MarketWatch attempts to answer the question that’s on (nearly) everybody’s mind: why, with the landslide of evidence pouring forth against them, have no Wall Street CEOs faced jail time? Various experts, including Max, weighed in on the problems with prosecution, and while some believe that prosecution would be a worthwhile pursuit, most agree that it would be an uphill battle …
Gretchen Morgenson, Josh Rosner Naming Names in Financial Fiasco
In their book Reckless Endangerment, Gretchen Morgenson and Josh Rosner try to do something there’s been far too little of in the analysis of the financial crisis thus far: single out the people who really played key roles in creating the economic mess we find ourselves in today. The authors appeared on the Daily Ticker to discuss the book and …
Why Isn’t Anyone in Jail?
The language may be a bit coarser, but the message is the same. Rolling Stone brings the long, twisted tail of banks, big business, defrauded investors and government agencies turning a blind eye to a whole new audience. Nobody goes to jail. This is the mantra of the financial-crisis era, one that saw virtually every major bank and financial company …
Who’s to Blame for the Mortgage Mess? Banks, Not Homeowners
Another excellent article by Abigail Field in DailyFinance. As the foreclosure crisis has escalated over the past several months, one overarching debate has been about who bears the most blame: homeowners or banks? After everything I’ve learned and written about the foreclosure mess, my verdict is: The banks are responsible for 90% of the problem, troubled homeowners 10%. Yes, every …
To Bailout or Not to Bailout: Mortgage Mess Endgames Emerging
Nice piece at Naked Capitalism. In the last week, several ideas for fixing the housing market have surfaced. One is the Third Way proposal, which appears to be an Administration trial balloon. Predictably, it is yet anther bailout, with plenty of smoke and mirrors to disguise that fact. A second proposal, from Sheila Bair yesterday, is to establish a “foreclosure …
Jesse Eisinger Discusses Merrill Lynch’s Internal “Subsidy”
A podcast from ProPublica. This week, Jesse Eisinger sits down with us to discuss Merrill Lynch and how its decision to internally boost demand for their money-losing securities nearly cost the banking giant everything. Eisinger explains what Merrill staffers meant by “a million for a billion,” which executives knew about the plan and whether it was legal. Oddly enough, there …
List of Failed Banks Since 2008
There have been over 300 bank failures in the US since 2008 and you can view the list here.
You Better Watch Out, I’m Telling You Why… BofA is Coming to Town… And, they might just break your door down!
A contemporary take on an old classic by Martin Andelman. BofA is Coming to Town! ~~~ Well… they can’t find your docs, They can’t tell you why, They keep you on hold till, you want to cry. ~~~ BofA is coming to town… ~~~ You better stand guard, Better stay on your toes, Don’t turn your back, or they’re gonna’ …
U of I law professor says financial crisis is a wakeup call
From the Des Moines Register. Katherine Porter, a University of Iowa law professor on loan to Harvard University, has studied bankruptcy and foreclosure issues ranging from adding unjustified fees during foreclosure to the ineffectiveness of required bankruptcy counseling. Both Iowa Attorney General Tom Miller and Porter have testified before congressional committees investigating foreclosure problems. Q: Our nation’s foreclosure problems are …
The Monster Tells How Predatory Lending Fleeced America
Via the Consumer Warning Network. A new book by award winning reporter Michael Hudson, The Monster, tells the tale of how predatory lenders and Wall Street stuck it to American homeowners during the housing boom. When it all came crashing down it was the average guy left holding the bag. Hudson captures the essence of how they pulled it off …