Sen. Dorgan: “We essentially have had modern-day bank robbers … and there’s been no accountability … There’s no question the system is rigged”

Quotes from a HuffPo interview with Sen. Dorgan, one of eight senators who had the courage to oppose repeal of Glass-Steagall.

“I think we will in 10 years’ time look back and say we should not have done this,” Dorgan said back then.

Obviously, he was completely correct. The repeal of Glass-Steagall under Clinton led directly to the creation of mega-banks, a do-nothing regulatory attitude from the government, and inevitably led to the current crisis.

Here’s what he says should be done now.

“Three things,” the senator told me in an interview. “One is to separate investment banks and FDIC-insured banks. Second, prohibit FDIC-insured banks from dealing in risky financial instruments on their own proprietary accounts… And third, abolish ‘too big to fail.’ If you’re too big to fail, you’re too big. Too big to fail is what I call no-fault capitalism.”

Zero Hedge also linked to HuffPo, and as always has great comments.

When senators start saying things like this, then you know the upper echelons of the system are at war with itself. Dorgan is from North Dakota, one of the few states with no budget deficit. That’s probably not coincidence. Sounds like some smart, savvy people live there.