Re: What's the status on these lawsuits?
Lawsuits rather than prosecutions. Which take much longer to elicit a responses to, even as big prosecutions do often take long enough unless they are running along side a lynch mob.
With no charges but rather all sorts of claims it takes a long time and when litigation gets in ahead of prosecution there is usually a tactical reason.
My guess is the lawsuits are nothing more than a DoJ Killdeer, limping away from the nest to hold off the need to prosecute until the statute of limiatons runs out on most of the crimes leading up to 9-08.
The sad truth is that if there is going to be prosecution of financial crimes that one heck of a bunch of prominent people (and God only knows how this land worships and adores prominent people) who will wind up in the dock and in the crow bar hotel. Or maybe with their gourd in a basket. It's not just a matter of finding a handful of folks such as Madoff and Corzine and locking them up. Only the worst of them for very long, the rest slapped on the wrists to go home and get better at it....to not get caught the next time. And it will take an FBI and DoJ and IRS and SEC and FHFS and FBI ramped up to multiples of what they are now to do an effective across the board job of it.
Or we could commission the construction of a few guillotines and put them under the purveyance of Federal District Courts and locally sensitive Judges in those courts around the country. That would be what the popular right winged movements would want. And enterprising independent young entrepenuers could sell popcorn and tee-shirts at the weekly shows.
But all of that and what happens to them doesn't change the reality of just where this bubble, then crisis and now collapse is going to take us.
This guy thinks it is severly underestimated. Does the math and knows the buiness:
Surely Obama and his advisers realize these problems. It seems inevitable that we will soon face either widespread bank failures and a staggering loss in home values (although arguably an increase in middle-class liquidity), or another much larger bailout; a fraud bailout. Either option is likely to sink President Obama’s popularity rating in much the same way it is likely to sink individual home values. Despite this, the president continues to play Kick the Can, presumably hoping these problems won’t be widely recognized prior to the election in November, while the banks continue to kick everybody else.
Market manipulation used to be illegal, especially in cases where there was asymmetrical information or unequal bargaining power. Pundits use the term “heads we win, tails you lose,” but that actually understates the problem because it implies that there still exists individual parties and counter-parties. Our more modern arrangement looks more like an aristocracy, where there isn’t a genuine market at all but rather a pseudo-market operating like a private ancient tax collector, demanding the increasingly poor peasants feed the monarchs and his cronies rather than feeding their own children.
I’m often told that people don’t care about deadbeats who haven’t paid their mortgages. But people fail to realize that this affects everybody. Ordinary Americans see the effects of this manipulation every day; it affects them profoundly, even if they don’t understand it. All but the most irresponsible aristocrats throughout history realized there were boundaries. Their motivations may have differed — some cared about the well-being of the peasantry while others feared the guillotine — but for millennia all but the stupidest acknowledged and avoided pushing the populace too far. If we’re going to live under an American Nuevo-Feudal system, the least we deserve are overlords at least as smart as the despots they’re trying to imitate.