IT isn't amazing jamie dimon of jp morgan chase hasn't been charged with financial crimes, nobody else from wall street since the great recession began has either. These people and the banks and financial companies they run are untouchable and they know it. They control the congress as well as the federal agencies who are supposed to be regulating them. I believe the jamie dimons of the bank-financial cabal of wall street are as evil as al qaeda. Both struck near fatal blows to the financial heart and the economy of the nation. Both are responsible for the deaths of Americans because of their actions (I believe thousands of Americans have died because of the recession. Many have committed suicide, many more have died of stress related illness and disease aggravated by and caused by the severity of the recession, families have been damaged and destroyed). Both have used, and continue to threaten terrorism against the American people, only the methods are different. bin laden and about 30 of his leadership minions have been brought to justice. The military tribunal of ksm and his associates is underway at Gitmo now. Will the ceo's and boards of directors of wall street ever be brought to justice, will they ever be held accountable for their crimes? This from HuffPost.....
They're missing the point. When CEO Jamie Dimon announced
that JPMorgan Chase had incurred at least $2 billion in losses from
risky, unsecured, derivatives-types trading, it uncovered the scandal of
our time once and for all.
The Chase disaster gives us a much-needed a glimpse into our corrupt
political system, its Wall Street paymasters, and the media voices that
allow people like Dimon to escape scrutiny.
The JPMorgan Chase story is the story behind the financial crisis
that has thrown millions of people out of work. It's the story behind
our ever-growing wealth inequity. It's the story behind Washington's
inability to prosecute criminal bankers, regulate reckless ones, and
propose the economic solutions the rest of us urgently need.
Predictably, the pundits who aid and abet people like Jamie Dimon are
dismissing this story's importance, pointing out that $2 billion (it
could become much more) pales against the $19 billion in profit Chase reported last year.
But it was potentially $2 billion earned through crime. And more importantly, this story isn't just about Chase's errors and crimes. It's much bigger than that.
Besides, $19 billion in a single year? That's a big part of the story, too.
The Case Against Chase, its CEO, and its accomplices is too big to
cover all at once. Here are the aspects of this under-reported story we
plan to address in the days and weeks to come.
The Firm
Depending on the day and the measurement used, JPMorgan Chase is now
the largest or second-largest bank in the world. Its Japan operation
alone has been cited by that nation's regulators as a systemic risk
because of its size.
If Chase began to collapse because of risky betting, the government would be forced to step in again.
Jamie Dimon knows that. It's a lot easier to gamble when you know
somebody else will be forced to bail you out if you lose too much.
Chase, like the other mega-banks, has systematically engaged
in criminal activity for years. At the same time, it has used its vast
wealth to corrupt our political and regulatory systems. And it has been
aided and abetted by willing collaborators in the media, every step of
the way. It gave up nearly three quarters of a billion dollars in
settlements and surrendered fees to settle one case alone -- that of bribery and corruption in Jefferson County, Alabama.
Chase has paid out billions to settle charges that include perjury
and forgery (in its systemic foreclosure fraud and abuse), investor
fraud, and sale of unregistered securities. And these charges were for
actions that took place while Jamie Dimon was the CEO.
The first of Dimon's executives have offered
their resignations in this latest scandal. But investigations of
everyone from Lucky Luciano onward have focused on the boss, not just
the underlings. Laws like the Securities Act and Sarbanes-Oxley provide
strict legal guidelines for corporate CEOs and their staff. There's
strong evidence to suggest those laws have been stretched to the
breaking point -- and beyond.
The Boss
We may someday look back at Jamie Dimon's increasingly shrill cries
of persecution as a cry for help or a plea to be caught. He has not
only fought the regulation of Wall Street banks. He's used extreme
language to characterize criticisms of bank activities as a) mean, b)
an attack on all forms of business, and c) bigotry that is no different
from racism.
Dimon has used his visibility -- and his lavish public relations
budget -- to obtain highly flattering profiles of himself in major U.S.
publications. And he's used that public platform for, among other
things, arguing for unwise ideas in public policy areas where he has no
expertise. Most of those ideas involve forcing the American people to
suffer additional financial hardship in order to pay for the damage
caused by Dimon and his colleagues.
Just last week Dimon was arguing for
the "Simpson/Bowles plan" authored by two private individuals, which
would impose the same kind of austerity on the United States as that
which is currently wreaking economic and political havoc on Europe.
If nothing else, Dimon is consistent: He can't respond to reality any
more effectively in the policy arena than he can in the banking sector.
Dimon argues against regulation by saying that bankers are moral and sophisticated enough to manage their businesses without
oversight. But he's been making those arguments to a nation that's
standing in the wreckage his colleagues left behind the last time they
were allowed to play with trillions without adult supervision.
And he has somehow managed to argue simultaneously that no other
bankers are as smart as he is, and that nevertheless they should be
unregulated because guys like him are so smart. That doesn't make
sense.
The Flacks
Despite Dimon's illogic and the criminal track record of his
organization, he has been flattered, quoted, and profiled in major news
publications at roughly the same frequency as Lindsay Lohan has been in
entertainment mags, and for the same reason: He makes good copy if you
don't dig too deeply.
The day before the scandal broke, in fact, Dimon punked CBS host David Gregory on Meet the Press by pontificating
on political and other matters in a pre-taped interview, knowing that
this story was about to break tomorrow. We won't knock Dimon for not
breaking the story (there are rules about handling information at a
publicly traded company, although Dimon never seems to have cared much
about them before.)
But it was an embarrassment to Gregory just the same.
The flackery didn't start after this story broke. The supposedly
'hardball' coverage of this '"error" typically amounted to little more
than the kind of damage control Dimon and his PR team were no doubt
hoping they'd get. The incident was described as an "embarrassment," a
"mistake," an "error."
Few news outlets discussed the size of JPMorgan Chase and other
too-big-to-fail banks, which continued to grow even after the passage of
a financial reform law. They failed to discuss what would happen if
the bank got into serious trouble.
And they glided lightly over the fact that crimes may have been
committed. When they did, they were quick to characterize this scandal
as the work of overzealous or crooked underlings.
That's what they said in Alabama, too.
The Influence Peddlers
Banks have paid Washington lobbyists $50-60 million per year for the last few years -- and they've gotten their money's worth.
Real financial reform was hamstrung under Dodd/Frank by
behind-the-scenes wheeling and dealing. Even that bill's modest
reforms are being undercut by Republicans from Mitt Romney downward, who
are determined to avoid even the pretense of regulating the nation's
reckless and criminal bank enterprises.
The White House had yet to indict a single banker for the events
leading up to the financial crisis, although billions have been paid out
it settlement fees for criminal activity.
When you look at it in context, $150-200 million over three years is one of the best investments Wall Street has ever made.
The Watchdogs
The Federal Reserve rescues failed bank executives -- often breaking
its own rules to do it -- and yet cites the same rules when it refuses
to help other businesses, or individual consumers, in ways that would do
much more to restore the economy. No wonder: The Fed's board includes
many of the same bankers who broke the economy -- including Jamie Dimon.
Intransigent pro-bank regulators refuse to carry out their own agencies' mandates if it would discommode Wall Street.
And Administration officials meet routinely with double-dealing
bankers like Lloyd Blankfein from Goldman Sachs, according to visitor
logs, while rarely laying eyes on foreclosed homeowners or other
ordinary citizens.
Some of the bank executives they meet with are their own colleagues.
There are so many people moving from Wall Street jobs to high
government positions -- and back again -- that our country's center of
economic power now resides somewhere on the Amtrak route between New
York and Washington. (I'm guessing Metropark, NJ.)
The Solutions
Some people have called for reasonable steps in the wake of this
scandal: Tighten banking regulations. Strengthen the Volcker rule.
Restore Glass-Steagall.
Each of these moves would be a start -- but they would only be a
start. But the story of Jamie Dimon and JPMorgan Chase illustrates a
far deeper, far more systemic problem. They highlight the broken and
corrupt matrix of relationships between rich (and often lawbreaking)
bankers, politicians and regulators in Washington, and supplicating
figures in the national media.
This is an opportunity to explain what's wrong with our system and
pursue ways of fixing it. Let's seize the moment now -- before it's too
late and they break the economy again.
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