Why No Wall Street Prosecutions? It’s ‘Just Too Hard’

lloyd-blankfein-successorAre the architects of the financial crisis immune to prosecution simply because it would be too complex? So says an ex-official from the Justice Department. ProPublica writes:

Years after the financial crisis, there have still been no prosecutions of top executives at the major players in the financial crisis. Why’s that? Well, according to a now-departed Justice Department official who used to be in charge of investigating such matters, the Justice Department has decided that holding top Wall Street executives criminally accountable is too difficult a task.

David Cardona, who recently left the FBI for a job at the Securities and Exchange Commission, told the Wall Street Journal that bringing financial wrongdoing to account is “better left to regulators,” who can bring civil cases:

While at the FBI, Mr. Cardona oversaw dozens of criminal probes of large financial firms. The FBI’s probes haven’t led to any successful prosecutions of high-profile executives in relation to the financial crisis, despite demands from some lawmakers and angry Americans. In contrast, the SEC has filed crisis-related civil-fraud cases against 81 firms and individuals, and it has negotiated almost $2 billion in penalties in cases that have been settled.

Cardona told the Journal that the failed first attempt to charge financial players with crisis-related fraud — the 2009 trial and eventual acquittal of two Bear Stearns Cos. hedge-fund managers — triggered “a lot of rethinking on how we do things.” After that, he said, the federal government began to question its “ability to convince a jury that criminality has occurred” on complex and technical financial cases.

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26 Responses to Why No Wall Street Prosecutions? It’s ‘Just Too Hard’

  1. Calypso_1 December 8, 2011 at 9:48 am #

    Trial by ordeal – problem solved.

  2. Anonymous December 8, 2011 at 1:48 pm #

    Trial by ordeal – problem solved.

  3. Don Blackshock December 8, 2011 at 10:17 am #

    There’ absolutely no justice in this country, there’s just us…

    • Calypso_1 December 8, 2011 at 10:29 am #

      You get a line, I’ll get a pole.

  4. Don Blackshock December 8, 2011 at 2:17 pm #

    There’ absolutely no justice in this country, there’s just us…

  5. Anonymous December 8, 2011 at 2:29 pm #

    You get a line, I’ll get a pole.

  6. Diego Silva December 8, 2011 at 11:09 am #

    CREATE A REVOLUTIONAL MILITIA, WHEN THOSE WHO ARE TASKED WITH GUARDING US ARE THE ONES HURTING US WE HAVE THE RIGHT DEFEND OURSELVES, LAST WHEN I CHECKED —–>MAJORITY<—– DOES RULE ! CHECK US FED LAW 10.3 SOMETHING ABOUT WHAT CLASSIFIES A MILITIA AND WHO CAN BE PART OF A MILITIA AND LETS TAKE IT FROM THERE!

    • Calypso_1 December 8, 2011 at 12:04 pm #

      —> BRILLIANT! <—

  7. Diego Silva December 8, 2011 at 3:09 pm #

    CREATE A REVOLUTIONAL MILITIA, WHEN THOSE WHO ARE TASKED WITH GUARDING US ARE THE ONES HURTING US WE HAVE THE RIGHT DEFEND OURSELVES, LAST WHEN I CHECKED —–>MAJORITY<—– DOES RULE ! CHECK US FED LAW 10.3 SOMETHING ABOUT WHAT CLASSIFIES A MILITIA AND WHO CAN BE PART OF A MILITIA AND LETS TAKE IT FROM THERE!

  8. Irish Potato Gun December 8, 2011 at 12:00 pm #

    Why cant they just use the Patriot Act, They committed Financial terrorism and should be locked up and tortured with no trial until they give up information on their cohorts or are killed by the torture or assassinated by their powerful cartel friends.

    • Secretagent December 8, 2011 at 3:59 pm #

      It has already been done to Madoff.  I am willing to bet that his son didn’t hang himself, he had a lot of help doing it.. the real problem is you would have to purge the whole ‘system’ because everyone is 1000% guilty.  And these guys and gals know how to operate in the ‘gray’ area which means all that they do is legal.  In my opinion they should not be killed or anything like that .  They should be stripped of all their finances including their overseas ‘strawman’ accounts and be forced to work labor intensive jobs for the remainder of their lives. 

  9. Irish Potato Gun December 8, 2011 at 4:00 pm #

    Why cant they just use the Patriot Act, They committed Financial terrorism and should be locked up and tortured with no trial until they give up information on their cohorts or are killed by the torture or assassinated by their powerful cartel friends.

  10. Anonymous December 8, 2011 at 4:04 pm #

    BRILLIANT!

  11. Tchoutoye December 8, 2011 at 5:53 pm #

    Just too hard… to resist being tainted by the pandemic corruption.

  12. Tchoutoye December 8, 2011 at 1:53 pm #

    Just too hard… to resist being tainted by the pandemic corruption.

  13. Realsolution_no9 December 8, 2011 at 6:01 pm #

    what they did wasnt technically illegal… immoral yes but not illegal.. thats why it is so hard to prosecute

  14. Realsolution_no9 December 8, 2011 at 2:01 pm #

    what they did wasnt technically illegal… immoral yes but not illegal.. thats why it is so hard to prosecute

    • BuzzCoastin December 8, 2011 at 11:15 pm #

      > what they did wasnt technically illegal… immoral yes but not illegal

      no dude, what they did was both illegal and unconstitutional
      the banksters lied to investors (illegal)
      falsified documents (illegal)
      lied to Congress under oath (illegal)
      created “money” without Congressional approval (unconstitutional)
      the secretary of the treasury disobeyed a presidential order (illegal & unconstitutional)
      there’s a lot more
      these are just some highlights

      the reason they haven’t been prosecuted?
      who will indite Obummer, Paulson, Geithner, Blankfein?

      when the foxes guard the chicken coop
      it’s not for the safety of the chickens

  15. Mr Willow December 8, 2011 at 7:27 pm #

    “better left to regulators,”

    When the supposed regulators have been put on so short a leash they can’t effectively do their job because of Republican and faux-Libertarian ‘government needs to be smaller’ talking points, or have been payed by the people they are regulating to not effectively do their job, it is a little bit difficult to just “leave it to the regulators” and expect any good to come of it.

    Of course, this works perfectly for them, because when the supposed ‘regulation’ that is currently in place fails to work—precisely because it has been designed not to work—the Republicans and faux-Libertarians can just claim further that ‘regulations don’t work’ and proceed to dial back regulations even more. 

    Those in control will remain in control until control is taken from them. 

  16. Mr Willow December 8, 2011 at 3:27 pm #

    “better left to regulators,”

    When the supposed regulators have been put on so short a leash they can’t effectively do their job because of Republican and faux-Libertarian ‘government needs to be smaller’ talking points, or have been payed by the people they are regulating to not effectively do their job, it is a little bit difficult to just “leave it to the regulators” and expect any good to come of it.

    Of course, this works perfectly for them, because when the supposed ‘regulation’ that is currently in place fails to work—precisely because it has been designed not to work—the Republicans and faux-Libertarians can just claim further that ‘regulations don’t work’ and proceed to dial back regulations even more. 

    Those in control will remain in control until control is taken from them. 

  17. Secretagent December 8, 2011 at 7:59 pm #

    It has already been done to Madoff.  I am willing to bet that his son didn’t hang himself, he had a lot of help doing it.. the real problem is you would have to purge the whole ‘system’ because everyone is 1000% guilty.  And these guys and gals know how to operate in the ‘gray’ area which means all that they do is legal.  In my opinion they should not be killed or anything like that .  They should be stripped of all their finances including their overseas ‘strawman’ accounts and be forced to work labor intensive jobs for the remainder of their lives. 

  18. BuzzCoastin December 9, 2011 at 3:15 am #

    > what they did wasnt technically illegal… immoral yes but not illegal

    no dude, what they did was both illegal and unconstitutional
    the banksters lied to investors (illegal)
    falsified documents (illegal)
    lied to Congress under oath (illegal)
    created “money” without Congressional approval (unconstitutional)
    the secretary of the treasury disobeyed a presidential order (illegal & unconstitutional)
    there’s a lot more
    these are just the highlights

    the reason they haven’t been prosecuted?
    who will indite Obummer, Paulson, Geithner, Blankfein?

    when the foxes guard the chicken coop
    its not for the safety of the chickens

  19. Suddenly Spam! December 9, 2011 at 6:13 am #

    Their crime is Treason, and the punishment is death.

  20. Redacted December 9, 2011 at 2:13 am #

    Their crime is Treason, and the punishment is death.

  21. greengestalt December 12, 2011 at 12:15 pm #

    Bull.

    To begin with they have “Rico” laws.  In plain English they can take ALL the assets of them, leaving them with mmmaybe the money for the “Public Defender” if found innocent maybe they get their money back.

    And I’d go a step further and use the “Patriot Act” on them, for they did more damage than any foreign army in damaging America’s prosperity.

  22. Anonymous December 12, 2011 at 4:15 pm #

    Bull.

    To begin with they have “Rico” laws.  In plain English they can take ALL the assets of them, leaving them with mmmaybe the money for the “Public Defender” if found innocent maybe they get their money back.

    And I’d go a step further and use the “Patriot Act” on them, for they did more damage than any foreign army in damaging America’s prosperity.

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