Comments on: SEC’s case against Goldman highlights need for Wall Street reform Thu, 21 Jul 2016 07:57:19 +0000 hourly 1 By: mmcg Fri, 23 Apr 2010 01:53:34 +0000 You have to police money. What you are saying is just not true. The SEC and financial oversight was let go over the last 10-15 years (both political parties responsible) Lacking oversight and enforcement of mis conduct (rating reserves) the mushroom cloud got bigger and bigger. Especially when no one was paying close attention to the explosive growth of the synthetic CDO market. When investment banks realized the profitability of that type of trading, geez, raise capital for a young company, underwrite bonds?? How boring! They then had access to bank assets, and the all time favorite Mortgages!! Securtiize, get you underwriting fee, flip the paper to the Hedge fund, flip it back and let the last one holding the bag loose. As it turns out they were all holding a smelly bag that is now stinking up the federal reserve.Did you ever think the more mortgages that were underwritten, they more they could securitize?? And lastly you have to review trades, and pricing (Madoff??) The principles that were set in the 1930’s and the agencies that were created is what made our markets most admired world wide. Do you think Bankers want to walk away from that money machine and go back to lending?? And on a final note, borrowing cost will naturally go up for interest rates are at 30 year lows, and taxes are naturally going up next year for the tax cuts had an expiration date.

By: jebahoula Thu, 22 Apr 2010 20:56:10 +0000 The media’s fanfare about SEC fraud charges against Goldman Sachs is designed to scare politicians into passing the so-called financial reform bill that is before Congress, which will increase the power of the monopoly banks, reduce competition from financial institutions and ultimately raise borrowing costs to consumers and lower returns to investors.

This show is a smoke and mirrors ploy to pass the Bill.

This Bill will give to the Federal Reserve, a puppet of the huge monopoly banks, including Goldman Sachs, control over their remaining banking competition, what their media calls the “shadow banking system”. This competition is composed of financial institutions, such as, Fidelity, Vanguard, Charles Schwab, American Century, etc… which act like banks with checking accounts, savings, mutual funds, lending and brokerage services.

Contrary to the media hype of a “new” financial order, the recent financial crisis created by the Federal Reserve has eliminated banking competition and kept the “old” financial order in power that has governed since the reign of Abraham Lincoln (1861-1865).

In three years these monopoly banks have bankrupt, bought, or gained control of much of their banking competition, from Lehman Brothers to CIT.

It should be no surprise that the largest monopoly banks left in power are Goldman Sachs, Citibank, J.P. Morgan Chase, Wells Fargo, Bank of America, Mellon Bank of New York and Morgan Stanley.

All, except Bank of America, are part of the “old” financial order that mushroomed into power about 150 years ago during and after Lincoln’s Tax War. Remember, Lincoln declared in his First Inaugural Speech (paragraphs 4, 21 and 32) that he started his war solely to collect his new 40% import tax from Southerners under the Morrill Tariff Act of 1861.

With the passage of his National Bank Act of 1863, Abraham Lincoln, a puppet of Northern banks and industries, re-established Alexander Hamilton’s centralist banking system in the United States, which set the foundation for the present day Federal Reserve System.

Under his First Legal Tender Act of 1862, Lincoln printed worthless paper money displaying images of Alexander Hamilton and Lincoln’s Treasury Secretary Salmon P. Chase (as in Chase Bank), which ultimately destroyed State banking.

Consumers and small businesses will have to lick the boots of the few elitist banks of the “old” financial order to obtain a loan. Investors and savers will have few options in their choices for high yields and returns on their investments.

Right now these monopoly banks are borrowing from the Federal Reserve at 1% and lending to consumers, via credit cards, at up to 30%. Price gouging is always the result of establishing monopolies.