Another reason to love BofA:
The bank recognized that the transfers were improbable, but didn’t stop them. A bank official called Bao to report “unusual activity” on his account, but refused to tell him what it was because Huang was the company’s only “authorized agent” and she was on a business trip in Hong Kong
This is irony.
The Mortgage B
ankers Association moved into the building in 2008 just as the real estate market was crashing, and ended up paying millions of dollars more when interest rates rose. Moreover, the leasing market slowed considerably and the association had trouble getting other tenants into the 168,000-square-foot building.
Jamie Dimon of JPMorgan Chase declared that a financial crisis is something that “happens every five to seven years. We shouldn’t be surprised.” In short, stuff happens, and that’s just part of life.
But the truth is that the United States managed to avoid major financial crises for half a century after the Pecora hearings were held and Congress enacted major banking reforms. It was only after we forgot those lessons, and dismantled effective regulation, that our financial system went back to being dangerously unstable.
It’s the equivalent of “Hey, who can know why these things happen? What am I, an expert? Fuggetaboutit.”
The Federal Reserve Bank, to preserve its own power, is engaged in a lawsuit to prevent disclosure over what banks received bailout funds, along with how much they received.
Since the Fed controls currency, in effect, your government is engaged in a fight to NOT tell you who the gave YOUR money to.
The Fed is joined in its bid to overturn Preska’s order by the Clearing House Association LLC, an industry-owned group in New York that processes payments between banks. The group assailed the judge’s decision for what it said were legal errors, such as applying the wrong standard in weighing the exception to FOIA.
The group includes ABN Amro Bank NV, a unit of Royal Bank of Scotland Plc, Bank of America Corp., The Bank of New York Mellon Corp., Citigroup Inc., Deutsche Bank AG, HSBC Holdings Plc, JPMorgan Chase & Co., US Bancorp and Wells Fargo & Co.
Federal Reserve Seeks to Protect U.S. Bailout Secrets (Update1) – Bloomberg.com.
Continue reading “Federal Reserve Seeks to Protect U.S. Bailout Secrets (Update1) | Bloomberg.com”
It could take until November 2018 to get the full story behind the U.S. bailout of insurance giant American International Group (AIG.N) because of an action taken last year by the Securities and Exchange Commission.
In May, the SEC approved a request by AIG to keep secret an exhibit to a year-old regulatory filing that includes some of the details on the most controversial aspect of the AIG bailout: the funneling of tens of billions of dollars to big banks like Societe Generale, Goldman Sachs (GS.N), Deutsche Bank (DBKGn.DE) and Merrill Lynch.
Continue reading “SEC order helps maintain AIG bailout mystery | Reuters”
The far enough down the road we get, the clearer people’s motivations become. After all, if your next job depended on it, wouldn’t you help out your future employer?
AIG said in a draft of a regulatory filing that the insurer paid banks, which included Goldman Sachs Group Inc. and Societe Generale SA, 100 cents on the dollar for credit-default swaps they bought from the firm. The New York Fed crossed out the reference, according to the e-mails, and AIG excluded the language when the filing was made public on Dec. 24, 2008. The e-mails were obtained by Representative Darrell Issa, ranking member of the House Oversight and Government Reform Committee.
“It appears that the New York Fed deliberately pressured AIG to restrict and delay the disclosure of important information,” said Issa, a California Republican. Taxpayers “deserve full and complete disclosure under our nation’s securities laws, not the withholding of politically inconvenient information.”
Emphasis added
Offered again for your consideration:
Learn about how Goldman Sachs has participated in inflating five bubbles since the early 20th century, plus, the gas they’re about to pass our way in cap and trade.
Seriously, read this and pass it on.
“The simultaneous selling of securities to customers and shorting them because they believed they were going to default is the most cynical use of credit information that I have ever seen,” said Sylvain R. Raynes, an expert in structured finance at R & R Consulting in New York. “When you buy protection against an event that you have a hand in causing, you are buying fire insurance on someone else’s house and then committing arson.”
Read on to find out how Goldman Sachs created and sold securities – they thought would lose money – to investors.
Somehow the president has managed to turn a base of new and progressive voters he himself energized like no one else could in 2008 into the likely stay-at-home voters of 2010, souring an entire generation of young people to the political process.
Meet the new boss…same as the old boss…
The executives at Citibank want to avoid the wall street pay czar so badly, they’re fire selling company assets to raise enough money to pay back the TARP funds:
Citigroup also is ending an agreement with the government that guaranteed a roughly $250 billion portfolio of assets against excessive losses.
The bank sold $17 billion of common shares and another $3.5 billion of bonds that automatically convert into shares in three years.
The bank sold convertible notes that pay a coupon of 7.5 percent a year, and automatically convert to shares at a 25 percent premium to the pricing level in three years.
The bank said on Monday it also plans to issue $1.7 billion of shares to employees, and may sell another $3 billion of trust preferred securities in the first quarter.
Bank of America and Wells Fargo have done the same thing, but they found buyers and Citi didn’t. These banks will crash again, they aren’t doing better, they’ve found even lower ways to be greedy. When they crash again, let them go under.
Dispatches From The Front 