interesting read on the Chase 9 billion fine(and not 14 like we've been told)

[dawp]

http://www.rollingstone.com/politics/news/the-9-billion-witness-20141106

Basically DOJ rolled over and played dead as to not make public the extent of the fraud that took place prior to the crash in 2008. And all banks were doing this and not just Chase.

edit:
probably should add that it's a bit lengthy but worth it.

 

[sm625]

9 billion is a joke. They make more than that in a single quarter just by taking a 0% loan from the Fed and using it to buy e-minis.

 

[Brainonska511]

They should have gone harder after these clowns and then used good-old-fashioned trust busting to break 'too-big-to-fail' into little pieces that wouldn't lead to economic catastrophe if one failed.

 

[hal2kilo]

They should have gone harder after these clowns and then used good-old-fashioned trust busting to break 'too-big-to-fail' into little pieces that wouldn't lead to economic catastrophe if one failed.

Bad idea. Then the polititians would have to spent even more time going door to door for their donations to their campaaigns. Keep it concentrated. Less stops.

 

[thraashman]

One thing I like about Rolling Stone is their lack of fear. So many other media institutions would be afraid to take on a story like this, but RS is willing to burn every bridge there is to get the truth like this out.

This whole situation with how the justice department handled the banks is probably the only legitimate serious complaint about the Obama administration. I'm not shocked that it's also about the only one you don't hear about from republicans since they're even more owned by the banks than the democrats.

 

[dainthomas]

They'll take it out of petty cash or the Christmas party fund.

 

[Mai72]

The bankers held the US government hostage. Basically they said "give us what we want, or else we will destroy the economy."

The US government gave in and it gave the bankers free rein to do whatever they wanted.

 

[Svnla]

This is why I laugh whenever I hear about how the Democrat Party is for the working men and not for the stinking rich.

Uh huh. Both (D and R) are for sale for the highest bidders. Keep voting for the same bastards and then whine about how the country is going in the wrong direction.

 

[hal2kilo]

This is why I laugh whenever I hear about how the Democrat Party is for the working men and not for the stinking rich.

Uh huh. Both (D and R) are for sale for the highest bidders. Keep voting for the same bastards and then whine about how the country is going in the wrong direction.

Why do you think your magic third party will be imune to the same influence?

 

[Mai72]

This is why I laugh whenever I hear about how the Democrat Party is for the working men and not for the stinking rich.

Uh huh. Both (D and R) are for sale for the highest bidders. Keep voting for the same bastards and then whine about how the country is going in the wrong direction.

Sadly, money talks.

 

[soccerballtux]

9 billion is a joke. They make more than that in a single quarter just by taking a 0% loan from the Fed and using it to buy e-minis.

the overnight lending rate is for overnight lending. You're not allowed to just hang onto it for 3 months. It's to tide you over to the next day. If it becomes a habit the FDIC comes and shuts you down because your books are weak

 

[cubby1223]

If politicians go after the bankers for their responsibilities in the mess...

The bankers probably will turn around and go after the politicians for their responsibilities in the mess.

Politicians loved their message that every American can afford a good sized home.


What's more likely? Government is covering up the banking industry because the individuals are too powerful to prosecute? Or government is covering up the banking industry because they don't want their own dirty laundry aired for the world to see?

 

[BoberFett]

Why do you think your magic third party will be imune to the same influence?

They're not, but it is funny to listen to Democrats give a pass to their team.

Democrat: "REPUBLICANS ARE THE MOST EVIL THING EVAR!"

Onlooker: "You know your party caters to the wealthy too."

Democrat: "Yes, I'm somewhat disappointed in them."

 

[Brovane]

What a joke that no perp walks happend out of that mess. They comitted fraud and since they are so big nobody will do anything against it. I have a feeling this same crap will happen all over again. If major executives had been frogged marched out the front door of their banks offices in handcuffs that would have made a impression on the rest of them.

 

[Svnla]

Why do you think your magic third party will be imune to the same influence?

Do the same thing over and over and over again (vote for the same bastards (D and R) and expect different result(s) = crazy/nut/stupid/<fill in the blank>). Just saying.

 

[Newell Steamer]

It's OK, the government will bail them out,.. for fining them,... wait.

 

[bradley]

Why do you think your magic third party will be imune to the same influence?

I agree. We need to abolish all political parties established after Washington. The same should be done for executive orders creating new laws and not affirming existing ones, which are unconstitutional and yet allowed throughout US history.

"However [political parties] may now and then answer popular ends, they are likely in the course of time and things, to become potent engines, by which cunning, ambitious, and unprincipled men will be enabled to subvert the power of the people and to usurp for themselves the reins of government, destroying afterwards the very engines which have lifted them to unjust dominion.&#8221; &#8212; George Washington

"The alternate domination of one faction over another, sharpened by the spirit of revenge natural to party dissension, which in different ages & countries has perpetrated the most horrid enormities, is itself a frightful despotism. But this leads at length to a more formal and permanent despotism. The disorders & miseries, which result, gradually incline the minds of men to seek security & repose in the absolute power of an Individual: and sooner or later the chief of some prevailing faction more able or more fortunate than his competitors, turns this disposition to the purposes of his own elevation, on the ruins of Public Liberty." &#8212; George Washington

 

[dawp]

Why do you think your magic third party will be imune to the same influence?

I think it depends on the party and how it's structured, tho with things as they are now any party that doesn't accept large donations has it stacked against them.

 

[finglobes]

Even if what this woman says is true the gov made it easy - even mandatory - to write bad loans. The gov told the banks you HAVE to lend to people with no credit/bad credit and we will cover the risk. Banks felt free to flaunt good sense with gov promising to take the hit. Its was ultimate public/private boondoggle. of all the banks with bad loans in 1008 Chase was actually one of the better ones with the least exposure.

Holder and Obama have been doing all the same things that created crisis. The go to lenders and use the "disparate impact" statistical nonsense to intimidate lenders to make bad loans. They fine lenders and force them to sign "confidentiality" agreements as part of settlements. Then the money goes back to Obama's creepy political machine. Over 3000 lenders have been bullied this way. Its a huge story hardly reported on in MSM. Obama has been waging war on all lenders.

 

[LegendKiller]

Even if what this woman says is true the gov made it easy - even mandatory - to write bad loans. The gov told the banks you HAVE to lend to people with no credit/bad credit and we will cover the risk. Banks felt free to flaunt good sense with gov promising to take the hit. Its was ultimate public/private boondoggle. of all the banks with bad loans in 1008 Chase was actually one of the better ones with the least exposure.

Holder and Obama have been doing all the same things that created crisis. The go to lenders and use the "disparate impact" statistical nonsense to intimidate lenders to make bad loans. They fine lenders and force them to sign "confidentiality" agreements as part of settlements. Then the money goes back to Obama's creepy political machine. Over 3000 lenders have been bullied this way. Its a huge story hardly reported on in MSM. Obama has been waging war on all lenders.

This is a bunch of bullshit. The % of loans that they were told to underwrite was minuscule compared to the outright fraud that the banks undertook, that is outlined in this article.

The loans mandated by the government were otherwise conforming loans, they were not stated income NINJA loans. Stated income NINJA loans with option arms and such were at fault.

 

[TheSlamma]

They're not, but it is funny to listen to Democrats give a pass to their team.

Democrat: "REPUBLICANS ARE THE MOST EVIL THING EVAR!"

Onlooker: "You know your party caters to the wealthy too."

Democrat: "Yes, I'm somewhat disappointed in them."

oh don't forget this one
Democrat: "Yes they have their faults but the Republicans are worse"

BTW I'm an Indy, both can burn

 

[DCal430]

This is a bunch of bullshit. The % of loans that they were told to underwrite was minuscule compared to the outright fraud that the banks undertook, that is outlined in this article.

The loans mandated by the government were otherwise conforming loans, they were not stated income NINJA loans. Stated income NINJA loans with option arms and such were at fault.

We sold FNMA conforming loans were I work, these loans that FNMA felt were of excellent quality. This was in 2007 pre-crisis, guess how those loans ended up doing? Almost 40% have foreclosed. These were all full document loans, conforming, and prime that FNMA felt were great loans. 35-40% foreclosure on 2007 vintage loans. Oh and 90% of the non foreclosed loans have gone through major modifications. So nearly all of the loans either foreclosed or had major modifications done to them.

Conforming loans were as much of a problem as the non conforming loans.

Edit: I looked at the loans closer it is about 40% not 50%. Still bad.

 

[LegendKiller]

We sold FNMA conforming loans were I work, these loans that FNMA felt were of excellent quality. This was in 2007 pre-crisis, guess how those loans ended up doing? Almost 50% have foreclosed. These were all full document loans, conforming, and prime that FNMA felt were great loans. 50%+ foreclosure on 2007 vintage loans. Oh and 90% of the non foreclosed loans have gone through major modifications. So nearly all of the loans either foreclosed or had major modifications done to them.

Conforming loans were as much of a problem as the non conforming loans.

Please show me the specific pools that evidence this rate because I find it a bunch of bullshit exaggeration.

In fact, when I get to work Monday, I'll ask my agency RMBS PM, who manages many billions of agency and non-agency mortgages (and has won the Lipper award for several years) whats the worst pool he's ever seen.

 

[alcoholbob]

Why do you think your magic third party will be imune to the same influence?

Central Banks in the past have been shut down in America's history, in spite of the influence of lobbyists. So it is possible.

 

[xLegenday]

It's OK, the government will bail them out,.. for fining them,... wait.

My thinking exacly!