Obama Cutting (Another) Deal With Banks

Discussion in 'Politics' started by boedicca, Jan 5, 2013.

  1. boedicca
    Offline

    boedicca Uppity Water Nymph Supporting Member

    Joined:
    Feb 12, 2007
    Messages:
    41,834
    Thanks Received:
    12,786
    Trophy Points:
    2,250
    Location:
    The Land of Funk
    Ratings:
    +22,858
    Anyone who thought that the Obama Administration's investigation into Big Banks for mortgage fraud would result in relief for homeowners, think again. The Obamanoids are just using it as a pretext to squeeze a $10B indulgence from the banksters.

    President Obama’s financial regulators are reportedly negotiating a secret settlement with 14 banks to end an investigation into predatory loans and foreclosures because federal investigators are having trouble finding the evidence they need for a successful end to the probe.

    Fourteen banks — such as JP Morgan Chase, Citigroup, and Bank of America — would pay $10 billion, under the settlement, that would be used for relief for homeowners and families that have lost their homes.

    What do the banks get? “The proposed settlement would also halt a separate sweeping review of more than four million loan files that the comptroller’s office and the Federal Reserve required the banks undertake as part of a consent order in April 2011,” The New York Times reports.

    That’s an improvement on the status quo for the banks — it could save the banks as much as $10 billion on the review alone. Based on figures in the Times report, initial estimates suggested that the review would cost $8 billion, but “the costs of the reviews have ballooned” such that it could cost $20 million if it were to be carried out. And that’s just the cost of the review — it doesn’t account for what the banks would then have to do to ameliorate any problems uncovered by the review.

    The federal government likes the idea of a deal because the investigation is going poorly. “In private meetings with top bank executives, these people said, regulators have admitted that the reviews had gone awry,” per the Times. “At one point this month, an official from the comptroller’s office said the agency had ‘miscalculated’ the scope and requirements of the reviews, according to the people with knowledge of the negotiation.” Sources also said that the review is not going to “yield promised relief to homeowners.”

    So, the Obama administration is using the review as leverage to convince the banks to settle, which will end with a photo op for the president and a speech about holding Wall Street accountable, even as he gives them a better deal relative to their current position....


    Report: Obama cutting secret deal with banks because foreclosure probe is going badly | WashingtonExaminer.com
     
  2. waltky
    Offline

    waltky Wise ol' monkey Supporting Member

    Joined:
    Feb 6, 2011
    Messages:
    20,887
    Thanks Received:
    1,791
    Trophy Points:
    215
    Location:
    Okolona, KY
    Ratings:
    +3,884
    Borderline banking puts economy at risk...
    :eusa_eh:
    The crackdown on bank misbehavior masks a troubling reality
    7 Aug.`13 - "Ex Goldman Trader Found Guilty for Misleading Investors." "Bond Deal Draws Fine for UBS." "JPMorgan Settles Electricity Manipulation Case for $410 million." "Deutsche Bank Net Profit Halves on Charge For Potential Legal Costs." "US Sues Bank of America Over Mortgage Securities." "Senate Opens Probe of Banks' Commodities Businesses." "US Regulators Find Evidence of Banks Fixing Derivatives Rates." "Goldman Sachs Sued for Allegedly Inflating Aluminum Prices."
     
  3. Claudette
    Offline

    Claudette Gold Member

    Joined:
    Nov 3, 2009
    Messages:
    19,719
    Thanks Received:
    3,037
    Trophy Points:
    280
    Ratings:
    +7,757
    WOW What does one expect from the most open and transparant administration in history??
     
  4. ScreamingEagle
    Offline

    ScreamingEagle Gold Member

    Joined:
    Jul 5, 2004
    Messages:
    12,887
    Thanks Received:
    1,610
    Trophy Points:
    245
    Ratings:
    +2,159
    ....but.....but.....Elizabeth Warren sounds so good.....

    [ame=http://www.youtube.com/watch?v=Xvi7RNr8s4A]Elizabeth Warren On Illegal Foreclosures. INCREDIBLE VIDEO - YouTube[/ame]
     
  5. zeke
    Offline

    zeke Gold Member

    Joined:
    Feb 5, 2012
    Messages:
    8,272
    Thanks Received:
    1,111
    Trophy Points:
    190
    Ratings:
    +1,868

    The rethugs go bat shit crazy if the banks are dealt with in a harsh manner. Now that Fannie and Freddie will be going away, the plutocrats have us just about where they want us.

    Broke, dumb and hating each other. Divide and conquer works.
     
  6. Claudette
    Offline

    Claudette Gold Member

    Joined:
    Nov 3, 2009
    Messages:
    19,719
    Thanks Received:
    3,037
    Trophy Points:
    280
    Ratings:
    +7,757
    Last I heard Barry and his merry band are a long way from being in the GOP.

    In fact they are Democrats. Imagine that.
     

Share This Page