Coordinating incentives to push high risk mortgages, packaging loans to hide the nature of toxic risk, rating the SIVs, pushing the SIVS on mom, pop, pensions, and then betting against the SIVs with CDS was not illegal ?
Perhaps individually this may be the case, but there had to be coordination, collusion, agreement, etc which allowed this to occur for so many years.
By having FRE and FNM take on the paper it actually enabled Wall St to continually play the game.
Oh and let’s not forget the banks payed more money for favorable ratings on their toxic asset vehicles.
Furthermore, all the whistle blowers were fired, black listed, excommunicated, and ignored.
The RICO ACT explains the crime committed & Danny Schechter does a good job of showing how it was pulled off.
If you enjoy the content at iBankCoin, please follow us on Twitter
Can’t piss off your largest campaign contributors.
Don’t remind me…
It is quite sad that we call all this progress.