The SEC Covers for the NY Fed's Criminal Behavior?

Thursday, January 14, 2010 , , , , 10 Comments

In case you missed it, the NY Fed might have to explain what exactly went down in the AIG days but if the SEC has its way, they won't have to say a word until at least 2018.

You're kidding me. We have always known the SEC is useless but now it is clear they are also a scam.

Let me guess, it is in the best interests of the unwashed masses to keep this information secret because they just can't handle the truth? We know how much TPTB care about our well-being, right?


It could take until November 2018 to get the full story behind the U.S. bailout of insurance giant American International Group (AIG.N) because of an action taken last year by the Securities and Exchange Commission.

In May, the SEC approved a request by AIG to keep secret an exhibit to a year-old regulatory filing that includes some of the details on the most controversial aspect of the AIG bailout: the funneling of tens of billions of dollars to big banks like Societe Generale, Goldman Sachs (GS.N), Deutsche Bank (DBKGn.DE) and Merrill Lynch.

The SEC's Division of Corporation Finance, in granting AIG's request for confidential treatment, said the "excluded information" will not be made public until Nov. 25, 2018, according to a copy of the agency's May 22 order.

The SEC said the insurer had demonstrated the information in the exhibit, called Schedule A, "qualifies as confidential commercial or financial information."

The expiration date for the SEC order falls on the 10th anniversary of Federal Reserve of New York's decision to provide emergency financing to an entity set up to specifically acquire some $60 billion in collateralized debt obligations from 16 banks in the United States and Europe.

All the banks that got money from the Fed-sponsored entity -- Maiden Lane III -- had purchased insurance contracts, or credit default swaps, on those mortgage-related securities from AIG.

When does it stop, America? The SEC is supposed to protect investors, not participate in fraud with the perpetrators.

As Skeptical CPA might say, bah.

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.


Are you crushed? Imagine, the SEC covering up for AIG's counterparties? Can you believe it?



I am just as shocked as I was when I found out the NY Fed intentionally obscured the details of said AIG bailout.



OldSouth said...

These are the same guys who let Bernie Madoff operate under their noses, yes? Had the Bernie not confessed and turned himself in, he might still be in business, no?

So, we should be surprised?

When does it end? I think we still have some pain to go through before that day. If we manage to install a new Congress next year that reflects just how totally PO'ed we are, we just might have a chance of making it through in an orderly fashion.

Here's good wishes and a few bucks sent toward Scott Brown in MA. If he wins, the ground begins to shift under the feet of HopeyChangey and company a bit.

Good to have you back. You were missed.


Thanks! Feels good to be back and have my shit figured out. As if I could really stay away *that* long, you know this shit gets me off.

As for our friends at the SEC, as IA pointed out, are we really shocked? Nothing surprises me anymore. And that's kind of frightening to admit.


Anonymous said...,8599,1843519,00.html

I think the culture is created by the head ape within these organizations. Just an opinion - like an asshole, everyone has one. Prior to being installed at the SEC, Cox was an Orange County California Congressman and lawyer and now has returned to your neck of the woods. I'm sure it will be to the benefit of Southern California.


P.S. just remember a lesson from Bible study: "So then, you will know them by their fruits" according to good Old Matthew.


Fun Bible fact: did you know Matthew is the first mention in the Bible of accounting? (what a nerd, I know)

I have a my own favorite verse tattooed on my left shoulder in Spanish: "Behold, I send you out as sheep amongst wolves, therefore be wise as serpents and harmless as doves."
(Matthew 10:16)

Funny, I don't think I truly understood that line until i started writing about guys like Cox and Geithner and Bernanke. Still working on the dove part :P

I hope Mr Cox enjoys living out his days getting fat on the farm in SoCal. Prick.

Anonymous said...

"Fun Bible fact: did you know Matthew is the first mention in the Bible of accounting? (what a nerd, I know)"

Cool, I like that. The dude was a tax collector so you know, you start understanding people when you have to deal face to face with the nasties of people and their money. Know the old phrase - "whenever they say that it isn't about the is all about the money".

"I have a my own favorite verse tattooed on my left shoulder in Spanish: "Behold, I send you out as sheep amongst wolves, therefore be wise as serpents and harmless as doves."
(Matthew 10:16)"

You've got the serpent part in spades - try working on that dove part - you have to kiss your grand mother with that mouth of yours afterall. :>)

While I've got your attention and you're the one with the blog....

I've had a theory about part of what is going on is an "offshoring of inflation" for a little while now. I wonder if the folk in charge are actually smart enough to engineer this but when you start looking around the planet in the news, inflation in far a way lands isn't hard to find these days. How it ends? Well, you are a smarter cookie than me, so any guesses?


Anonymous said...

Kind of says something that St. Matt is the patron saint of bankers and he makes those kinds of statements, huh? hahahahahahaha!


Anonymous said...

One last one... I don't want to not mention the Ruskies in the inflation equation.

if anyone gets a chance, could someone instruct me on how to use something called "tiny url (?)"

LOL email me, Jeff, I'll give you a quick primer on linking (at least in Blogger comments) and tinyurl.