JP Morgan Pays $2 Billion to Avoid Prosecution for its Involvement In Madoff Ponzi Scheme07/01/2014 06:46
Source: Washington's Blog
JP Morgan: Ponzi Schemer
Bernie Madoff has said all along that JP Morgan knew about – and knowingly profited from – his Ponzi schemes.
So JP Morgan has agreed to pay the government $2 billion to avoid investigation and prosecution.
While this may sound like a lot of money, it is spare sofa change for a big bank like JP Morgan.
Moreover, the failure to go after Wall Street executives for criminal fraud is the core cause of our sick economy. All of the government’s excuses for failure to prosecute the individuals at the big Wall Street banks who committed fraud are totally bogus.
But to give you a sense of how systemic criminal fraud by Wall Street is, you have to realize that it’s not just the Madoff scheme.
They’re Rigging Currency Markets
They’re Manipulating Interest Rates
Interest rates are rigged:
- The big banks have conspired for years to rig interest rates … upon which $800 trillion in assets are pegged
- Local governments got ripped off bigtime by the Libor manipulation
- Libor is still being manipulated
They’re Manipulating Derivatives
They’re Manipulating Oil Prices
Oil prices are manipulated as well.
They’re Manipulating Gold and Silver
The Guardian and Telegraph report that gold and silver prices are “fixed” in the same way as interest rates and derivatives – in daily conference calls by the powers-that-be.
They’re Manipulating Energy Markets
The Federal Energy Regulatory Commission says that JP Morgan has massively manipulated energy markets in California and the Midwest, obtaining tens of millions of dollars in overpayments from grid operators between September 2010 and June 2011.
They’re Manipulating Commodities
The big banks and government agencies have been conspiring to manipulate commodities prices for decades.
The big banks are taking over important aspects of the physical economy, including uranium mining, petroleum products, aluminum, ownership and operation of airports, toll roads, ports, and electricity.
And they are using these physical assets to massively manipulate commodities prices … scalping consumers of many billions of dollars each year.
They’re Manipulating Just About Everything through High-Frequency Trading
They’re Manipulating Numerous Markets In Myriad Ways
The big banks and other giants manipulate numerous markets in myriad ways, for example:
- Shaving money off of virtually every pension transaction they handled over the course of decades, stealing collectively billions of dollars from pensions worldwide. Details here, here, here, here, here, here, here, here, here, here, here and here
- Charging “storage fees” to store gold bullion … without even buying or storing any gold . And raiding allocated gold accounts
- Committing massive and pervasive fraud both when they initiated mortgage loans and when they foreclosed on them (and see this)
- Pledging the same mortgage multiple times to different buyers. See this, this, this, this and this. This would be like selling your car, and collecting money from 10 different buyers for the same car
- Cheating homeowners by gaming laws meant to protect people from unfair foreclosure
- Pushing investments which they knew were terrible, and then betting against the same investments to make money for themselves. See this, this, this, this and this
- Engaging in unlawful “frontrunning” to manipulate markets. See this, this, this, this, this and this
- Charging veterans unlawful mortgage fees
The Big Picture
The big picture is simple:
- The big banks manipulate every market they touch
- Too much interconnectedness leads to financial instability
- The government has given the banks huge subsidies … which they are using for speculation and other things which don’t help the economy. In other words, propping up the big banks by throwing money at them doesn’t help the economy
- Top economists, financial experts and bankers say that the big banks are too large … and their very size is threatening the economy. They say we need to break up the big banks to stabilize the economy
- The big banks own the D.C. politicians … so Congress and the White House won’t do anything unless the people force change