With Prosecution A Non-Starter, Big Banks Are Boss
In the five years since the U.S. house market imploded, taking much of the global economy out with it, Americans have watched with growing frustration as it becomes increasingly apparent that no individual nor corporate entity is going to be held accountable. Now even the administration that vowed to put an end to “too big to fail” admits it will not prosecute the biggest financial institutions because doing so might endanger the global economy—as if not prosecuting has worked out so well…. But the greater implication here is that what some have predicted for decades has finally come to pass: our society and our world is now under the control and at the mercy of a cabal of omnipotent, untouchable corporations enabled by inept or complicit government authorities, who are immune from legal penalties, regardless of the magnitude of their crimes, and who now determine how the economy will function and who will reap the rewards.
As reported in a small December 1 Reuters article, inside sources are saying that the U.S. Department of Justice will not impose any penalties as the result of a four-year investigation of Credit Default Swaps, or CDS, “over-the-counter contracts that bet on whether a company or country will default on its bonds within a fixed period of time.” CDS played an important role in triggering the 2008 crash as institutions and independent traders gobbled up ever-larger numbers of the instruments in a winningContinue Reading →
Virtually every bank or financial institution involved in any way in fraudulent or reckless behaviors that contributed to the crisis has walked away Scott-free, save monetary penalties that sound enormous to Main Street audiences but which amount to mere pennies on the dollar in context of the damage done.