General Discussion
Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsFinally a bank gets indictments against its officers for fraudulent mortgages
However it is a very small bank, Abacus Bank, of New York City.
And the dog that refuses to bark are the regulatory agencies, as this case is being pursued not by federal regulators, but by the DA of New York City.
Full description of the goings on, all the implications of this legal activity, AND a wonderful and important interview with William Black:
http://my.firedoglake.com/cindykouril/2012/06/09/the-first-bank-has-been-criminally-indicted-for-mortgage-fraud/
AndyA
(16,993 posts)I'm waiting to see if they ever go after the "too big to fail" bank executives. They're the ones who really need to be held to task for their actions.
I don't think that day will ever come, as Senator Bernie Sanders stated that the big banks regulate what Congress does. I believe him before I'd believe anything most others in Congress would say.
truedelphi
(32,324 posts)Think it is wrong for the Too Big To Fail Crowd to own Our Senators and Congress critters!
Why, it is now the American way!
<sarcasm intended>
AndyA
(16,993 posts)Not sure I'm ready to accept the Citizens United States of America. My bad.
truedelphi
(32,324 posts)They are going after the smallest of the small banks. But legally, it has a certain logic to it.
The arguments and legal references can be hammered out by the DA's side, without having to be pummeled in court by the 200 attorneys that somebody like Bank of America would have at their disposal.
This way they can get their ducks in a row, and so be better prepared should they go after one of the Too Big crowd. Which somebody really needs to go after, and soon.
DOJ, can you take a task force or two and jam it down against the bankers, rather than the Calif. Medical Marijuana clinics?
AndyA
(16,993 posts)If starting small and working their way up is their intent, that's fine. But all too often it seems the little guy is punished while the big guy gets pass after pass. I hope you're right, that they're doing this to get their ducks in a row.
AnotherMcIntosh
(11,064 posts)can't find any banksters to prosecute.
truedelphi
(32,324 posts)Has to defend himself against the charges of his agency (or DEA) deliberately puting guns get into the hands of Mexican Drug Cartels.
Has to go after those whose military leaks embarrassed Obama.
And lastly, has to be out here in California shutting down the voter approved Medical Marijuana Clinics, so that sick people can get their marijuana drugs from clinics in England! (Talk about the endless outsourcing - and in this case, that outsourcing will disembowel one of the few economic recovery programs for rural Northern California, where unemployment is 18 percent.)
sabrina 1
(62,325 posts)It's a good place to start what should have happened a long time ago. And it's bound to send a message to the bigger banks that were engaged in the same fraudulent activities. It should also reveal the role played by the rating agencies, and the insurance agencies, possibly even AIG.
As the article says, the prosecutor doesn't have many resources that would make it possible to take on the big banks, so he's starting with what is possible. Hopefully the US Attorney will take on a bigger bank, which airc, he is looking into.