Will US Taxpayers have to pony up for investment bank fraudsters?

They may not need to cover it all, they only need to cover actually loses,
All the debt Citigroup wrote off over the last 6 months could actually contribute a cash gain for them.

The reason they wrote the debt off is because of accounting rules that state you need to value company holdings at market value prices, while the value in the market place may fall their bonds are still paying them cash.

 

If the U.S. bond insurance industry faces loses of 5% they will be in deep trouble.

 

Bank of America Asks Congress for a $739 Billion Bank Bailout.

This really sucks if this happens. Why should the tax payer have to bail out banks for participating in a ponzi scheme. Jail is where these bankers should be going - not getting a handout.

http://www.nytimes.com/2008/02/23/b...?_r=2&ref=business&pagewanted=all&oref=slogin

 

Bank of America is proposing a Federal Homeowner Preservation Corporation.

They are talking about a $739 Billion bailout with unemployment at 5%

What is going to happen if either interest rates go up and unempoyment increases? It's going to get bad before it gets worse.

 

I believe they only have to insurance the bond if the whole thing default or a certain percentage not some parts of the bond.

 

NEW York state governor Eliot Spitzer has warned that bond losses on Wall Street and global markets could turn into a "financial tsunami."

 

Cool. Then the President can have us put into shackles, transported by boxcar to the detention centers.

800,000 Americans on a watch list already, with 20,000 more being added each month. Pretty good chance that someone you know, have heard/watched on radio/TV or read is on that list. Woohoo!

Save me some room in the gas chamber shower Bogart!

 

That's not too many. 7 million people are in prison, on probation or on parole

 

Where did you pull 800,000 from?

 

Naomi Wolf or Naomi Klein. I always get them confused.

Btw, she's on the watch list. The TSA goes through her luggage when she flies (without her present or her consent).

I think it's Wolf.

Do you live in a bubble or something? This info is all out there.

 

Goldman, Lehman May Not Have Dodged Credit Crisis

I'm telling you Lehman Bros. and Citigroup are the worst investment banks around.

Excerpt on Citigroup:

No one knows much about these VIEs, and until they come out and say wtf they are doing and how much money they pissed into the wind then we won't know.

added:

Oh and whoever suggested GOOG, is really in for a hurting they are getting their teeth kicked in. The same with their sister Baidu, they are just getting smacked around. These two along with AAPL are pulling the whole tech sector into the dump, and yanking on the NASDAQ hard too.

addition #2:

I can't stand this borderline fraud being committed by these rating agencies. They and gov't officials are keeping these monolines heads above water for now. I'm waiting for the next CNBC headline: "Fitch, Moody's, and S&P invest billions to help bailout monolines", now wouldn't that just be great? These shenanigans are getting out of hand.

 

After Complaints, Econ Data Portal to Stay Open

Looks like they heard our "roar".

 

Thanks for the update smatts. I liked the first comment I saw.

As soon as a Government website wins a Forbes "Best of the Web", they want to close it. Speaks volumes about the bureaucratic mindset of our rulers.