William Black Calls Them As He Sees Them - must read
April 12, 2009
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Financial Armagaddon linked to a great piece in Barron's that is an interview with William Black, who was a deputy director at the Federal Savings and Loan Insurance.
A few quotes....
We have failed bankers giving advice to failed regulators on how to deal with failed assets. How can it result in anything but failure?
He (Geithner) is flouting the law, in naked violation, in order to pursue the kind of favoritism that the law was designed to prevent. He has introduced the concept of capital insurance, essentially turning the U.S. taxpayer into the sucker who is going to pay for everything.
With most of America's biggest banks insolvent, you have, in essence, a multitrillion dollar cover-up by publicly traded entities, which amounts to felony securities fraud on a massive scale.
We are using taxpayer money via AIG to secretly bail out European banks like Société Générale, Deutsche Bank, and UBS -- and even our own Goldman Sachs. To me, the single most obscene act of this scandal has been providing billions in taxpayer money via AIG to secretly bail out UBS in Switzerland, while we were simultaneously prosecuting the bank for tax fraud.
Control fraud is when a seemingly legitimate corporation uses its power as a weapon to defraud or take something of value through deceit.
Go read it, it is powerful...
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