Daily Archives: July 4, 2016

Warren, Warner, Cummings Introduce Legislation to Improve Federal Oversight of Risky Derivatives Trading and to Protect Taxpayers

Sen. Warren have endorsed Hillary Clinton for President and joined her on the campaign trail recently, but, she continues her fights for tough Wall Street reform.

JUN 29, 2016

Fact Sheet
Bill Text

Washington, DC – Today, United States Senators Elizabeth Warren (D-Mass.) and Mark Warner (D-Va.), and Congressman Elijah Cummings (D-Md.), Ranking Member of the House Committee on Oversight and Government Reform, introduced the Derivatives Oversight and Taxpayer Protection Act to strengthen federal oversight of the multi-trillion dollar derivatives market and to ensure that big financial firms – not taxpayers – are on the hook for derivatives losses.  The Financial Crisis Inquiry Commission found that derivatives were at the center of the storm in the 2008 financial crisis.  A glaring lack of federal oversight of derivatives allowed firms to build up massive levels of leverage and risk, setting the stage for the crisis and forcing taxpayers to spend hundreds of billions of dollars on bailouts.

The Dodd-Frank Act sought to fix these problems, but thanks in part to Republican obstruction in Congress and weak rules from the Commodity Futures Trading Commission (CFTC), much more needs to be done to oversee derivatives, close up loopholes in existing rules, and force private firms to bear the full risk of their derivative positions.

“The only way to make sure that derivatives can never lead to a financial crisis and taxpayer bailouts again is to put in place clearer rules and stronger oversight,”Senator Warren said. “Otherwise, big financial firms will be able to rake in billions when things go well, then come back to taxpayers with their hands out when things come crashing down.  That might be just fine for Republicans and their allies on Wall Street, but Democrats are standing together to make sure that never happens again.”

“Reckless derivatives trading at AIG helped precipitate the global financial crisis of 2008 and usher in the Great Recession.  That is why Congress required stricter capital, margin, and clearing requirements for derivatives activities in Dodd-Frank.  This bill builds on our financial reform efforts by improving transparency, closing gaps in regulatory oversight, and giving CFTC resources adequate to accomplish these goals,” said Senator Warner, Ranking Member of the Senate Banking Subcommittee on Securities, Insurance & Investment.

Read more from Senator Warren website. Click here.

Third Ex-Citigroup Currency Trader Wins Unfair Dismissal Suit

  • Robert Hoodless said he was made a scapegoat during FX probe
  • Citigroup spokesman says it stands by its decision to fire him

A fired Citigroup Inc. currency trader, who claimed his bosses made him a scapegoat for the foreign exchange market-manipulation scandal, said he won a ruling that he was unfairly dismissed.

The decision makes Robert Hoodless the third London currency trader to successfully sue Citigroup following his firing. Details of the ruling, including any possible financial award, weren’t disclosed by the trader or the bank.

The lawsuit is one of a spate of wrongful-termination disputes related to currency-exchange manipulation to be heard in London. Banks have fired dozens of traders in the aftermath of regulatory probes in which they have been fined at least $10 billion.

“The East London Employment Tribunal ruled that I was unfairly dismissed from my role,” Hoodless said by e-mail. “I will not be making any further comments at this stage.”

Read on.

Very damaging info for Tony Blair and UK concerning the Iraq war

 

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Tony Blair faces calls for impeachment on release of Chilcot report

Labour and SNP figures consider legal action against former PM to ban him from office over role in Iraq war

Senior figures from Labour and the Scottish National party are considering calls for legal action against Tony Blair if the former prime minister faces severe criticisms from the long-awaited inquiry into the war in Iraq.

A number of MPs led by Alex Salmond are expected to use an ancient law to try to impeach the former prime minister when the Chilcot report comes out on Wednesday.

The law, last used in 1806 when the Tory minister Lord Melville was charged for misappropriating official funds, is seen in Westminster as an alternative form of punishment that could ensure Blair never holds office again.

Triggering the process simply requires an MP to propose a motion and provide supporting evidence as part of a document called the article of impeachment which has no time limit placed upon it. If the impeachment attempt is approved by MPs, the defendant is delivered to Black Rod before a trial.

A simple majority is required to convict, at which point a sentence can be passed which could, in theory, involve Blair being sent to prison. However, MPs have said the attempt will be symbolic and is unlikely to result in imprisonment.

Read on.

More:

Ahead of the #Chilcot report: Complete list of British MPs who voted to invade Iraq

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Iraq — Declaration of War — 18 Mar 2003 at 22:00

The motion voted through by a majority of MPs agreed that the Government “should use all means necessary to ensure the disarmament of Iraq’s weapons of mass destruction”.[1]

This resulted in the United Kingdom joining the United States led invasion of Iraq two days later.[2]

A proposed change to this motion saying that This House “believes that the case for war against Iraq has not yet been established” had just been voted down.[3] A number of MPs voted in one and not the other, or voted inconsistently.[4] Earlier in the year, during the build-up to war, there had been three other votes in favour of the Government policy.[5]

The (unusually long – please scroll down for votes) motion itself read:[6]

Read on.

Wikileaks publishes Clinton war emails

Here we go, Wikileaks did say Clinton emails will be published. We have 4 months left until November election. Will be a very nasty, expensive, and heated political Presidential race.

Here they are from the Wikileaks website. Click here. //platform.twitter.com/widgets.jsThere are more than 1,000 emails from Hillary Clinton’s private server during her time as secretary of State about the Iraq War.

Libor Fixing: Ex-Barclays Traders Found Guilty

Three former Barclays traders have been found guilty of conspiring to fraudulently manipulate global benchmark interest rates.

Jay Merchant, 45, a trader and the most senior of the men on trial, was convicted unanimously at Southwark Crown Court.

Former Libor submitter Jonathan Mathew, 35, and former trader Alex Pabon, a 38-year-old American, were found guilty by a majority verdict after the 10-week trial.

The Serious Fraud Office (SFO) claimed the men were dishonest when they submitted or asked colleagues to submit Libor rates that would benefit trading positions and prejudice the economic interests of others.

Read on.