We Now Know what Form of Bank Fraud at JPMorgan it Takes to Alarm President Obama

By William K. Black

President Obama called no emergency meeting when he learned that JPMorgan and 15 other of the world’s largest banks had rigged LIBOR for years – distorting the prices on over $300 trillion in transactions.  He called no emergency meeting when he learned that JPMorgan and over 20 other huge lenders fraudulently sold Fannie and Freddie hundreds of billions of dollars in toxic mortgages.  Same non-result when JPMorgan and a dozen huge banks rigged bids on the issuance of municipal debt to rip off hundreds of government entities.  Same non-result when the big banks filed hundreds of thousands of fraudulent affidavits in order to foreclose on homeowners illegally.  Same nothing when he learned that over 20 huge lenders made the Office of the Comptroller of the Currency’s (OCC) list as the “worst of the worst” lenders and that Attorney General Eric Holder refused to prosecute any of their senior bank officers who led the frauds.  Same nothing when he learned that our home mortgage lenders had created “an open invitation to fraud” through making millions of fraudulent liar’s loans.  Another big nothing when Obama learned that the same banks controlled by fraudulent officers had deliberately created a “Gresham’s” dynamic by blacklisting honest appraisers who refused to inflate appraisals.

And then a huge nothing that has continued for his entire term when Obama learned that the banking regulatory agencies had stopped making criminal referrals so senior bankers were able to become wealthy by leading all these frauds with total impunity.  The sound of silence at the Department of Justice has grown ever more deafening throughout Obama’s term as it refuses to prosecute or even bring civil suits against any of the senior bankers that led the three most destructive fraud epidemics in history – epidemics that caused the financial crisis and cost our Nation over $21 trillion in lost GDP and over 10 million jobs.  (Both forms of loss are far worse in Europe.)  Obama’s silence was most cacophonous when he chose the most infamous failed financial supervisor in America, Timothy Geithner, to be his Treasury Secretary.  Geithner used that position to push successfully (i) the prosecutors not to prosecute his banker, (ii) Obama to use federal programs supposedly designed to help distressed homeowners to “foam the runways” and make the most fraudulent and wealthy criminals even wealthier, and (iii) ensure that the fraudulent bankers could resume their obscene bonuses (“earned” by leading the fraud epidemics that caused the global financial crisis and made them wealthy) within months of blowing up the world.

But now we know from a New York Times article what criminal events at JPMorgan are capable of rousing Obama from nearly six years of hibernation and torpor when it comes to massive bank frauds.  When Obama became afraid that JPMorgan’s defective cyber security had been exploited by a hacker he immediately began meeting with his national security advisors fearing that Russian President Putin might be behind the attacks.  So, all we have to do to get Obama to restore the rule of law for elite banksters is to convince Obama that they are Putin’s secret agents working for the FSB (the rebranded KGB).  Obama will be meeting with his national security team within minutes and fighting the banksters will become a priority.  Obama has been willing to impose sanctions on Russian banks controlled by Putin’s allies.  So, repeat after me, Jamie Dimon is an FSB agent secretly working for Putin.

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