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applegrove

(118,006 posts)
Sat Jul 7, 2012, 10:29 PM Jul 2012

"DAVID KOTOK: LIBOR-Gate Will Take Down Many More Bankers, ..." at Business Insider

DAVID KOTOK: LIBOR-Gate Will Take Down Many More Bankers, And The Claims Will Spiral Into The Trillions

at Business Insider

Read more: http://www.businessinsider.com/david-kotok-what-a-crazy-week-2012-7#ixzz1zzhNYo17

"SNIP...........................................

Steve, this scandal is going to take down many more than just Barclay’s leaders. The claims are likely to be in the trillions.

Imagine the board meeting at Barclays. The general counsel says, “I have a settlement proposal. We can pay 1/2 billion in fines to the US and UK authorities now; and you, Mr. Chairman, and you, Mr. CEO, and you, Mr. COO, will resign at once. Others will also resign or be dismissed. Gentlemen, I can make this deal right now and settle it or we can have a prolonged investigation. In my opinion, paying the half billion now and taking the resignations early is the cheapest way out of this mess.” The board votes yes.

Steve, the insiders on that board know the facts. Watch out for what is coming. It may dwarf allegations about Chinese corruption.

The US and UK systems were once the models for the world. They are now sick and corrupt. We are five years into a financial crisis and nothing has changed. Who are we to throw stones at others?


Read more: http://www.businessinsider.com/david-kotok-what-a-crazy-week-2012-7#ixzz1zzhxV1uN

..............................................SNIP"
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drm604

(16,230 posts)
1. This is huge.
Sat Jul 7, 2012, 11:06 PM
Jul 2012

So huge that every effort will be made by the PTB to quash it out of fear that the legitimate claims could bring down the entire system.

 

dkf

(37,305 posts)
5. Exactly what happened, why was it done and who benefits?
Sun Jul 8, 2012, 01:08 AM
Jul 2012

I've been seeing bits and pieces on this but not a piece that puts it together for me.

Amonester

(11,541 posts)
6. Or, TPTB did it all on purpose because they want another bailout...
Sun Jul 8, 2012, 01:20 AM
Jul 2012

"We R too big 2 fail," 'emember?

lovuian

(19,362 posts)
2. It has to stop and Europe is going to stop it
Sat Jul 7, 2012, 11:09 PM
Jul 2012

what is obvious is that America won't ...and thats because its CORRUPT

Its appalling at how the system is so broken

Kablooie

(18,571 posts)
3. They need the bankers to pay back all their ill gained earnings.
Sat Jul 7, 2012, 11:09 PM
Jul 2012

Bringing them down into the 99% would probably be worse for them than going to prison.

 

FarCenter

(19,429 posts)
10. Use of LIBOR in derivatives contracts is the only way you get to trillions.
Sun Jul 8, 2012, 09:25 AM
Jul 2012

If suits are successful, the hedge funds and sovereign wealth funds, etc. will wind up with the money.

 

FarCenter

(19,429 posts)
13. Partly, but mostly it's banksters versus non-bankster financial entities
Sun Jul 8, 2012, 03:14 PM
Jul 2012

Sovereign funds, hedge funds, pension funds, insurance companies, mutual funds, money market funds, endowment funds, equity funds, corporate treasuries, family corporations, and other entities set up to manage pools of capital for investment purposes outside of the banking system.

Banking is the smaller part of the financial system, and it is generally less frothy and shady than the rest.

 

HiPointDem

(20,729 posts)
15. financier v. financier, then. or capitalist v. capitalist. my use of 'bankster' wasn't limited to
Sun Jul 8, 2012, 11:58 PM
Jul 2012

bankers qua bankers only.

Festivito

(13,452 posts)
14. They're tied. LIBOR is a percentage on derivatives.
Sun Jul 8, 2012, 09:25 PM
Jul 2012

645-trillion dollars in derivatives. I'd like a percent or two of that, even a percent of a percent.

malaise

(267,785 posts)
9. What you said!!
Sun Jul 8, 2012, 07:50 AM
Jul 2012
The US and UK systems were once the models for the world. They are now sick and corrupt. We are five years into a financial crisis and nothing has changed. Who are we to throw stones at others?


100% correct

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