Financial crisis panel urges prosecutions of industry figures

[kpete]

Source: McClatchy

By Greg Gordon | McClatchy Newspapers

WASHINGTON — The congressional panel examining the root causes of the nation's financial crisis voted to refer to state and federal prosecutors a wide range of potential criminal wrongdoing by financial industry figures and corporations, people involved in the deliberations said Tuesday.

The politically divided Financial Crisis Inquiry Commission is likely to detail the referrals on Thursday in releasing its final report, based on testimony from more than 700 people in coast-to-coast hearings and a review of millions of pages of documents.

It couldn't be learned which financial executives and companies were subject of the referrals to the Justice Department and state attorneys general. The panel investigated the roles of, among others, subprime mortgage brokers and lenders; Wall Street giants that bought, repackaged and resold the loans; bond ratings agencies; and a huge insurer that wrote protection on dicey bonds, enabling a U.S. housing bubble to swell until it burst, crashing the global economy.

Two people who had roles in the deliberations, speaking on condition of anonymity because the report is still confidential, said that the panel voted on a number of the Justice Department referrals months ago.

"And we've done some more," one of these individuals said.




Read more: http://www.mcclatchydc.com/2011/01/25/107430/in-report-financial-crisis-panel.html

[FreakinDJ]

1. What are they waiting for

[RKP5637]

16. A list of who not to touch, I bet! n/t

[Bonhomme Richard]

2. First they have to sort out which very low level players they....

are going to make an example of.

[Raster]

6. No shit! Just high enough figures to perp walk on the evening news, but certainly of no

...real consequence as to not ruffle the feathers of the Lords of Money. Something for show...and of course, someone to dangle in front of voters in 2012. But the big boys, the ones that actually precipitated the financial mess? Oh no. They'll never see a day of jail time.

[GiveMeFreedom]

9. yea

The Lords get cabinet positions and presidential appointments.

[RC]

7. Like which teller at which bank.

weighty questions both.

[Frank Booth]

3. This could be great news.

[Tippy]

19. I agree......

[swilton]

27. I'm skeptical

I've seen more than once that there are two sets of rules in this country...

[Frank Booth]

31. Yep. That's why I couldn't bring myself to write that it actually is great news.

Nobody with any real power has been locked up. Bernie Madoff was nothing more than a con man. The prosecution would have rock solid cases against plenty of current and former Wall Street officers and directors, but nothing even close to that has happened.

I never considered the possibility that enforcement of white collar crime would be more stringent under Dubya than Obama. But Ken Lay and other Enron criminals were prosecuted during Bush's tenure. There's been nothing like that during Obama's.

[defendandprotect]

4. Corrupt and criminal capitalism needs to be replaced by economic democracy ....

democratic socialism -- !!

[greiner3]

5. I thought this was an Onion post at first.

The government prosecuting the richest corporations and the most powerful people in America? Even if Obama had governed like he had campaigned the war that would be fought between the forces of good (the 95%) and the evil (5%ers) would not be worth watching after the first quarter; 6 touchdowns for the opposition and our quarterback out for the game.

[Raster]

8. It might as well be. It will have as much actual consequence.

[melm00se]

10. nice folks

just nice.

somehow we jumped from "potential criminal wrongdoing" to convicted.

let's not even bother with a trial. they are rich so they must have done something illegal.

:sarcasm:

[Marblehead]

11. yea right

[Kokonoe]

12. I think they're too big to jail. eom

[Shadowflash]

13. Yeah.

That'll happen.

[bongbong]

14. politically divided?

Politically divided? Let me guess: The Democrats want to prosecute, but the repigs are all whining, "We love criminals! They pay us an awful lot to loot, I mean look, the other way!"

[Plucketeer]

15. I couldn't have said it better!

One thing about Russia is that they don't pretend to be serious about corruption supression.

[glinda]

22. More like which criminals in Government can we avoid dragging into this.

[PA Democrat]

26. Yep. Every single Republican member of the commission refused to sign off on the report.

It's not just the call for possible prosecution of wrongdoers that they won't agree upon, but they even dispute the actual CAUSES of the crisis.

Republicans refuse to give up their talking points that it is the fault of all of those damn POOR people encouraged by the government to buy homes that caused the meltdown, and NOT deregulation, poor oversight, excessively risky behavior by financial institutions as well as out-and-out fraud perpetuated by the banksters.

[girl gone mad]

17. Won't Obama just grant them pardons in the end?

Maybe I'm just out of hopium.

[Blue_Tires]

18. if only...

[ProfessionalLeftist]

20. Don't hold your breath waiting for that to happen. n/t

[AllyCat]

21. Oddly enough, this made the ABC prime time news citing Bernanke and

Greenspan among those to be questioned. I know it won't go anywhere, but it's nice to dream for a little while.

[DesertDiamond]

23. Is this real, or am I dreaming??

[Enthusiast]

24. Just imagine, the Republicans

on the panel want to blame poor people. Isn't that just like an asshole Republican?

[HughBeaumont]

25. PFFFFFFFT ha ha ha ha ha ha!

Silly citizens! 'Murka doesn't hang it's kings!

[Javaman]

28. Let me guess? nothing will happen. Just more feigned outrage and wagging fingers. nt

[snappyturtle]

29. Kick! Gives me so hope! nt

[somone]

30. And federal prosecutors are standing by

Highly doubtful. Gotta be civil and all that now.