Regulatory capture exposed- at New York Fed secret recordings of
Carmen Segarra. This American Life. the same people who published The Giant Pool of Money about the financial crisis. Have published a story about regulatory capture..
Its worth listening to.
This is just as disturbing or even more disturbing. This story is about the findings of lawyer, Carmen Segarra. a kick ass financial investigator.. A senior exec at G.Sxxhs a huge financial firm, said the rules didnt apply to their richest clients..She didnt change a key report..
And she got in trouble.
It turns out that they have an arbitration deal to keep the disputes between banks and the Fed out of the public eye. Should that private system be legal?
Carmen Segarra has joined my mental list of heroic outspoken people.
Why did the Fed fire her? Something is seriously wrong, they should NEVER have fired her.
"When terrorists strike, we are told nothing will ever be the same. The full power of the state is marshalled to prevent a recurrence. If innocent people have to go to jail and basic human rights are violated, so be it. Lives are on the line. But when banks defraud the country into crisis, precious little changes. The bonuses keep coming. Profits keep rising. Regulation remains weak.
If wealthy, guilty people have to remain free to make money, and the living standards of working people have to decline, so be it. It’s just livelihoods on the line.