The Case for Globalization: The Bankers are Running Free

Friday, September 04, 2009 , , , 0 Comments

Good one, Geithy, I guess point to your agenda on this.

FT is calling for justice but may be a bit lost along the way:

[A]nother key problem is a lack of knowledge in Western courts about complex finance. That makes it time-consuming to hear cases. It also makes verdicts unpredictable.

Some senior figures in the financial world are looking for solutions to this. Jeffrey Golden, a prominent lawyer who helped to create the modern derivatives world, for example, thinks there is an urgent need for a specialist, cross-border financial court (in much the same way, say, that there are specialist family or trade courts.) This, he argues, could be staffed by former derivatives experts and lawyers, since these not only understand finance but also have a vested interest in ensuring that their beloved derivatives business is built credible foundations.

But there seems limited chance that Golden's sensible suggestion will fly soon. Right now, in other words, the Western financial system is stuck with a legal structure that seems ill-equipped to cope.

I agree the bankers should hang. I don't agree that the EU should factor into how we hang the ones that belong to us. Let them hang their own.

Jr Deputy Accountant

Some say he’s half man half fish, others say he’s more of a seventy/thirty split. Either way he’s a fishy bastard.