It ain’t over, but the fatcats are singing

Posted on September 16, 2009


Exactly how horrifically do people in this country need to be raped before they’ll stand up and fight back.

After a year of “this shall not happen again,” and “we cannot let the greed continue,” and “this crisis resulted from a lack of effective regulation of the banking and insurance industries,” the much-ballihooed reform of Wall Street is, systematically, going nowhere.

Tougher financial rules that seemed inevitable after last year’s crisis have been stymied by industry lobbying, government turf battles and a stabilizing banking system. Not only are the lobbyists winning, the slack-jawed, self-preserving corporate whore-puppets who call themselves Congressmen are laying down for it like bitches in heat.

Each of the crises of the past 25 years — the collapse of the savings and loan industry, the Internet-stock bust a decade later and last year’s credit-market meltdown — were the result of dismally inadequate regulation, says Eugene Ludwig, a former bank regulator who worked in the Treasury Department during the Clinton administration. “The failure has been government’s inability to restrain bubble growth, and then often reacting with the wrong medicine,” he says.

Among other things, the Obama administration’s plan would do away with one bank regulator, but leave multiple agencies in charge of bank supervision. It calls for collaboration between the Securities and Exchange Commission and the Commodity Futures Trading Commission, but stops short of combining the agencies — even though their missions are increasingly similar. And the administration would impose more controls on the largest banks’ risk-taking, but would still view them as “too big to fail.”

This country came within heartbeats of utter financial decimation less than one year ago.  Today, with hundreds of billions of taxpayer dollars in their pockets — which they’re NOT distributing into the national economy the way they were supposed to — are sitting back on their bloated asses, counting the interest on the ridiculously over-inflated bonuses they got but didn’t deserve.

Wall Street is laughing at us, people.  They’re laughing all the way to the Cayman Islands bank where they’ve stashed the money they stole from us.  And they’re laughing because they’re not only going to get away with it, but the system of status-quo is setting up to let them do it again in the future.

And our politicians strut around as though they’ve done something other than placate the pathetically easily manipulatable sheep of this country who can’t be bothered to get off their ass and take the country back as long as drive-through is open, the Krispy Kremes are fresh, and their iPods are new.

President Barack Obama, whose plan has yet to get off the ground in Congress, renewed the push for financial reregulation in a speech on Wall Street Monday. His proposals would “make certain that markets foster responsibility, not recklessness” and “reward those who compete honestly and vigorously within the system, instead of those who are trying to game the system,” he said.  The pace of negotiations in Congress will pick up in the weeks ahead. Democrats, who have been consumed by the health-care debate, want to complete a financial overhaul bill by the end of the year. The first piece of legislation to be taken up by the House Financial Services Committee will be the creation of the consumer product agency. The idea is opposed by bank lobbyists, Republicans and some conservative Democrats who say it will drive up costs for businesses and consumers.

And the “distinguished members of Congress” — with a fresh roll of lobbyists’ dollars in their pockets — are giggling and saying, “How quaint.”