Friday, May 23, 2014

BANKS - Justice Department, 'No Bank is Too Big to Jail'

"Will Justice Department’s crackdown on Credit Suisse lead to more bank prosecutions?" PBS NewsHour 5/20/2014


JUDY WOODRUFF (NewsHour):  Credit Suisse is the first big bank in more than two decades to plead guilty to a felony crime in the U.S.  The Department of Justice announced the charges late yesterday, saying the Swiss bank had conspired to aid tax evasion over decades by helping thousands of people hide wealth.

Credit Suisse, which has an American investment bank, will pay $2.6 billion in penalties.

Attorney General Eric Holder has been emphasizing of late that — quote — “No bank is too big to jail.”

The Credit Suisse case, he said, was a good example.

ERIC HOLDER, Attorney General:  This announcement should send a firm and unequivocal message to anyone who would engage in dishonest or illegal financial activity that the Justice Department doesn’t and we will not tolerate such activities.

When a bank engages in misconduct that is this brazen, it should expect that the Justice Department will pursue criminal prosecution to the fullest extent possible, as has happened here.

JUDY WOODRUFF:  Holder’s comments come after many experts have frequently asked about why the Department of Justice has not pursued more serious charges against some of the banks connected with the financial crisis.


"Former treasury secretary reflects on ‘deeply unfair’ nature of financial crisis recovery" PBS NewsHour 5/22/2014


SUMMARY:  Timothy Geithner, key architect of the government’s response the financial crisis, joins Gwen Ifill to discuss his new book, "Stress Test: Reflections on Financial Crises."  As the former treasury secretary, Geithner offers perspective on the government’s response to the crisis, what response Americans deserved and how close the country came to another Great Depression.

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