banking

Iceland releases Report on Financial Crisis

Only from the land of the Icelandic sagas could such a story unfold. Homer would be proud to claim this epic tale as his own. Alas, while Greece will have its day, this one belongs to the Vikings.


Yesterday morning, Iceland released its long awaited report on just what happened with its banks. It now turns out the banks’ assets were overstated by ISK 7,400 billion before the collapse (approx US $59 Billion dollars). Iceland's annual GDP is - give or take - roughly US $19 billion.


The report is widely believed to be opening the door for criminal prosecution - but current cynicism in Iceland believes the billionaires are going to get away, making the fishermen pay for the mess. Several sections of the actual report are in English including an English language summary:


Report of the Special Investigation Commission (SIC) - English Skýrsla rannsóknarnefndar Alþingis - Icelandic

Former Prime Minister (1991-2004) Davíð Oddsson, largely responsible for the privatisation of Iceland's banks and the abolishment of the National Economic Institute, fled the country just three days before the report was released. Icelanders don't think that was coincidence.

First Iceland, then the World



The public is angry. Why should the public pay for the bankers mistakes. Iceland blogger Halldor Sigurdsson

Who cleans up the mess when ignorant, greedy bankers rack up massive debt then go broke? The people of Iceland made a strong statement Saturday. The sins of big bankers and government regulators shouldn't fall on the citizens. By a 93% to 2% margin, they voted down a proposal requiring them to cover bad debt incurred by one of the nation’s oldest and largest banks. Covering the debt would have cost Iceland's 317,000 citizens around $17,000 each.

Iceland's national referendum was the first opportunity for the people of any nation to vote directly on who pays when the financial elite fail.

As citizens voted, Iceland's Prime Minister was dismissing the importance of the vote and promising to negotiate a payment scheme obligating citizen subsidies for bad debt created by Iceland's beyond-bad bankers.

Icelanders are struggling with a collapsed economy. Businesses are failing at a startling rate, unemployment is soaring, and the prospects for the future are simply not there. Yet the British and Dutch governments demand that their swindled citizens receive compensation from beleaguered Icelanders. Where were the British and Dutch central banks and politicians while their citizens were being fleeced? Aren't the rulers of these countries aware that the failed Icelandic bank was owned by wealth investors, not the citizens?

A serious protest, Oregon sues Oppenheimer

Sick of hearing about Tea Party Protests -- about Taxes going down?

Here's some "Protest News" that is worth knowing about ...

Oregon sues fund company for college savings losses
AP Executive Morning Briefing - April 14, 2009

SALEM, Ore. (AP) — State officials are seeking $36.2 million in damages from OppenheimerFunds Inc., which managed a fund responsible for steep losses in the Oregon College Savings Plan. Officials said in a statement Monday that risky, "hedge-fund like" investments cost the Oppenheimer Core Bond Fund 36 percent of its value last year — and 10 percent more so far this year.

(emphasis added)

Elizabeth Warren pursues Oversight, through TARP Maze

originally posted 2009-04-12 21:29:02 -0500, bumped by carol

Elizabeth Warren was appointed chair of a newly created Congressional Oversight Panel (COP), which is charged with keeping tabs on the $700 billion bailout of the financial sector - including Troubled Assets Relief Program (TARP).

Warren however, has had some "Trouble" getting straight forward answers ... as she explained to the Boston Globe:

Keeping tabs on the bailout

By Elizabeth Warren -- April 12, 2009

    Elizabeth Warren: There's a major problem and a minor problem. The minor problem is documentation. I've spent four weeks now looking for someone who can give me the details of the stress test so that we can do an independent evaluation of whether the stress test is any good.

    We get: "someone will call [you] right back." Only the call doesn't come. The major problem is ...

What's next for Republic Windows & Doors Workers?

What happened at that Chicago manufacturing plant brought back alot of memories of how extremely talented workers fought for what they knew were their rights, decent wages for their labor, on the job safety, trading wages for benefits like health and welfare directly and much much more. Fights that shouldn't have really happened in a real model of capitalism where all should share directly in the quality and growth of their work and the companies they work for.

We need to return to that pride in company and product, quality products and customer service, correcting the defaults, and growth for all, owners, workers, and investors.

Making a Difference, by Doing the Right Thing!

After Evicting thousands of Families in the last year, and enduring many gut-wrenching episodes, at the bequest of the Big Banks -- Illinois Sheriff Tom Dart, finally said:

ENOUGH!

Rachel Maddow thanks Tom Dart

http://www.youtube.com/watch?v=J7w0x09vFlc

Jocelyn's House Saved From Mortgage Auction

Promoted. -- GH

Now she has the time to Grieve for her Son, Killed in Iraq only a short time ago, Her Reality!!

I was just sent the following:

Friday was an historic day. At 11am, Jocelyne Voltaire was scheduled to lose her home in Queens Village, the home she had lived in for the past 20 years, the home where she raised her four children. Unable to keep up her skyrocketing mortgage payments, Jocelyne watched in horror as her home was put on the auction block. This amazing video clip by American News Project brought Jocelyn's plight to our attention.

Freddie, Fannie And Friends

The wonderful world of our capitalist society, small c for the few that capitalize!

With trouble brewing inside mortgage giants Freddie Mac and Fannie Mae, Armen Keteyian reports that the nation is learning more and more about the companies and their friends in high places.

Well, Well, A Bright Shining Light in Banking Troubles

This is a Good one, and what with the way our so called Capitalist Economy has been running for years now, I'm gonna enjoy reading this list, Really Enjoy!

Super Rich Tax Cheats Outed by Bank Clerk
Technician in Liechtenstein Turns Over Names of Americans With Secret Bank Accounts

What we could do with a few more honest disgruntled bank employee's

The Crash is past. Comes now Inflation.

-- originally posted 2008-03-02 20:23:36 -- bumped, cho

Seems to me a lot of people don’t realize the worst financial crash since 1929 has already occurred. I suppose they are waiting for a big explosive fireball and a lot of noise like in a Hollywood movie, or for the nightly news on their wide-screen televisions to show pictures of desperate bankers and brokers splattered on the sidewalks in front of 60-story temples of finance.

This diary is my humble little attempt to let these people know that the crash has already happened. It began in August. I guess they didn’t notice, but a number of financial markets have already collapsed. First, of course, there was the derivatives based on sub-prime mortgages. That seems to be about where the common consciousness stops. But before U.S. Secretary Treasury Hank Paulson and Federal Reserve Chairman Ben Bernanke (a.k.a., Captain Carnage) even lifted a finger to try and sort out the sub-prime mortgage mess, they first had to deal with the collapse of the market for Structured Investment Vehicles. Since these two crises began last summer many other financial markets have also collapsed: corporate junk bonds, asset-backed commercial paper, municipal bonds. This last was saved just last week by New York State Insurance Commissioner Dinallo basically forcing Moodys, S&P and Fitch to give AAA ratings to the monolines insurers. All these markets have pretty much ceased functioning, with not even the banks that created some of this stuff willing to buy their own product. Financial institutions have also been disappearing, especially a number of hedge funds, the most recent being this past week: Peloton, a London-based hedge fund specializing in asset-backed bonds.

CommercialPaperCollapse

World on the Brink- Depression or Hyperinflation

In August 2007, an obscure bank in Germany disclosed that it had suffered crippling losses on some financial instruments it held, which were based on a pool of sub-prime mortgages in the United States. Within days, traders in financial markets around the world were panicking as they found it nearly impossible to determine which other banks might be having the same problem, and just how large that problem was. Central banks around the world poured in money to calm troubled financial markets, and U.S. Treasury Secretary Henry Paulson made a show of declaring that the problems of the U.S.