Daily Archives: October 12, 2014

Deutsche Bank Legal Costs May Hit $8.8 Billion: Spiegel

Deutsche Bank AG (DBK)’s provisions for potential legal costs could rise to as much as 7 billion euros ($8.8 billion), Spiegel reported, citing people close to Germany’s largest bank that it didn’t identify.

That would be 30 percent more than what Deutsche Bank has accounted for so far. The Frankfurt-based lender said on July 29 second-quarter reserves for litigation expenses increased 450 million euros from the first quarter to 2.2 billion euros, while contingent liabilities rose to 3.2 billion euros to reflect potential costs from regulatory investigations. It said it couldn’t predict such costs for the rest of the year.

The company’s legal costs, which totaled 3 billion euros last year, are hampering efforts to build capital and increase returns for investors. Deutsche Bank has yet to resolve probes into its role in industrywide attempts to manipulate benchmark interest rates and currency markets and faces lawsuits alleging it didn’t make adequate disclosure of U.S. mortgage-backed securities.

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Exclusive – U.S. regulators press banks for more on auto loan exposure to assess risks

U.S. regulators are asking banks for more detail on their autos financing exposure, as rapid growth in the lending has prompted officials to seek to better assess the risks, according to a person familiar with the matter.

Balances remaining on auto loans have risen by about a third since April 2011, reaching an all-time high of $924.2 billion (575 billion pounds) in August, according to credit reporting bureau Equifax. About a fifth of the loans are subprime.

Banking regulators fear that reckless lending may be at least helping to fuel that growth, and there are early signs that delinquencies are increasing in the sector.

The Consumer Financial Protection Bureau said in September that it is taking steps to oversee auto lenders that have previously been less regulated, and companies like GM Financial and Santander Consumer USA Holdings Inc (>> Santander Consumer USA Holdings Inc) disclosed earlier this year that the Department of Justice is looking into their auto finance practices,

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Elizabeth Warren: Obama sided with Wall Street over people losing their homes

In

an interview with Salon’s Thomas Frank, Massachusetts Senator Elizabeth Warren lashed out President Barack Obama and his administration for repeatedly protecting Wall Street’s interests over those of the American people.

She began, however, on a somewhat conciliatory note, saying that “Democrats have not done all that they should, but at least we’re out there fighting for the right things,” whereas “Mitch McConnell has announced that if he gets the majority in the Senate, his first objective is to repeal healthcare and his second is to roll back the financial reforms, and in particular to target the Consumer Financial Protection Bureau — the one agency that’s out there for American families, the one that has returned more than four billion dollars to families who got cheated by big financial institutions.”

“When I think about the president, for me, it’s about both halves,” Warren continued. “If Barack Obama had not been president of the United States we would not have a Consumer Financial Protection Bureau. Period. I’m completely convinced of that.”

“[H]e was the one who refused to throw the agency under the bus and made sure that his team kept the agency alive and on the table. Now there was a lot of other stuff that also had to happen for it to happen. But if he hadn’t been there, we wouldn’t have gotten the agency.”

And yet, she added, “[a]t the same time, he picked his economic team and when the going got tough, his economic team picked Wall Street.”

“They protected Wall Street. Not families who were losing their homes. Not people who lost their jobs. Not young people who were struggling to get an education. And it happened over and over and over. So I see both of those things and they both matter.”

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Key Figures In CIA-Crack Cocaine Scandal Begin To Come Forward

Huffington Post:

Now, Webb’s bombshell expose is being explored anew in a documentary, “Freeway: Crack in the System,” directed by Marc Levin, which tells the story of “Freeway” Rick Ross, who created a crack empire in LA during the 1980s and is a key figure in Webb’s “Dark Alliance” narrative. The documentary is being released after the major motion picture “Kill The Messenger,” which features Jeremy Renner in the role of Webb and hits theaters on Friday.

Webb’s investigation was published in the summer of 1996 in the San Jose Mercury News. In it, he reported that a drug ring that sold millions of dollars worth of cocaine in Los Angeles was funneling its profits to the CIA’s army in Nicaragua, known as the Contras.

 

This Alabama Judge Has Figured Out How to Dismantle Roe v. Wade

IN 2005, THE WITHERSPOON SCHOOL of Law and Public Policy held a conference in Virginia’s Blue Ridge Mountains. The school’s name was something of a misnomer: Rather than grant JDs, Witherspoon staged seminars and lectures offering lessons in what it summarized as “the comprehensive biblical foundation for our common law and constitutional government.” Its target audience was homeschooled young men. The school itself was a project of Vision Forum, a Texas-based ministry whose founder was also a leader in the Christian Patriarchy movement, which preaches, among other things, that husbands should vote for their wives.

Most sitting judges would go to great pains to avoid such a gathering. But Tom Parker, then a few months into his first term on the Alabama Supreme Court, gladly accepted an invitation to speak at that year’s Witherspoon retreat. Before his election to Alabama’s highest court, Parker had been an aide-de-camp to Chief Justice Roy Moore, whose installation of a granite Ten Commandments monument in the state judiciary building had touched off what became for Alabama both a considerable embarrassment and a genuine constitutional crisis. At Parker’s swearing-in, he made it clear that he had sought the bench to continue his old boss’s spiritual fight.

“The very God of Holy Scriptures, the Creator, is the source of law, life, and liberty,” he declared to an audience that included his eight unsmiling fellow justices.

The atmosphere at Parker’s Witherspoon appearance was far warmer, and his remarks there were even more candid. A DVD of the session shows him gripping the lectern, dressed in a gray suit and blue tie, as he railed against the perceived sins of jurists at every level. “It’s the judges who have legalized abortion and homosexuality … They are shaking the very foundation of our society.” Parker made it clear that he had no intention of letting legal precedent get in his way. “We cannot fall under that trap,” he insisted. “We have to stand for what’s right.” The one thing he most wished for the young men before him was that they find a way to gain positions of influence and turn them to God’s purpose. No opportunity to do so should be shrunk from or wasted.

In the nine years Parker has now served on the court, he has made the most of his opportunities. Child custody disputes, for instance, have made good occasions to expound on the role of religion in parental rights. (“Because God, not the state, has granted parents the authority and responsibility to govern their children, parents should be able to do so unfettered by state interference,” he wrote in one case.) But Parker has been the most creative in his relentless campaign to undermine legal abortion. Again and again, he has taken cases that do not directly concern reproductive rights, or even reproductive issues, and found ways to use them to argue for full legal status for the unborn.

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JPMorgan CEO Jamie Dimon Asks For Help With Data Breaches

Yet, he won’t tell the 83 million customers if any of their information was compromised.

JPMorgan Chase CEO Jamie Dimon offered a grave warning on Friday about future cyberattacks.

Making his first public statement about theenormous data breach that roiled the bank this summer, Dimon said the company would spend $250 million a year to increase security and prevent future breaches,The New York Times reported.

“This is going to be a big deal and there will be a lot of battles,” he said, according to a JPMorgan spokeswoman. “We need a lot of help.”

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How The Media Destroyed The Man Who Outed The CIA Drug Scandal

I remembered this scandal. This is more proof of what the Black community has known and charged all along, that the US government was responsible for the intro and trafficking of drugs (crack cocaine) in the Black community. It is about time that truth from Gary Webb is revealed and not ignored…

WASHINGTON — Douglas Farah was in El Salvador when the San Jose Mercury News broke a major story in the summer of 1996: The Nicaraguan Contras, a confederation of paramilitary rebels sponsored by the CIA, had been funding some of their operations by importing cocaine into the United States. One of their best customers was a man named Freeway Rick — Ricky Donnell Ross, then a Southern California dealer who was running an operation that the Los Angeles Times dubbed “the Wal-Mart of crack dealing.”

“My first thought was, Holy shit! because there’d been so many rumors in the region of this going on,” said Farah 12 years later. He’d grown up in Latin American and covered it for 20 years for The Washington Post. “There had always been these stories floating around about [the Contras] and cocaine. I knew [Contra leader] Adolfo Calero and some of the other folks there, and they were all sleazebags. You wouldn’t read the story and say, ‘Oh my god, these guys would never do that.’ It was more like, ‘Oh, one more dirty thing they were doing.’ So I took it seriously.”

The same would not hold true of most of Farah’s colleagues, either in the newspaper business in general or at the Post in particular. “If you’re talking about our intelligence community tolerating — if not promoting — drugs to pay for black ops, it’s rather an uncomfortable thing to do when you’re an establishment paper like the Post,” Farah told me. “If you were going to be directly rubbing up against the government, they wanted it more solid than it could probably ever be done.”

In the mid- to late ’80s, a number of reports had surfaced that connected the Contras to the cocaine trade. The first was by Associated Press scribes Brian Barger and Robert Parry, who published a story in December 1985 that begins, “Nicaraguan rebels operating in northern Costa Rica have engaged in cocaine trafficking, in part to help finance their war against Nicaragua’s leftist government, according to U.S. investigators and American volunteers who work with the rebels.”

Only a few outlets followed Barger and Parry’s lead, including the San Francisco Examiner and the lefty mag In These Times, which both published similar stories in 1986, and CBS’s “West 57th” TV series, which did a segment in 1987. A Nexis search of the year following Barger and Parry’s revelation turns up a total of only four stories containing the terms “Contras” and “cocaine” — one of them a denial of the accusation from a Contra spokesperson. Stories popped up here and there over the next decade, but many of them make only oblique reference to a couldn’t-possibly-be-true conspiracy theory.

Then came the San Jose Mercury News piece, a 20,000-word three-parter by Pulitzer Prize–winning staffer Gary Webb published under the title “Dark Alliance.” “For the better part of a decade, a San Francisco Bay Area drug ring sold tons of cocaine to the Crips and Bloods street gangs of Los Angeles and funneled millions in drug profits to a Latin American guerrilla army run by the U.S. Central Intelligence Agency, a Mercury News investigation has found,” it begins.

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