A former prosecutor did suggest to me last month that the Administration wouldn’t have thrown together a financial fraud task force, and revive it earlier this year, if they didn’t have some prosecutions waiting on the runway. Libor could be those prosecutions. It wouldn’t surprise me at all.
|By: David Dayen Sunday July 15, 2012 11:50 am|
|By: Peterr Thursday July 12, 2012 1:54 pm|
Louis Freeh’s long-awaited report is out on the institutional handling of the Jerry Sandusky affair at Penn State, and it is brutal. More than anything, it comes down hard on the climate of Penn State that denied the need for accountability and oversight.
|By: David Dayen Friday July 6, 2012 9:48 am|
In Britain, the investigations into Barclays Bank manipulating the benchmark Libor rate have begun in earnest. Parliament approved an official inquiry into the Libor scandal, though only at the Parliamentary level rather than an independent investigation.
|By: David Dayen Monday July 2, 2012 1:30 pm|
Along with Barclay’s Bank, sixteen other major financial institutions are implicated in the scandal. In the simplest terms, Barclays admitted to manipulating the inter-bank lending interest rates to cash in on derivatives and also mask weaknesses in its balance sheet. But the LIBOR (which stands for London Inter Bank Offered Rate) is used as a benchmark lending rate all over the world. Adjustable-rate mortgages were calculated using the LIBOR. The exposure on this could be enormous.
|By: David Dayen Friday June 29, 2012 11:49 am|
I’ve sort of missed all the hubbub surrounding Barclay’s Bank interest rate manipulation troubles. As I understand it, the bank was fined a fairly trivial amount by the CFTC and the Justice Department, compared to what they reaped in profits, on the fraudulent use of the LIBOR.
|By: masaccio Wednesday June 27, 2012 5:00 pm|
The only people who have to worry about the federal government prosecutors are insider traders trying to steal a few million bucks.
|By: Kevin Gosztola Tuesday June 26, 2012 6:15 pm|
The American Civil Liberties Union (ACLU) points out, “On June 26, 1987, exactly twenty-five years ago, the Convention Against Torture became binding upon the nations that had ratified it.” So, today is not just some international day the United States and other powerful countries in the world will pay lip service to. Twenty-five years ago, an anti-torture convention was passed that the US then disregarded and violated explicitly when Bush was in power.
|By: David Dayen Wednesday June 13, 2012 3:35 pm|
I was on The Young Turks with Cenk Uygur last night, talking about Iceland and how differently they have managed their economic crisis compared to the rest of the world.
|By: David Dayen Tuesday June 5, 2012 4:36 pm|
New York Attorney General Eric Schneiderman has hired former federal prosecutor Virginia Romano to work on the series of investigations around the RMBS working group he co-chairs. The interesting part of this to me is that Schneiderman did the hiring, rather than the Department of Justice.
|By: David Dayen Thursday May 31, 2012 5:45 pm|
I generally agree with Peter Henning that Eric Schneiderman’s plaintive wail for more resources for the RMBS working group, the task force looking into fraud in the mortgage securitization business, suggests that there will not be any meaningful prosecutions coming out of Washington against Wall Street. And he marshals a bunch of other evidence.