Comments on: By Dismantling Banking Rules, U.S. Government Has Guaranteed Future Financial Travails

By: Desperate for Capital, the FDIC Backs Away From Tougher Rules Governing Private Equity Purchases of Failed U.S. Banks

Tue, 15 Dec 2009 14:07:26 +0000

[...] the federal government’s proclivity for weakening banking regulations – a willingness we’ve repeatedly warned will have dire consequences for the U.S. financial system, as well as for the broader [...]

By: Desperate for Capital, the FDIC Backs Away From Tougher Rules Governing Private Equity Purchases of Failed U.S. Banks

Fri, 28 Aug 2009 07:24:04 +0000

By: Dr Sebastian Uremadu, Associate Professor in Banking and Finance and Nigeria's financial economic seer, MOUAU,Nigeria

Wed, 17 Jun 2009 17:08:46 +0000

In the same vein, Nigerian banks over the years involve themselves in interlocking directorate banking just like their American counterparts, where bank holding companies engage in direct commerce-trade, import and expot goods, as well as do do other non-financial activities thereby exposing them to failure. This has to be regulated now as we have seen what negative effect this has had on banks leading to the ongoing global financial turmoil that started in America in 2007 to spread globally. Banks should concern themselves with the traditional banking business of mobilising deposits and lending to investors to grow the economy. In Nigeria, banks hike interst rates and rather divert loanable funds to non- finance holding companies leading to availability of excess liquidity and at the ame time banks make profits. This distorts the banking system. This is unethical hence the domestic economy suffers from lack of credits and this has negatively affected growth. I hope Nigeria should take a cue from America in regulating banks in this aspect.Thank you.

By: Bob Veigel

Bob Veigel — Sun, 14 Jun 2009 23:22:49 +0000

People are always looking for some scapegoat to blame for all of our 'messes'. This time it is 'private equity firms'. But who gave those firms the ability to do that? Government and mainly Congress. And who year after year spent recklessly and permitted the National debt to get out of hand? Congress.
And by doing that reckless spending what happened to our earnings and savings? Devaluation. And who caused that? Congress. Folks, if you want to blame someone, why not government and Congress? Fear or what? Just remember, government is not your friend. It is a parasite that lives of your sweat, toil and tears. Will we ever wake-up to this reality?

By: Stan

Stan — Wed, 10 Jun 2009 20:22:37 +0000

Shah Gilani has hit the nail on the head. While the Glass-Steagall Act was in place, it kept banks from being floating crap and con games, like Sandy Weill's Citigroup – Traveler's – Primerica became after the banker's paid the Congress to get rid of the Act.
Now, after they foisted all their cons on the public, the fraud became evident and it all crashed in '08, they're trying to con the Congress again to pay off their losses and give them seed money to start over again.
Glass-Steagall worked pretty well over a very long time, but it was in impediment to unbridled speculation. That's the reason it got dumped and that's the main reason our economy is in shambles.
Stan

By: By “Shopping” for Regulators, Private Equity Firms Have Discovered How to Buy Banks – Leaving Taxpayers With All the Risk

Wed, 10 Jun 2009 10:14:06 +0000

[...] for the U.S. financial crisis, which appears elsewhere in today’s issue of Money Morning, please click here. The story is available free of [...]