The Price To Keep Bankers Out Of Jail: $110 Billion And Rising

Tyler Durden's picture

Six years after the greatest financial crisis in modern history, not a single prominent - and bailed out - banker (or frankly any for that matter) has gone to prison. Still, in the great squid pro non-jail quo, regulators and the DOJ have had to be appeased somehow. That "somehow", as has been revealed over the past several years, is with quarter after quarter of massive legal charges, settlements, penalties and so on. Of course, since the banks wouldn't exist in the first place if it wasn't for a multi-trillion taxpayer bailout, they don't mind because the math is quite simple: being converted into a government utility is better than being bankrupt anyday. Also, it is shareholder money, not an actual clawback (oh, the horror).

So what is the total amount of shareholder (and by implication, taxpayer) money that has been spent by the bankers to distract regulators and the "cops" from not jailing a single one of them? According to the following chart from the WSJ, just the six biggest offenders have spent over a whopping $110 billion to keep the government happy and the US prison population in check.

Here, one could add a tangent, that the more money spent on settlements by any given bank, the more in need of a bailout it was in the first place. In which case one dreads to think just how bankrupt Bank of America will be when the next inevitable crisis hits, and how many trillions in taxpayer bailout funds it will need next time around...

Source: WSJ

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101 years and counting's picture

prison population in check?  you mean cemetary population in check.  these bankers would off themselves before every serving a day in jail.  they've never experienced a hard day's work.  they always prefer taking the easy way out.

 

bigdumbnugly's picture
The Price To Keep Bankers Out Of Jail: $110 Billion And Rising

 

so THAT'S what those goddam atm charges are all about....

NoDebt's picture

"A bargain even at twice the price."

max2205's picture

Money laundering in its highest form

I hope they get blowback and soon

LawsofPhysics's picture

You sir are an optimist.  This is the single most important question every single taxpayer should be asking.

Especially after our own former treasury secretary admits (along with many others) that certain "arsonists intentionally destroyed the American financial system, and profited from doing so".

The question is simple, how many of these arsonists have gone bankrupt and to prison?

Everything else at this point is just noise, bla, bla bla bla, name names motherfucker.

"full faith and credit"

tick tock...

firstdivision's picture

Same way Israel holds the world hostage with its nukes.  They demand help from the west, or they launch should a force attack Israel. 

Herd Redirection Committee's picture

I always liked the story of Samson, bringing down the temple with his last bit of strength.

Then I learned it served as justification for Israel's nuclear 'policy'.  Not as big a fan, any more!  :)

doctor10's picture

hmmm-does this include monies paid to certain critical bureaucrat regulators and congressional representatives?

Absalon's picture

Some of them should have gotten the death penalty for the number of lives they destroyed.

Kaiser Sousa's picture

they should all be wiped out...literally.
DEATH TO THE MONEYCHANGERS...

LawsofPhysics's picture

They have been cleared from the temple before, it certainly wouldn't be the first time such action is required.

Da Yooper's picture

AAAAAAAAmen

 

If J6P does what the bankers do

 

he goes to jail

 

BUT the tribal bankers get a pass

 

Sorry but this scam on the tax payers is getting old

 

And at some point a price will be paid

Herd Redirection Committee's picture

Think about it, whats the difference between the USD in your pocket, and a high quality counterfeit?

The difference is ONLY the source.  Meaning:  We have put a LEGAL counterfeiter in charge of the currency!

Unknown Poster's picture

Corzine was railroaded. /s

NoDebt's picture

Speaking of Jon Corzine, guess what he's been up to lately?  Laying low?  No.  Hosting a fundraiser for Hillary Clinton in the Hamptons.  Seriously.

http://politicalticker.blogs.cnn.com/2014/08/07/embattled-jon-corzine-to...

Unknown Poster's picture

He is the poster boy for this corruption.

NoDebt's picture

And Hillary is snuggling right up next to him.  You gotta love that.

JRobby's picture

maybe someday the sheeple will "get it"?

Nah!

Dr. Engali's picture

Fucking sickening. Where's Isis when you need them?

NoDebt's picture

More important, where's the fucking media reporting it?  Maybe I missed the huge story about this in the MSM, but I got clued in by some local radio guy who said something about it this morning on my way in.  I didn't believe it.  I thought Hillary would never be so stupid as to be seen with this guy.  Wrong, wrong and wrong.  She's doing it, she'll get the money and nobody will cover it, so there will never be any blow-back on her.

mtl4's picture

They are too busy trying not to be labeled communists, er, terrorists..........whatever the new McCarthism term du jour might be.

max2205's picture

Seen at Iraqi fair and coming to a fair near you

Deep fried head on a stick

Yum!

Blood Spattered Banner's picture

How brazen.  They aren't even pretending to do their jobs anymore, are they?

NoDebt's picture

You mean the media?  They would say they are, since their job is to be the propoganda arm of the Democratic party.  That's their job security.

youngman's picture

See...money really can buy you love...

FieldingMellish's picture

BoA won't need a bail-out. The depositors will provide the money.

Dr. Engali's picture

They didn't move 53 trillion in derivatives to the bank holding side for nothing.

shitco.in's picture

http://www.federalreserve.gov/newsevents/speech/fischer20140811a.htm

As part of this approach, the United States is preparing a proposal to require systemically important banks to issue bail-inable long-term debt that will enable insolvent banks to recapitalize themselves in resolution without calling on government funding--this cushion is known as a "gone concern" buffer.     

SoilMyselfRotten's picture

Thanks to the Banksters and Belgium so we can keep the lights on

Rainman's picture

I'm sure Hank Paulson estimated a $100B kickback to .gov when the deals were made ... so the banksters are a little over budget. 

Herd Redirection Committee's picture

I looked at a business bank statement the other day, it showed how much interest the account had earned, and how much had been paid in fees.

Interest earned : $1.83

Bank fees for the month:  $30

In a month w/ no transactions! 

JRobby's picture

Hopefully economic war crimes will become a crime if this revolution ever gets some momentum.

Hank will be among the first tried for the crimes. There will be so many. Should be great for cable ratings. Will there still be advertising?

youngman's picture

and I am sure some Swiss bank accounts have increased in value...and that is off the record..not included in these numbers

q99x2's picture

You should include the cost of the DHS, NSA, CIA EPA and basically the cost of everything required to fund the dipshit NWO concept.

nakki's picture

So how does Goldman only pay a "vig" of 900 million? 

NoDebt's picture

Doing 'God's Work' has it's rewards.

JRobby's picture

Hopefully going to HELL

Blood Spattered Banner's picture

GS indirectly paid much more through extensive lobbying and occupying every meaningful office in the Treasury Department. 

mtl4's picture

Nice to have an uncle named Warren isn't it?!

Dr. Engali's picture

It amazes me that Bofa is still around. Not only did they way overpay for Merrill Lynch (which should have gone under), but they also bought Washington mutual during the crisis. The fact that they even exist after those two shitty purchases and the "assets" that came with them just goes to show how much currency the fed is feeding them through the back door.

LawsofPhysics's picture

"They" are a primary dealer, they new that the government and taxpayer would be forced to buy all that junk paper.

Dr. Engali's picture

My bad, the Morgue bought WaMu. Aging and wine does have it's affects.

Amish Hacker's picture

What though youth gave love and roses,

Age still leaves us friends and wine.

                        Thomas Moore

ZeroPoint's picture

They launder Bush family drug cartel money. They are not going anywhere.

americanspirit's picture

I wonder what the cost is of keeping former and present administration (and corporate) war criminals out of jail in the Hague.

The cost in dollars AND lives. 

kchrisc's picture

Imagining the DC US government putting these criminals in jail is like imagining the monkey putting his organ grinder in jail.

An American, not US subject.

numapepi's picture

The problem is that sharholders are always punished for the decisions of management. In a sane world those managers who decided to break the law would be ppunished individually. Whipping boys didn't work in the 18th century and they don't work now.

I have written more on this subject here:

http://incapp.org/blog/?p=1795