We had a server outage, and we're rebuilding the site. Most of the site features won't work. Thank you for your patience.
imc indymedia

Los Angeles Indymedia : Activist News

white themeblack themered themetheme help
About Us Contact Us Calendar Publish RSS
Features
latest news
best of news
syndication
commentary


KILLRADIO

VozMob

ABCF LA

A-Infos Radio

Indymedia On Air

Dope-X-Resistance-LA List

LAAMN List




IMC Network:

Original Cities

www.indymedia.org africa: ambazonia canarias estrecho / madiaq kenya nigeria south africa canada: hamilton london, ontario maritimes montreal ontario ottawa quebec thunder bay vancouver victoria windsor winnipeg east asia: burma jakarta japan korea manila qc europe: abruzzo alacant andorra antwerpen armenia athens austria barcelona belarus belgium belgrade bristol brussels bulgaria calabria croatia cyprus emilia-romagna estrecho / madiaq euskal herria galiza germany grenoble hungary ireland istanbul italy la plana liege liguria lille linksunten lombardia london madrid malta marseille nantes napoli netherlands nice northern england norway oost-vlaanderen paris/Île-de-france patras piemonte poland portugal roma romania russia saint-petersburg scotland sverige switzerland thessaloniki torun toscana toulouse ukraine united kingdom valencia latin america: argentina bolivia chiapas chile chile sur cmi brasil colombia ecuador mexico peru puerto rico qollasuyu rosario santiago tijuana uruguay valparaiso venezuela venezuela oceania: adelaide aotearoa brisbane burma darwin jakarta manila melbourne perth qc sydney south asia: india mumbai united states: arizona arkansas asheville atlanta austin baltimore big muddy binghamton boston buffalo charlottesville chicago cleveland colorado columbus dc hawaii houston hudson mohawk kansas city la madison maine miami michigan milwaukee minneapolis/st. paul new hampshire new jersey new mexico new orleans north carolina north texas nyc oklahoma philadelphia pittsburgh portland richmond rochester rogue valley saint louis san diego san francisco san francisco bay area santa barbara santa cruz, ca sarasota seattle tampa bay tennessee urbana-champaign vermont western mass worcester west asia: armenia beirut israel palestine process: fbi/legal updates mailing lists process & imc docs tech volunteer projects: print radio satellite tv video regions: oceania united states topics: biotech

Surviving Cities

www.indymedia.org africa: canada: quebec east asia: japan europe: athens barcelona belgium bristol brussels cyprus germany grenoble ireland istanbul lille linksunten nantes netherlands norway portugal united kingdom latin america: argentina cmi brasil rosario oceania: aotearoa united states: austin big muddy binghamton boston chicago columbus la michigan nyc portland rochester saint louis san diego san francisco bay area santa cruz, ca tennessee urbana-champaign worcester west asia: palestine process: fbi/legal updates process & imc docs projects: radio satellite tv
printable version - js reader version - view hidden posts - tags and related articles

Wall Street's in Good Hands with Mary Jo White

by Stephen Lendman Sunday, Jan. 27, 2013 at 8:04 AM
l

Wall Street

Wall Street's in Good Hands with Mary Jo White

by Stephen Lendman

On January 24, Obama nominated Mary Jo White as SEC head. "You don't want to mess with Mary Jo," he said. Others have different views. More about her below.

Washington is Wall Street occupied territory. Regulatory oversight is absent. Earlier New Deal reforms are gone.

The Securities and Exchange Act of 1934 followed the Securities Act of 1933. Under the Constitution's interstate commerce clause, it required offers and security sales to be registered. State "blue sky laws" previously governed them.

The 1934 law regulated secondary trading of financial securities. It established the SEC under Section 4 to enforce the new act.

Later came the 1939 Trust Indenture Act, the 1940 Investment Company Act, the same year Investment Advisors Act, Sarbanes-Oxley in 2002, the 2006 Credit Rating Agency Reform Act, and Dodd-Frank in 2010.

SEC regulators long ago abandoned their mandate. The agency was established to enforce federal securities laws, the security industry, the nation's financial and options exchanges, and other electronic securities markets and instruments.

In the 1930s, they were unknown. They include derivatives and other forms of speculation. In principle, SEC is charged with uncovering wrongdoing, assuring investors aren't swindled, and keeping the nation's financial markets free from fraud and other abuses.

For decades, it's been weak-kneed. Under George Bush, it was more facilitator than enforcer. It's a paper tiger. It abandoned the public trust. It operates the same way under Obama. It

• turns a blind eye to fraud and abuse;

• protects Wall Street, not investors;

• neutered its enforcement staff's authority;

• adopted voluntary regulation; and

• lets investment banks hold less reserve capital, as well as freely use leverage speculatively.

Wall Street gets a free hand. Major banks take full advantage. They do what they please. They operate with impunity. They do it the old-fashioned way. They make money by stealing it. Their business model is fraud and grand theft.

They transformed America into an unprecedented money making racket. They function more like a crime family than business.

They manipulate markets. They front-run them. They pump and dump. Doing so artificially inflates security prices.

They profit in up and down markets. They scam investors. They bribe politicians. Their officials infest Washington.

At most, they get occasional wrist slaps. Fines imposed are pocket change. Prosecutions don't follow. Mega-crooks are free to keep stealing. They take full advantage.

Mary Schapiro was SEC head from January 2009 - December 2012. She's a consummate insider. She spent years promoting self-regulation.

She formerly headed the National Association of Securities Dealers' (NASD). She ran the Commodity Futures Trading Commission. Her expertise includes quashing fraud investigations.

She took full advantage in subordinate SEC positions under Reagan, Bush I and II. She did the same for Obama as agency head.

The Wall Street Journal noticed. It said her regulatory record showed she "infrequently pursued tough action against big Wall Street firms."

Expect Mary Jo White to operate the same way. She's a consummate insider. She's considered safe. Why else would Obama choose her? He's beholden to Wall Street. Money power owns him.

On January 24, a Wall Street Journal editorial headlined "Political Regulators." It commented on White's appointment.

Media scoundrels call her a tough prosecutor. She "stood up to terrorists and mobsters." Can she "do the same for Wall Street?"

"(W)e remember cases when she wasn't so tough." The 1996 Clinton-Gore campaign-finance scandal was one of many.

She asked Congress to "back off its probe of the AFL-CIO's Rich Trumka." At issue was compromising her own investigation, she said. It was more whitewash than scrutiny of wrongdoing.

White targeted small players. "None of this bodes well" going forward, said the Journal.

"The media's Obama Protection Club may consider us rude for bringing all this up, but then a little scrutiny might make Ms. White more likely to resist Democrat pressure for politicized law enforcement.”

White is Wall Street's new enabler-in-chief designee. She's the first former prosecutor to head SEC. As US attorney for the Southern District of New York, she prosecuted alleged terrorists and crime bosses. She got Mafia boss John Gotti convicted of murder and racketeering.

Occasionally she targeted small Wall Street players. She didn't lay a glove on big ones. She's a former Nasdaq director.

She currently heads Debevoise & Plimpton's litigation department. It's a New York-based international law firm. It serves corporate clients. Its Wall Street ones include a rogue's gallery of white collar crooks.

JP Morgan Chase, Goldman Sachs, Deutsche Bank, HSBC, UBS and Bank of America among others are represented.

White defended B of A's former head, Ken Lewis. Until stepping down in September 2009, he was Bank of America chairman, president and CEO. He reflects the worst of Wall Street crooks. He's got lots of company.

White's husband, John White, represents an obvious conflict of interest. He formerly headed SEC's corporate finance section. He's now at Cravath, Swaine & Moore. It's a prominent New York law firm. White lobbies against regulation.

It hardly matters. Getting tough on crime isn't Mary Jo's mandate. Too big to fail means too big to jail.

Expect no change on White's watch. She profiteers from revolving door politics. Her government positions got her high-paying private sector jobs. She's part of the corrupt system.

Expect business as usual at SEC. As top regulatory cop, she'll take full advantage. Her predecessors did the same. Whitewashing crime in the suites pays. Lucrative private sector jobs follow government service.

White will be better than ever rewarded when she leaves. She knows the game and plays it. She did it before. She'll do it again. Career prospects depend on it.

Matt Taibbi addressed what goes on. He headlined his Rolling Stone article "Why Isn't Wall Street in Jail?"

Corporate bosses aren't prosecuted. "Nobody goes to jail." Nobody except occasional minor players. "(F)ederal regulators and prosecutors (let) banks and finance companies" get off easy.

Whitewash is policy. A "mountain of evidence indicates that when it comes to Wall Street, the justice system not only sucks at punishing financial criminals, (it's become) a highly effective mechanism for protecting" them.

Taibbi quoted former SEC chief accountant Lynn Turner saying:

"I think you've got a wrong assumption - that we even have a law enforcement agency when it comes to Wall Street."

Open and shut cases are whitewashed. Others are placed in a "deal with later" file. Later never arrives. The most high-profile cases get "gummed up in the works, and high-ranking executives" get off scot-free.

It's standard practice for Wall Street. The Street's biggest crooks aren't touched. They're free to steal again. Crime pays. Regulators cash in.

"The Revolving Door isn't just a footnote in financial law enforcement," said Taibbi. "Over the past decade, more than a dozen high-ranking SEC officials (took) lucrative jobs at Wall Street banks or white-shoe law firms."

Partnerships are worth millions. Banks pay top executives multiples more. "All of this paints a disturbing picture." It reflects a "closed corrupt system."

Powerful interests get their way. Obama's no different from Bush and earlier presidents. He allocated "massive amounts of federal resources" going after the wrong people.

"So there you have it. (Undocumented) immigrants: 393,000. Lying moms: one. Bankers: zero. The math makes sense because the politics are obvious."

Winning elections and profiteering out of office depend on "bang(ing) on the jailable class." Innocent people fill prisons. Others committed misdemeanors too minor to matter.

Steal "a billion" and stay free to steal more. It's the American way. White's job is seeing nothing changes. Accounting Today warned us, saying:

In February 2012, she addressed a New York University School of Law forum. Prosecutors must not "fail to distinguish what is actually criminal and what is just mistaken behavior, what is even reckless risk-taking, and not bow to the frenzy," she said.

At Debevoise & Plimpton, she represented some of Wall Street's worst. She'll do likewise at SEC. She's part of the system. She's safe. She won't disappoint.

Stephen Lendman lives in Chicago and can be reached at lendmanstephen@sbcglobal.net.

His new book is titled "Banker Occupation: Waging Financial War on Humanity."

http://www.claritypress.com/LendmanII.html

Visit his blog site at sjlendman.blogspot.com and listen to cutting-edge discussions with distinguished guests on the Progressive Radio News Hour on the Progressive Radio Network Thursdays at 10AM US Central time and Saturdays and Sundays at noon. All programs are archived for easy listening.

http://www.progressiveradionetwork.com/the-progressive-news-hour

http://www.dailycensored.com/wall-streets-in-good-hands-with-mary-jo-white/

Report this post as:

Local News

Woolsey Fire: Worst News of 2018? J01 12:18AM

Oppose Environmentally-Harmful Development D10 4:03AM

Oppose Environmentally-Harmful Development D10 3:58AM

OUR HOUSE Grief Support Center Presents Night for Hope O30 5:38PM

Marshall Tuck’s racist dog whistle O27 5:01AM

Marshall Tuck’s ethnocentrism contradicts Californian values O27 4:32AM

Contra Costa-Hawkins O25 3:48AM

Debunking Some Anti-Prop 10 Propaganda O12 6:56AM

Why Should California Choose De Leon Over Feinstein? O10 9:55PM

Change Links September 2018 posted S02 10:22PM

More Scandals Rock Southern California Nuke Plant San Onofre A30 11:09PM

Site Outage Friday A30 3:49PM

Change Links August 2018 A14 1:56AM

Setback for Developer of SC Farm Land A12 11:09PM

More problems at Shutdown San Onofre Nuke J29 10:40PM

Change Links 2018 July posted J09 8:27PM

More Pix: "Families Belong Together," Pasadena J02 7:16PM

"Families Belong Together" March, Pasadena J02 7:08PM

Short Report on the Families Belong Together Protest in Los Angeles J30 11:26PM

Summer 2018 National Immigrant Solidarity Network News Alert! J11 6:58AM

Watch the Debate: Excluded Candidates for Governor of California M31 5:20AM

Change Links June 2018 posted M28 7:41AM

More Local News...

Other/Breaking News

Paraphysique de manipulation mentale et sociale J15 9:51AM

The Global Justice Project and Human Survival: We're Badly Off Track J15 5:08AM

The Global Justice Project and Human Survival: We're Badly Off Track J15 5:08AM

The Global Justice Project and Human Survival: We're Badly Off Track J15 5:08AM

Markets as a Fetish, Globalization, and Dissent Management J14 1:03PM

State Debts - The Primal German Fear J13 5:09PM

Sans liberté, sans égalité, sans fraternité J13 8:09AM

From Progressive Neoliberalism to Trump - and Beyond J12 9:22PM

Copper Cures Cancer J11 1:42PM

Steven Taylor, Investor who Evicts J11 9:24AM

Du sectarisme, des sectes, des clans J11 8:10AM

“Animaniacs in Concert!” Starring Voice Legend Rob Paulsen J10 6:34PM

Patrick Kilpatrick discusses and signs Dying for Living J09 11:51PM

SexActs vs Sexuality USA 2018 Invitations to Power Marriages without Affection J09 8:36PM

Changer de mentalité, changer de société J09 9:17AM

Teacher Strike? Time for Labor Studies J09 6:26AM

December 2018 Honduras Coup Update J08 10:12PM

Paraphysique de la désespérance J07 9:38AM

The Unification Church with Rev Moon is in La and Orange Counnties J07 9:07AM

Time to Start Imagineering a Post-Ayatollah Iran J05 10:00PM

L'écomorphisme, du culturel et du temporel J05 10:33AM

Sexual Harassment Charges of Men Suing Women who are accused of Harassing Men are now 10% J05 4:08AM

Stases psychiques et stases sexuelles J04 11:34AM

Paraphysique de la sous-vie J02 9:01AM

Paraphysique de la biomasse mondialisée J01 9:45AM

La mathématisation du monde D31 7:42AM

Refugee other Asylum I.D. reraly granted U.of :ouisiana DEc 29 ,2018 D30 5:32AM

L'inhumanité thermonucléaire D28 10:12AM

More Breaking News...
© 2000-2018 Los Angeles Independent Media Center. Unless otherwise stated by the author, all content is free for non-commercial reuse, reprint, and rebroadcast, on the net and elsewhere. Opinions are those of the contributors and are not necessarily endorsed by the Los Angeles Independent Media Center. Running sf-active v0.9.4 Disclaimer | Privacy