Friday, September 26, 2014

WOW Secret Goldman Sachs/Federal Reserve Tapes Emerge

Michael Lewis reports for Bloomberg:
[T]he radio program "This American Life" will air a jaw-dropping story about Wall Street regulation, and the public will have no trouble at all understanding it.

The reporter, Jake Bernstein, has obtained 46 hours of tape recordings, made secretly by a Federal Reserve employee, of conversations within the Fed, and between the Fed and Goldman Sachs. The Ray Rice video for the financial sector has arrived...

I don't want to spoil the revelations of "This American Life": It's far better to hear the actual sounds on the radio, as so much of the meaning of the piece is in the tones of the voices -- and, especially, in the breathtaking wussiness of the people at the Fed charged with regulating Goldman Sachs. But once you have listened to it -- as when you were faced with the newly unignorable truth of what actually happened to that NFL running back's fiancee in that elevator -- consider the following:

1. You sort of knew that the regulators were more or less controlled by the banks. Now you know.

2. The only reason you know is that one woman, Carmen Segarra, has been brave enough to fight the system. She has paid a great price to inform us all of the obvious. She has lost her job, undermined her career, and will no doubt also endure a lifetime of lawsuits and slander.


  1. Ms. Segarra is the Edward Snowden of the financial world. You have to respect her willingness to put it on the line for what is right. Doing the virtuous thing on Wall Street must be a very lonely feeling.

    Much like Snowden, I suspect Segarra will be marginalized at best, and probably involved in a fatal "accident" under mysterious circumstances in the near future. She might want to think about moving outside the US permanently. The woman knows too much about the corruption of some very wealthy and powerful crooks.

    1. Mr. Cohan Responds On His Silver Rigging Exposé - Two US National Publications Refused the Story

      Apparently Mr. William Cohan, a highly respected journalist, did look at all the relevant information he had been provided, and decided to write a story about rigging in the silver markets.

      It was submitted and refused by at least two US publications which refused to run it.

      Based on past history, one might assume the two national publications that refused to publish it were on the order of The New York Times, and perhaps Bloomberg News or even possibly Forbes.

      The actual reasons that they gave for refusing to publish the story are not stated. One can assume they were not sufficient for Mr. Cohan to decide to take his name off of it in his professional judgement, so we can only surmise.

      So we cannot tell if this was editorial scruples, a failure in fact checking, or just good old fashioned minding of one's place.

      Insiders never speak ill of insiders.

      Bill was good with publishing the piece at ZeroHedge with his name on it. So he apparently still had confidence in what he had written.

      That speaks volumes.

      go read The Brass Check

      ...has been going on a long time.