Monday ReadsPosted: September 29, 2014 Filed under: morning reads | Tags: Death penalty for abortions, Elizabeth Warren, FED, Goldman Sachs, Martha Raddatz, Mary Landrieu, Regulatory Capture, Sherrod Brown, Whistle Blowing 38 Comments
I attended a V to shining V party on Saturday night! It was great to be out among active women’s rights advocates. We also had some great snacks and games. We got to “Pin the Probe on the Politician”. Those pictures are of Bobby Jindal, Bill Cassidy, and Rick Perry all appropriately pinned at various points. I’m continuing my stump for Mary Landrieu and polls show that I’ve got to continue to work to find support and volunteers for her.
As Democratic Sen. Mary Landrieu defends her U.S. Senate seat in Louisiana, a new CNN/ORC International pollindicates the third-term incumbent carries a slim advantage over her closest GOP rival in the general election this November.
But this is Louisiana, and the election system can be complicated. There are nine candidates — Republicans, Democrats, and a Libertarian — on the ballot this November, and if no candidate crosses the 50% threshold, the race moves into a December runoff between the top two contenders.
Landrieu currently falls well below the 50% mark at 43% support among likely voters. Republican Rep. Bill Cassidy comes in second at 40%, according to the survey.
But the poll’s sampling error among likely voters is plus or minus four percentage points, meaning the two candidates are about even.
In a state with large swaths of conservative voters, Landrieu is considered one of the most vulnerable Democrats up for re-election this year. Republicans, eager to take control of the Senate, have focused on the race as a potential pick-up seat. The GOP needs a net gain of six seats to retake the majority.
If the horse race in Louisiana stays relatively the same, Landrieu and Cassidy would be the two candidates heading into the runoff — and that’s when things flip.
The poll indicates that Cassidy would fare slightly better in a runoff than Landrieu, 50%-47%.
“Keep in mind that the electorate in December is probably going to be smaller and quite a bit different from those who turn out to vote in November,” CNN Polling Director Keating Holland said.
I thought I’d bring up something that’s been intriguing me for a few days. A whistle blower–Fed Employee–has pretty much charged the New York Fed with being captured by Goldman Sach’s. The story was first broke by ProPublica. The woman was fired when she released a negative assessment of GS during an examination.
Barely a year removed from the devastation of the 2008 financial crisis, the president of the Federal Reserve Bank of New York faced a crossroads. Congress had set its sights on reform. The biggest banks in the nation had shown that their failure could threaten the entire financial system. Lawmakers wanted new safeguards.
This story was co-published with This American Life, from WBEZ Chicago.
Hear the radio version onthese stations or download the episode now.
The Federal Reserve, and, by dint of its location off Wall Street, the New York Fed, was the logical choice to head the effort. Except it had failed miserably in catching the meltdown.
New York Fed President William Dudley had to answer two questions quickly: Why had his institution blown it, and how could it do better? So he called in an outsider, a Columbia University finance professor named David Beim, and granted him unlimited access to investigate. In exchange, the results would remain secret.
After interviews with dozens of New York Fed employees, Beim learned something that surprised even him. The most daunting obstacle the New York Fed faced in overseeing the nation’s biggest financial institutions was its own culture. The New York Fed had become too risk-averse and deferential to the banks it supervised. Its examiners feared contradicting bosses, who too often forced their findings into an institutional consensus that watered down much of what they did.
The report didn’t only highlight problems. Beim provided a path forward. He urged the New York Fed to hire expert examiners who were unafraid to speak up and then encourage them to do so. It was essential, he said, to preventing the next crisis.
A year later, Congress gave the Federal Reserve even more oversight authority. And the New York Fed started hiring specialized examiners to station inside the too-big-to fail institutions, those that posed the most risk to the financial system.
One of the expert examiners it chose was Carmen Segarra.
Segarra appeared to be exactly what Beim ordered. Passionate and direct, schooled in the Ivy League and at the Sorbonne, she was a lawyer with more than 13 years of experience in compliance – the specialty of helping banks satisfy rules and regulations. The New York Fed placed her inside one of the biggest and, at the time, most controversial banks in the country, Goldman Sachs.
It did not go well. She was fired after only seven months.
So,I should remind you that I used to work for Fed Atlanta. I should also tell you that I’ve thought the NYC Fed has been a prime example of regulatory capture. You can go back into the files to see my dissections of the 2005 financial crisis as well as read my contempt for Gaithner. But, anyway, this story has legs, as they say so I wanted to share some updates.
Segarra found three clear cases where Goldman appeared to be engaged in wrongdoing, but where Fed staff pushed back at her attempts to correct it. The latter two incidents have audio evidence from Segarra’s recordings corroborating them.
The wealthy clients incident
A senior Goldman executive, at a meeting with Fed officials early in Segarra’s tenure, expressed the view that “once clients were wealthy enough, certain consumer laws didn’t apply to them,” in Bernstein’s words; this is corroborated by minutes from the meeting in questions. When Segarra tried to look into the issue further, a Fed colleague protested, saying the executive didn’t say that, or if he did, that he didn’t mean it.
The Santander incident
In early January, Goldman was closing a deal with the Spanish bank Santander, the point of which, Fed regulators discerned, was to take risky assets off of Santander’s hands so as to increase its ratio of capital to assets so as to comply with European regulators. The deal required Goldman to notify the Fed about the deal and get it to sign off, which Goldman hadn’t done.
While Fed officials, including Michael Silva, initially sounded outraged, in the end Silva only brought it up once, at the very end of a meeting with Goldman officials, and in a tone that Segarra found overly deferential. She thought the debrief from the meeting with other Fed officials suggested the Fed feared Goldman retaliation if they were too aggressive. This was despite the fact that Goldman was required to hand over information and the Fed could punish it, including criminally, if it failed to comply.
The most forceful action they considered taking against Goldman for the deal was sending them a letter; Bernstein couldn’t confirm that one was ever sent.
The conflict of interest policy incident
The Fed requires banks like Goldman to have firmwide conflict of interest policies that fit certain requirements. Segarra concluded that Goldman lacked such a policy, not least because Goldman’s staffer in charge of managing conflicts of interest told her the firm’s policy had no definition of “conflict of interest.”
Silva agreed with her. But after he got pushback from another Fed examiner, he changed his view, just as Segarra was about to take regulatory action to force Goldman to adopt a real policy. Silva protested that the bank had a conflict of interest policy, but Bernstein notes that it was “just a few paragraphs long and very general .… We showed it to two experts: former Fed examiners familiar with the Fed’s guidance on this issue. They both said it wouldn’t qualify as a policy.”
Silva urged her to recant her statement that there was no policy, despite the fact that he could have easily overridden her. Segarra suggests this was because, to quote Bernstein, “if she submitted her conclusions, it would create a formal record that her bosses didn’t want.” Eventually, Segarra agreed to say there was was a policy, albeit a “very poor policy,” but privately insisted to Silva that there was “no way this is a policy.” A week later, she was fired.
Elizabeth Warren–the senator at the right place, right time and with the right amount of expertise is calling for investigations. Notice both the Senator and the Whistle Blower are outspoken,intelligent, and obviously moral women.
An influential U.S. senator wants to hold hearings into “disturbing” issues raised by secretly taped conversations between Federal Reserve supervisors and officials at Goldman Sachs Group Inc <gs.n>, a bank the Fed was tasked with policing.
Elizabeth Warren, a Democrat on the Senate Banking Committee, on Friday called for hearings after portions of the recordings from 2011 and 2012 were made public. Fellow Democrat Sherrod Brown, also a committee member, called for a “full and thorough investigation” into the allegations they raised.
I’m hoping this does lead to an investigation and perhaps a call for changes in laws and the regulatory regime. I see that Sherrod Brown from Ohio has also called for congressional investigations.
Sens. Elizabeth Warren (D-Mass.) and Sherrod Brown (D-Ohio) are both calling for Congress to investigate the New York Federal Reserve Bank after recently releasedsecret recordings show the central bank allegedly going light on firms it was supposed to regulate.
Warren and Brown, both members of the Senate Banking Committee, called for an investigation of the New York Fed after Carmen Segarra, a former examiner at the bank, released secretly recorded tapes that she claims show her superiors telling her to go easy on private banks. Segarra says that she was fired from her job in 2012 for refusing to overlook Goldman’s lack of a conflict of interest policy and other questionable practices that should have brought tougher regulatory scrutiny.
Finally, a right wing forced birth zygote fetishist who will fess up to wanting to kill doctors, women, nurses, and any one else who might be associated with an abortion. We’ve always known they were pro death penalty for any one that steps out side their narrow world. The National Review’s Kevin D. Williamson wants them all “shot or hung”.
So this morning on Twitter, this happened; National Review writer Kevin D. Williamson made the real “pro-life” agenda very, very clear, expressing his opinion that women who have abortions should be put to death — by hanging. And not just the women; he says the doctor who performs the abortion, the nurses who assist, and the hospital staff who enable it should also be executed.
This was not satire, or a “joke.” He really believes this, as you’ll see if you read the following Twitter collection from the bottom up.
Is it more or they just getting more out there and obvious all the time? I think they just want women to shut up and go away. Oh, in an interesting turn of events ABC’s Martha Raddatz cut off Rick Perry in mid conspiracy theory rant. Do you suppose they’re actually going make a practice of this?
ABC News host Martha Raddatz on Sunday cut off Texas Gov. Rick Perry (R) after he spent four minutes defending a conspiracy theory that President Barack Obama was plotting to fill up the United States with undocumented immigrants.
Speaking to Fox News last week, Perry had asserted that the president was responsible for the growing crisis of women and children immigrants coming across the border.
“We either have an incredibly inept administration, or they’re in on this somehow or another,” Perry opined. “I mean I hate to be conspiratorial, but I mean how do you move that many people from Central America across Mexico and then into the United States without there being a fairly coordinated effort?”
During a Sunday interview on ABC News, host Martha Raddatz gave the Republican governor a chance to back away from his conspiracy theory.
“Governor, do you really believe there’s some sort of conspiracy to get people into the United States by the federal government, by the Obama administration?” Raddatz asked.
“When I have written a letter that is dated May of 2012, and I have yet to have a response from this administration, I will tell you they either are inept or don’t care, and that is my position,” Perry said, doubling down on the theory. “We have been bringing to the attention of President Obama and his administration since 2010, he received a letter from me on the tarmac… I have to believe that when you do not respond in any way, that you are either inept, or you have some ulterior motive of which you are functioning from.”
The former Republican presidential candidate added that his theory was proved by the fact that the president had not responded to his letter, and had not deployed drones to the border.
“Unless we secure our southern border, this is going to continue to be a massive amount of individuals that are coming to the United States,” Perry warned. “And, frankly, we don’t have a place to house them as it is. And if we have a major event, a hurricane that comes in to the Gulf Coast, I don’t have a place to be housing people who are displaced because this administration…”
At that point, Raddatz interrupted Perry and ended the interview.
I will once again point out that it was MARTHA Raddatz and not GEORGE that stepped in and actually acted embarrassed to question an obviously whacked set of answers to a legitimate question.
I think I’m finding a pattern of a need for more women in positions that matter.
So, that’s it for me this morning! What’s on your reading and blogging list today?
Kudos to Martha Radditz for pulling the plug on the Perry interview! Listening to that tripe is wearing. Too bad more journalist don’t employ the same tactic when these nutjobs are offered a forum to spew their nonsense in order to be judged “fair and balanced”.
Listening to some of these crazies can often be amusing. However, there are too many out there who take the insanity seriously. I am talking to you Fox News!
Don’t let the facts get in the way, just say whatever is on your empty mind and you will more than likely go unchallenged. Which is why we are still arguing over Obama’s birthplace almost 7 years later.
I have steered clear of most of these “talk shows” in the last few years since we hardly ever learn anything from these “make believe” debates. And for those shows that insist on dragging out Grandpa McCain and his consort, Lindsay Graham, just not worth the time.
They can’t find a Republican any more that’s grounded in reality or will speak truth to their whacko base. The voting base demands adherence to religious fascism and the donor base to VooDoo Economics.
Super good reads this morning. I’ll have to print a few for the files……..who is the native American woman in this morning’s read?
How is your Temple? Good news, all finished with gardening, over. Gave hundreds of pounds away to Homeless Shelter, and to everybody in my hood. Canned, froze, and dried a lot too. Sunflowers (most of them) went to kindergarten and first graders, along with pumpkins. I kept a dozen mammoth ones for my birds this winter. Lots of Pumpkins seeds to do yet.
Unfortunately, most of the names on the pictures I find of vintage women have been lost to history. However, this is what I found on the Native American woman.
Pretty Nose, a Cheyenne woman. Photographed in 1878 at Fort Keogh by L. A. Huffman.
BTW, the woman up there with the six shooter is Pat Garret’s wife and she’s holding the gun he used to kill Billy the Kid.
Gee, it doesn’t look so great for Mary Landrieu. I hope her numbers improve over the next month!
Thanks for explaining the NY Fed story. I had seen some headlines about it, but didn’t delve into the articles. I’m not at all surprised that Tim Geithner was giving special treatment to Goldman Sachs and other banks.
Misogynistic Right-Wing Columnist Tells Young Women That They Are Too Dumb To Vote
what an ass!!!
HBO’s Last Week Tonight, host John Oliver presented an informational segment on the enduring influence of libertarian writer Ayn Rand on politicians and captains of industry, asking, ‘Ayn Rand: How is she still a thing?”
Noting that Rand is popular with conservatives, despite the inability by many of them to pronounce her name correctly, the narrator explains that Rand became famous for her philosophy of objectivism, “which is a nice way of saying, ‘being a selfish asshole’.”
Rand is shown in interview saying, “Why is it good to want others to be happy? You can make others happy and when and if those others mean something to you selfishly.”
Ah, yes, the suffering young men excluded from the abortion debate. Tough. They should have worn condoms properly. Once they can grow babies inside their own bodies, they can be included in the abortion debate.
It looks like Janicen could be right about a serial killer in Virginia. Jesse Matthew, the man who is charged with abducting 18-year-old UVA student Hannah Graham has been linked through forensic evidence with Morgan Harrington, a Virginia Tech student who was murdered in 2009.
Matthew was investigated for rape when he was a student at Liberty University in 2002. He was expelled but never prosecuted.
Never said better!
George Zimmerman’s Dad: If FBI Comes For My Son, ‘He’s Probably Gonna Shoot A Few Of Them’
Why do we keep ignoring men with mental health issues in this country? Why do we have to wait until they kill–or in this case keep killing–and then dump them in jail?
If he does shoot a few of the FBI men, he won’t get off this time.
Big break in the Hanna Graham (UVA student) disappearance case. Police have a forensic link from the suspect currently in custody to the disappearance/murder of Morgan Harrington, a Virginia Tech student who was abducted and murdered in Charlottesville in 2009. One wonders how many others there have been.
I just posted that, mentioning you. There probably are others. Five years would be a long time between killings. I need to look at the list of victims again. I think I saved it. Plus, Matthew was accused of rape in 2002.
I see it now. Thank you. Morgan Harrington’s family lives near my brother and his family in Roanoke. My niece’s husband went to school with her. I’m so happy that they may get some closure out of all of this and that it seems like Virginia just became a lot safer place for young women.
Too bad Matthew wasn’t arrested and charged in 2002.
Exactly! Just another college football player accused of sexual assault case that gets swept under the rug. At least Liberty U. kicked him out but maybe that led to him developing more of a hatred of female college students.
Jesse Matthew was working as a taxi driver in 2009 when Morgan Harrington disappeared.
Samantha Clarke from Orange Va disappeared in 2010 and people have always wondered if there was a link to the Morgan Harrington murder in ’09.
Randy Allen Taylor is a suspect in her case. He knew Clarke and had been with her before she disappeared.
Oh right! He’s the one who was convicted of abducting Alexis Murphy. I’m pretty sure they have never found her either.
Kansas’s mid-term elections are a referendum on supply-side economics
Boston cop with racist, homophobic, pro-rape Facebook page busted by local TV
He is a transit cop. Those guys are known for harrassment of women and black people. That’s really shocking.
White House intruder made it into the East Room, overpowered Secret Service agent.
Here we go again, same old, same old at the Supreme Court 5/4 to restrict voting rights in Ohio. No oral arguments, decision not based on merits of the case. Ohio Republican, Sect. State declared an emergency, and got it fast tracked to the supreme court, even though the 6th Circuit court approved the early voting. I don’t have to tell you who the five where that rushed to push this. I thought it was the following June when they would give their verdicts and arguments, but in this case, the response was faster than flying dicks.