CITIGROUP is lucky that Muammar el-Gaddafi was killed when he was. The Libyan leader’s death diverted attention from a lethal article involving Citigroup that deserved more attention because it helps to explain why many average Americans have expressed support for the Occupy Wall Street movement. The news was that Citigroup had to pay a $285 million fine to settle a case in which, with one hand, Citibank sold a package of toxic mortgage-backed securities to unsuspecting customers — securities that it knew were likely to go bust — and, with the other hand, shorted the same securities — that is, bet millions of dollars that they would go bust.
It doesn’t get any more immoral than this. As the Securities and Exchange Commission civil complaint noted, in 2007, Citigroup exercised “significant influence” over choosing $500 million of the $1 billion worth of assets in the deal, and the global bank deliberately chose collateralized debt obligations, or C.D.O.’s, built from mortgage loans almost sure to fail. According to The Wall Street Journal, the S.E.C. complaint quoted one unnamed C.D.O. trader outside Citigroup as describing the portfolio as resembling something your dog leaves on your neighbor’s lawn. “The deal became largely worthless within months of its creation,” The Journal added. “As a result, about 15 hedge funds, investment managers and other firms that invested in the deal lost hundreds of millions of dollars, while Citigroup made $160 million in fees and trading profits.”
Our own government owns 36% of the bank. So did the government fine the government for acting unethically? Maybe they should vote themselves a raise for being so responsible for fining themselves (or us). <sic>
It's yet another inauspicious announcement the Obama Administration didn't want you to hear. Late on Friday, the White House announced that it ordered an independent review of loans made by the Department of Energy to energy companies after months of weathering criticism for its $528 million loan to the now-bankrupt Solyndra solar panel company.
From Keith Broders firstname.lastname@example.org
The 80 most effective criminals on Capitol Hill have seen the net worth of their constituents fall dramatically while their personal assets have skyrocketed. The 39 Republicans on the list saw their assets grow by 168% while the 41 Democrats on the list had increases in their net worth that averaged 756%. This blog will absolutely open your eyes to the criminal activity that is taking place on Capitol Hill.
This is the most important email that I have ever sent to anyone. It is absolutely imperative that the contents of this email be shared by every American. Our liberty and our Constitutional Republic can not be restored until we collectively put our foot down and hold the criminals accountable.
Please visit http://www.quia.com/pages/freeamericanow/gonewild