A list of the fat cats who caused this mess

by **jbrettlip** on Tue Dec 16, 2008 10:28 am

Don't forget Bruce Bent of the Reserve funds. He managed to screw up the whole money market fund industry, thus causing the credit cruch, and making my personal life hell. Not to mention the many cash managers and treasurers who lost their jobs due to using his funds, and then couldn't access their money.

by **PLAYER57832** on Tue Dec 16, 2008 10:44 am

Pedronicus wrote:

Richard Fuld Jr. of Lehman Bros.

Paid himself $498.48 million over the course of just 6 years when things were good. Cost to American taxpayer - nil. company bankrupt

I disagree with the Nil to American taxpayer part. Not only have all their debts now been nicely erased, but we are left on the hook paying unemployment, etc for many employees, lose the legitimate tax dollars on the wages and transactions, plus a we are all paying for changes in credit allocations, which partially can be firmly set in Lehman Brother's lap.

by **PLAYER57832** on Tue Dec 16, 2008 10:44 am

Pedronicus wrote:

Richard Fuld Jr. of Lehman Bros.

Paid himself $498.48 million over the course of just 6 years when things were good. Cost to American taxpayer - nil. company bankrupt

I disagree with the Nil to American taxpayer part. Not only have all their debts now been nicely erased, but we are left on the hook paying unemployment, etc for many employees, lose the legitimate tax dollars on the wages and transactions, plus a we are all paying for changes in credit allocations, which partially can be firmly set in Lehman Brother's lap.

by **Pedronicus** on Tue Feb 03, 2009 2:49 pm

Bill Clinton

Clinton shares at least some of the blame for the current financial chaos. He beefed up the 1977 Community Reinvestment Act to force mortgage lenders to relax their rules to allow more socially disadvantaged borrowers to qualify for home loans.

In 1999 Clinton repealed the Glass-Steagall Act, which ensured a complete separation between commercial banks, which accept deposits, and investment banks, which invest and take risks. The move prompted the era of the superbank and primed the sub-prime pump. The year before the repeal sub-prime loans were just 5% of all mortgage lending. By the time the credit crunch blew up it was approaching 30%.

by **Pedronicus** on Tue Feb 03, 2009 2:52 pm

PLAYER57832 wrote:
Pedro wrote:Cost to American taxpayer - nil. company bankrupt

I disagree with the Nil to American taxpayer part. Not only have all their debts now been nicely erased, but we are left on the hook paying unemployment, etc for many employees, lose the legitimate tax dollars on the wages and transactions, plus a we are all paying for changes in credit allocations, which partially can be firmly set in Lehman Brother's lap.

I agree. at the time of posting the info I wasn't aware of the far reaching implications of letting Lehman's go to the wall. I was just adding up how much tax payers were forking out to keep certain financial institutions above water.

by **Juan_Bottom** on Tue Feb 03, 2009 3:00 pm

Here you go guys, a list of banks that have failed, courtesy of the FDIC. For some reason bailed out banks and acquired banks are not on this list. But you can click them for further information.

http://www.fdic.gov/bank/individual/fai ... klist.html

by **Iz Man** on Fri Feb 06, 2009 3:11 pm

Three pages and no mention of Barney Frank & Chris Dodd......

by **Pedronicus** on Fri Feb 06, 2009 3:51 pm

Iz Man wrote:Three pages and no mention of Barney Frank & Chris Dodd......

well give us the low down on these rats. It's not a 2 person thread (although it may look like that from the input from me and fruit)

by **got tonkaed** on Fri Feb 06, 2009 3:52 pm

Pedronicus wrote:
Iz Man wrote:Three pages and no mention of Barney Frank & Chris Dodd......

well give us the low down on these rats. It's not a 2 person thread (although it may look like that from the input from me and fruit)

Democrat politicians who have advocated measures which those who disagree with their policies will say have exacerbated some of the current problems we face.

by **luns101** on Fri Feb 06, 2009 5:55 pm

Pedronicus wrote:
Iz Man wrote:Three pages and no mention of Barney Frank & Chris Dodd......

well give us the low down on these rats. It's not a 2 person thread (although it may look like that from the input from me and fruit)

Barney Frank was a member of the House Financial Committee back in 2003 & 2004 when Armando Falcon, Jr., director of the OFHEO, made fraud charges against Fannie Mae. I think it was during a subcommittee hearing on capital markets (you'll have to double-check that) that Frank told Falcon he was wrong to make these assertions and several other Democrats jumped on Falcon's case as well and basically insinuated that he [Falcon] was a racist. I don't have time to look for it right now, but I'm sure there would be a youtube link somewhere of when the Democrats, one of which was Frank, basically said there was no problem at Fannie Mae.

Here's his photo:

by **Juan_Bottom** on Sat Feb 07, 2009 2:19 am

http://www.reuters.com/article/topNews/ ... me=topNews
I would like to add the entire SEC Securities Exchange Commission to the list. They certianly share blame for not doing their job. Appearantly they've been warned since at least 2001 that Madoff was running a ponzi scheme and they didn't bother to investigate.
This article doesn't even address the fact that he warned them year after year..... but if you watched C-Span then you saw it.

Calling SEC staff "too slow, too young and too undereducated," Markopolos said the regulator was hindered by lawyers, did not understand red flags, could not do the math and was captive to the financial industry.

"They looked at the size of Madoff and said he's a big firm and we don't attack big firms," said Markopolos, who became aware of Madoff when the firm he worked for tried to pursue the same kind of strategy Madoff did but never got the same steady, strong returns.