All Links Will Open In New Window
Bankers have a history of committing fraud, especially over the past decade. Yet not one top executive-level banker has been personally punished. In fact, none have even lost their job. They just dip into the banks' coffers for a "get-out-of-jail-free" card (multi-million / multi-billion dollar check drawn on the bank) and present it to the government. Then it's back to business as usual.
Not until we make the punishment strong enough for those in the No. 1 executive position at our nations' banks will this kind of bank robbery cease. When a John Stumpf (Wells Fargo), Dick Kovacevich (Wells Fargo), Lloyd Blankfein (Goldman Sachs), Henry Paulson (Goldman Sachs), Brian Moynihan (BofA), Ken Lewis (BofA), Vikram Pandit (Citigroup), Jamie Dimon (JP Morgan), John Mack (Morgan Stanley) or John Thain (Merrill Lunch) is sentenced to a lengthy jail sentence along with an extremely large personal fine, things will begin to change very quickly.
Our Governments' Attitude:
- State AGs: All The Banks Committed Major Crimes, But We're Going To Settle Anyway
- Obama's SEC Asks Big Banks To Sign 'Never-Do-It-Again' Pledges, After Banks Repeatedly Broke Past Promises
Wall Street banks made a bundle on securitized subprime mortgages until the bubble began to burst in 2007 inflicting devastating harm on average people around the world. Yet, despite government rhetoric to the contrary, the key culprits have escaped punishment.
The "Punishments" for the Crimes:
- Record fines: 'New normal' for banking business?
- HSBC pays out a record $1.92 billion to U.S. authorities to settle money laundering accusations -- activities which have allegedly occurred with drug cartels in Mexico and terror-linked groups in Saudi Arabia.
- Standard Chartered was levied $667 million for violating U.S. sanctions on transactions with Iran, Burma, Libya and Sudan.
- ING Group was charged for covering up fund transfers in violation of U.S. sanctions against Cuba and Iran: $619 million.
- Swiss banking giant Credit Suisse was penalized for allowing clients in Iran, Libya, Sudan, Myanmar and Cuba to conduct financial transactions: $536 million.
- Barclays Banking Group faced the fine for rigging the Californian electricity market in November 2012: $470 million.
- Barclays was charged for manipulating bank Libor rates in June 2012: $450 million.
- Allowing Iranian and Sudanese clients access to the U.S. banking system cost Lloyds TSB Group the hefty sum in January 2009: $350 million.
- Bank of America was fined in February 2012 for charging discriminatory lending rates to African American and Latino borrowers: $335 million.
- Barclays was fined earlier in August 2010 for allowing client payments from Cuba and Sudan: $298 million.
- JPMorgan Chase was levied for problems in its mortgage servicing business: $275 million.
- The Royal Bank of Scotland was forced to pay the amount in June 2012 for manipulating bank Libor rates: $233 million.
- Ally Financial, based at the Renaissance Center in Detroit, Michigan, was also charged in February 2012 for problems in mortgage servicing business: $207 million.
Oh, WOW! The SEC is now demanding that companies admit wrongdoing. Can we now simply demand that armed bank robbers "admit wrongdoing", then let them walk free?!?