Bank Lawsuits Are Next Best To Letting Them Fail

Bloomberg:

The Vietnam War gave us the expression, “We had to destroy the village in order to save it.” The same kind of thinking might help explain the U.S. bank rescues of 2008: We had to save the banks in order to sue them.

Read the whole story: Bloomberg

Comments

[Siebenstein]

06:12 AM on 09/09/2011

Could homeowners actually sue the federal government for inaction on this crisis?

[Siebenstein]

06:08 AM on 09/09/2011

As soon as I can I will sue the eyeballs out of my lender !

But, read the following and you know the admin is full of you know what...

http://www.reuters.com/article/2011/09/08/us-usa-housing-obama-idUSTRE7877UW20110908

[vippy]

05:39 AM on 09/09/2011

Odd, first the politicians create this situation and then they campaign against it.  If they sue the banks guess where the money will disappear to?

[Peanut Santiago]

12:58 AM on 09/09/2011

This is a case of apples and oranges.

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First you have the needy banks getting bailouts.
Money....no prosecutions.....banks happy.....politicians "helping" their "friends" and all is right in the (their) world.

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Second you have a LINGERING recession that is probably the beginning of a great depression.

Possibly a long term depression.....especially without doing something about deregulation, outsourcing, too low tax rates (the lowest in modern history), etc.

This severe recession and its fall out are not going away.
Too many ordinary Americans are suffering.
The middle class is being decimated and the working class is not doing well.
Too many Americans are being pushed into poverty through no fault of their own.

Long story short....the 2012 elections are coming up and the politicians are desperate.
They HAVE to do something.
They have to do something to punish the banks.
And appease the voters.

Right now it is fines.

IF the recession misery lasts long enough, the politicians will probably go after scapegoats....banksters and Wall Streeters they can indict and convict to appease an angry public.

When it comes to survival for politicians, even banks (and Wall Street, corporations, etc.) will be thrown UNDER the bus if necessary.
As a last resort, but they will DO it.

[Deleuzian Nomad]

03:19 PM on 09/08/2011

those fiends fell for my cunning plan!....

[fortressfountain]

02:07 PM on 09/08/2011

Except Bush nationalized freddie and fannie and the banks are owned by the USA taxpayers.
Just wondering when I will recieve my dividends in the mail.

[TruelyFedUp]

04:53 PM on 09/12/2011

I'd like to see you get your house and land free and clear. I'd like that for everybody. I think that the only way out of this mess is to shed our dependence on corporate wages and government jobs and handouts for our survival.

I think that the only way the American people will survive this mess is to insist that we all have as a birthright a share of the land and resources of this country enough to make ourselves self-sustaining. Only a truly free people can vote for a government and an economy that serves US. When we can no longer be bribed with jobs for our survival but are secure and fed only then will we be able to stand up to the bullying from those that think they lead us.