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PRUDEN: No more Wall Street encores
Washington Times ^ | 16 sept 08 | Wes Pruden

Posted on 09/16/2008 4:28:22 AM PDT by rellimpank

Once upon a time, Wall Street bankers caught in the traps of their own avarice would be searching by now for the taller skyscrapers in town, looking for good places to jump.

Richard Fuld, the chairman of what only yesterday was Lehman Brothers, has a suite of grandly furnished offices on the 31st floor of his building - assuming security has not already been called - but that might not be quite high enough. But the only flier he'll be taking is aboard a jet plane big enough to haul himself and the $22 million bonus he'll collect as he leaves for parts unknown. The door won't even bang his ample rear end on the way out.

(Excerpt) Read more at ...

TOPICS: Constitution/Conservatism; Culture/Society; Government; News/Current Events
KEYWORDS: banks; economy; govwatch

1 posted on 09/16/2008 4:28:25 AM PDT by rellimpank
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To: rellimpank

I would settle for a repeal—for certain extraordinary circumstances—of bills of attainder. People like Fuld should not be able to walk away from their messes into a lucrative obscurity.

2 posted on 09/16/2008 4:38:38 AM PDT by kms61
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To: rellimpank
What about previous administrations at Fannie Mae and Freddie Mac that started the whole mess?
3 posted on 09/16/2008 4:52:10 AM PDT by texas booster (Join FreeRepublic's Folding@Home team (Team # 36120) Cure Alzheimer's!)
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To: kms61

The clown needs his ass thrown in jail. He did great damage to his own employees, the American people and our economy overall.

and now he is going to take the money and run ?

He should be in jail. Right now.

4 posted on 09/16/2008 4:52:53 AM PDT by se_ohio_young_conservative (Reagan conservatism is back ! .. Thank God for Sarah.)
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To: texas booster

These were the FNMA players from 1998-2003 who set the stage to loot FNMA by cooking the books to qualify for mega salaries and bonuses

Jamie Gorelick (Clinton dep AG) = $26 MILLION
“Even though she had no previous training nor experience in finance, Gorelick was appointed Vice Chairman of FNMA from 1997 to 2003. She served alongside former Clinton Administration official Franklin Raines, and earned over 26 million during her six years there. During that period, FNMA developed a $10 billion accounting scandal. One example of falsified financial transactions that helped the company meet earnings targets for 1998, a “manipulation” that triggered multimillion-dollar bonuses for top executives. Gorelick received $779,625. On March 25, 2002, Business Week interviewed Gorelick about the health of “Fanny Mae”. Gorelick is quoted as saying, “We believe we are managed safely. We are very pleased that Moody’s gave us an A-minus in the area of bank financial strength — without a reference to the government in any way. Fannie Mae is among the handful of top-quality institutions.” One year later, Government Regulators “accused Fannie Mae of improper accounting to the tune of $9 billion in unrecorded losses”.

Franklin Raines (Clinton director OMB and current Obama advisor) = $90 MILLION
This guy was Clinton’s OMB director and widely hailed as a genius first African American to hold the job (sound familiar?). His avarice while at helm of FNMA is breathtaking- you must web search to read about this for yourself. There is too much to post. Unsure of whether he was directing his own looting or was a useful tool who was richly paid to allow unfettered teat sucking by others.

James Johnson (Obama advisor) = $21 MILLION (1998 only)

Timothy Howard, CFO = $30 MILLION

The most recent teat-suckers

Daniel H. Mudd b. 1956 is the former President and CEO of Fannie Mae. He holds a B.A. degree from the University of Virginia, and a M.P.A. from the John F. Kennedy School at Harvard University. He had previously been President and Chief Executive Officer of GE Capital, Japan.

He is son of TV anchor, Roger Mudd.

Mudd was dismissed as CEO of Fannie Mae when FHFA stepped in as conservator on September 7, 2008. The government has advised him that his severance package will not be paid.

Richard F. Syron

Richard F. Syron is a former chairman and chief executive officer of the Federal Home Loan Mortgage Corporation, commonly known as Freddie Mac. He previously served as chairman and CEO of Thermo Electron Corp., and as CEO of the American Stock Exchange. Syron was graduated from Boston College with a bachelor’s degree and earned advanced degrees in economics from Tufts University.

He served as assistant to Paul Volcker, then the chairman of the Federal Reserve Board, in 1981 and 1982, and previously served as deputy assistant secretary of the United States Treasury. In that with responsibility for developing the department’s position on all domestic economic policy issues, and extensive interaction with other executive branch agencies, Congress and the public.
In 2004, David Andrukonis, the chief risk officer of Freddie Mac, warned Syron of increasing risk in Freddie Mac’s portfolio. Syron declined to act, citing pressure from congressional Democrats.

In December 2007, Syron told financial analysts that he expected Freddie Mac would incur heavy losses because of the weakening housing market and rising mortgage defaults. Despite these forecasts, and concerns over the fiscal stability of Freddie Mac due to larger-than-expected write-offs, Syron reportedly took home over $19 million in cash, stocks, and other executive compensation in 2007. Mr. Syron was terminated September 6, 2008, under a Federal Housing Finance Agency plan for conservatorship of Freddie Mac. It is unknown as of yet if he will receive a severance package

The regulator of Fannie Mae and Freddie Mac provided details on planned payments to the companies’ recently ousted chief executives.

The Federal Housing Finance Agency, or FHFA, announced Sunday a decision to bar “golden parachute” severance payments to Daniel Mudd, who was ousted at Fannie, and Richard Syron, who was forced to leave Freddie. But an FHFA official said Monday that Messrs. Mudd and Syron still are eligible for the pensions and 401k savings plans they built up while working at the two giant mortgage investors.

Mr. Mudd’s pension and 401k plan has an estimated current value of $5.6 million, the official said, and for Mr. Syron the figure is $4 million. But the FHFA won’t allow additional severance payments of about $2.3 million that could have gone to Mr. Mudd and $10.3 million for Mr. Syron.

Friends of Barack

5 posted on 09/16/2008 5:25:43 AM PDT by silverleaf (Fasten your seat belts- it's going to be a BUMPY ride.)
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To: kms61
"In 1998 Lehman fired my boss ,John Succo, for telling the truth:

"The trouble started when John Succo, trading manager at Lehman Brothers’ equity derivatives volatility desk, agreed to speak at an investment conference sponsored by Grant’s Interest Rate Observer.

After discussing the pricing of risk and the correlation between equity derivatives and the underlying stock market for a while, Succo was asked a question. “I don’t think my boss is here, so I’ll address that,” he responded. “I don’t think that the people running our firm, our equity floor, have any idea of the things that we actually do, of how we...(audience laughter) I’m serious...of how we hedge, the products that we’re involved with, the amount of risk we take or the lack of risk we actually take.”

6 posted on 09/16/2008 5:42:02 AM PDT by Leisler
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To: silverleaf
"Jamie S. Gorelick (born May 6, 1950) is an American attorney and judicial officer who was Deputy Attorney General of the United States during the Clinton administration. She was appointed by former Senate Democratic Leader Tom Daschle to serve as a commissioner on the bipartisan National Commission on Terrorist Attacks Upon the United States, which sought to investigate the circumstances leading up to the terrorist attacks of September 11, 2001. A 1995 Department of Justice memorandum states that the procedures her memorandum put in place, for the investigation of the first WTC bombing "go beyond what is legally required...[to] prevent any risk of creating an unwarranted appearance that FISA is being used to avoid procedural safeguards which would apply in a criminal investigation." (Emphasis added.) The wall intentionally exceeded the requirements of FISA (Foreign Intelligence Surveillance Act of 1978) for the purposes of criminal investigations, and the then-existing federal case law. These rules were, shortly after their creation, expanded to regulate such communications in future counter-terrorism investigations.[3)

Ms. Gorelick eventually recused herself from reviewing her own role in the regulation of information about terrorist activities.[4] Attorney General Ashcroft was incensed before the 9/11 commission to learn that the commission had not investigated or been told of Gorelick's memo or her role regarding the "wall". This assertion was disputed by former senator Slade Gorton (R-WA), a member of the 9/11 Commission, who said, "nothing Jamie Gorelick wrote had the slightest impact on the Department of Defense or its willingness or ability to share intelligence information with other intelligence agencies." Gorton also asserted that "the wall" was a long-standing policy that had resulted from the Church committee in the 1970s, and that the policy only prohibits transfer of certain information from prosecutors to the intelligence services and never prohibited information flowing in the opposite direction.[2]

However, the "Gorelick Wall" barred anti-terror investigators from accessing the computer of Zacarias Moussaoui...........

7 posted on 09/16/2008 5:48:21 AM PDT by Leisler
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To: Leisler
Jamie S. Gorelick, 57, is a partner in Wilmer Cutler Pickering Hale and Dorr LLP, an international law firm since July 2003. Gorelick was Vice Chair of Fannie Mae, financing of home mortgages from May 1997 to July 2003, Washington, D.C. She is a director of United Technologies Corporation, a provider of high technology products and services to the aerospace industry, where she serves on its Finance and Public Issues Review Committees. She also serves on the Boards of the John D. and Catherine T. MacArthur Foundation, and the Carnegie Endowment for International Peace. She is a member of the Council on Foreign Relations and has served on the Schlumberger Board of Directors since 2002. Schlumberger is the leading oilfield services provider, trusted to deliver superior results and improved E&P performance for oil and gas companies around the world. Through our well site operations and in our research and engineering facilities, we are working to develop products, services and solutions that optimize customer performance in a safe and environmentally sound manner.
8 posted on 09/16/2008 5:51:29 AM PDT by Leisler
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To: Leisler

9 posted on 09/16/2008 5:53:55 AM PDT by Leisler
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To: Leisler

I expect if our admnistration and GOP is so cowed by the democrats that they let Jamie Gorelick be a member of the panel investigating 9-11- we can also expect to see her heading a panel to investigate FNMA.

10 posted on 09/16/2008 5:59:31 AM PDT by silverleaf (Fasten your seat belts- it's going to be a BUMPY ride.)
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To: silverleaf

Without evidence to explain such things, the primary motivation factor of stupidity, and in the Re publican’s case, a heavy dose as you noticed, of cowardliness.

11 posted on 09/16/2008 6:28:19 AM PDT by Leisler
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To: kms61
The fact that even Goldman Sachs is teetering on the brink should show just how alarmingly wrong was their entire Global outsourcing world view.

It would be a great pity if they are the only one left standing.

In a just Wall Street...they would have been first to go.

12 posted on 09/16/2008 4:49:29 PM PDT by Paul Ross (Ronald Reagan-1987:"We are always willing to be trade partners but never trade patsies.")
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