Markets

SEC One Step From Banning Flash Trading

The writing has been on the wall for so-called “Flash” trading for several weeks now, as exchanges like NASDAQ and BATS have already ended the practice of allowing certain clients a preferential look at the order flow. Today, though, the SEC voted to move forward on an outright ban of […]
SEC One Step From Banning Flash Trading
Markets

These Are The Five Bank of America Directors Subpoenaed By Cuomo

Yesterday Andrew Cuomo took the unusual step of issuing subpoenas to five current and former directors of Bak of America  as part of his continuing inquiry into its hastily arranged takeover of Merrill. Cuomo has been trying to determine what executives and directors of the bank knew about bonus payments […]
These Are The Five Bank of America Directors Subpoenaed By Cuomo
Markets

Reader: The Story Of A Rift Between Hank Paulson And George Bush Is B.S.

The widely-reported rift between George Bush and Hank Paulson never actually existed, a reader familiar with the matter tells us. It is a figment of the imaginations of journalists and political operatives who were out of the loop themselves. “The Bush-Paulson relationship was fine,” the reader says. Yesterday we reported […]
Reader: The Story Of A Rift Between Hank Paulson And George Bush Is B.S.
Markets

Fed Worried About Commercial Real Estate Exposure At Regional Banks

The Federal Reserve is conducting a broad review of the exposures of the nation’s largest regional banks to the commercial real estate market. The move is spurred by concern over the rapidly deteriorating state of commercial real estate as well as a desire to expand the Fed’s supervision of banks.
Fed Worried About Commercial Real Estate Exposure At Regional Banks
News

Obama’s Poll Numbers Bounce Back

Bit by bit, it looks like Obama’s starting to find his footing again, which means better prospects for big legislation, as well as breathing room for Democrats concerned about 2010.
Obama’s Poll Numbers Bounce Back
Markets

Obama Supports Extending Patriot Act Business Records Snooping

The Obama administration supports extending a controversial provision of the Patriot Act that allows investigators to demand that businesses turn over sensitive financial records, without specifying the investigation’s target or why the files are needed. A company receiving a letter demanding the records is subject to a permanent gag order, […]
Obama Supports Extending Patriot Act Business Records Snooping
Markets

George Bush and Hank Paulson Face Off On The Crisis

George Bush speechwriter Matt Latimer tells the tale of what the economic crisis looked like from inside the White House — and much of it reads like an attack on Hank Paulson, who he describes as “pretty much a nonperson at the White House.” Latimer pins the blame on the […]
George Bush and Hank Paulson Face Off On The Crisis
Markets

Barack Obama Half-Way Endorsed Sheila Bair’s Reform Plan Yesterday

The most important line in Barack Obama’s speech yesterday on the need for new financial regulation may have been his endorsement of Sheila Bair’s plan to form a “financial council” of regulators rather than radical plans before Congress to concentrate all regulatory powers in the Federal Reserve.
Barack Obama Half-Way Endorsed Sheila Bair’s Reform Plan Yesterday
Markets

No, We Haven’t Forgotten About Fixing Wall Street

Thank you all for being here and for your warm welcome. It’s a privilege to be in historic Federal Hall. It was here more than two centuries ago that our first Congress served and our first President was inaugurated. It was here, in the early days of our Republic, that […]
No, We Haven’t Forgotten About Fixing Wall Street
Markets

Let’s Just Roll Out A Toxic Waste Currency

During the depth of the crisis, the idea of paying bankers “in kind” with toxic assets started to gain traction. And since the toxic asset problem hasn’t gone away, it’s still being talked about.
Let’s Just Roll Out A Toxic Waste Currency
Markets

Barney Frank Sounds Smart On Ratings Agency Reform (VIDEO)

It’s so weird with Barney Frank. We can’t think of any other politician who alternates so violently between being amazingly off the mark and dead-on in his assessment of things. This morning on CNBC we liked what we heard with regard to the ratings agencies, and how they could be […]
Barney Frank Sounds Smart On Ratings Agency Reform (VIDEO)
Markets

Bove Slams The Government’s Fuzzy Thinking

As apparently everyone seems to be doing today, Dick Bove is giving his two cents on Obama’s scheduled speech today on financial regulatory overhaul, and calls the government’s thinking over the past year, “fuzzy.”
Bove Slams The Government’s Fuzzy Thinking
Markets

Hey SEC, Stop That Whole Whining Business

Ok SEC, enough already. We got your point and yes, you feel really, really sorry about the screw up of the century. And now, even Madoff is mocking you. Yes, you feel, sad, you feel duped, wounded and scorned. Mostly, you feel ashamed. Ok thanks but stop with the whole […]
Hey SEC, Stop That Whole Whining Business
Markets

How Ignorant Are Shareholders?

The idea that corporate governance reforms that empower shareholders to direct the activities of corporations would make companies more financially responsible was dealt a serious blow by the financial crisis of the past year.
How Ignorant Are Shareholders?
Markets

Peter Cohan: Schumer’s SEC Proposal Won’t Work

Management consultant and professor Peter Cohan is taking aim at Schumer’s SEC revamping proposal. As we wrote last week, the New York Senator wants the agency to be self-funded, but Cohan says that would create too many conflicts of interest.
Peter Cohan: Schumer’s SEC Proposal Won’t Work
Markets

CIT CEO’s Daughter Moves To Washington, DC

The failure of CIT Group to convince financial regulators to provide additional bailout funding has often been chalked up to the relative lack of political connections of its CEO, Jeffrey Peek. But that may now be changing. We’ve learned that Peek’s daughter, Katie, has taken a position with the highly […]
CIT CEO’s Daughter Moves To Washington, DC
Markets

Is The SEC Completely Useless?

We all know that the SEC proved entirely incompetent when it came to catching Bernie Madoff. But until something better comes along, don’t we still need the SEC’s fraud enforcement? Wouldn’t fraud run rampant without a “cop on the beat,” even one as ineffective as the SEC? Maybe not. A […]
Is The SEC Completely Useless?
Markets

Renaissance to SEC: Seeing Madoff’s Fraud Wasn’t Rocket Science

In another mind boggling finding from the SEC’s 477-page Madoff report,  it is revealed that the agency’s examiners, while conducting a routine examination of hedge fund Renaissance, reviewed internal emails that were questioning Madoff’s legitimacy and whether he was involved in illegal activity, but failed to act on it.
Renaissance to SEC: Seeing Madoff’s Fraud Wasn’t Rocket Science
Markets

G-20 Europeans Defeated By Tim Geithner

In meetings in London to set the agenda for the Group of 20 economic meeting in Pittsburgh later this month, Treasury Secretary Tim Geithner scored a major win over Europeans with rival financial reform plans.
G-20 Europeans Defeated By Tim Geithner
Markets

FHA Time Bomb Explodes…Bailout Coming Next!

Mortgage-related losses may push the reserves at the Federal Housing Administration below the level required by Congress. The Wall Street Journal describes this as “a development that could raise concerns about whether the agency needs a taxpayer bailout.” The FHA has played a key role in the government’s attempts to […]
FHA Time Bomb Explodes…Bailout Coming Next!
Markets

The SEC Might Create a “Fraud College”

The SEC screwed up with the rating agencies and also there was that whole Bernie debacle, but wait! It said today it may create a “fraud college”  to train staff to detect market abuses like the Madoff one.  This is an idea that SEC Chairman Mary Schapiro finds “great,” as […]
The SEC Might Create a “Fraud College”
Markets

Confusion Reigned Across Atlantic As Lehman Brothers Collapsed

To hear Hank Paulson tell the story, the collapse of Lehman Brothers was partly do to the fact that the UK financial authorities stepped in to block a rescue bid by Barclays. Paulson has said that during a transatlantic phone call UK chancellor Alistair Darling said he didn’t want to […]
Confusion Reigned Across Atlantic As Lehman Brothers Collapsed
Markets

The SEC Flagellates Itself For Epic Madoff Failure

SEC Inspector General David Kotz has turned over a 450-page report to the agency’s chairman Mary Schapiro, in which he details how the regulators screwed up with Bernie Madoff, failing to uncover the fraud. The SEC released a portion of the report today and it’s pretty incriminating for the agency, […]
The SEC Flagellates Itself For Epic Madoff Failure
News

How To Get Cheaper, Better Health Insurance

One of the most criticised aspects of our health insurance system has been the lack of competition in many regions. As we pointed out a few weeks ago, in many states there simply isn’t any competition at all. There’s just one big insurer who can exercise all sorts of monopoly […]
How To Get Cheaper, Better Health Insurance