The anger directed at Wall Street in the wake of the financial crisis may seem like a distant memory, but the financial industry is again in the hot seat thanks to the surprising stamina of Bernie Sanders’ presidential campaign. The Vermont senator’s populism is making its way into the talking points of Democratic and Republican candidates alike, which means the 1 percent could be a target regardless of who winds up in the White House.
“I think at first people were surprised at how much of a challenge Bernie Sanders was to Hillary Clinton, but then you think back about the days of Occupy Wall Street and you realize there’s still a lot of anger festering and a lot of people still haven’t participated in the economic recovery,” said Mitchell Goldberg, president of ClientFirst Strategy, Inc., an investment advisory firm.
“You definitely get a sense of dread… he’s really going after Wall Street,” said Sam Hamadeh, CEO of PrivCo, a company that researches financial information on private companies.
While most financial professionals initially dismissed Sanders as a serious candidate, they now believe his candidacy will have a lingering effect on public sentiment on topics like taxes and regulations.
A group of victims who lost family or were injured in two US embassy bombings in Africa are suing BNP Paribas for $2.4 billion, alleging the French bank helped finance the terrorist attacks by doing business with blacklisted nations.
The suit, filed in Washington federal court late Wednesday, is the first to target a global bank that has been penalized for violating US economic sanctions.
In June 2014, BNP paid a record $9 billion fine for helping clients dodge sanctions on Iran, Sudan and other rogue countries under a settlement with the Justice Department and New York’s Department of Financial Services.
Bank of America has paid more than $2.1 billion in consumer relief in the second quarter, making strides in paying the mortgage crisis-related penalties imposed by the Justice Department, an independent monitor announced Tuesday.
Eric Green, the settlement monitor, has conditionally approved a cumulative credit to the bank worth $3.3 billion, which is about half of what Bank of America owes in consumer relief penalties tied to the August 2014 settlement over the sale of troubled mortgage-backed securities.
The $1.6 trillion-asset company had agreed to pay a total of $16.65 billion in consumer relief and fines — the largest civil settlement between the government and a U.S. company at the time.
Deutsche Bank AG agreed on Wednesday to pay $258 million to New York and U.S. banking regulators for violating U.S. sanctions by handling restricted transactions involving Iran, Libya, Syria and other countries.
New York’s top financial regulator said Wednesday it would levy a $200 million penalty on the German lender and require it to fire six employees allegedly involved in the transactions. Deutsche Bank also agreed to pay $58 million to the U.S. Federal Reserve to resolve similar allegations.
Blankfein.. Doing “God’s work”….
Goldman Sachs is having a rough week on the government-relations front.
The Wall Street powerhouse acknowledged Tuesday it is under investigation for possible manipulation of the $13 trillion US Treasurys market, adding to a laundry list of federal and state probes.
The disclosure, made in a regulatory filing, marks the first time that any one of the 22 primary dealer banks has confirmed the Treasury probe, first reported by The Post.
While the filing doesn’t specify which government agencies are investigating the bank, Goldman revealed that “when-issued” trading of securities — promising to sell securities once they’re available — is also being looked at by regulators.
And the US should follow Iceland’s league, but that will not happen because Congress and government are in bed with Wall Street banks.
Keith Brown MSP called for prison sentences for financial services crimes
MARKET RIGGING, FRAUD, AND IRRESPONSIBLE LENDING PRACTICES of bankers in the UK financial services sector should have led to imprisonment of those responsible, according to Keith Brown MSP a Scottish Government cabinet secretary.
Brown, considering the disparity of response between the £500bn banking bailout and lack of support for the ailing steel industry, said financiers had been responsible for “huge crimes” but hadn’t faced appropriate punishment from the legal system.
Speaking on BBC Question Time, broadcast from Edinburgh, Brown said: “Iceland jailed the bankers when they found they were corrupt. We should have done the same thing.”
Capital New York:
ALBANY — The state’s Department of Financial Services is once again changing personnel after acting superintendent Anthony Albanese resigned from his post last week, two people briefed on the matter told POLITICO New York.
Albanese has been at the helm of the regulatory agency — which was created in 2011 after the merger of the state’s banking and insurance departments — since Ben Lawskystepped down in June. Gov. Andrew Cuomo and his aides have been searching for a permanent successor to Lawsky, at one point considering litigator Sean Coffey to fill the slot.
In his short tenure, Albanese issued the first licenses for virtual currency firms. His resignation also comes two months after George Haggerty, the top Cuomo aide for financial services, left the administration.