Daily Archives: February 5, 2016

Did Financial Giant Goldman Sachs Just Admit the System is Rigged?

Posted on February 5, 2016 by Devin Smith | 1 comment

Bill Black explains why one of world’s largest investment firms Goldman Sachs is questioning the “efficacy of capitalism” and why its CEO is terrified of a Sanders presidency. You can view it here on the Real News (include transcript).

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Posted in William K. Black

Tagged banksters, goldman sachs, hillary, vampire squid

Hillary, the Banksters Committed “Fraud” not “Shenanigans”

Posted on February 5, 2016 by William Black | 4 comments

William K. Black
February 4, 2016 Bloomington, MN

Former Secretary of State Hillary Clinton, in her debate with Senator Sanders minutes ago, said that she went to Wall Street and told them to stop their “shenanigans.” The context was that she was being asked to respond to the complaint that she was too close to on Wall Street billionaires. She had every incentive, therefore, to demonstrate how tough she would be on Wall Street. In that context, the best she could muster was the pusillanimous “shenanigans.” Here is a typical definition of that word with examples.

: a devious trick used especially for an underhand purpose
2a: tricky or questionable practices or conduct —usually used in pluralb : high-spirited or mischievous activity —usually used in plural

Examples of shenanigan

students engaging in youthful shenaniganson the last day of school
an act of vandalism that went way beyond the usual shenanigansat summer camp

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4 Comments

Posted in William K. Black

Tagged banksters, fraud

Liar’s Loans, Plus Loan Brokers, Equals Fraud Heaven

Posted on February 5, 2016 by William Black | 1 comment

William K. Black
February 4, 2016 Bloomington, MN

This is the fourth part of my series on the lies about “liar’s” loans that suffuse the Wall Street Journal article reporting that “big money managers” want to bring back “liar’s loans.” This part focuses on the fact, which the WSJ treated as so obviously reasonable that it was unworthy of analysis, that:

Money managers want to bankroll the loans while relying on the mortgage firms to handle the process with borrowers, basically acting as a lender, “one step removed from the process,” one of these people said.

When the real lender taking the risk of making the home loan employs an agent from a separate for-profit firm to actually recruit the borrowers in return for receiving a sales commission from the real lender (the “big money managers”) we call that agent a loan broker. The “big money manager’s” plan is (a) to make loans that are endemically fraudulent, (b) by incentivizing de facto loan brokers to find the buyers and handle the loan applications.

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