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: David Dayen Friday July 13, 2012 8:35 am|
For a separate story (stay tuned!), I spoke yesterday with Rep. Brad Miller (D-NC), a member of the House Financial Services Committee. And while I had him, I asked him about that assembly of housing groups yesterday, all of whom pointed to the Justice Department as the culprit for the lack of progress on investigations from the RMBS working group, the task force supposed to be probing securitization abuses during the housing bubble.
|By: David Dayen Thursday July 12, 2012 11:43 am|
This shift toward Holder, however, deserves scrutiny. There have been plenty of documented stories of reluctance toward investigation from Treasury and the SEC and HUD. This centers all the attention on DoJ, however. It’s not entirely credible that Holder is operating independently to slow-walk an investigation that has been slow-walked by virtually every official in the Obama Administration at one point or another. It feels as if Holder has become the “rotating villain” in this scheme, someone to deflect attention away from the whole policy framework to let the banks off for their crimes. Ultimately, the buck has to stop at the very top, with the President.
|By: David Dayen Wednesday June 27, 2012 2:15 pm|
Good news, New York Attorney General Eric Schneiderman issued a wide-ranging subpoena yesterday. Only it had nothing to do with the financial fraud task force he’s co-chairing. Instead, this was a subpoena about campaign contributions to tax-exempt groups.
|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.
|By: David Dayen Saturday May 26, 2012 10:00 am|
Housing Wire reports on bank attorneys preparing for “showdowns” with the RMBS working group on fraud cases. Well, they have to justify their billings to their bosses, don’t they? The reality of whether banks should sweat the investigation is far less clear. In fact, we have more information from a couple sources today that suggest the attorneys don’t have to keep up this facade.
|By: David Dayen Friday May 25, 2012 10:24 am|
Persistent criticism of the sluggish securitization fraud task force formed early this year to investigate Wall Street has led to more PR. Now one of the co-chairs of the Residential Mortgage Backed Securities (RMBS) working group, New York Attorney General Eric Schneiderman, has decided to act like he needs more help, after months of official statements that the investigation was proceeding at an acceptable pace.
|By: David Dayen Tuesday May 22, 2012 7:05 am|
Darren Samuelsohn takes a look at the much-maligned securitization fraud task force, which has come under criticism for, well, not doing much of anything since coming into existence. Let’s see how the leaders of the effort have responded to all that criticism.
|By: David Dayen Friday May 18, 2012 9:00 am|
Rep. Maxine Waters (D-CA), who is in line to take over as the lead Democrat on the Committee, actually referenced the interview I did with Elizabeth Warren yesterday, in questioning of Robert Khuzami, who is both the head of enforcement at the SEC and a co-chair of the RMBS working group, the panel that is supposed to be investigating fraudulent actions in the securitization of mortgages. Waters used the fact that Warren expressed no confidence in the working group or any other measures from the regulatory and law enforcement communities to hold banks accountable to launch into a series of questions about the RMBS working group and its progress.