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Financial News Stories
Excerpts of Key Financial News Stories in Major Media


Below are highly revealing excerpts of important banking and finance news stories reported in the media that suggest a major cover-up. Links are provided to the full stories on their major media websites. If any link fails to function, read this webpage. These banking and finance news stories are listed by date posted to this webpage. You can explore the same articles listed by order of importance or by article date. By choosing to educate ourselves on these important issues and to spread the word, we can and will build a brighter future.

Note: This comprehensive list of banking and finance news stories is usually updated once a week. Explore our full index to revealing excerpts of key major media news stories on several dozen engaging topics. And don't miss amazing excerpts from 20 of the most revealing news articles ever published.


Extreme Vetting, But Not for Banks
2017-02-03, Rolling Stone
Posted: 2017-02-13 17:36:31
http://www.rollingstone.com/politics/features/extreme-vetting-but-not-for-ban...

Donald Trump, the man who positioned himself as the common man's shield against Wall Street, signed a series of orders today calling for reviews or rollbacks of financial regulations. Before he ordered a review of both the Dodd-Frank Act and the fiduciary rule requiring investment advisors to act in their clients' interests, [Trump met] with leading CEOs, including JPMorgan's Jamie Dimon, Blackstone's Steve Schwarzman, and BlackRock's Larry Fink. Former Goldman honcho Gary Cohn [is] Trump's chief economic advisor. It would be hard to put together a group of people less sympathetic to the non-wealthy. The two primary disasters in American history this century ... have been 9/11 and the 2008 financial crisis, which cost 8.7 million people their jobs and may have destroyed as much as 45 percent of the world's wealth. The response to 9/11 we know: major military actions all over the world, plus a radical reshaping of our legal structure, with voters embracing warrantless surveillance, a suspension of habeas corpus, even torture. But the crisis response? Basically, we gave trillions of dollars to bail out the very actors who caused the mess. Now ... we've triumphantly put those same actors back in charge. These egomaniacal Wall Street titans want ... to get rid of the fiduciary rule, because they don't think it's anyone's business if they choose to bet against their clients (as Cohn's Goldman famously did), or overcharge them, or otherwise screw them.

Note: For more along these lines, see concise summaries of deeply revealing news articles about corruption in government and in the financial industry.


Trump Takes Aim At Dodd-Frank, Investor Protections Rule In Executive Action
2017-02-03, NPR
Posted: 2017-02-06 08:30:01
http://www.npr.org/2017/02/03/513224023/trump-to-take-aim-at-dodd-frank-inves...

Trump Takes Aim At Dodd-Frank, Investor Protections Rule In Executive Action
February 3, 2017, NPR
http://www.npr.org/2017/02/03/513224023/trump-to-take-aim-at-dodd-frank-investor...

President Trump signed two directives on Friday, ordering a review of financial industry regulations known as Dodd-Frank and halting implementation of a rule that requires financial advisers to act in the best interests of their clients, according to a senior administration official who briefed reporters on condition of anonymity. Trump himself made his intentions clear. "Dodd-Frank is a disaster," Trump said. "We're going to be doing a big number on Dodd-Frank." These executive actions are the start of a Trump administration effort to reverse or revise financial regulations put in place by the Obama administration. [One] directive will instruct the Treasury secretary to meet with the agencies that oversee the law to identify possible changes. It isn't clear yet how long the review would take, but the official says every aspect of the law will be considered. A second directive would call on the Department of Labor to defer implementation of an Obama-era rule, known as the Fiduciary Rule, requiring financial advisers to act in the best interests of their clients in retirement planning. The deadline for implementation was supposed to be April. Backers of the rule say it will prevent advisers from gouging customers by selling them inappropriate, high-fee products. This rule has been heavily lobbied. Dodd-Frank, passed in 2010, [was intended] to implement comprehensive safeguards to monitor and regulate financial institutions so their potential failures would not pose a risk to the entire economy.

Note: For more along these lines, see concise summaries of deeply revealing news articles about corruption in government and in the financial industry.


Wells Fargo is conducting itself like Enron did
2016-12-15, San Francisco Chronicle (San Francisco's leading newspaper)
Posted: 2016-12-19 15:32:11
http://www.sfchronicle.com/opinion/openforum/article/Wells-Fargo-is-conductin...

San Francisco’s Wells Fargo set up an incentivized system of rewards and punishments for its staff at every level that led to the creation of phony accounts and illicit fees being charged to millions of customers. Yet Wells Fargo ... refused to appear before my state Senate committee last month and has sidestepped federal regulators and inquiries. The last company to conduct itself in such a way before a California legislative committee was Enron. These criminal activities affected up to 2 million accounts - nearly 900,000 in California alone. The financial cost to consumers was in the millions of dollars, and the loss in trust is untold. Wells Fargo knew it had a problem - firing more than 1,000 employees a year for five years is testament to that. Yet, it took no effective steps to stop the fraud. These weren’t just low-level employees. After my staff pressed them, Wells now says that of the 5,300 staff fired for unethical sales practices, 480 were bank branch managers or higher. An untold number of managers continue to work at the bank despite the fact that they engaged in fraudulent behavior. Wells Fargo has begun to make amends by entering into a settlement agreement with local and federal regulators, paying $185 million in fines. It also has retained an outside accounting firm to audit accounts to identify and fully reimburse every customer for any fees associated with an unauthorized account. Wells Fargo must come clean on how pervasive this scheme was.

Note: The above was written by Steve Glazer, chairman of the California Senate Banking and Financial Institutions Committee. Read more about the massive fraud perpetrated by Wells Fargo. For more along these lines, see concise summaries of deeply revealing banking corruption news articles from reliable major media sources.


To deal with climate change we need a new financial system
2016-11-05, The Guardian (One of the UK's leading newspapers)
Posted: 2016-11-14 18:24:24
https://www.theguardian.com/global-development-professionals-network/2016/nov...

When it comes to global warming, we know that the real problem is not just fossil fuels – it is the logic of endless growth. If we don’t keep the global economy growing by at least 3% per year, it plunges into crisis. This ... makes little sense given the limits of our finite planet. Climate change is the most obvious symptom of this contradiction, but we’re also seeing it in the form of deforestation, desertification and mass extinction. Our economic system is incompatible with life on this planet. Debt is the reason the economy has to grow in the first place. Because debt always comes with interest, it grows exponentially. Without growth, debt piles up and eventually triggers an economic crisis. The global economic system runs on money that is itself debt. Instead of letting commercial banks create money by lending it into existence, we could have the state create the money and then spend it into existence. [In] the 1930s ... a group of economists in Chicago proposed [this] as a way of curbing the reckless lending that led to the Great Depression. The Chicago Plan, as it was called, made headlines again in 2012 when progressive IMF economists put it forward as a strategy for preventing the global financial crisis from recurring. This idea is already beginning to gain traction: in the UK, the campaigning group Positive Money has generated momentum around it. The idea has its enemies, of course. If we shift to a positive money system, big banks will no longer have the power to literally make money out of nothing.

Note: For more along these lines, see concise summaries of deeply revealing news articles on financial industry corruption and global warming.


UBS whistleblower exposes 'political prostitution' all the way up to President Obama
2016-08-25, International Business Times
Posted: 2016-10-31 18:47:42
http://www.ibtimes.co.uk/ubs-whistleblower-exposes-political-prostitution-all...

UBS, the world's largest wealth manager, is facing embarrassment over fresh revelations going back to the tax investigation that led to the collapse of Swiss banking secrecy. Two significant events are looming before UBS. The first is the possibility of a public trial in France, featuring UBS whistleblower Bradley Birkenfeld, concerning historic tax evasion allegedly orchestrated by the bank. The other is the publication ... of Birkenfeld's scathing new book, Lucifer's Banker, which covers his time at UBS. The tax evasion controversy, which was first highlighted in 2005, subsequently involved the US Department of Justice, the State Department and Internal Revenue Service. It was prompted by disclosures made by Birkenfeld that UBS had helped wealthy US citizens evade taxes. In 2009, UBS paid $780m (Ł588m, €693m) to US authorities to avoid prosecution. Birkenfeld served 31 months in prison for one count of conspiracy to abet tax evasion by one of his clients. After he was released he was paid a record $104m by the IRS for helping recover unpaid taxes. However, Birkenfeld has since said that he was systematically prevented from giving testimony in open court – but this may be about to change thanks to the French authorities. Birkenfeld claims the UBS cover­up stretches to the highest levels of the US establishment. He promises four big names will be exposed in his book, [and] claims there was a glaring conflict of interest involving then Senator Barack Obama, which essentially placed him on the UBS payroll.

Note: Read a New York Times article on how this courageous whistleblower managed to beat the system. As a result of Birkenfeld's disclosures, Obama's suspicious ties with UBS were reported in 2010. For more along these lines, see concise summaries of deeply revealing news articles on corruption in government and in the financial industry.


‘Lions Hunting Zebras’: Ex-Wells Fargo Bankers Describe Abuses
2016-10-20, New York Times
Posted: 2016-10-31 18:36:18
http://www.nytimes.com/2016/10/21/business/dealbook/lions-hunting-zebras-ex-w...

Mexican immigrants who speak little English. Older adults with memory problems. College students opening their first bank accounts. Small-business owners with several lines of credit. These were some of the customers whom bankers at Wells Fargo, trying to meet steep sales goals and avoid being fired, targeted for unauthorized or unnecessary accounts, according to legal filings and statements from former bank employees. “The analogy I use was that it was like lions hunting zebras,” said Kevin Pham, a former Wells Fargo employee in San Jose, Calif., who saw it happening at the branch where he worked. “They would look for the weakest, the ones that would put up the least resistance.” Wells Fargo would like to close the chapter on the sham account scandal. But lawmakers and regulators say they will not let it go that quickly, and emerging evidence that some victims were among the bank’s most vulnerable customers has given them fresh ammunition. This week, three members of the Board of Supervisors in San Francisco, Wells Fargo’s hometown, introduced a resolution calling on the city to cut all financial ties with the bank. They cited both the recent scandal and past cases — particularly the $175 million that Wells Fargo paid in 2012 to settle accusations that its mortgage brokers had discriminated against black and Hispanic borrowers. Current and former Wells Fargo employees say the problems continued well into this year.

Note: For more along these lines, see concise summaries of deeply revealing banking corruption news articles.


Leaked emails show what Clinton told executives in private
2016-10-08, PBS News/Associated Press
Posted: 2016-10-16 23:06:26
http://www.pbs.org/newshour/rundown/emails-clinton-wall-street-private/

Hillary Clinton took nearly every precaution to ensure voters would never know what she told investment bankers, lobbyists and corporate executives in dozens of closed-door paid speeches before running for president. Turns out, the Democratic presidential nominee had good reason to do so. She is ... happy to cut backroom deals with corporate interests and curry favor with Wall Street for campaign dollars. The WikiLeaks organization on Friday posted ... emails obtained in a hack of the Clinton campaign chairman’s personal email account. Among the documents posted online was an internal review of the speeches conducted by campaign aides to survey the political damage her remarks could cause if they ever became public. In what aides calculated were the most damaging passages, she reflects on the necessity of “unsavory” political dealing. To investment bankers from Goldman Sachs and BlackRock, Clinton admits that she’s “kind of far removed” from the middle-class upbringing that she frequently touts on the campaign trail. And in speeches to some of the country’s biggest banks, she highlighted her long ties to Wall Street ... saying that she views the financial industry as a partner in government regulation. In an effort to keep those speeches private, strongly worded contracts prohibited unauthorized recordings, reporters were banned and, in some cases, blog posts about her remarks pulled off websites.

Note: BBC has an article listing 11 intriguing revelations from the recent Wikileaks release. The emails also showed discussion of the Clinton campaign's interest in "elevating" Trump and other 'extreme' Republican candidates to make the party's eventual nominee 'unpalatable'. In 2013 alone, Clinton received $2.3 million for delivering these speeches. For more along these lines, see concise summaries of deeply revealing news articles on corruption in government and in the financial industry.


Public understands Wells Fargo’s bad behavior, that’s the problem
2016-09-28, San Francisco Chronicle (San Francisco's leading newspaper)
Posted: 2016-10-02 14:54:43
http://www.sfchronicle.com/opinion/editorials/article/Public-understands-Well...

Following widespread outrage and a blistering Senate Banking Committee hearing last week, Wells Fargo CEO John Stumpf has said he’ll forfeit his outstanding stock awards of about $41 million. Wells Fargo’s former retail-banking head, Carrie Tolstedt, has agreed to forfeit outstanding stock awards of about $19 million. The givebacks are being done in response to charges that the bank opened some 2 million fraudulent deposit and credit card accounts in its customers’ names. Wells Fargo had already agreed to pay $185 million to settle those charges with regulators, but, clearly, that wasn’t enough. The public is worn out by Wall Street’s bad behavior - and it’s also tired of watching low-level employees be scapegoated while top executives get off scot-free. Wells had fired more than 5,000 employees connected to the illegal sales practices, but done nothing to punish senior executives. No one is buying the story that a scandal this large was the work of rogue employees at the bottom of the totem pole. Part of the reason for the alleged unauthorized accounts was employees were pressured to meet unachievable sales goals. Wells has also pledged to end the controversial sales goal program for employees in the retail banking division. The financial meltdown of 2008 ... resulted out of extreme complexity - most politicians and citizens can’t parse a credit default swap. Opening a bank account in someone else’s name without their permission, however, is a wrong that everyone can understand.

Note: For more along these lines, see concise summaries of deeply revealing banking corruption news articles from reliable major media sources.


Elizabeth Warren Asks Newly Chatty FBI Director to Explain Why DOJ Didn’t Prosecute Banksters
2016-09-14, The Intercept
Posted: 2016-09-25 23:10:21
https://theintercept.com/2016/09/15/elizabeth-warren-asks-newly-chatty-fbi-di...

Like a lot of other Americans, Sen. Elizabeth Warren wants to know why the Department of Justice hasn’t criminally prosecuted any of the major players responsible for the 2008 financial crisis. On Thursday, Warren released two highly provocative letters demanding some explanations. One is to DOJ Inspector General Michael Horowitz, requesting a review of how federal law enforcement managed to whiff on all 11 substantive criminal referrals submitted by the Financial Crisis Inquiry Commission (FCIC), a panel set up to examine the causes of the 2008 meltdown. The other is to FBI Director James Comey, asking him to release all FBI investigations and deliberations related to those referrals. The FCIC’s criminal referrals ... have never been made public. But Warren’s staff reviewed thousands of other documents released in March ... and found descriptions and records of them. They detail potential violations of securities laws by 14 different financial institutions: most of America’s largest banks. And the FCIC named names, specifying nine top-level executives who should be investigated on criminal charges: CEO Daniel Mudd and CFO Stephen Swad of Fannie Mae; CEO Martin Sullivan and CFO Stephen Bensinger of AIG; CEO Stan O’Neal and CFO Jeffrey Edwards of Merrill Lynch; and CEO Chuck Prince, CFO Gary Crittenden, and Board Chairman Robert Rubin of Citigroup. None of the 14 financial firms listed in the referrals were criminally indicted or brought to trial, Warren writes. Only five of the 14 even paid fines.

Note: For more along these lines, see concise summaries of deeply revealing news articles about corruption in government and in the financial industry.


Wells Fargo fired 5,300 workers for improper sales push. The executive in charge is retiring with $125 million.
2016-09-13, Washington Post
Posted: 2016-09-19 14:43:25
https://www.washingtonpost.com/news/wonk/wp/2016/09/13/wells-fargo-fired-5300...

When Wells Fargo was hit last week with $185 million in fines after thousands of its employees were caught setting up fake accounts customers didn't ask for, regulators heralded the settlement as a breakthrough. But the fines being levied against Wells Fargo pale in comparison to the bank's yearly profit - more than $20 billion in 2015. It is also less than the more than $200 million that the stock in the company held by company's chief executive, John G. Stumpf is worth. The fines also are not that much more than the $125 million one of its top executives, Carrie Tolstedt, will walk away with when she retires this year. "There are two possibilities: Customer abuse was part of business model, in which case lots of high ranking people need to go to prison," said Bart Naylor, a financial policy advocate. "Or the bank is too big to manage, and folks high up don’t even know that laws are being broken a few levels down." The magnitude of the fraud described by regulators should be thoroughly investigated, five Democratic lawmakers said in a letter to the head of the Senate Banking Committee, Richard Shelby (R-Ala.), asking for a hearing on the case. The lawmakers, including Sen. Robert Menendez of New Jersey, said Wells Fargo's CEO, John G. Stumpf, should be called to testify. "It is difficult to believe a large-scale, coordinated [scheme] like this took place without knowledge of some higher ups," Menendez said in an interview.

Note: For more along these lines, see concise summaries of deeply revealing banking corruption news articles from reliable major media sources.


Wells Fargo CEO should face reckoning
2016-09-09, San Francisco Chronicle (San Francisco's leading newspaper)
Posted: 2016-09-19 14:41:44
http://www.sfchronicle.com/business/networth/article/Wells-Fargo-CEO-should-f...

Wells Fargo fired about 5,300 employees over the past several years for opening more than 2 million checking, savings, credit or debit card accounts without customers’ knowledge or consent. The big question: Why wasn’t Wells Fargo chief executive John Stumpf one of them? “It’s hard to believe that thousands of employees could have created over a million fake accounts without anyone in senior management knowing about it,” Sen. Elizabeth Warren, D-Mass., wrote in an emailed response. “It’s one or the other: Either individuals in senior management knew about this fraud and should be held personally accountable, or they didn’t know about it and a bank as big as Wells Fargo is simply too big to manage.” On Thursday, Wells settled a lawsuit and potential lawsuits by agreeing to clean up the mess, refund fees paid by customers on accounts they did not authorize and pay fines and penalties. Those included $100 million to the Consumer Financial Protection Bureau, $35 million to the Office of the Comptroller of the Currency and $50 million to the city and county of Los Angeles. FBR analyst Paul Miller called those fines “a rounding error” for Wells, which earns about $5 billion per quarter. Los Angeles City Attorney Mike Feuer opened an investigation into Wells after the Los Angeles Times reported in 2013 that ... “employees have opened unneeded accounts for customers, ordered credit cards without customers’ permission and forged client signatures on paperwork." His office filed a lawsuit against Wells Fargo in 2015.

Note: For more along these lines, see concise summaries of deeply revealing banking corruption news articles from reliable major media sources.


Wells Fargo fined $185M for fake accounts; 5,300 were fired
2016-09-09, USA Today
Posted: 2016-09-11 23:48:11
http://www.usatoday.com/story/money/2016/09/08/wells-fargo-fined-185m-over-un...

Wells Fargo Bank, one of the nation's largest banks, has been hit with $185 million in civil penalties for secretly opening millions of unauthorized deposit and credit card accounts that harmed customers, federal and state officials said Thursday. Employees of Wells Fargo (WFC) boosted sales figures by covertly opening the accounts and funding them by transferring money from customers' authorized accounts without permission, the Consumer Financial Protection Bureau, Office of the Comptroller of the Currency and Los Angeles city officials said. An analysis by the San Francisco-headquartered bank found that its employees opened more than two million deposit and credit card accounts that may not have been authorized by consumers. Many of the transfers ran up fees or other charges for the customers, even as they helped employees make incentive goals. The bank agreed to pay full restitution to all victims and a $100 million fine to the Consumer Financial Protection Bureau's civil penalty fund - the largest in the regulator's five-year operating history. Wells Fargo will pay a separate $35 million penalty to the Office of the Comptroller of the Currency. Additionally, Wells Fargo said it terminated approximately 5,300 employees and managers over a five-year period for their involvement with the unauthorized accounts.

Note: No Wells Fargo executives have been held responsible for this bank's institutionalized breach of customer trust. Do you think these actions were taken without approval from at least one executive? For more along these lines, see concise summaries of deeply revealing banking corruption news articles from reliable major media sources.


SEC awards $22 million to Monsanto whistleblower
2016-08-30, CNBC/Reuters
Posted: 2016-09-05 18:03:41
http://www.cnbc.com/2016/08/30/sec-awards-22-million-to-monsanto-whistleblowe...

A former Monsanto executive who tipped the U.S. Securities and Exchange Commission to accounting improprieties involving the company's top-selling Roundup product has been awarded more than $22 million from the agency's whistleblower program. The award of $22,437,800 was tied to an $80 million settlement between the SEC and Monsanto in February, according to the [executive's] lawyer, Stuart Meissner in New York. It is the agency's second largest under the program. The Dodd Frank financial reform law empowered the SEC to award money to whistleblowers who give information to the agency which leads to a fine. Awards to 33 whistleblowers by the SEC's program have now surpassed a total of $107 million since the agency launched the program in 2011, the agency said. Monsanto's $80 million SEC settlement followed allegations that the company misstated its earnings in connection with Roundup, a popular weed killer. The SEC's case against Monsanto revolved around a corporate rebate program designed to boost Roundup sales. The SEC had said that Monsanto lacked sufficient internal controls to account for millions of dollars in rebates that it offered to retailers and distributors. It ultimately booked a sizeable amount of revenue, but then failed to recognize the costs of the rebate programs on its books. That led the St. Louis-based agriculture company to "materially" misstate its consolidated earnings for a three-year period. The award represents more than 28 percent of the total penalty and nearly the 30 percent maximum allowed under the SEC's bounty program.

Note: The above shows that Monsanto has been lying to their investors about how profitable Roundup is while major lawsuits build over the connection between Roundup and cancer. For more along these lines, see concise summaries of deeply revealing corporate corruption news articles from reliable major media sources.


Bankers are still breaking the rules to get ahead. Here's the proof
2015-05-19, The Telegraph (One of the UK's leading newspapers)
Posted: 2016-08-29 20:11:49
http://www.telegraph.co.uk/finance/newsbysector/banksandfinance/11615229/Bank...

Illegal and unethical behaviour on Wall Street and in the City of London isn't just the work of a few bad apples - it's commonplace, according to new research. More than one in five financial services employees in America and the UK have seen their co-workers breaking the law or engaging in misconduct, a survey of more than 1,200 workers has found. Many feel under pressure to break the rules, believing it is a necessary part of getting ahead. Those at the top of the food chain are even more likely to have seen misconduct, with over a third of those earning more than $500,000 a year say they "have witnessed or have first hand knowledge of wrongdoing in the workplace". The University of Notre Dame and law firm Labaton Sucharow, which published the report, said it showed that bankers had failed to improve behaviour, despite billions of dollars in fines, and new regulations threatening jail. "Despite the headline-making consequences of corporate misconduct, our survey reveals that attitudes toward corruption within the industry have not changed for the better," the report's authors said. The researchers ... interviewed 1,223 banking and financial services workers. The research comes the day before five banks are expecting fines worth more than $6bn related to foreign exchange manipulation. Those questioned in the survey were also asked about whistleblowing practices, and 16pc said that corporate policies barred them from reporting illegal activity to authorities.

Note: For more along these lines, see concise summaries of deeply revealing banking corruption news articles from reliable major media sources.


Ireland jails three top bankers over 2008 banking meltdown
2016-07-29, Reuters
Posted: 2016-08-08 19:08:58
http://www.reuters.com/article/us-ireland-banking-court-idUSKCN10912E

Three senior Irish bankers were jailed on Friday for up to three-and-a-half years for conspiring to defraud investors in the most prominent prosecution arising from the 2008 banking crisis. The trio will be among the first senior bankers globally to be jailed for their role in the collapse of a bank during the crisis. The crash thrust Ireland into a three-year sovereign bailout in 2010. It could take another 15 years to recover the funds pumped into the banks still operating. Former Irish Life and Permanent Chief Executive Denis Casey was sentenced to two years and nine months. Willie McAteer, former finance director at the failed Anglo Irish Bank, and John Bowe, its ex-head of capital markets, were given sentences of 42 months and 24 months respectively. All three were convicted of conspiring together and with others to mislead investors, depositors and lenders by setting up a 7.2-billion-euro circular transaction scheme between March and September 2008 to bolster Anglo's balance sheet. "They manufactured 7.2 billion euros in deposits by obvious sham transactions," Judge Martin Nolan told the court. No senior industry executives in [the US or UK] have been sent to jail.

Note: Iceland allowed big banks to fail and in 2015 sent 26 bankers to jail for their role in the 2008 financial crisis. It's economy is in good shape. For more along these lines, see concise summaries of deeply revealing news articles about corruption in government and in the financial industry.


Eric Holder’s Longtime Excuse for Not Prosecuting Banks Just Crashed and Burned
2016-07-12, The Intercept
Posted: 2016-07-17 20:12:25
https://theintercept.com/2016/07/12/eric-holders-longtime-excuse-for-not-pros...

Eric Holder has long insisted that he tried really hard when he was attorney general to make criminal cases against big banks in the wake of the 2007 financial crisis. [Yet Holder] held his department back [according to] a new, thoroughly-documented report from the House Financial Services Committee. Prosecutors in 2012 wanted to criminally charge the global bank HSBC for facilitating money laundering for Mexican drug lords and terrorist groups. But Holder said no. In September 2012, the Justice Department’s Asset Forfeiture and Money Laundering Section (AFMLS) formally recommended that HSBC be prosecuted for its numerous financial crimes. From 2006 to 2010, HSBC failed to monitor billions of dollars of U.S. dollar purchases with drug trafficking proceeds in Mexico. It also conducted business going back to the mid-1990s on behalf of customers in Cuba, Iran, Libya, Sudan, and Burma, while they were under sanctions. Such transactions were banned by U.S. law. AFMLS Chief Jennifer Shasky wanted to seek a guilty plea for violations of the Bank Secrecy Act. On November 7, Holder presented HSBC with a “take it or leave it” offer of a deferred prosecution agreement, which would involve a cash settlement and future monitoring of HSBC. No guilty plea was required. HSBC [then] successfully negotiated to have individual executives immunized from prosecution. Lack of desire at the highest levels of the Justice Department was ... the primary reason that no prosecutions took place.

Note: While attorney general of the United States, Eric Holder consistently refused to prosecute Wall Street. For more along these lines, see concise summaries of deeply revealing news articles about corruption in government and in the financial industry.


Attacking Elizabeth Warren? Political Reporters Will Grant You Anonymity
2016-06-21, The Intercept
Posted: 2016-06-26 20:40:09
https://theintercept.com/2016/06/21/anonymous-quote-warren/

The fast rise of Sen. Elizabeth Warren within the Democratic Party has coincided with another phenomenon: the continual use by elite-media journalists of anonymous sources in articles that either criticize Warren directly or warn other politicians about the dangers of embracing ... the policies she advocates. That journalistic trend manifested itself most recently on Monday, in a piece by Ben White in Politico that quoted fully five anonymous sources - including “one top Democratic donor,” “one moderate Washington Democrat” and “one prominent hedge fund manager” - to the effect that Hillary Clinton would be making a major misstep by selecting Warren as her running mate. Warren is an expert in bankruptcy and predatory lending and a leading critic of the financial industry. Is the “top Democratic donor” Politico quoted a self-interested executive at Citigroup or Goldman Sachs fearful that Warren would influence policy decisions? We’ll never know. Journalists in this way let powerful individuals take potshots without any fear of accountability and without the reader being able to discern what conflicts of interest might be involved. And when it comes to Warren in particular, pretty much any “administration official” or “political strategist” interested in advancing a narrative gets the anonymous treatment. The Intercept in short order compiled a list of 15 other articles and political newsletters over the last few years of the anonymously sourced, anti-Warren genre.

Note: The complete list of examples of anti-Warren propaganda articles is available at the link above. For more along these lines, see concise summaries of deeply revealing media manipulation news articles.


This is corporate tax desertion taken to a whole new level
2016-02-04, Washington Post
Posted: 2016-06-20 13:45:32
https://www.washingtonpost.com/business/economy/this-is-corporate-tax-deserti...

If you want an example of how bizarre U.S. tax laws can be - and how companies can game the system - look no further than the recently announced deal for Johnson Controls Inc. of Milwaukee to desert our country by combining with a previous corporate deserter, Tyco International PLC. Tyco is run out of Princeton, N.J., but for tax purposes it is based in Ireland, where the combined Johnson Controls PLC will be based. This [is] an especially aggressive transaction that, among other things, will let Johnson game the tax system by handing its shareholders about $3.9 billion in cash in order to get tax-free access to $8.1 billion in cash currently held overseas. Under our tax laws, if a U.S. company combines with a foreign company (or a nominally foreign company such as Tyco), it can play a variety of tax games, provided that the shareholders of the U.S. company own more than 60 percent but less than 80 percent of the stock in the new, combined company. However, the company can play far more games ... if the shareholders of the U.S. company own more than 50 percent of the combined company but less than 60 percent. By being in [this] sweet spot, Johnson PLC can get its hands on its offshore cash directly, instead of having to leap through various hoops. [Who knows] why it’s legal for Johnson to buy in a chunk of its shares to make the numbers work - but apparently, it is. So there you have it. Johnson, a vendor to the taxpayer-rescued U.S. auto industry, repays us by doing ... a mega-desertion.

Note: Under current US laws, in what the Washington Post calls a "corporate predator state", profitable multinationals often pay no US taxes at all. For more along these lines, see concise summaries of deeply revealing corporate corruption news articles from reliable major media sources.


The untold story behind Saudi Arabia's 41-year U.S. debt secret
2016-06-02, Chicago Tribune
Posted: 2016-06-06 22:59:33
http://www.chicagotribune.com/business/ct-untold-story-saudi-arabia-us-debt-s...

It was July 1974. William Simon, newly appointed U.S. Treasury secretary, and his deputy, Gerry Parsky, stepped onto an 8 a.m. flight. [Simon's] mission, kept in strict confidence within President Richard Nixon's inner circle, would take place during a four-day layover in the coastal city of Jeddah, Saudi Arabia. The goal: persuade a hostile kingdom to finance America's widening deficit with its newfound petrodollar wealth. The United States would buy oil from Saudi Arabia and provide the kingdom military aid and equipment. In return, the Saudis would plow billions of their petrodollar revenue back into Treasuries and finance America's spending. At the end of months of negotiations, there remained one small, yet crucial, catch: King Faisal bin Abdulaziz Al Saud demanded the country's Treasury purchases stay "strictly secret." With a handful of Treasury and Federal Reserve officials, the secret was kept for more than four decades. In response to a Freedom-of-Information-Act request submitted by Bloomberg News, the Treasury broke out Saudi Arabia's holdings for the first time this month. The $117 billion trove makes the kingdom one of America's largest foreign creditors. A former Treasury official ... says the official figure vastly understates Saudi Arabia's investments in U.S. government debt, which may be double or more. In April, Saudi Arabia warned it would start selling as much as $750 billion in Treasuries and other assets if Congress passes a bill allowing the kingdom to be held liable in U.S. courts for the Sept. 11 terrorist attacks.

Note: In May, the Senate approved a bill that allows victims of 9/11 and their families to pursue lawsuits against Saudi Arabia for its role in the Sept. 11 attacks. Several prominent figures are currently pushing for the declassification of hidden 9/11 report pages which reportedly shed further light on Saudi support for terrorism. For more along these lines, see concise summaries of deeply revealing government secrecy news articles from reliable major media sources.


America's CEOs Saw Big Bumps in Pay, Even if Stocks Didn't
2016-05-25, NBC/Associated Press
Posted: 2016-06-06 22:55:14
http://www.nbcnews.com/business/business-news/america-s-ceos-saw-big-bumps-pa...

CEOs at the biggest companies got a 4.5 percent pay raise last year. That's almost double the typical American worker's, and a lot more than investors earned from owning their stocks - a big fat zero. The typical chief executive in the Standard & Poor's 500 index made $10.8 million, including bonuses, stock awards and other compensation, according to a study by executive data firm Equilar for The Associated Press. That's up from the median of $10.3 million the same group of CEOs made a year earlier. The raise alone for median CEO pay last year, $468,449, is more than 10 times what the typical U.S. worker makes in a year. The median full-time worker earned $809 weekly in 2015, up from $791 in 2014. "With inflation running at less than 2 percent, why?" asks Charles Elson, director of the John L. Weinberg Center for Corporate Governance at the University of Delaware. The answer is complicated. CEO pay packages now hinge on multiple layers of sometimes esoteric measurements of performance. That's a result of corporate boards attempting to respond to years of criticism ... from Main Street America, regulators and even candidates on the presidential trail this year. One bright spot, experts say, is the rise in the number of companies that tie CEO pay to how well their stocks perform. "There's progress generally in aligning compensation with shareholder returns," says Stu Dalheim, vice president of governance and advocacy at Calvert Investments. "But I don't think this compensation is sustainable."

Note: For more along these lines, see concise summaries of deeply revealing income inequality news articles from reliable major media sources.


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