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Ear to the Ground

White House Looking to Curb Wall Street’s Excesses

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Posted on Mar 21, 2009
White House
Flickr/dcJohn

Faced with the glaring problem of indulgence and intractability on the highest tiers of Wall Street’s corporate behemoths, the Obama administration is putting together a plan to make financial institutions more accountable and more transparent to the government and to the taxpayers who granted them buoyancy.

The New York Times:

The Obama administration will call for increased oversight of executive pay at all banks, Wall Street firms and possibly other companies as part of a sweeping plan to overhaul financial regulation, government officials said.

The outlines of the plan are expected to be unveiled this week in preparation for President Obama’s first foreign summit meeting in early April.

Officials said the proposal would seek a broad new role for the Federal Reserve to oversee large companies, including major hedge funds, whose problems could pose risks to the entire financial system.

It will propose that many kinds of derivatives and other exotic financial instruments that contributed to the crisis be traded on exchanges or through clearinghouses so they are more transparent and can be more tightly regulated. And to protect consumers, it will call for federal standards for mortgage lenders beyond what the Federal Reserve adopted last year, as well as more aggressive enforcement of the mortgage rules.

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By KDelphi, March 23, 2009 at 1:42 pm Link to this comment

I mean, Monica..were you surprised, cyrena, that you fell in love with Pres. Obama??

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By KDelphi, March 23, 2009 at 1:36 pm Link to this comment

cyrena, you know that this has nothing to do with the issue, and, as if it were any of your business, ai am moving and taking a job in three months. ([part time)

Why dont you concentrate on substantive arguments and PROOF as you always ask for. All you seem to try to do is defend Obama and make enemies. Maybe you think that that is fun. Apparently.

You could say that that ‘hand feeds me”, IF you ignore that they stole my fucking pension. I did NOT come from Wall St. NOne of the money I’ve ever earned , nor obtained camne from there.

You make a fool of yourself over Obama…

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By wildflower, March 23, 2009 at 7:41 am Link to this comment

Re NYT “. . . the hedge fund industry has significant influence on Capitol Hill and has shown that it can defeat proposals it finds onerous. . . many of the most prominent ones are expected to oppose efforts to require them to provide what they consider proprietary information. . .”

It has become blatantly obvious there are too many criminals running amuck in these hedge fund companies. If Capital Hill continues to support “deregulation” for the hedge fund industry, it shows that Capital Hill is a willing co-conspirator of criminal activity, and they should be prosecuted alongside their partners in crime.

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By Litl Bludot, March 22, 2009 at 7:43 pm Link to this comment

Up until a few decades ago, people who weren’t rich used the word “capitalist” to refer to those who were.  Now, “capitalist” cannot be used to describe anyone, lest the user be accused of being a socialist.

I would hope that our military budget not be referred to as a defense budget.  It has nothing to do with defense.  Our military forces are not used as defense, but as mercenaries for global corporations.

There aren’t any real U.S. corporations anymore, nor any corporate U.S. patriotism. i.e. Halliburton has moved its headquarters to Dubai, and stashes its profits from the U.S.tax payer into offshore accounts so it doesn’t pay U.S. taxes.

Speaking of which, as this article makes clear, we, the potential socialists, are now going to provide stability for global markets, through TARP and the soon to come regulatory changes. Evidently, by giving the capitalists, through the Federal Reserve, complete access and control of every cent we earn.  Thanks for the change,  president Obama. YES WE CAN.

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By cyrena, March 22, 2009 at 6:37 pm Link to this comment

“It is the fault of both parties , who refused to reign in the hand that feeds them.”

Kelphi,

Might not this be the SAME hand that FEEDS YOU?

When’s the last time you actually EARNED your money or paid taxes on any of it. I’m not happy about paying my money to Wall Street Bankers, and I’m even less happy about you feeding at the public trough.

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By TheDepressingTruth, March 22, 2009 at 6:35 pm Link to this comment
(Unregistered commenter)

Pullleeese….Obama is nothing but a “front man” for the “Banksters” that REALLY RUN this country.

The “AGI Bonuses” story is just a diversion…“Rolling Stone” Magazine has got it right…

“The global economic crisis isn’t about money - it’s about power. How Wall Street insiders are using the bailout to stage a revolution”

http://www.rollingstone.com/politics/story/26793903/the_big_takeover/

Learn who Obama’s Masters Really Are…(hint..same as Bush?)
http://www.youtube.com/watch?v=eAaQNACwaLw

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By KDelphi, March 22, 2009 at 1:48 pm Link to this comment

The Fed is private. Blind leading the blind.

Why are Summers and Bernanke and Paulson and Bush and Cheney and Rummy and Rice and Dodd and Rangel and Pelosi and McCain and on and on , ad nauseum—not in jail?

We need “term limits” to start now. Everyone go to jail. Start over.

(Then) Sen. Onama voted for the Bailout , with no conditions on it. Almost all Dem sdid. If Pelosi had let Kucinich’s amendments (or Reid had let Sanders) , we wouldve have some means of regulations and recovery. It is the fault of both parties , who refused to reign in the hand that feeds them.

They didnt do it then, and, they wont do it now.

The FED?! Are you fricking serious??

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By Luke, March 22, 2009 at 9:23 am Link to this comment
(Unregistered commenter)

“...the glaring problem of indulgence and intractability on the highest tiers of Wall Street’s corporate behemoths”

The irony is that this has been the case for YEARS. Par for the course. Standard practice. Whenever this has been pointed out, it’s called “class warfare” or totally dismissed. These new generation robber-barons been able to operate in a world apart - live in special areas where they don’t even have to *look* at the common people, while they build consolidate their empires and estates. My concern is that all they have to do is give back a little money, lay low for a couple years - and it’ll be back to business as usual.

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godistwaddle's avatar

By godistwaddle, March 22, 2009 at 8:21 am Link to this comment

We elected Obama to continue our government by the rich, for the rich, and of the rich.  Since 1789, that’s our form of government.  It’s the rich against the rest of us, and, as G.K. Chesterton pointed out, “The rich are the scum of the earth in every country.” 

Our tree of liberty cries out for its manure, but no one hears.

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bogglesthemind's avatar

By bogglesthemind, March 22, 2009 at 8:01 am Link to this comment

It’s very troubling that ‘now’, after all this mess and waisted time, Obama is maybe getting it. In my view, the problem has been and is the fault of the Three Blind Mice: Geithner-Summers-Bernanke. Most disturbing is that Obama was warned these were the wrong guys for the job back in November of last year, or sooner.

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By jackpine savage, March 22, 2009 at 5:52 am Link to this comment

Why that’s a lovely plan, fix the problem of little to no regulation by giving the Federal Reserve more regulatory power…as if it were actually a federal agency.

Since the problem was private banking interests run amok, the only logical solution must be to give private banking interests more authority.

I get it.  Thank God that a bright new day has dawned on America.

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Purple Girl's avatar

By Purple Girl, March 22, 2009 at 5:17 am Link to this comment

Quickest Remedy to Greed- Prosecution. RICO, Economic Treason and Crimes against humanity. Lop the head off one of these treasonous ‘Trickle Down’/Deregulator criminals and watch how fast Ethics and morals return to Business models and mission statements…Just one, How about Greenspan- the King of “let them eat cake” and Kick the Can.
‘flaw’ my ass- anyone who has ever studied the fall of empires knows that when all resources and wealth are siphoned off and hoarded by the few upper echelon, a nation falls. Beyond that who did not see the obvious connection between that economic scam and that which our ancestors fought a Revolutionary War to Free US from? It’s clearly revealed in it’s updated name “Trickle” (dribble,exclude, very slowly) “Down” ( beneath, sagging, sliding, inferior) not only where the masses reside, but also designates the social Ranking.Feudalistic Cast System???
A nations Wealth is build on those who actually produce or provide services.Not the Elite,or paper pushers or middlemen- they merely siphon off the transaction between producer and consumer. Commerce was Developed long before managers, CEO’s and WallStreet were ever conceived ,and it will survive long after they are brought down. Let’s see how the ‘Best & Brightest’ fair in a Real Free market of products and services. let’s see how many consumers will pay for their ‘Talents’- now that’s the Free market forces which levels out the valued vs the non valued. Seems the only talent these folks have is for swindling and siphoning off those who provide a valueable commodity and those who wish to purchase that commodity. Parasites.

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By ispy, March 22, 2009 at 1:00 am Link to this comment
(Unregistered commenter)

Much can be said about this kind of disaster capitalism and it’s best explained in video of Obama Deception [and lies, business as usual and much worse than Bush could ever dream of]

Please watch and distribute to everyone you know:
http://video.google.ca/videoplay?docid=7535755025025800195&ei=tT7FSca3Ooas-wHhnYHmAQ&q=obama+deception&hl=en

or for higher quality version:
http://www.youtube.com/watch?v=eAaQNACwaLw

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