Steve Kroft talks to the bank examiner whose investigation reveals the how and why of the spectacular financial collapse of Lehman Brothers, the bankruptcy that triggered the world financial crisis.
Xing Xiao crooks no, rich crooks yep, it's always been that way poor crook u get busted rich or celebrity u evade justice celebrity and rich u are given get outta jail free card
Whether RF knew about REPO 105 or not, surely the chairman of a company knew that $50B dollars was regularly being off shored and then re shored after filing, if not he should be jailed for incompetence, either way he was a conman.
Clearly he knew. The architects of this disaster should have been jailed and had their money confiscated or both and legislation should have been enacted so that it doesn't happen again. It's outrageous that the financial system was teetering on destruction because of the antics of these greedy fuckers. Of course, nothing will change...especially when political donations are at stake...and it will happen again.
doesn't matter what happened in 2008... what matters is the fact that nothing changed since 2008... that means we are going to get a crisis harder than the legendary Great Depression
I pledge allegiance to the rich of the United States of America, and to the corporations for which they stand one nation under capitalism with inequality and injustice for all.
per aspera ad astra ¿ good stuff bro, I agree with you. Got my undergrad in electrical eng, working at Fortune 500 and own two businesses. I agree it can be done and there’s no where better than America to do it.
per aspera ad astra ¿ good stuff, the day a lot of lawyers, MBA, etc start of in EE. My company does operations and Lean Six Sigma consulting and training. Jceharvey.com, drop me a line in the contact section. I’d love to chat more.
So when I fill out FASFA and CSS forms for college, it is a NO NO for me to move funds out of my account, complete the forms and then move back but they did it.🤮
I find it hard to believe that the reason no one was jailed was simply because "regulators didn't understand what was going on". I wonder how many lives were threatened / people were paid off
The loop is starting again. 11 years and already forgotten. We’ll soon have the next financial crisis. It could very well be irreparable the next time it hits.
Finance is such a more lucrative career that it will attract almost all of the best and brightest in the field. Unless we raise SEC salaries to prohibitively high levels the banks will always be two steps ahead
The end where he says he wouldn't trust the books of big Wall Street firms. The stock market is heavily inflated with many companies not making a profit to match their stock price. Many new IPOs happening soon like Uber, Lyft, Slack, Pinterest are not profitable.
This is cases like this that would validate the use of vigilante measures against the people responsible! If the government of a society fails to protect and defend its country’s “citizens” interest then those responsible are enemies and traitors of the state! And should be dealt with by the military of the country!
Apparently, the people working for the SEC did not understand the material given to them and couldn't charge people for the unlawful practices - WHAT A JOKE
Unfortunately, that's artificial control which goes against free market capitalism, the "holy grail" to most in the industry and many in the country/western world. But even more unfortunate, the capitalist system tends to concentrate wealth in the hands of a few, meaning a small group of companies will indeed get very large, "too large to fail" in many instances.
This was the same thing that they done in the movie call the accountant and that organization with the accountant was doing the assessment for they also remove the assets from the US jurisdiction any put on offshore account because they was going public
If anyone is interested in a high quality tv style movie about this case, watch the 59 minute movie called "Bigger than Enron". There's quite a few pretty famous actors in the film. One is Nadia from American Pie, the girl who likes Jim. The main actor is also popular and is in a very popular show that I forget it's name.
let this sink in... the big banks are 3x's bigger now than during the crash, and 5 out of 8 biggest banks in the USA failed the stress test this summer. Corp Debt(which relies on bonds market to buy back the debt) is at a all time high!!! We have a massive issue about to blow up. And its going to get worse in feb 2019.
If someone one fails their own Stress test and then proceed as if they did not see the results. Two things are for certain Either they are very liquid And waiting for the inevitable act right that will be run into head frist so they can pick up stressed out assets at bargain prices. Or they are extremely stupid with extravagant appetites that is content with riding the temporary wave with their fingers crossed that there will still be available funds for 5 star lawyers to ensure at worst a few months stay in club fed when the wave hits the rocks that is if the preoccupation with the appetites hasn't eroded the lawyers fund. Either way does not spell out win for whoever invest In companies that fail their own Stress test beacuse they are the ones that gone be taken to the cleaners. I guess the old street rule applies as insurance even in high finance. Which was if something that is non tangible is called a product and is made to sound too complex then it actually is and comes with lot's lot's of fine print that probably span's pages that might not be soundest of gambling but if person really must has to scratch itch for gambling with the odds they be better off playing blackjack against a dealer atleast that route there is a slim chance you might walk away with atleast what you came with.
After you look closely to what's happening around you come to realize everything is just an act... people, companies and the state... just a movie playing in real life.
And here we are again, the SEC doing nothing about naked shorting and the greed and corruption gaining ground. Crash 3.0 is going to be one for the history books...
if you look at the sign and compacity of each one of the officers for Lehman Brothers they was in their proper status where they was alleviated for any individual wrongdoing of any sort
The hypocrisy of the law is sometimes impossible to understand particularly in the financial services industry especially when the government and the taxpayer are the insurers of last resort. And Lee is right when he says the financial services contractual opaqueness makes them inscrutable except to the drafters of these instruments . In sum it's like being in the Amazon thickets without a map a compass never mind gps. How could Fuld not know ? Maybe he did or did not understand the papers he was given or relied on the international shell game to deny what was evident. Deutsche bank employees manipulated the LIBOR rate but got caught . Fined. But you know how they think money in hand today is more important than money lost tomorrow. So 26,000 employees were left bereft of resources work and the taint of that association . But the real losers were the tax payers who had to fill the breach of hundreds of billions of dollars . Madoff wasnt enough .
SEC doesn’t want to press the issue. They hired people with little understanding to question the issues. Which is extremely scary. Let’s not forget.. the same issues that caused the crash, mainly bundled securities that have been been manipulated in a way to make them look like safer packages. From what I understand is they changed the name. The same problem is still going on. I hope I am wrong but I fear I might be right.
What many people don’t know is that recessions are normal. They happen every ten years. You can trace this trend all the way back to the Great Depression. However, in 2008, because of Leman and AIG, there was a huge crisis that made every property lose value cause they couldn’t sell cause banks had no money to loan. Apparently this hadn’t happened in 70 years when it was the last Great Depression. Once in a lifetime moments. Unfortunately for me, I was too young to take advantage and it probably won’t happen again till I’m very old. Moral of my comment? Don’t let the media scare you. Recessions are normal and best believe Trump will do anything to prevent it. His presidency depends on it. So bank on it happening in 2020. Side note, idk how wars affect recessions but I will look into it. Me thinks Iran and US will go to war after Trumps re-election.
