Wednesday, June 12, 2013

Obama Cans Regulator Who Crossed Wall Street

Obummer Strikes Again! Anything to Make Life Easier for Wall Street Banksters and Scam Artists...

From Common Dreams:
Ouster is a gain for big bankers advocating lax oversight 

The Obama Administration is quietly firing Commodity Futures Trading Commission head Gary Gensler, who ran afoul of big banks by pushing for greater government oversight.

The ouster comes in the midst of controversy over a proposed CFTF rule, strongly supported by Gensler, that would extend U.S. regulation to swaps--a kind of derivative exhange--involving firms founded or doing business in the United States. This means that foreign banks and hedge funds would face the same regulations as U.S. ones when trading in swaps with U.S. parties.

Wall Street fiercely opposes this regulation on the grounds that it discourages trade. Yet, supporters insist the regulation is necessary to give a modicum of oversight to vast swaths of the derivatives market marred by the same lack of regulation that paved the way for the 2008 economic collapse.

Gensler was set to meet with European regulators June 20, and his dismissal could seriously jeopardize this proposal, the Huffington Post reports.

This is not the first time Gensler has clashed openly with bankers. The Huffington Post describes his tenure:
A former Goldman Sachs executive who was viewed skeptically by some liberal lawmakers when he was first nominated in 2009, Gensler has become perhaps Wall Street’s leading foe as he has sought to curb risk and expand transparency and competition in the previously opaque market for a type of derivatives known as swaps.
Gensler has transformed a once-unknown agency to one at the forefront of financial regulation as CFTC rules are shaking up a marketplace unaccustomed to government supervision. His rules threaten to decrease profits at the nation’s largest banks as formerly unregulated activities are forced to comply with provisions that help buyers compare prices and compel banks to stump up more cash to back their trades.
Gensler will be replaced by former senate staffer Amanda Renteria, who worked briefly for Goldman Sachs and has little financial oversight experience.

2 Comments:

Blogger Jefferson's Guardian said...

Well, that's par for the course, isn't it? Once anybody has the balls to confront the true villain and cause of our economic malaise, he's immediately called in on the carpet or, worse, bureaucratically "disappeared", so that the banksters can continue their assault against the American people unimpeded.

The corporate-state is as corrupt as, if not more than, the worst that the former Soviet Union offered. And just as every corrupt system in history has perished, so will this one. It's only a matter of time before the weight of its own self-imposed greed totally crumbles the democratic supporting structure holding it up. We're already seeing major cracks and fissures, and they're getting worse with each passing day.

Hold on.

6:00 AM  
Blogger Father Tyme said...

AH...but this system JG, has in place a nice set of backups for the wealthy so when it routinely fails, the backups kick in and in a few years, they're back to their good old corrupt selves.

The Soviet Union didn't have that. But it looks as though they're learning.

The only sure way to stop this and prevent future hapenings is to eliminate the people involved by jailing them for years or removing them from society completely. Don't ask which I favor because I feel the same way toward the NSA.

And strict laws (Glass-Steagle) among others need re-instituted and others created to insure massive penalties to ALL involved it never happens again.

BTW, I put a tooth under my pillow. I'm sure the tooth fairy will leave me a quarter! Can't wait!

1:33 PM  

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