Banking

Too Big to Fail, Not Too Big for Jail

by Mary Bottari — January 18, 2010 - 4:40pm
  • Topics: Banking, BanksterUSA, Corporations, Economy, Real Economy Project

    • U.S. Attorney General Eric Holder appeared before the Financial Crisis Inquiry Commission today. He cited his strong statutory authority to go after the firms that had a role in the worst economic disaster since the Great Depression. His team was tackling securities fraud, accounting fraud, financial discrimination and fraud related to the stimulus bill. It was an impressive list, but what was not impressive was the first case he touted – Bernie Madoff.

    You remember Bernie. His kids turned him in. It appears that the FBI considers this the high-water mark of criminal detective work.

    Sleepless Nights on Wall Street, Nightmares on Main Street

    by Mary Bottari — January 13, 2010 - 8:05pm
  • Topics: Banking, BanksterUSA, Economy, Real Economy Project

    • The top bankers that were called to testify before the independent Financial Inquiry Crisis Commission in Washington today touched on the drama of the September 2008 financial crisis. They complained of nervous anxiety and sleepless nights. They didn't apologize for a thing, but they did -- to a man -- express their deep appreciation to the American taxpayer for saving their hides.

    So how are the big banks treating those taxpayers these days? Almost every banker touted his firm's voluntary housing loan modification efforts to help families facing foreclosure. Jamie Dimon of JP Morgan Chase, for instance, cited 570,000 new trial loan modifications and 112,000 permanent modifications.

    Murder on the Orient Express?

    by Mary Bottari — January 13, 2010 - 11:50am
  • Topics: Banking, BanksterUSA, Economy, Real Economy Project

    • The independent Financial Crisis Inquiry Commission got underway this morning in Washington. The commission was authorized by Congress to get to the bottom of the causes of the financial crisis and produce an independent report, much like the 9-11 commission.

    The commission sent a strong message by first putting under oath the titans of Wall Street. They didn't pick the subprime mortgage lenders or Fannie Mae or Freddie Mac. They didn't pick the credit rating agencies. They didn't even pick the big housing or investment firms that failed. Instead, they chose the largest firms that survived the crisis and now are profiting off of it due to the extraordinary interventions of the U.S. government.

    Obama Joins the "Repo the Dough" Coalition

    by Mary Bottari — January 11, 2010 - 4:28pm
  • Topics: Banking, BanksterUSA, Economy, Real Economy Project

    • Today the Washington rumor mill sprang into overdrive as word trickled out that the Obama administration was thinking of applying some sort of fee to banks in order to take back bailout dollars and fund deficit reduction. Here at BanksterUSA we are thrilled that the Obama team has joined our "Repo the Dough" campaign and urge it to apply a financial transaction tax to destructive stock market speculation. A one time tax on bank bonuses simply will not suffice.

    Greedwashing on Wall Street

    by Mary Bottari — January 11, 2010 - 10:43am
  • Topics: Banking, BanksterUSA, Corporations, Marketing, Real Economy Project

    • All eyes are on Wall Street this week as the big banks get ready to report their earnings and bonuses. Rebounding banks are preparing to pay out bonuses that rival those of the pre-crisis boom years.

    During the first nine months of 2009, five of the largest banks that received federal aid — Citigroup, Bank of America, Goldman Sachs, JPMorgan Chase and Morgan Stanley — together set aside about $90 billion for compensation.

    To avoid pitchforks and public outrage, most banks are tamping down on the cash payouts and beefing up long-term stock options. One bank is taking an even more novel approach. Dare we call it greedwashing?

    Bernanke: Wrong Speech, Wrong Nominee

    by Mary Bottari — January 6, 2010 - 10:16am
  • Topics: Banking, Politics, U.S. Government

    • Ben Bernanke, chairman of the Federal Reserve, gave a speech this week that made headlines and raised eyebrows: “Lax Oversight Caused the Crisis, Bernanke Says.” Finally, many thought, the Fed Chairman would fess up to his role in the crisis! Alas, 98 percent of the speech is dedicated to justifying what the Fed did right over the last decade, and the “lax oversight” apparently had more to do with other agencies charged with regulating mortgages and underwriting practices, not his own.

    Searching for Pecora

    by Mary Bottari — January 4, 2010 - 1:18pm
  • Topics: Banking, BanksterUSA, Economy, Real Economy Project

    • Almost two years after the Wall Street meltdown collapsed the economy and threw 8 million Americans out of work, the Financial Crisis Inquiry Commission gets underway January 19th in Washington, D.C.

    Will there be a new Ferdinand Pecora to get to the bottom of things?

    The Problem with the Revolving Door - It Brought Us Too-Big-To-Fail

    by Tiffiniy Cheng — December 30, 2009 - 1:16pm
  • Topics: Banking, BanksterUSA, Economy, Real Economy Project

    • Tiffiniy Cheng is guest blogging this week. She is the campaign coordinator for "A New Way Forward" and founder of "Open Congress."

    Bailouts and political connections go hand in hand according to a just released academic study. The study, which was conducted by the Ross School of Business at the University of Michigan researchers, shows concretely that lobbying, campaign contributions, and the finance/federal government revolving door has helped the most damaging banks despite the dangers they pose to our economy.

    Huffington Post Echoes Our BanksterUSA "Wonderful" Campaign Against Big Banks

    by Mary Bottari — December 30, 2009 - 4:52am

    On Tuesday, the Huffington Post launched a new online campaign asking Americans to “move your money” from “too big to fail” banks to community banks. Taking a leaf from BanksterUSA, HuffPo editor Arianna Huffington embraced Frank Capra’s  big bank vs. small bank message from “It’s  a Wonderful Life” and cut yet another version of the film.

    Main Source: 
    Huffington Post, December 30, 2009

    Sign Our New Petition to "Repo the Dough" and Put Wall Street to Work Rebuilding Main Street

    by Lisa Graves — December 28, 2009 - 3:58pm
  • Topics: Banking, BanksterUSA

    • This Holiday Season, for too many Americans, "It's Not Such a Wonderful Life." Reckless Wall Street gambling collapsed the economy. The big bankers, like Mr. Potter, got theirs – an unbelievable $3 trillion in government help! It worked so well that Wall Street will pay out some $140 billion in bonuses this year.

    But what about George Bailey and the rest of us? Where is the help for the 16 million Americans who are now out of work? The millions of unemployed facing foreclosure? The millions more teetering on the brink of personal bankruptcy?

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