“There is no honor among thieves”
The Big Picture says, could be. Bloomberg and the Sunday Times agree and are running investigative stories about JP Morgan deliberately withholding funds from Lehman, forcing their collapse.
Bloomberg is a bit circumspect, while the Sunday Times pointblank says “JP Morgan ‘brought down’ Lehman Brothers”
JP Morgan has been accused by its Wall Street rivals of dealing the final hammer blow that forced Lehman Brothers into collapse in a sensational claim that threatens to spark a colossal legal battle.
The giant American bank is alleged to have frozen $17 billion (£9.6 billion) of cash and securities belonging to Lehman on the Friday night before its failure.
And did JPM Chase then transfer $138 billion of garbage to Lehman while getting a stealth infusion of $138 billion from the Fed?
It is highly likely [or a certainty on my planet] that J.P. Morgan was INSOLVENT and was ‘BAILED OUT’ last Monday, September 15, to the tune of 138 billion dollars. This would explain why the Fed and Treasury dictated that Lehman fail – to disguise or otherwise obfuscate the recapitalization of or illicit transfer of 138 billion to A MUCH SICKER, TEETERING ENTITY, J.P. Morgan Chase.”
Almost like they were choreographing the timing of the collapse of Lehman to create “crisis”. With the added bonus of dumping their junk on them?
HMMM? Shock Doctrine, anyone?
I’m rather ignorant on the high finance world, but could it be a ploy to get panic and then their hands on the $700billion of tax payers money?
Only a little off-topic–check this one out.
http://economistsview.typepad.com/economistsview/2008/10/will-a-tax-cut.html#c133537065
This is in the context of the WFB-Citi-Wachovia brouhaha; there’s some subtle nasty stuff going on.
And did you see this Guardian piece (via John Cole)?
http://www.guardian.co.uk/business/2008/oct/05/wall.street.bailout