Do you like a good crime novel – a corporate crime novel? If so The Monster: How a gang of predatory lenders and Wall Street bankers fleeced America – and spawned a global crisis by Michael W. Hudson is for you. Unfortunately it’s not a fictional novel but the history of the mortgage crisis that may yet bring down the US and world economy
Even though BofA has sent an apology, somehow the foreclosure is still happening. Those responsible for this should be fired and then be indicted. Foreclosures like this are happening far too often for it all to be accidental.
Bloomberg News filed a lawsuit against the European Central Bank, seeking to make it disclose documents showing how Greece used derivatives to hide its fiscal deficit and helped trigger the region’s sovereign debt crisis.
Bloomberg has been doing an exemplary job in exposing the financial fraud, corruption, evasion, and deceit. Good.
Too much more of this and we might have a functioning federal regulatory system. Goodness, that would be just so wrong. I’m sure Barack (“I heart banksters”) Obama and the incoming Republican committee heads in the Senate need to move quickly to end this foolishness.
From the WSJ article on the huge insider trading probe. One of those being investigated emailed his clients saying:
“Today two fresh faced eager beavers from the FBI showed up unannounced (obviously) on my doorstep thoroughly convinced that my clients have been trading on copious inside information,” the email said. “(They obviously have been recording my cell phone conversations for quite some time, with what motivation I have no idea.) We obviously beg to differ, so have therefore declined the young gentleman’s gracious offer to wear a wire and therefore ensnare you in their devious web.”
Aside from his clueless arrogance (the FBI does in fact has real fangs and claws), were I a client and assuming insider trading had occurred, I would a) immediately sever all ties upon receiving the email because anyone proclaiming loudly he is not wearing a wire might well be, b) ponder deeply why the FBI thought him worthy of wearing a wire because this implies he is in deep dooky indeed, and c) destroy any paper trails, which may have been the implicit message of the letter.
One wonders if the letter could be considered obstruction of justice and at any rate, having a John Gotti moment is a seriously dumb response. (Gotti loudly and publicly thumbed his nose at the Feds for years until his third trial sent him to prison, and that’s where he died.)
Depositions by three robo-signers in Florida showed them to be seemingly clueless about what they were doing. Yes, it’s always better to appear stupid than culpable. Ritholz has the videos of the Crystal Moore depo.
There are rapidly emerging signs the Obama Administration and Congress may be actively, quickly and covertly working furiously on a plan to retroactively legitimize and ratify the shoddy, fraudulent and non-conforming conduct by MERS on literally millions of mortgages.
Why? To bailout the banksters again. Rule of Law apparently just applies to the little people. But how much longer will the people take this rampant corruption and fraud?
This is huge. Even Alan “I heart Ayn Rand” Greenspan is now saying our financial system is infested by criminals. It’s quite possible that Greenspan was such a lockstep ideologue that he actually believed the Randian gibberish he spouted. But the banksters just used it as an excuse to plunder.