Posts tagged CitiGroup
Even a fiat currency and the casino game of fractional reserve standards are not enough to cover the never ending greed. Banks use your deposited money plus imaginary reserve policy funds to make bad bets, and lose. But who really lost? The banks get bailed out by Washington D.C. criminals, you get foreclosed on and then you are responsible for the cost of the bailout.
Part 1 of 4. To view complete please follow the link provided above. Bernie Madoff and other smaller fish got constant mainstream media coverage while the big ponzi scheme rolls along with white glove treatment, as it seems only the Wall Street thieves approved by D.C. are officially too big to fail.
Your thoughts appreciated below.
This article first appeared on: The Age
If you’ve ever suspected politics is increasingly being run in the interests of big business, I have news: Jeffrey Sachs, a highly respected economist from Columbia University, agrees with you – at least in respect of the United States.
In his book, The Price of Civilisation, he says the US economy is caught in a feedback loop. ”Corporate wealth translates into political power through campaign financing, corporate lobbying and the revolving door of jobs between government and industry; and political power translates into further wealth through tax cuts, deregulation and sweetheart contracts between government and industry. Wealth begets power, and power begets wealth,” he says.
Sachs says four key sectors of US business exemplify this feedback loop and the takeover of political power in America by the ”corporatocracy”.
First is the well-known military-industrial complex. ”As [President] Eisenhower famously warned in his farewell address in January 1961, the linkage of the military and private industry created a political power so pervasive that America has been condemned to militarisation, useless wars and fiscal waste on a scale of many tens of trillions of dollars since then,” he says.
Second is the Wall Street-Washington complex, which has steered the financial system towards control by a few politically powerful Wall Street firms, notably Goldman Sachs, JPMorgan Chase, Citigroup, Morgan Stanley and a handful of other financial firms.
These days, almost every US Treasury secretary – Republican or Democrat – comes from Wall Street and goes back there when his term ends. The close ties between Wall Street and Washington ”paved the way for the 2008 financial crisis and the mega-bailouts that followed, through reckless deregulation followed by an almost complete lack of oversight by government”.
Third is the Big Oil-transport-military complex, which has put the US on the trajectory of heavy oil-imports dependence and a deepening military trap in the Middle East, he says.
”Since the days of John D. Rockefeller and the Standard Oil Trust a century ago, Big Oil has loomed large in American politics and foreign policy. Big Oil teamed up with the automobile industry to steer America away from mass transit and towards gas-guzzling vehicles driving on a nationally financed highway system.”
Big Oil has consistently and successfully fought the intrusion of competition from non-oil energy sources, including nuclear, wind and solar power.
It has been at the side of the Pentagon in making sure that America defends the sea-lanes to the Persian Gulf, in effect ensuring a $US100 billion-plus annual subsidy for a fuel that is otherwise dangerous for national security, Sachs says.
Germany’s largest bank might have failed to admit up to $12 billion of unrealized losses during the financial crisis, as stated in a complaint filed by three former Deutsche Bank employees to the US securities regulators.
The complaint claims that Deutsche Bank hid $12 billion in losses on credit derivatives during the 2008-2009 crisis, the Financial Times reports on Thursday, and citing people familiar with the submissions. It is almost three times the bank’s net income of 4.3 billion euro for 2011. The improper accounting was enough for the bank to avoid a government bailout, according to the ex-employees.
Yet again, the Congress, courts, executive branch and the establishment media work together to protect the nation’s most powerful actors
So pervasive and reliable is the rule of elite immunity – even in the face of the most egregious crimes – that one finds extreme examples on a weekly basis. Six weeks ago, the Obama justice department forever precluded the possibility of criminal accountability for Bush torturers by refusing to bring charges in the only two remaining torture cases, ones involving the deaths of the detainee-victims by torture.
The Obama campaign is now running a new campaign ad against Mitt Romney that rails against a litany of Wall Street “criminals” and “gluttons of greed”, but as David Dayen astutely notes, those examples were all imprisoned during the Bush era because the Obama administration has prosecuted no significant Wall Street executives for the 2008 financial collapseand thus have none of their own examples to highlight:
“So the Obama campaign could not fill a list of three Wall Street criminals that the Obama Justice Department actually sent to jail. Heck, they couldn’t fill a list of one!
“This is despite Eric Holder telling students at Columbia University in February of this year that his Justice Department’s record of success on fighting financial fraud crimes ‘has been nothing less than historic.’ But not historic enough that his boss could point to, well, one Wall Street criminal behind bars as a result of DoJ’s actions.
That’s painfully telling. Nobody from Bank of America or Wells Fargo or Citigroup or JPMorgan Chase or Goldman Sachs or Bear Stearns or Morgan Stanley or Merrill Lynch or even Countrywide or Ameriquest was available to stand in as a ‘glutton of greed’ in this advertisement. Literally no major figure responsible for the financial crisis has gone to jail. So the campaign has to use two CEOs from a decade-old accounting scandal, and a garden-variety Ponzi schemer.”
And now, the US supreme court just consecrated one of the most corrupt acts of the US government over the past decade: its vesting of retroactive legal immunity in the nation’s telecom giants after they had been caught red-handed violating multiple US eavesdropping laws. Just as the Obama DOJ forever precluded any legal accountability for Bush-era torturers, the supreme court on Tuesday forever precluded any legal accountability for AT&T, Verizon, Sprint and other telecoms for their crucial participation in the illegal Bush NSA warrantless eavesdropping program (the Obama DOJ, needless to say, supported the position of the telecoms).
When the New York Times revealed on 16 December 2005 that the Bush administration was spying on the telephone calls and emails of American citizens without the warrants required by the criminal law, it exposed lawbreaking not only by government officials but also by the nation’s largest telecoms. Multiple laws were in place at the time imposing both criminal and civil liability on telecoms for enabling government spying on the communications of their customers without warrants or other legal authority, and that is exactly what these telecoms did. One former AT&T employee, Mark Klein, publicly described how AT&T had even built a separate room with no purpose but to permit the National Security Agency unfettered access to all of its customers’ communications.
The biggest banks in the US have been given advisement by US regulators that they must make plans to stave off a complete financial collapse without relying on the US government. Bank of America, Goldman Sachs and other technocrats have secretly crafted worst-case scenarios in which they can continue to thrive during a full-blown domestic monetary crisis.
The Federal Reserve and the US Office of the Comptroller of the Currency (OCC) named Citigroup Inc., Morgan Stanley and JPMorgan Chase & Co. as well as others to devise “recovery plans” in 2010. Banks were directed to have schemes to remain afloat by selling off assets, finding alternative sources of funding, reducing risky measures that make a quick buck. These strategies were to be perfected with “no assumption of extraordinary support from the public sector.”
Resolution plans , required under the 2010 Dodd-Frank financial reform law describe how to liquidate banking assets without causing further damage to a failing financial system. By selling “non-core assets” without upsetting shareholders while protecting the monetary system, taxpayers and creditors is the work of the mega-banks who have contributed solely to the destruction of the global financial markets.
My gift to the Dare County Republicans, North Carolina. Hopefully the simplicity of this blog post my reach your apathetic and dangerous view point of the world in which you have played your role flawlessly. Watch if you “DARE” to WAKE UP!
You’ve heard about Kony 2012…Well This is a REAL MOVEMENT!
It’s a shame that “the presidential nominee with the most money” is the one who has the best chance to win….This movement is to shatter that….
THIS IS TO RAISE A MASSIVE AWARENESS ABOUT RON PAUL WORLDWIDE!
ALSO LIKE ON FACEBOOK http://www.facebook.com/pages/RONY-2012-Movement/435181543172621
JOIN THE EVENT ON FACEBOOK AT http://www.facebook.com/events/239961552783547/
INVITE ALL OF YOUR FRIENDS!!
THOSE ON TWITTER FOLLOW AT https://twitter.com/#!/ronywins2012
IMPORTANT! We must get this out before the next states Vote!
The Voting schedule is this…
May 29, 2012 Texas For 155 Delegates
June 5, 2012 California For 172 Delegates
Montana For 26 Delegates
New Jersey For 50 Delegates
New Mexico For 23 Delegates
South Dakota For 28 Delegates
June 26, 2012 Utah For 26 Delegates
By Andy Booker
Democrats are shocked to see President Obama treat Wall Street’s top banks with respect and kindness. In order to predict his kindness (Obama’s justice department has failed to prosecute the crimes that helped lead to the financial crisis of 2008) towards the top financial institutions it didn’t take a crystal ball, all it took was a list of his top donors which included Goldman Sachs, JP Morgan and Citigroup. Applying this same logic to the GOP primary election Romney is the candidate that will likely be buddy-buddy with Wall Street. Mitt Romney’s top ten is made up of Goldman Sachs, followed by Credit Suisse (Switzerland), Morgan Stanley, Barclays (UK), Bank of America and JP Morgan. In contrast Romney’s co-frontrunner in Iowa, Ron Paul, has a top three donor list made up of the US Army, US Navy and US Airforce.
Obviously Goldman Sachs and company donate heavily to Romney not because they like his stance on the social issues but because he will continue the rigged game of crony capitalism. The revolving door from Wall Street (particularly from Goldman Sachs) to the White House will remain open and Goldman and company will maintain not only their rigged game but their influence.
The active duty military that make up Ron Paul’s top donor list are attempting to send a signal to the American people that Ron Paul’s foreign policy is the right choice.
So yes Romney and Paul are in a race to get the nomination from the same party but they could not be more polar opposites when it comes to their intentions for the Presidency.
Perhaps this is why Romney has not yet attacked Ron Paul directly. Attacking Ron Paul opens Romney up to a direct debate with Ron Paul on the issues. Such a debate would draw a clear distinction between Romney and Paul on the issues that a majority of the electorate, particularly the issue of support for TARP and future bank bailouts.
In October Milwaukee Story published this article that broke down Romney’s pledge to continue US interventionist/first-strike foreign policy. That foreign policy white paper was an additional signal to Wall Street that Romney was a safe bet as an establishment candidate and could be trusted to pull from Washington and Wall Street establishments to fill his cabinet posts.
It is critical to understand that even though Goldman Sachs tops Romney’s donor list does not mean they are lining up all of their resources behind Romney alone. Goldman has also donated heavily to Obama’s reelection campaign. And while this may signal a subtle divide in the Goldman ranks, a more likely scenario is that Goldman is simply hedging their bets and lending their Wall Street credibility to each candidate that they believe will allow the crony capitalism necessary for them to continue their winning ways.
Now more than every we need the Champion of the Constitution!
Please visit Ron Paul’s official campaign site by following the link below and donate today!
State attorneys general are negotiating to give major banks wide immunity over irregularities in handling foreclosures, even as evidence has emerged that banks are continuing to file questionable documents.
A coalition of all 50 states’ attorneys general has been negotiating settlements with five of the biggest U.S. banks that would include payment of up to $25 billion in penalties and commitments to follow new rules. In exchange, the banks would get immunity from civil lawsuits by the states, as well as similar guarantees by the Justice Department and Department of Housing and Urban Development, which have participated in the talks.
State and federal officials declined to say if any form of immunity from criminal prosecution also is under discussion. The banks involved in the talks are Bank of America, Wells Fargo, CitiGroup, JPMorgan Chase and Ally Financial.
REUTERS REPORT PROMPTS LETTER
Reuters reported Monday that major banks and other loan servicers have continued to file questionable documents in foreclosure cases. These include false mortgage assignments, and promissory notes with suspect or missing “endorsements,” which prove ownership. The Reuters report also showed continued “robo-signing,” in which lenders’ employees or outside contractors churn out reams of documents without fully understanding their content. The report turned up several cases involving individuals who were publicly identified as robo-signers months ago.
Reuters found that such activity has continued even after 14 major mortgage lenders signed settlements with federal bank regulators promising to halt such practices and give remediation to some homeowners who were harmed.