bricki

Economic Donkeys

Along with criminal penalties there needs to be financial clawbacks if a financial institution goes bankrupt or triggers the need for government bailout. Yes I know the whining will be deafening but the banksters brought this on themselves.

There is nothing wrong with good pay for doing a good job. However if that job turns out to be faulty there needs to be a mechanism to recover that pay.

On Sep 13 02:12 PM Donald Ingram wrote:

> The global Anglo-American banking hegemony is coming to an inglorious
> end. The final act has started to play out. There will be NO curtain
> call! Along with a new global currency and banking system to go along
> with it, will be a new world of allegiances amongst the front runners.
> Hopefully contained within new banking control measures will be provisions
> for stiff criminal penalties for financial malfeasance, that will
> be strictly regulated and enforced. Don't laugh! One can live in
> hope. Can't they?

Wall Street Breakfast: Must-Know News

Even worse that so much of the US taxpayer funding of AIG went to rescue European banks that bought AIG CDS rather than maintain reasonable capital levels on their owm.

We certainly got suckered on that one.

I hope whatever regulatory mechanisms get put in place recognize that there has to be per-country liquidity firewall that prevent the sort of interlocking leverage structures that the CDS mess enabled.

What a house of cards.

Preview from Europe: Does the Rally Have Legs?

It somewhat frosts my butt to see US taxpayer dollars going to bail out European banks. This is surely a huge argument in the "let it fail" column in the AIG bailout argument.

That plus the unwinding bailout saga is seriously making me wonder why these crooks aren't in line after Madoff for some serious jail time.