The great heads of industry and capitalism should not “delude” themselves into thinking that they are somehow superior individuals
Monthly Archives: October 2009
Bank of America Implicated in a Fourth Ponzi Scheme
Posted in Banks and Financial ServicesThe culture of Bank of America appears to place profits over compliance October 23, 2009 A Complaint filed yesterday in Federal District Court in Tampa, Florida alleges that Bank of America was at the center of yet another Ponzi scheme. The operator of this scheme, 27 year-old Beau Diamond, defrauded hundreds of investors from Florida… Continue Reading
Be Wary of Money Transfer Fraud
Posted in Consumer ProtectionCon artists love money transfers because they enable them to receive their marks’ money before their victims even know that they have been swindled.
Sadly, Unscrupulous Debt Collectors Prey on the Dead
Posted in Consumer ProtectionYou’re Dead? That Won’t Stop the Debt Collector
The Latest Insider Trading Case: Just the Tip of the Iceberg
Posted in Banks and Financial ServicesFor too long, Wall Street insiders have made fortunes based on who they know. Perhaps that’s just the way business works, but it is critical for financial markets to be better…Expand this investigation. Push it to the limit. Federal prosecutors accused hedge fund manager Raj Rajaratnam and five others of using insider information to accumulate… Continue Reading
Watering Down the Consumer Financial Protection Agency Before It Even Opens For Business
Posted in Consumer ProtectionAll consumers, not just those who bank at the largest banks, deserve protection from irresponsible practices of banks. Yesterday, the House Financial Services Committee took a giant step away from that critical goal when it passed an amendment excluding over 97% of banks from the statutory reporting requirements to be performed by the soon-to-be-created Consumer… Continue Reading
Public Law Should Not Be in a Private Domain
Posted in In the CourtsIt is not acceptable for public law to remain in the private domain. Access to public law should always be a public right for all… Transparency, the mantra of this decade, must extend to the judicial system. Some of the most important decisions affecting all Americans, rich and poor alike, come from the courts. But for the… Continue Reading
Prepaid Debit Cards: An Exciting New Idea, Or Just Another Way To Soak The Poor?
Posted in Banks and Financial ServicesWhat happens when a consumer needs to pay bills, but doesn’t have a credit or debit card? A new and increasingly popular answer is prepaid debit cards. This new business is booming. The New York Times reported on October 5th that over $8.7 billion was loaded onto prepaid cards in 2008 alone. These cards… Continue Reading
Big Banks Strike Again: High Interest Loans Disguised As Protection
Posted in Banks and Financial ServicesThe Center for Responsible Lending reported that banks made over $24 billion in overdraft fees in 2008 alone.
Let’s Not Give the Credit Agencies A Free Pass
Posted in Banks and Financial ServicesWe have become dependent on the accuracy of the ratings, and yet the agencies that issue them are unregulated and are far from objective… Clearly we cannot continue at status quo. Three cheers: to James Surowiecki of the New Yorker In protecting Main Street, it is rare that I give banks and regulators a… Continue Reading
The End of An Era: Best Wishes to Ken Lewis
Posted in Banks and Financial ServicesBank of America’s chief executive, Kenneth D. Lewis, announced his sudden resignation last week. Lewis has been under a cloud of suspicion following allegations that Bank of America misinformed shareholders of details related to its merger with Merrill Lynch. Lewis’ personal career at Bank of America is a classic American rags-to-riches tale. He began… Continue Reading