Banksters are the new Al Queda

[seanm123]

CIA has now replaced Al Queda Terrorists with economic turmoil created by the banksters as the new top threat to the United States and Global Stability.

http://www.nytimes.com/2009/02/13/wa...l.html?_r=1&hp

[don]

Re: Banksters are the new Al Queda

"The fact of the matter is, the banks are in very bad shape. The U.S. government has poured in hundreds of billions of dollars to very little effect. It is very clear that the banks have failed. American citizens have become majority owners in a very large number of the major banks. But they have no control. Any system where there is a separation of ownership and control is a recipe for disaster. Nationalization is the only answer. These banks are effectively bankrupt."

Joseph Stiglitz

"I think it’s fair to conclude that the large banks, which the Treasury is trying very hard to protect, cannot in fact be protected, that they are in fact insolvent, and that the proper approach for dealing with them is for the Federal Deposit Insurance Corporation to move in and take the steps that the FDIC normally takes when dealing with insolvent banks.

And the sooner that you get to that and the sooner that you take these steps, which every administration, including the Bush administration, actually took in certain cases—replacing the management, making the risk capital take the first loss, reorganizing the institution, guaranteeing the deposits so that there isn’t a run, reopening the bank under new management so that it can begin to function again as it should have all along as a normal bank—the sooner you get to that, the more quickly you’ll work through the crisis.

The more you delay and the more you try to essentially prop up an institution whose books have already been poisoned, in effect, by this—the practices of the past few years, the longer it will take before the credit markets begin to function again. And as I said before, the functioning of the credit markets is absolutely essential to the success of the larger package, of the stimulus package and everything else, in beginning to revive the economy."

James Galbraith

"I am hearing very clearly from within the regulatory community that it is their primary concern that whatever they are planning is predicated on the notion that we must keep the large banks alive. But if we start off with saving the big banks as the point of departure, then there is no way we can marry that to an efficient or effective proposal. Lets define the solution based first on what is workable not by tying a hand behind our back with preconceptions."

Josh Rosner of Graham Fisher & Co



"We are exploring a range of different structures"

Treasury Secretary Timothy Geithner


Right :p:rolleyes:

[petertribo]

Re: Banksters are the new Al Queda

Our own Bankster Citizens have done more $$$ damage to the USA than Al Qaeda ever did. For anyone watching this unfold over the last eight years, it was never about security but just about looting the US Treasury. Five US Rackets are now directly plugged into the US Treasury: War, Healthcare, Financial, Insurance, RE.

I'm sure the other Rackets are lobbying to join the Treasury Looting Party. For anyone in the US who actually has to produce some useful product or service with the burden of these Rackets upon them, take some steroids; you have some heavy lifting to do!

[*T*]

Re: Banksters are the new Al Queda

"I think it’s fair to conclude that the large banks, which the Treasury is trying very hard to protect, cannot in fact be protected, that they are in fact insolvent, and that the proper approach for dealing with them is for the Federal Deposit Insurance Corporation to move in and take the steps that the FDIC normally takes when dealing with insolvent banks.

And the sooner that you get to that and the sooner that you take these steps, which every administration, including the Bush administration, actually took in certain cases—replacing the management, making the risk capital take the first loss, reorganizing the institution, guaranteeing the deposits so that there isn’t a run, reopening the bank under new management so that it can begin to function again as it should have all along as a normal bank—the sooner you get to that, the more quickly you’ll work through the crisis.

The more you delay and the more you try to essentially prop up an institution whose books have already been poisoned, in effect, by this—the practices of the past few years, the longer it will take before the credit markets begin to function again. And as I said before, the functioning of the credit markets is absolutely essential to the success of the larger package, of the stimulus package and everything else, in beginning to revive the economy."

James Galbraith

Amen. This is what the FDIC is FOR! Precisely this eventuality.

[cjppjc]

Re: Banksters are the new Al Queda

Wow. Can you imagine how much money the FDIC (Taxpayers) is going to have to come up with.:mad:

[bcassill]

Re: Banksters are the new Al Queda

Two of the four remaining large banks are in very dire straits (just look at their stock price and you can figure out which ones I'm talking about). The problem comes when the customer base begins to become concerned and starts to withdraw deposits. First, it is the high value customers (i.e. those with deposits of $1M+). Then, there will be a run by the core depositors. This is essentially what happened at WaMu and is what finally put them under. It wasn't bad loans. It was a skittish customer base. There is nothing that the FDIC or OTS will be able to do when it starts except to step in and take over. I wouldn't be surprised if one of the large banks went under by the end of the year. At that point, you will be left with just 2 or 3 national players. I have a hard time seeing where the remaining players can grow via acquisition unless they are willing to divest assets to avoid being a monopoly. But all of this is just talk. All of the large banks are wounded. Some are in worse shape than others, but I think that the growing crisis will eventually pull them all under no matter what the FED and the Treasury do. All of them will eventually be nationalized.