more like a city council than as an imperial government.  The influx of wealth and slaves from the Carthaginian wars meant business was more about banking and finance than anything else.  Business men were more interested in state contracts and the financing of games than they were in trade,  true commerce and the building of true wealth.  It was all about pleasuring their egos and pandering to the hedonistic whims of the citizenry

Ruinous taxation impoverished the people compelling them to turn to the money lenders to meet their obligations and debt collection turned them into virtual,  if not absolute slaves.  This had the effect of concentrating the real wealth,  the land,  into fewer and fewer hands and the use of slaves in farming sent the landless poor to the larger cities which became populated with wretched human beings destitute of all moral and social development.

“At bottom,  usury was the cancer of the Republic.  […] seldom had a people sunk so low.  Bereft of religion,  morality and all the social virtues,  the dole-fed masses wallowed in vice.  Luxury begot brutality and brutality licence;  licence led to celibacy,  and childlessness became more and more prevalent.  To these degenerates,  licence, spelt liberty,  but to the plutocrats,  liberty spelt power,  profit,  and an unlimited scramble for wealth,  until money became the sole link between man and man.”[1]

Sound familiar?

On June 16, 1963, Thich Quang Duc,  a Buddhist monk sat down in the middle of the street in downtown Saigon,  poured gasoline over himself and his robes and calmly set himself on fire to protest the religious persecution under the Diem regime which was supported by the US Government.  The effect in South Vietnam was electric.  Citizens who had heretofore cowered in their homes in fear of the police began to stand up in defiance of the regime.

Three years later,  in May of 1966, Thich Nu Thanh Quang, a Buddhist nun, immolated herself in the city of Hue.  By the end of the month,  the US Consulate in Hue was set afire by angry mobs.  The affect in this country was almost as dramatic.  With brute force,  it brought home to the psyche of America that we were the bad guys.

Sound familiar?

Just over a week ago,  Tom Ball,  a 21 year Army veteran from Massachusetts  doused himself with gasoline and set himself on fire in front of the Cheshire County Courthouse in Keene,  NH.  In February last year,  Joe Stack flew his small plane into the IRS offices in Austin,  TX.  Just a few days ago,  James Verone walked up to a teller at a Gastonia, NC bank and handed her a note.  It said “This is a bank robbery, please only give me one dollar.”  He did it so he could get medical care.

Just this year,  on June 23rd,  Treasury Secretary Timothy Geithner told the House Small Business Committee that the Obama administration believes taxes on small business must increase.  “We’re not doing it because we want to do it, we’re doing it because if we don’t do it,   [ … we will] have to go out and borrow a trillion dollars over the next 10 years to finance those tax benefits for the top 2 percent, and I don’t think I can justify doing that.”

Ruinous taxation,  more money spent on games and pleasure than upon the creation of wealth,  money lenders driving people into virtual slavery with onerous debt;  a population bereft of religion and morality,  a vicious scramble for wealth and now money is the sole link between man and man.  Divorce,  broken families, eugenics and childlessness preached from street side bill boards,  the wealth drained from the nation so those in power can have just a little bit more,  a devastated middle class.

Sound familiar?

In 61 BC,  Rome was ripe for a man on a white horse.  On September,  29th of that year,  that man arrived.  Pompey,  a victorious general from the wars against the terrorists (pirates) who were raiding the shipping lanes of the eastern Mediterranean rode into town to upset the power balance between  Porcius Cato and Licinius Crassus.  Pompey aligned himself with Crassus and it was a period of great political tension.  While all eyes were upon him,  Julius Caesar,  a member of the Populares party also arrived to stand for Consulship.  Cato denied Caesar the triumph he expected from his victories in Spain and added Caesar to his enemies.  In the ensuing struggle,  Crassus and Pompey agreed to support Caesar for Consulship in exchange for political favors and repeal of certain taxes.

With Cato out of the way,  it wasn’t long before the triumvirate were squabbling amongst themselves and a civil war between the forces and citizens loyal to Pompey and those loyal to Caesar broke out.  In early January of 49 BC,  Caesar “crossed the Rubicon” a shallow river in northeastern Italy forcing Pompey and  the rest of the Senate to flee Rome.  Caesar was victorious over Pompey in the ensuing civil war and he was never held accountable.

We haven’t seen our man on the white horse yet,  but is it too far fetched to imagine it will happen?  And when he comes,  can he unite or will there be terrific division between competing factions?  Could there be a military coup?  It isn’t so far fetched and to read this,  you can see it is something they are already thinking about.  If so,  would there be the counter coup? Add into that a cyclical view of history rather than a linear view and one can see historical pressures building up.

Julius Caesar crossed the Rubicon and resolved the indecision and competing interests of Rome.  He did this by fashioning his military to become an instrument of his will.  His military was he and he was his military.  His was a struggle of an entire people yearning for something new.  Caesar was able to utilize all aspects of the empire: money,  trade,  propaganda and political manipulations as means to an end.  Lastly,  and perhaps most importantly,  he saw that in war,  as in peace,  opponents are equally fearful of each other and the first to set aside fears of the moment and act boldly has the best chance of victory.

Caesar saw that what Rome needed was a monarchial democracy;  freedom and democracy,  not licence and greed;  a strong hand to rend order out of chaos.  He destroyed the power of the money lenders by relieving the provinces of their money making governors and sent each of them at least 80,000 new citizens to promote democracy.  His vision for a new social order is best explained by quoting a speech he made to a group of mutinous soldiers at Placentia in 49 BC:

“For no society of men whatever can preserve its unity and continue to exist if the criminal element is not punished,  since,  if the diseased member does not receive proper treatment,  it causes all the rest,  even as in our own physical bodies to share  in its affliction.  […] For wherever the insolent element has the advantage wherever wrong-doing is unpunished,  there self restraint also goes unrewarded […]”[2]

At the root of it all is money as debt.  It nearly destroyed Rome and it is on the verge of destroying this country.  It is (one of) the duty (ies) of the sovereign to produce the coin of the realm.  In this country,  the sovereign,  which in this country is manifested by the central government in Washington DC, abdicated that power to a group of men for their private profit nearly 100 years ago.  Until this duty is reclaimed by the sovereign, just like Rome before the arrival of Julius Caesar,  the problems we face will not be solved.

Sound familiar?

_____________________________________________________________________________________


[1] A Military History of the Western World by Maj. General J.F.C. Fuller page 177

[2] Div’s Roman History,  translated by E. Cary (1916),  XLI,  29-30

© 2010-15 FORECLOSURE FRAUD | by DinSFLA. All rights reserved.



Posted in STOP FORECLOSURE FRAUDComments (0)

Home Truths | To keep itself politically bullet-proof, Fannie Mae paid competing lobbyists to sit on the sidelines.

Home Truths | To keep itself politically bullet-proof, Fannie Mae paid competing lobbyists to sit on the sidelines.


Wall Street Journal

‘The American people realize they’ve been robbed. They’re just not sure by whom,” write Gretchen Morgenson and Joshua Rosner in “Reckless Endangerment.” But Americans who read this outstanding history of the financial crisis will know, by the end, exactly who created the meltdown of 2008 and how they did it. This is a story, the authors say, “of what happens when Washington decides, in its infinite wisdom, that every living, breathing citizen should own a home.”


© 2010-15 FORECLOSURE FRAUD | by DinSFLA. All rights reserved.



Posted in STOP FORECLOSURE FRAUDComments (1)

Goldman Sachs Said to Get Subpoena From New York Prosecutor

Goldman Sachs Said to Get Subpoena From New York Prosecutor


BLOOMBERG:

Goldman Sachs Group Inc. (GS), the fifth- biggest U.S. bank by assets, received a subpoena from the Manhattan District Attorney’s office seeking information on the firm’s activities leading into the credit crisis, according to two people familiar with the matter.


© 2010-15 FORECLOSURE FRAUD | by DinSFLA. All rights reserved.



Posted in STOP FORECLOSURE FRAUDComments (0)

‘Reckless Endangerment’: Morgenson, Rosner Name Names — Point Finger at Fannie Mae

‘Reckless Endangerment’: Morgenson, Rosner Name Names — Point Finger at Fannie Mae


YAHOO FINANCE-

In Reckless Engagement, the latest book about the financial crisis, co-authors Gretchen Morgenson and Josh Rosner do what many of their high-profile counterparts failed to do: Name names for those responsible for the crisis.

“Instead of it seeming like it was an ‘act of god’ that couldn’t have been prevented, we try to single out some of the people who were crucial at the center in the years leading up the crisis, not just when it struck,” says Morgenson, a Pulitzer-prize winning journalist with The NY Times.

While familiar culprits like Alan Greenspan, Robert Rubin, Barney Frank are cited in the book, front and center is a name most Americans probably don’t know: James Johnson, the former chairman and CEO of Fannie Mae.

continue reading HERE

© 2010-15 FORECLOSURE FRAUD | by DinSFLA. All rights reserved.



Posted in STOP FORECLOSURE FRAUDComments (0)

The Fed’s BIG Little $90,000,000,000 Secret

The Fed’s BIG Little $90,000,000,000 Secret


Federal Reserve Lending Revelations Intensify Criticism Of Central Bank’s Secrecy

HuffPO-

In the midst of the global financial crisis in 2008, the Federal Reserve lent Goldman Sachs, Credit Suisse and Royal Bank of Scotland at least $30 billion each at interest rates as low as 0.01 percent with no public disclosure of the details, Bloomberg News reported on Thursday.

The latest revelations about the covert infusions of credit provided by the Fed to some of the world’s largest banks has amplified accusations that the central bank is a power unto itself, operating according to its own devices and in the interest of major financial institutions — and beyond accountability to taxpayers.

“It just points out that this was about secrecy to protect banks basically from embarrassment from transparency, which is not supposed to be what the Fed’s about,” said Dean Baker, co-director of the Center for Economic Policy and Research, in Washington.

“That is the fundamental problem with the Fed,” Baker added. “They’re supposed to be an agency of the government, not an agency of the banks. But reflexively, there they are protecting the banks, again and again and again.”

© 2010-15 FORECLOSURE FRAUD | by DinSFLA. All rights reserved.



Posted in STOP FORECLOSURE FRAUDComments (0)

Partners, Not Regulators: The Federal Reserve’s Role In The Financial Collapse

Partners, Not Regulators: The Federal Reserve’s Role In The Financial Collapse


HuffPO-

This is an adaptation from “Reckless Endangerment”, an exploration of the origins of the recent financial crisis, by Gretchen Morgenson and Joshua Rosner. The book will be published today by Times Books. This excerpt examines the cozy relationship between Alan Greenspan’s Federal Reserve and the banks the Fed was charged with regulating. This is the second of three excerpts.

To regulators at the Federal Reserve Board, the financial crisis of 1998 and the collapse of the giant hedge fund Long-Term Capital Management had been an undeniably terrifying event. Officials at the prestigious New York Fed knew how extraordinary it had been for them to help the hedge fund; they were sensitive to the fact that they had aided in a speculator’s rescue and worked hard to downplay their role.


© 2010-15 FORECLOSURE FRAUD | by DinSFLA. All rights reserved.



Posted in STOP FORECLOSURE FRAUDComments (0)

Goldman should be worried about subpoenas

Goldman should be worried about subpoenas


“I think we found a white elephant, flying pig and unicorn”

REUTERS-

Goldman Sachs Group Inc (GS.N) executives have good reason to be worried about the risk of receiving subpoenas from the Justice Department, and investors should be concerned too.

The U.S. government has a real chance of finding inconsistencies between Goldman executives’ testimony to Congress and their internal documents, which means subpoenas could turn into something more serious, lawyers said.

© 2010-15 FORECLOSURE FRAUD | by DinSFLA. All rights reserved.



Posted in STOP FORECLOSURE FRAUDComments (0)

THE SARBANES-OXLEY ACT OF 2002 by Robert A. McTamaney

THE SARBANES-OXLEY ACT OF 2002 by Robert A. McTamaney


WILL IT PREVENT FUTURE “ENRONS?”


Click image below to continue to WLF.org’s PDF

© 2010-15 FORECLOSURE FRAUD | by DinSFLA. All rights reserved.



Posted in STOP FORECLOSURE FRAUDComments (2)

NEW YORK’S MARTIN ACT: EXPANDING ENFORCEMENT IN AN ERA OF FEDERAL SECURITIES REGULATION by Robert A. McTamaney

NEW YORK’S MARTIN ACT: EXPANDING ENFORCEMENT IN AN ERA OF FEDERAL SECURITIES REGULATION by Robert A. McTamaney


Who’s afraid of the Martin Act? Today, the answer is most of Wall Street, and a healthy segment of
corporate America.

Click on image below to continue to WLP.org’s PDF

© 2010-15 FORECLOSURE FRAUD | by DinSFLA. All rights reserved.



Posted in STOP FORECLOSURE FRAUDComments (0)

TAIBBI-ROSNER-SPITZER | re: GOLDMAN Email “UTOPIA” a White Elephant, Flying Pig and Unicorn

TAIBBI-ROSNER-SPITZER | re: GOLDMAN Email “UTOPIA” a White Elephant, Flying Pig and Unicorn


Matt Taibbi, Eliot Spitzer and Joshua Rosner on CNN discuss new fraud probe of three major banks. Big banks could go out of business.

© 2010-15 FORECLOSURE FRAUD | by DinSFLA. All rights reserved.



Posted in STOP FORECLOSURE FRAUDComments (0)

Matt Taibbi wipes the floor with Megan McArdle re: Goldman Sachs criminality

Matt Taibbi wipes the floor with Megan McArdle re: Goldman Sachs criminality


Crooks and Liars-

Matt Taibbi has a new article on Rolling Stone on the recent hearings in the U.S. Senate and whether or not Goldman Sachs executives should be facing criminal trials or not in the wake of ongoing investigations into their part in the financial meltdown we went through a few years ago. CNN decided to bring in the Atlantic Monthly’s Wall Street apologist Megan McArdle to debate Taibbi on Your Money.



© 2010-15 FORECLOSURE FRAUD | by DinSFLA. All rights reserved.



Posted in STOP FORECLOSURE FRAUDComments (2)

MATT TAIBBI | The People v. Goldman Sachs

MATT TAIBBI | The People v. Goldman Sachs


A Senate committee has laid out the evidence. Now the Justice Department should bring criminal charges

Rolling Stones-

They weren’t murderers or anything; they had merely stolen more money than most people can rationally conceive of, from their own customers, in a few blinks of an eye. But then they went one step further. They came to Washington, took an oath before Congress, and lied about it.


[image: abcnews]

© 2010-15 FORECLOSURE FRAUD | by DinSFLA. All rights reserved.



Posted in STOP FORECLOSURE FRAUDComments (0)

GARY DUBIN LAW OFFICES FORECLOSURE DEFENSE HAWAII and CALIFORNIA
Chip Parker, www.jaxlawcenter.com
Kenneth Eric Trent, www.ForeclosureDestroyer.com
Advertise your business on StopForeclosureFraud.com

Archives