- Posted August 15, 2012 by
Watertown, New York
This iReport is part of an assignment:
- Drug Company,Novatis, Pays U.S. Government $422.5M in Marketing, Kickback, 'Pay to Play' "Fine"
- America- Having Two Jobs Now Necessary to Break Even
- Snow In April In Northern NY? Seriously?
- No Farms, No Food. Right? No Jobs, No Economy? Not Quite True..
- U.S. Government Finances Yet More of China's Technological and Manufacturing Superiority
"The 99% Will Not Be Silent"...1%'s Response, "Yes You Will"
U.S. Justice Dept. Shields Wall Street Banks From Prosecution Over Financial Crisis
"Fraud? You must be kidding. There's no "prosecutable fraud" on Wall Street." Any surprises here?
Most Americans never for a moment believed that any heads would roll from what has now become known as the greatest financial fraud perpetrated upon the American homeowners and workers. Now, we see, that what we believed would happen ..has happened.
Wall Street Banks said, "Who? Us? Responsible?"
"We were just looking out for our own interests". Sounds like more of Ayn Rand's teachings.
The U.S. Justice Dept. agrees. The key phrase here is "prosecutable".
So our Justice Dept. is letting Wall Street off Scott free but arresting Occupy Wall Street protesters in secret and taking their computers.
In Germany, police are closing down Occupy Camps.
From the WSWS article by Barry Grey
"The current economy and the financial crisis in 2008 that has caused all the suffering by the middle class has revealed how completely the bankers rule behind the trappings of democracy.
Instead of being led away in chains and having their ill-gotten wealth seized for treating the world economy as their personal gambling casino—a crooked one at that—the financial oligarchs were rewarded with trillions stolen from the public purse.
Now the state, bankrupted by the bailout of Wall Street, is clawing back a portion of the cost by destroying social programs and public services and impoverishing the working class.
In its August 9 statement on Goldman Sachs, the Justice Department said it had conducted “an exhaustive review of the [Senate] report,” but concluded that “based on the law and evidence as they exist at this time, there is not a viable basis to bring criminal prosecution…”
This is a contemptible lie, as a reading of the Senate Permanent Subcommittee on Investigations report makes clear.
On page 329, for example, the report states: “The Goldman Sachs case history shows how one investment bank was able to profit from the collapse of the mortgage market, and ignored substantial conflicts of interest to profit at the expense of its clients in the sale of RMBS [residential mortgage-backed securities] and CDO securities.”
On page 376, we find: “… Goldman engaged in securitization practices that magnified risk in the market by selling high-risk, poor quality mortgage products to investors around the world.”
On page 602, under the heading “Analysis of Goldman’s Conflicts of Interest” the following subheadings are listed:
Shorting Its Own Securities.
Failing to Disclose Key Information to Investors.
Misrepresenting Source of Assets.
Failing to Disclose Client Involvement.
Selling Securities Designed to Fail.
Taking Immediate Post-Sale Markdowns.
Evading Put Obligation.
Using Poor Quality Loans in Securitizations.
Concealing Its Net Short Position.
The report concludes with a survey of federal securities laws that apply to Goldman’s activities. On page 606, for example, the following appears: “With respect to a broker-dealer, the SEC has held:
‘When a securities dealer recommends a stock to a customer, it is not only obligated to avoid affirmative misstatements, but also must disclose material adverse facts to which it is aware. That includes disclosure of “adverse interests” such as “economic self interest” that could have influenced its recommendation.’”
No one with a straight face can claim that Goldman did not violate federal laws in its money-mad drive to profit from the collapse of the housing market. The Senate report is a devastating indictment of criminal practices that pervade not only the actions of Goldman Sachs, but all of the major banks, hedge funds and financial institutions.
The role of the government in shielding the financial mafia—not a single leading US banker has been prosecuted since the crash of 2008—shatters all claims that the financial system can be reformed.
The grip of the financial aristocracy over society can be broken only through the independent, revolutionary mobilization of the working class. At the center of that program is the expropriation of the major banks and their transformation into public utilities under the democratic control of the working people."
Our Justice System is anything but just. If nothing else, this report by them should prove to any doubting American that "Laws are for Little People".
And that we have the best Justice..money can afford.