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XMFSinchiruna (27.02)

Classic Hypocrisy from the Banks

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34

March 19, 2010 – Comments (4)

Oh, how the irony here cuts like a knife!

These guys can use multi-million dollar supercomputers to trade upwards, backwards, and sideways on every piece of news that crosses the wires before our human eyes can process a headline, but they go running straight to the courts crying foul the minute their time-delayed "research" (remember, they've already traded and profited from the information before it ever gets processed for external consumption of any kind) is relayed to the masses.

Bank-lovers can go on and on all they want about how they have a right to control who views their "proprietary research", but since we leveraged our fiscal future (not just TARP) to keep them afloat... (which inevitably introduces all kinds of ethical dilemmas), then what rights do they really have to deny information to the American people that could conceivably aid them in rebuilding equity losses directly caused by their gross collective fraud (see Lehman report and Goldman/Greece deal for examples) and malfeasance perpetrated against each and every one of us? No surprise that a court failed to take such complex ethical dilemmas into account in a simple ruling on property law, but the end result remains a tasteless hypocracy underlining the degree to which banks expect business as usual to prevail despite the massive mass they have created for us all.

It makes me sick to my stomach.

http://www.marketwatch.com/story/website-barred-from-posting-real-time-research-2010-03-19?siteid=yhoof2

BOSTON (MarketWatch) -- A federal judge has ruled Theflyonthewall.com cannot immediately post news on Wall Street analyst research and recommendations before they are shared with clients, according to published reports. The ruling is a victory for Barclays /quotes/comstock/13*!bcs/quotes/nls/bcs (BCS 21.79, +0.07, +0.32%) , Morgan Stanley /quotes/comstock/13*!ms/quotes/nls/ms (MS 29.82, -0.26, -0.86%) and Bank of America Corp.'s /quotes/comstock/13*!bac/quotes/nls/bac (BAC 16.94, -0.14, -0.82%) Merrill Lynch. The judge on Thursday ruled Theflyonthewall.com misappropriated the "time-sensitive recommendations" of several banks, Dow Jones Newswires reported.

 

"It is well enough that people of the nation do not understand our banking and monetary system, for if they did, I believe there would be a revolution before tomorrow morning." - Henry Ford

 

 

 

4 Comments – Post Your Own

#1) On March 19, 2010 at 10:50 AM, 100ozRound (29.40) wrote:

but the end result remains a tasteless hypocracy

Was this intentional?  If so, BRILLIANT!!!

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#2) On March 19, 2010 at 11:39 AM, outoffocus (22.00) wrote:

but the end result remains a tasteless hypocracy

Was this intentional?  If so, BRILLIANT!!!

I don't get it...

*Thinks for 5 minutes*

...Ohhh I get it, like democracy or plutocracy.  Thats actually pretty good.

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#3) On March 19, 2010 at 5:46 PM, rd80 (97.91) wrote:

Sinch,

1.  Since when do TARP or the other bailout programs deprive banks of their intellectual property?

2.  It isn't the banks that are harmed by this unauthorized release, it's their clients who paid or were otherwise entitled to the proprietary research. 

I'm sure The Motley Fool has some kind of restriction against subscribers posting its premium service communications and would take legal action if Theflyonthewall or some other site started posting that information as soon as it was released.  Since TARP and the other programs didn't require participants to give up their IP rights as a condition for participation, the fact that TMF didn't take any bailout is irrelevant to the analogy.

Besides, given Bank of America's abysmal record of overpaying for acquisitions, would you really want to take its investing advice?

Fool On!

Russ

 

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#4) On March 19, 2010 at 5:52 PM, alexxlea (51.04) wrote:

They need to be skinned, gutted, fried, and served up to those they feasted upon.

 

That's the only justice they deserve.

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