Failing to Prosecute Wall Street Fraud Is Extending Our Economic Problems

George Washington's picture

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SwingForce's picture

When it comes time to actually do something about this problem, maybe Julian Assange can help.

RunningMan's picture

I think this post does a very nice job articulating the nature of the crisis we CURRENTLY face. All our resident bulls who post are opining on the direction of the market, and to a large extent they have been right. What they are missing is the fact, that many of us, myself included, do not believe that the equities markets are reflective of true value. We don't trust the firms that are involved in all of the behind the scenes activities, from market makers to the banks manufacturing ETFs or collateral for securities. The liquidity crisis is over. Now we have a crisis of confidence, that quite honestly is the true bear market for America. The only things of value that people can *trust* is what we can see and touch. Our relationships with each other have been weakened by our technological advances (you think your online social networks are really your friends? think again).

The malaise that grips this country is bad, and only going to get worse. That is our Greatest Depression.

jus_lite_reading's picture

Let's be honest: Bernie Made-off was the sacrificial lamb for the sins of the entire ponzi- from the bottom feeding market makers to the Whore Street CEO's to the Capital Hill puppets. What the Fed is doing is nothing short of a ponzi. What our ENTIRE SOCIAL SECURITY SYSTEM is, is nothing short of a ponzi. And the sheeple, knowing or unknowingly perpetuate the system that is designed to rob them, by using credit cards, keeping CASH in corrupt banks, buying things you don't need, paying points on your mortgage (yes, you can get out of that), not asking for the bank to show you the note, etc etc etc. The list is endless. Why? Because everything we do, somehow, somewhere along the chain, a bank is profiting from your demise.


It's time to shift the tables.

TexDenim's picture

The situation today is reminiscent of the state of affairs just prior to FDR's appointment of Joseph P. Kennedy to head the new SEC. Wall Street has become an unregulated Wild West where frontier justice holds. You can get away with whatever you have the balls to get away with. That can't last. We're about to get a new kind of SEC that will make the old SEC seem like a college campus police compared to a New York City SWAT team. Things are gonna change.

anony's picture

Unlike your lubricious avatar, your take on the SEC is a way wrong.

The only thing that will change is the 'carpet and the drapes'.

The structure itself will never be anything other than a license for the top 2% to maintain and secure their place in the hierarchy for the nest 3,000 years.

Noto bene: nothing important for the middle class will change until several dozen at the top of the financial food chain become suddenly extinct, with extreme prejudice. 

anony's picture

"OUR" problems?

I don't think Goddamn Sucks, CITI, Merrill and the other primaries view the issue as a problem.  For them, the Lord Blankfeinds, Dimons, Finks, Genslers and the rest it was and is the finest opportunity ever created to become instantly wealthy for 3,000 year and far beyond the reach of the rest of us mere mortals.

We do live in at least two different worlds.


Burticus's picture

When there is no enforcement, there is no law, forcing The People to resort to whatever means are necessary to protect themselves from the violent abuse of others.  Our founding fathers accepted this reality:


If the representatives of the people betray their constituents, there is no recourse left but in the exertion of that original right of self-defense which is paramount to all positive forms of government. - Alexander Hamilton

A free people ought not only to be armed and disciplined, but they should have sufficient arms and ammunition to maintain a status of independence from any who might attempt to abuse them, which would include their own government. - George Washington

The strongest reason for the people to retain their right to keep and bear arms is as a last resort to protect themselves against tyranny in government. - Thomas Jefferson

A people armed and free forms a barrier against the enterprises of ambition and is a bulwark for the nation against foreign invasion and domestic oppression. - James Madison

The very atmosphere of firearms anywhere and everywhere restrains evil interference; they deserve a place of honor with all that's good. - George Washington

Firearms are second only to the Constitution in importance; they are the peoples' liberty's teeth. - George Washington

Guard with jealous attention the public liberty. Suspect everyone who approaches that jewel. Unfortunately, nothing will preserve it but downright force. Whenever you give up that force, you are ruined. - Patrick Henry

Coldfire's picture

The United States government is beyond redemption. Time to move on.

tony bonn's picture

it's articles like this which cause me to call for a third term for george washington.

in addition to the uncertainty and paralysis which legalized control fraud brings to the economy there is one other plague which most analysts overlook - and that is removal of unintelligent people from power.

many are intimidated by the powers that be thinking that the credentials they sport are signs of advanced intelligence. that is simply not the case. stupid and inadequate people resort to crime to obtain what they cannot obtain legally, morally, and ethically. greed is NOT good.

prosecution of these substandard holes would purge the world of incompetent leaders and that includes frauds like alan greedscam....anyone who quotes him for anything but a butt of jokes needs his head examined. he is clueless and a fraudster of the first order.

and where does the fraud start? it starts in the homes and schools....i was aghast when i heard a student in one of my fucktarded classes express the view that anything goes in business...and this wasn't even a greedy business class.

i can't remember the name of the blithering asshole who ran indymac into the ground but he also did the same to a california s&l during the 1980s/90s....and the criminal keating 5 should be rotting in jail today but the bush crime syndicate got them out of trouble so that they could return to spread more financial terrorism...

prosecutions must occur...however if they don't the system will rot and collapse to the point where the control fraudsters are removed and replaced by those who will prosecute. but by then things will be even more ugly than they are now.


Mark Medinnus's picture

Washington, who set a poor precedent during the Whiskey Rebellion, was Hamilton's principal enabler.  To me, a third Washington term would have been neither deserved nor desirable. 

UP4Liberty's picture


Thanks for the excellent post!  That sinking feeling I've had since I was a teenager has been continuously reinforced by the antics of these dastardly rapscallions...

Those responsible for this mess really should go to prison...

anonnn's picture

All faud is lack of transparency, yet attempting to remedy transparency will not preempt new fraud, because there is no penalty for fraud.

If you were looking for a remedy for fraud, and found heads on poles, that will do it. 

Not other fraudsters, aka accountants, czars, watchdogs, notary publics.

Only real examples, loud, visible and timely. 

[BMadoff not timely and no threat. Justice delayed was justice denied. Plea deal=no prosecution=no transparency= no justice effect.]

Ruth's picture

Excellent, could not agree more, friggin round up time!

I Am The Unknown Comic's picture

ahhh...if only that's what the FEMA camps were really being built for..."bankster residence centers" would be a dream, sweetheart.....

laughing_swordfish's picture


Guantanamo has been kept open to be the new "Financial Crimes Detention Center"

The drumhead trials will take place there.

They will then be brought back to the US to be guillotined or hung on the National Mall

<sarcasm off>

Seasmoke's picture

after hearing Harry Markopolos speak of how for 10 years he handed the SEC Madoffs ponzi scam on a silver platter and nothing was done , just convinced me what i was thinking all along was true, the whole thing is fixed ......and nothing has made me change my mind in the 2 years since

greenewave's picture

To find out more about the Imminent Collapse of the U.S. Economy, watch this video "PUMP AND DUMP HORROR SHOW, END OF U.S. EMPIRE PONZI SCHEME" at (

by Anonymous

This feels like late summer 2008, when the Dow went like a rocket from 10000 to 14000 within a few months and we all know how that ended. I'm all cash now because I'm terrified by what is going on. I think we are headed for a huge CRASH sometime in 2011 or 2012. This time the Gov is so much in debt that it can do nothing and we will slide into the Greatest of Depressions.

revenue_anticipation_believer's picture


.yes, it IS the end of the World for some....but nothing like the worl that MOST people lived in....THIS TIME is the best of times, STILL, as compared to REAL POVERTY,  REAL MISERY....


dthe World is going thru a Political/Economic paradigm shift, 'Creative Destruction" as Schumpter called it....the 1930's was ALSO such a time, with a technology-demand-pusher at the end NAMELY WORLD WAR 2.....


this TIME 2010 is a time of rebirth, and death at an accelerated rate, AND PERMANENT SECULAR CHANGES....i mean, Detroit...burned out DEAD....permanent....cities die, companies die, countrys die/degenerate...




In July 1942...USA stock market was at a low point, still Depression of 1938 priced...but in THAT JULY was the Battle of Midway...seemed to some just another battle...IT WAS DECISIVE, for those who KNEW what it THAT TIME, meant that JAPAN had not a was only a matter of time..and the theme was, Europe FIRST, then the Far East...hence the time delaying Island hopping of Macarthur...1942-1944 culminating in Okinawa...early 1945..


from July 1942 onward, the stock market began a very very long SECULAR rise still continued, really....those 1930's technical stocks - some of them went up 100x in 25 years thereafter...






windcatcher's picture

“Ben Shalom Bernanke is wanted for violating the United States Constitution, committing acts of financial terrorism and crimes against humanity. As a leading member of the Global Banking Cartel, he is considered a highly dangerous enemy combatant. Citizens of the United States hereby demand that he be properly detained under the laws and customs of war.”

One secret recently divulged by the Fed is the corrupt and unconstitutional 12.3 trillion world bankster bailout (taxpayer debt). The 700 billion bankster bailout was propagandized (public lied to). What the Main Stream Media didn’t tell you is that the bailout was a rolling bankster bailout with allotments of 700 billion given out at any one time! There are trillions more that is secretly spent that the Fed is not telling us about.

Were Dead! Audit the Federal Reserve Central Bank!


Christobevii3's picture

Until they put mark to market accounting and stop doing make believe I will not touch a financial.  I'd rather sleep at night in hard assets and something boring like exxon mobil in resources that is low debt.  


Mark to model is about as accurate as the old cooks buying happy meals because beanie babies will be worth something.

williambanzai7's picture

"We should all listen very very carefully to what Alan GreenNuts has to say about fraud, right Brooksley?"


Delmar's picture

Happy Belated Birthday to the Ben Bernank.

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