We’re still obsessing over the Feds perp-walking former Bear Stearns’ executive Ralph Cioffi and Matt Tannin in order to inflict as much damage as possible on the two men. But it didn’t start with Bear. Since the beginning of March, the FBI has arrested over 400 people in a sting dubbed “Operation Malicious Mortgage.” On just one day, yesterday, sixty people, including real estate players in Chicago, Miami and Houston.
In other news, the Justice Department also is expected to ask Congress for more money to help combat mortgage fraud.
Hundreds swept up in mortgage fraud arrests [Associated Press]
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- Use the Bloomberg command
NH BLG_DEALBREAKER <GO>
to access Dealbreaker
Shouldn’t they be arresting the deadbeats that are defaulting on their mortgage payments, instead.
FREE RALPH CIOFFI!
-mrp
It’s okay man. We got Frank back and we will get Ralph back too.
When is Casey Serin doing the perp walk?
Is there something wrong with prosecuting mortgage fraud by realtors, appraisers, and loan processors? And yes, they are prosecuting, or at least investigating, individuals who committed fraud on their loan applications. The best candidates just happen to fall in both camps.
Cioffi is blameless!
All Hail The Great Dr. RC
-mrp
How come on wall street you get jail for ‘breach of fidicuary duty’, yet the sheriff in Philly gets a pat on the back for his breach of duty?
Interesting double standard.
Mr. Pink….I’ve read your contribution before…..you need to stick your head in a toilet and leave it there.
Why thank you 1:43
Is that your best shot sir?
-mrp
Oh.. and 1:43 – Why hide behind an ‘anonymous’ posting when lobbing insults? Why not register?
Do you need a step-by-step tutorial to do so, since you can’t figure it out on your own?
-mrp
Let’s all close our eyes and nominate who on Wall Street should be cuffed and perp walked next…Nominees?
Please comment: (excerpt from WSJ article)
“Mr. Cioffi’s emailed response was a suggestion to meet that evening at his house to discuss Mr. Tannin’s concerns. The two managers have told associates that they quickly became convinced that Mr. Tannin’s worry about the markets was unfounded, and they later discussed the situation with a superior.”
WHO WAS THIS “SUPERIOR” and why was he/she not implicated as well?
Any guesses here??
Mr. P @ 12.46- agreed. Ralph and Matt are good guys. Good guys, bad situation.
- Guest (not the one insulting you)
can someone get some friggin t-shirts made up already? you can just start with the Free Mumia template and work from there.
Guest @ 1:53:
Could possibly be Rich Marin (who was busy writing blogs and watching movies).. See:
http://dealbreaker.com/2007/06/breaking_richard_marin_replace.php
http://dealbreaker.com/2007/06/tonight_rich_marin_dines_in_he.php
http://dealbreaker.com/2007/06/james_cayne_is_a_good_bridge_p.php
http://dealbreaker.com/2007/06/sec_requests_bear_documents.php
http://dealbreaker.com/2007/07/ungrateful_bear_stearns_invest.php
So what does this indictment mean, exactly? If I suffer a moment of doubt about my investment strategy and write or speak to a colleageue about it, I am forever barred from marketing? I guess that we should leave investing to the overconfident, who never entertain the possibility that they could have taken a bad position!
Bank_teller @ 1.58 – good idea, we can install a tent with art supplies at the JPM Corporate Challenge tonight
If the GP in any fund I’m invested in took advantage of his position at my expense, I’d rip his scrotum off.
@1:51 – Nominate Me seems to be strangely absent and he’s eager. Also, how about SlimJim?
@2.09- ouch, or punch her in the ovaries?
While it was Mr. Orange that was the Godfather. The Feds should grab him, and revoke his tanning bed privileges
“operation malicious mortgage.”
oy. you can tell this wasn’t based in NYC.
Bwhaha! YES! Rich “Movie Blogger Extraordinaire” Marin has been conspicuously absent from the latest proceedings. Cut himself a deal, did he???
Who else would be the “superior” that Cioffi and Tannen spoke to?
Rumor has it that he someone is going to let Marin run a hedge fund. (I wouldn’t let the guy manage my dog’s allowance!)
Look, the crime for which Cioffi and Tannin will stand trial is misleading investors. Unless there are facts out there that I don’t know, Rich Marin didn’t talk to investors. When a crime is charged, you have to allege each element of the crime. Contact with the investors is an element of the crime. Rich Marin apparently did not have contact with the investors. Therefore, Rich Marin’s conduct did not constitute a crime.
The wave of national arrests and the Cioffi/Tannin indictment were obviously coordinated for maximum political impact.
While I was disgusted by the standards used in subprime mortgages, I am alarmed at how this is all unfolding. The public never understood the basic facts of the Bear Stearns guarantee (Bear Stearns wasn’t “rescued,” Bear Stearns executives didn’t receive million dollar payouts, and the tax-payers’ money was never used). There is a certain level of national hysteria that is clearly being fanned by the criminal enforcement apparatus of the federal government. That’s very, very risky business.
Is it also a coincidence that Henry Paulson raised again yesterday his plan for regulating investment banks?
I honestly think that the only position that is in high demand (provided you do it well) is compliance and/or risk management. Everyone will be too busy covering their asses to actually make any money.
WTF? Aren’t those positions a cost center?
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