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Bernie’s Right. Wall Street’s Business Model Really Is Fraud


#1

Bernie’s Right. Wall Street’s Business Model Really Is Fraud.

Richard Eskow

“I’ve said if the big banks don’t play by the rules, I will break them up.” —Hillary Clinton

Our nation’s largest and most powerful banks have repeatedly engaged in widespread fraud, causing both individual suffering and a recession that millions of Americans are still living through today.


#2

Lockheed Martin's business model is also fraud...keep Americans scared of foreign threats, sell obscenely expensive and unreliable weapons, like the trillion dollar F35. Oh, yes, the F35 that Bernie Sanders defends, which will be based in his district. Yes,that one.


#3

Not sure what Clinton's quote is doing front and center. She most certainly will not break them up. They are BFFs.


#4

"Our nation’s largest and most powerful banks have repeatedly engaged in widespread fraud, causing both individual suffering and a recession that millions of Americans are still living through today."

"They continued to commit the same frauds after the American people rescued them, and after they promised to stop as part of some major settlement agreements. There’s no reason to believe they’ve stopped today, and every reason to believe they haven’t"

And no reason to believe Hillary Clinton will do anything to rein-in banker usury, greed or destructive practices!

Hillarys statement that “I’ve said if the big banks don’t play by the rules, I will break them up.” is typical of her deceit and absurd; the TBTF banks have never played by "the rules"! They have corrupted politicians like Hillary Clinton and her husband to write "the rules"!


#7

Tell it like it is Jerry!


#9

Clinton gives herself cover by saying if they "DON'T PLAY BY THE RULES, I will break them up".

The article ignores the 1,000 plus bankers who did jail time for their roles in the 1980s Savings and Loan Scandal, a boutique event compared to the 2008 meltdown. Two decades of financial industry "deregulation", mostly during the Clinton Administration was mostly DECRIMINALIZATION of fraud.

With fraud decriminalized, only one banker did jail time for causing the 2008 meltdown. With "playing by the rules" including perpetrating fraud, Clinton knows she will always be able to dismiss calls for break up by reminding us that the bankers ARE "playing by the rules".


#10

Obama went one step further and signed Dodd Frank legislation that was written by Wall Street to enable their expansion at the expense of community banks. The 5 too-big-to-fail banks that controlled 25% of US bank assets when they caused the 2008 meltdown will, thanks to Dodd Frank, control 50% of US bank assets by the end of 2016.

Clinton has,in several campaign speeches, cited Dodd Frank as the solution for regulating banks.


#12

Wall Street escapee turned whistleblower Nomi Prins has also written extensively on the criminal culture there.


#13

Warning, Red Herring F-35 troll. This lame red herring has been trotted out by you and the other usual suspects for months now, you deserve the red herring troll award:


#15

Systic ping.


#16

“I’ve said if the big banks don’t play by the rules, I will break them up.” —Hillary Clinton

Seems that the rules are written by Wall Street, while their toadies in Congress approve them and make them law. You can have designer rules that benefit the bankers at no cost to them, as it is our money they are using for the purpose. When the 1% of Wall Street want something, any money they spend on that endeavor will return many times over back to them.


#17

Yes, it is definitely worth reading.


#18

She lost me at "IF". Bernie has the gumption to say that they "are" and that they need to be divested. When Hillary Clinton says " ...IF the banks don't play by the rules..." it's clear she' not been paying attention or seeks to help them continue on with their manipulations. I can imagine that should the big banks be broken up into smaller bite size pieces under a Clinton administration... it will be at a time and manner of their choosing and which allows them even greater freedom to manipulate.

"Too Big To Fail" is really quite a misnomer; they DID fail. They failed the public and the taxpayers; those whom they were given a charter to operate.by and serve the interests of . They just weren't allowed to suffer the consequences of their failure --- and that alone was an even worse crime.


#19

"Rule #1 is “win at any cost. As long as they can commit fraud without suffering personal consequences, fraud will be the business model for Wall Street."

Unfortunately, even their consequences when applied has them still making out like bandits. They calculate this. When caught red handed and dead to rights... the "fine" of 20 Billion doesn't discourage them one bit when the "fraud" nets them 70 Billion. It's clearly just a business decision which is a win-win situation even when they lose. When they're fined, excuse the expression, they're laughing all the way to the BANK.

Sadly, "fraud" is the business model of many big businesses today. The business model that we have allowed to develop is psychopathic in nature, putting wealth over health, life, and the future of society and the planet. When a corporation's realization that their faulty product or a part of their product WILL cause deaths (limited life spans, destruction of the environment, etc) they will weigh out the cost of that loss of life up against the cost to redesign or even replace a $20 part to make it safe. If the cost is greater than the fines or law suits for loss of life...they believe they have a "fiduciary responsibility" to shareholders (and their BONUSES) to continue regardless of the disastrous consequences. With full knowledge that a mining or drilling process will cause the deaths of a hundred nearby innocent residents and contaminate the surrounding environment for decades or even centuries to come, a corporation will weigh the expenses of such a disaster up against what they may stand to gain in profits --- IF they get caught, and IF they can't pay the right politicians. This is insanity, yet it's what we allow to be called "business". Civilization is eventually doomed with this psychopathic business model.


#20

Holy Shit.


#22

Win is the 'American' way.
Participate is the human way.


#23

Agreed, but the roots of the fraud model are far deeper than "the business model for Wall Street" or "the business model of many big businesses today."

The histories of enclosure, "discovery," colonialism, and their associated despoilation, slavery and genocide, make up key components of the DNA of the modern corporate model. The modern corporation was invented for colonialist purposes (British East India Company, Hudson's Bay Company, etc.).

Totally agree with what you wrote, just want to emphasize that "decolonizing" the modern economy, and instituting models and systems based on genuine accountability rather than based on looting and fraud (with whole-systems accounting to replace the narrow financial accounting that now rules), is deep and ultimately revolutionary work.


#24

Exactly. "If they don't play by the rules... let's revisit those rules."


#25

This is exactly what I was thinking, it is part of how she addresses many things, it stays vague, she sounds strong, and it is meaningless. She said she went and gave them a talking-to, well, even if that DID happen she was ineffectual. (And I highly doubt that it happened, let's see those speeches for what things she really said to them)


#26

Personally, I think "the profits justify the means" would be a more accurate phrase than "win at any cost".