Classic Times FIRE Duck & Cover - the Wisconsin School's Caper

[c1ue]

Re: Classic Times FIRE Duck & Cover - the Wisconsin School's Caper

The fact that school district trustees leveraged and invested hundreds of millions without even receiving, reading and fully understanding a prospectus is news to me.

It is first of all unclear if this is negligence, ignorance, or fraud.

There's no question the actions on the seller's side were fraudulent.

The question is whether the buyers were stupid, lazy, and/or bribed.

[Slimprofits]

Re: Classic Times FIRE Duck & Cover - the Wisconsin School's Caper

ok.... first thing the 2nd read comes up with is this:

"...But there appears to be plenty of blame to go around, as has been typical throughout the crisis. The S.E.C. said its investigation is continuing. It would do well to examine closely any allegations of gaming ratings agency models.

[..]

if THEY COULD NAIL BUSH & CO????

THE HEADLINES WOULD BE 4" TALL IN EVERY NEWSPAPER, EVERY PHREAKIN DAY

but because its looking ever more suspiciously like a liberal/dem plot/conspiracy/f__kup
what we get is simply: "....because we still dont know the whole story..."

there, does that get more into what you were hoping from the discussion on this thread?

(just trying/glad i could help ;)

I can't tell if your regurgitation of two-party system propaganda was meant jokingly or not.

The crash of '08 was a a liberal/dem plot/conspiracy/f__kup?

[Thailandnotes]

Re: Classic Times FIRE Duck & Cover - the Wisconsin School's Caper

There's no question the actions on the seller's side were fraudulent.

No doubt. Zero.

If you read through the SEC's case, it's clear that other investment firms refused to partner with Stifel because they knew Stifel was breaking the law.

It's also clear David Noack is a wanker.

“Stifel knew that most of the school board members were unfamiliar with CDOs and credit default swaps. They knew that the School Districts were not the typical investors in instruments tied to CDOs.

“CDOs were new to Noack as well. Before late 2005 or early 2006, Noack had no prior experience with CDOs, and he had little or no understanding of how CDOs functioned. He had never sold a product tied to CDOs to any customer. Indeed, Noack had never even heard of CDOs before considering them for the GOAL Program.

“Stifel’s head of Fixed Income sent an email to Stifel’s CEO. He wrote: “I do want you to consider the fact that Dave [Noack] was (and to a certain extent, still is) relatively ignorant about the nuances of CDOs . . . .”

The question is whether the buyers were stupid, lazy, and/or bribed.

Bingo! I vote lazy.

[Thailandnotes]

Re: Classic Times FIRE Duck & Cover - the Wisconsin School's Caper

http://www.postcrescent.com/article/...tles-districts

"The Kimberly school district will recover $458,000 lost in a complicated set of investments after the firm that handled the deal settled federal charges Tuesday that its representatives failed to disclose the high risks involved.

"The U.S. Securities and Exchange Commission reached a settlement with RBC Capital Markets that calls for $30.4 million in penalties. That includes a $22 million civil penalty to be paid to the five Wisconsin school districts that invested."