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Economy
In reply to the discussion: STOCK MARKET WATCH - Monday, 5 March 2012 [View all]Demeter
(85,373 posts)43. Why the Banks Are Too Big to Jail
http://www.truth-out.org/too-big-jail/1329944291
Among the fundamental principles of any functioning justice system is the following: Dont lie to a judge or falsify documents submitted to a court, or you will go to jail. Breaking an oath to tell the truth is perjury, and lying in official documents is both perjury and fraud. These are serious criminal offenses, but apparently not if you are at the heart of Americas financial system. On the contrary, key individuals there appear to be well compensated for their crimes.
As Dennis Kelleher of Better Markets has argued, the recent so-called robo-signing settlement in which five large banks settled their legal liability for carrying out fraudulent foreclosures on mortgages is a complete sell-out to the financial industry.
First, there was no serious criminal prosecution meaning that no one will be charged with a felony, and no one will go to jail. In terms of affecting executives incentives, this is the only thing that matters.
Even the terminology used to frame the discussion is wrong. Kelleher, an attorney with extensive experience in private practice and the public sector, tells it like it is: robo-signing is massive, systematic, fraudulent, criminal conduct. Alternatively, as he points out, we could just call it lying, cheating, and stealing.
Among the fundamental principles of any functioning justice system is the following: Dont lie to a judge or falsify documents submitted to a court, or you will go to jail. Breaking an oath to tell the truth is perjury, and lying in official documents is both perjury and fraud. These are serious criminal offenses, but apparently not if you are at the heart of Americas financial system. On the contrary, key individuals there appear to be well compensated for their crimes.
As Dennis Kelleher of Better Markets has argued, the recent so-called robo-signing settlement in which five large banks settled their legal liability for carrying out fraudulent foreclosures on mortgages is a complete sell-out to the financial industry.
First, there was no serious criminal prosecution meaning that no one will be charged with a felony, and no one will go to jail. In terms of affecting executives incentives, this is the only thing that matters.
Even the terminology used to frame the discussion is wrong. Kelleher, an attorney with extensive experience in private practice and the public sector, tells it like it is: robo-signing is massive, systematic, fraudulent, criminal conduct. Alternatively, as he points out, we could just call it lying, cheating, and stealing.
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Matt Stoller: Towards a Creditor State – One in Seven Americans Pursued by Debt Collectors
Demeter
Mar 2012
#2
Honest to goddess, it never ends, we never learn - more sweetheart Corp givaways
bread_and_roses
Mar 2012
#27