Comments on: A tale of two SEC cases http://blogs.reuters.com/bethany-mclean/2012/01/17/a-tale-of-two-sec-cases/ Wed, 22 May 2013 08:41:00 +0000 hourly 1 http://wordpress.org/?v=3.4.2 By: Bob9999 http://blogs.reuters.com/bethany-mclean/2012/01/17/a-tale-of-two-sec-cases/#comment-121 Bob9999 Thu, 19 Jan 2012 20:45:59 +0000 http://blogs.reuters.com/bethany-mclean/?p=41#comment-121 The box on the Reuters front page asks: "Why is the SEC throwing the book at former Fannie and Freddie executives for misstating their companies' subprime exposure, but letting Citigroup officials off with only a slap on the wrist for doing the same thing?" Answer: In government enforcement decisions involving economic regulation, it's just about always the small fish that get fried. The box on the Reuters front page asks: “Why is the SEC throwing the book at former Fannie and Freddie executives for misstating their companies’ subprime exposure, but letting Citigroup officials off with only a slap on the wrist for doing the same thing?”

Answer: In government enforcement decisions involving economic regulation, it’s just about always the small fish that get fried.

]]> By: george7999 http://blogs.reuters.com/bethany-mclean/2012/01/17/a-tale-of-two-sec-cases/#comment-120 george7999 Thu, 19 Jan 2012 19:50:12 +0000 http://blogs.reuters.com/bethany-mclean/?p=41#comment-120 It seems like the only executive the SEC sent to prison was Martha Stewart. Really? All she had to do is send a muffin basket to the SEC officials and she would have gotten off? It seems like the only executive the SEC sent to prison was Martha Stewart. Really? All she had to do is send a muffin basket to the SEC officials and she would have gotten off?

]]> By: lhathaway http://blogs.reuters.com/bethany-mclean/2012/01/17/a-tale-of-two-sec-cases/#comment-118 lhathaway Thu, 19 Jan 2012 16:55:29 +0000 http://blogs.reuters.com/bethany-mclean/?p=41#comment-118 Great article as usual. Why indeed are Fannie and Freddie taking a beating, except that it's fuel for the Republican agenda to dismantle government. As though they were the only ones out there raping the economy. If Wall Street had not been so eager to buy up the securities Fannie and Freddie were producing they would not have marketed them. Another good reason for the disparity in sentencing is that politicians don't have the guts to go after the big money. As you say, no one is going to stand up for Fannie and Freddie right now, not even Newt. But who among our Congressional leaders will take a stand against the big money on Wall Street? That is biting the hand that is feeding them and they know it will cost them their job come the next election. Great article as usual. Why indeed are Fannie and Freddie taking a beating, except that it’s fuel for the Republican agenda to dismantle government. As though they were the only ones out there raping the economy. If Wall Street had not been so eager to buy up the securities Fannie and Freddie were producing they would not have marketed them. Another good reason for the disparity in sentencing is that politicians don’t have the guts to go after the big money. As you say, no one is going to stand up for Fannie and Freddie right now, not even Newt. But who among our Congressional leaders will take a stand against the big money on Wall Street? That is biting the hand that is feeding them and they know it will cost them their job come the next election.

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