criminal prosecutions

Corzine Gets Sued!

Just when you think they all got completely away with it, along comes one government regulator, the CFTC.  The U.S. Commodity Futures Trading Commission issued a settlement with MF Global.   The firm settlement consisted of full restitution of the $1 billion customer money lost plus a $100 million fine.  Yet the CFTC also filed civil charges against former CEO Jon Corzine along with another MF Global executive, Edith O'Brien.

Outrageous Economic Shorts - Labor Be Damned

Welcome to our round up of economic shorts.  These are the latest outrages that caught our eye which you might have missed.  Probably the biggest disaster happening today is the Senate pushing forward with a corporate written cheap labor immigration bill regardless of the negative impact this will have on jobs and the economy.

Holder Claims He Can't Prosecute the the Banks Because It Would Negatively Impact the Global Economy

Attorney General Eric Holder, the highest law enforcement officer in the land, said he cannot prosecute the big banks because that would endanger the global economy.  This is an admission the world is run by the banks and not governments or the rule of law.

Business as Usual and Prosecution of Financial Crime

hsbcThe latest fallout in the banks manipulating the LIBOR scandal were criminal charges against two UBS traders. LIBOR is a key financial rate and the Justice Department this week fined UBS $1.5 billion for rate rigging. The Japan UBS subsidiary also pleaded guilty to wire fraud.

UBS Securities Japan Co. Ltd. (UBS Japan), an investment bank, financial advisory securities firm and wholly-owned subsidiary of UBS AG, has agreed to plead guilty to felony wire fraud and admit its role in manipulating the London Interbank Offered Rate (LIBOR), a leading benchmark used in financial products and transactions around the world, Attorney General Eric Holder announced today. The criminal information, filed today in U.S. District Court in the District of Connecticut, charges UBS Japan with one count of engaging in a scheme to defraud counterparties to interest rate derivatives trades by secretly manipulating LIBOR benchmark interest rates.

They Got Away With It

dojlogoIt there was ever a message from our government, it's this. If someone has enough money and power, they can get away with anything. There will be no consequence and no punishment for the rich and powerful.

Once again, Goldman Sachs gets completely away with it. The Department of Justice, closed the books on pursuing Goldman Sachs. Now this is most interesting, you cannot find the statement, press release, nothing on the DOJ website or anywhere. Some claim the DOJ statement is in Goldman Sachs 10-Q, but no, not there either.

About the only place you can get the DOJ statement, it appears, is ABC News, second hand and not directly uploaded.

Based on the law and evidence as they exist at this time, there is not a viable basis to bring a criminal prosecution with respect to Goldman Sachs or its employees in regard to the allegations set forth in the report.”

Banks Launder Money With Impunity

laundering moneyHSBC is a bank. They are also a money launderer. Last week the Senate subcommittee on investigations, part of the Senate Committee on Homeland Security and Government Affairs, issued a report (pdf) and held a hearing, U.S. Vulnerabilities to Money Laundering, Drugs, and Terrorist Financing: HSBC Case History. Contained within is a laundry list, if we can use the pun, of HSBC evil doings and how they mechanically laundry money for drug cartels, terrorists and tax evaders.

This is over a decade past 9/11 and seemingly HSBC has been operating with impunity. One of the conduits for money laundering is correspondent banking. Correspondent banking is when one financial institution provides services to another financial institution to move funds, exchange currencies, cash monetary instruments, or carry out other financial transactions. Even though in 2002, correspondent banking was recognized as a primary method to fund terrorist activities, the doors have not been shut.

Correspondent accounts continue to provide a gateway into the U.S. financial system, and wrongdoers continue to abuse that entryway.

Below is what has been done since 9/11, yet correspondent banking is alive and well.

The Latest Evildoing in Banksterdom

bankstersBanks running amok. Banks losing billions. Banks busted for fraud that went on for over 20 years. Banks overcharging customers. The hits just keep on coming. One would think, at this point, the business suit would be more a symbol of jailbirds than a uniform of respectability. Yet on and on it goes and with that we overview the latest adventures in Mafia style Banksterdom.

The headlines blare JPMorgan Chase Revives Markets when they announced a $5.8 billion dollar loss on their derivatives trades.

The largest U.S. bank tried to demonstrate Friday that the worst of the problem was in the rear-view mirror, reporting a $4.96 billion profit for the second quarter, down 8.7% from a year ago.

That's almost three times larger than the originally reported $2 billion loss and that loss could climb to $7.5 billion. What does Wall Street do with this news, why reward the bank of course!

Meanwhile new investigations against JPMorgan Chase are popping up with the bank refusing to release emails about manipulating the electricity market.

Banking Fraud Is Just the New Way of Doing Business

bigbenThe manipulation of the LIBOR scandal just keeps growing. Ever since Barclays was busted for manipulating this key critical interbank interest rate, more outrageous details keep pouring out.

Europe wants to make such evil financial dealings criminal. Yes, that's right, already manipulating a key interest rate is being classified as not criminal by this announcement.

Europe's top regulatory official intends to propose new rules that would criminalize the manipulation of benchmarks such as Libor.

Other investigations are also being announced:

The U.K. Serious Fraud Office opened a criminal probe into the attempted rigging of interest rates that led to a record fine against Barclays Plc (BARC), adding to pressure on banks already under investigation by regulators around the globe.

Supposedly the U.S. opened a criminal probe in February 2012:

Several major global banks, including Citigroup Inc, HSBC Holdings Plc, Royal Bank of Scotland Group Plc and UBS AG, have disclosed that they have been approached by authorities investigating how Libor is set.