Courtesy of Jaime Falcon.
Max Keiser interviews Bill Black about Deferred Prosecution Agreements, the disastrous tenure of Lanny Breuer as head of the Justice Department’s criminal division, and London’s exemplary performance in the international regulatory race to the bottom.
Lanny Breuer’s Roadmap for Executives to Avoid White Collar Prosecution: Lanny Breuer recommends hiring an economist, claiming that you are too big to fail, and claiming that innocent employees will lose their jobs if prosecution is pursued.
What Deferred Prosecution Agreements really mean: Deferred Prosecution means non-prosecution and everyone knows that it means non-prosecution. The Justice Department does not prosecute large corporations anymore. This is all about removing deterrence and allowing bankers to commit crimes with impunity.
Why Eric Holder and Lanny Breuer were chosen to head the Justice Department: Holder and Breuer were picked to be marshmallows and they have delivered.
The Financial Services Authority is leading the International Competition in Regulatory Laxity: If you create a competition in laxity, everyone loses. The Eurozone and England and the USA have all been engaged in a competition in laxity. The FSA continues to be the land of the invertebrates. The only way to win a competition in laxity is not to engage.
Brooksley Born on the history of the FSA: As soon as the FSA was created, senior leadership of the FSA began coming to the USA to industry conferences to tell financial sector executors that they should come to London for lax regulation. The same thing happened with IPO’s; London urged US bankers to bring their IPO’s to London to avoid regulation.
Competition in laxity leads to disaster: We have just seen what happens to a nation that wins a competition in laxity; it loses its moral soul and it has repeated financial crises because it attracts the worst pond scum throughout the world and it will have regulatory leaders who will stand by as the pond scum destroys the nation.
Bill Black interview begins at 13:07:
Substance of Lanny Breuer’s presentation begins at 7:35:
Related: Lanny Breuer Admits Economists have Convinced him Not to Indict Corporations
