S&P downgrades US debt; Justice Department retaliates, settles for $1.37B

[Dari]

Also, from the posts here, it appears that most of the fraud was done on the mortgage side, not banking. And the GSEs, at the behest of their political masters, were in on said fraud. The banks can't be faulted for events taking place elsewhere.

 

[Jhhnn]

Also, from the posts here, it appears that most of the fraud was done on the mortgage side, not banking. And the GSEs, at the behest of their political masters, were in on said fraud. The banks can't be faulted for events taking place elsewhere.

Pure denial. The entire industry engaged in fraud on a scale not seen since 1929. Top to bottom, they knowingly created debt that couldn't be serviced, transferred that liability onto investors (including the GSE's) via their own bogus securities, took a cut off the top as all the money flowed by. The Bush Admin enabled them every inch of the way.

When it all fell down, we had to bail out the institutions of finance because we need the financial service industry more than they need us. The perps, of course, didn't need a bailout at the level of their own finances. As a group, they came out richer than ever at the expense of everybody else.

Our "Conservatives" insist that we leave the door open for more of the same in the future on the basis of their delusional "free market" principles. Wall St greed being what it is, I'm sure they'll find a way if we let them.