Daily Archives: April 27, 2014

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From Outside or Inside, the Deck Looks Stacked

From Outside or Inside, the Deck Looks Stacked

“The game is rigged and the American people know that. They get it right down to their toes.”

That’s Elizabeth Warren talking, the former consumer advocate and law school professor and now a Democratic senator from Massachusetts. I interviewed her about her new memoir, “A Fighting Chance,” in which she discusses one of America’s biggest challenges: how to level the playing field so that Main Street doesn’t always come second to Wall Street.

Although the book recounts Ms. Warren’s childhood and formative years as a law professor, mother and dog lover, it also examines in considerable detail the government’s deeply inequitable response to the financial crisis of 2008.

Ms. Warren was on the scene for the aftermath of that mess, when she became the chairwoman of the Congressional Oversight Panel for the Troubled Asset Relief Program, which carried out one of the government’s major bailout deals. In her retelling, we watch as the banks that caused the crisis receive special treatment and costly rescues while troubled homeowners get little or nothing.

The Congressional Oversight Panel, she writes, “couldn’t change a system that seemed hellbent on protecting the big guys and leaving everyone else by the side of the road.” About President Obama, she writes, “The president chose his team, and when there was only so much time and so much money to go around, the president’s team chose Wall Street.”

“A Fighting Chance” is the latest in a line of books by participants in the government’s response to the financial crisis. Like “Bailout” by Neil Barofsky, former special inspector general of TARP, and “Bull by the Horns”by Sheila C. Bair, former chairwoman of the Federal Deposit Insurance Corporation, Ms. Warren’s book describes the troubling patterns and practices of high-level Washington.

A telling anecdote involves a dinner that Ms. Warren had with Lawrence H. Summers, then the director of the National Economic Council and a top economic adviser to President Obama. The dinner took place in the spring of 2009, after the oversight panel had produced its third report, concluding that American taxpayers were at far greater risk to losses in TARP than the Treasury had let on.

After dinner, “Larry leaned back in his chair and offered me some advice,” Ms. Warren writes. “I had a choice. I could be an insider or I could be an outsider. Outsiders can say whatever they want. But people on the inside don’t listen to them. Insiders, however, get lots of access and a chance to push their ideas. People — powerful people — listen to what they have to say. But insiders also understand one unbreakable rule: They don’t criticize other insiders.

“I had been warned,” Ms. Warren concluded.

A spokeswoman for Mr. Summers did not respond to a request for comment.

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US Prosecutors take forex probe to London

US Prosecutors take forex probe to London

US criminal prosecutors have flown to London to question individuals as part of their probe into the alleged rigging of foreign exchange rates in a sign that the stakes are getting higher for the traders involved in the sprawling probe.

The Department of Justice, in its first significant move since announcing in October that it would investigate alleged manipulation of the $5.3tn forex market, invited several UK-based currency traders “on the periphery” of the investigation to attend voluntary interviews in London rather than the US, according to three people familiar with the department’s tactics. The UK financial regulator also requested attending the interviews.

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Federal Judge in New York puts a halt to a foreclosure action in New Jersey

Federal Judge in New York puts a halt to a foreclosure action in New Jersey

This week, Federal Bankruptcy Judge Robert Grossman issued an order declaring a foreclosure action commenced in another state against a debtor and his wholly owned corporation void. This order supersedes a decision in a New Jersey foreclosure case where the creditor was permitted to move forward with their case in the face of violations of Federal law and New Jersey statutes that prohibit a foreign unregistered corporation from commencing and maintaining a lawsuit.

The language in the order was clear and unequivocal; Judge Grossman’s order stated: ‘ORDERED, that the creditor’s commencement of the foreclosure action in the Superior Court of New Jersey, Chancery Division of Hudson County under Docket No. F-045436-13 is declared void; and it is further ORDERED, that the creditor, Prime Properties USA 2011, LLC is hereby directed to discontinue the state court foreclosure action commenced in the Superior Court of New Jersey, Chancery Division of Hudson County under Docket No. F-045436-13, within 10 days of the issuance of this order.

The Judges order makes it clear that any action taken against a debtor or property of the bankruptcy estate after the filing of a bankruptcy petition is quite simply void ab intio, which is a Latin term meaning ‘to be treated as invalid from the outset’.

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Wells Fargo — Hey Porn Stars, Bring Your Hard-Earned Money to Us!

Wells Fargo — Hey Porn Stars, Bring Your Hard-Earned Money to Us!

lol. It’s amazing with the banksters. Wells Fargo is welcoming the porn industry customers with open arms now that JP Morgan Chase closed porn stars’ accounts. It’s all about the money for the banksters.

Wells Fargo is opening its doors to all the porn stars who claim Chase closed their accounts simply because of how they make a buck. 

As TMZ previously reported, several porn stars — including Layton Benton — say Chase is closing down their accounts with no warning because of some stereotype that they are irresponsible and therefore bad risks.

But Wells Fargo is welcoming the skin flick crew with open arms — in fact, they’re straight up turned on by the idea of taking on the porn stars as clients. 

A Wells Fargo rep tells us, “Of course we encourage these industry workers to come to us with their business and we will gladly help them.”

Read more: http://www.tmz.com/2014/04/26/chase-bank-porn-bank-accounts-wells-fargo/#ixzz302sZxZTP