We knew this was coming. Charlie Gasparino is reporting that Spencer Bachus is ready to call for a Congressional investigation into political pressure on big banks to rescue the failing lender Shorebank Corp. Continue reading »
probes
James Gorman, aka “Jimmy G,” is sick and tired of all these reporters suggesting his firm is under some kind of investigation by the Feds. Just because Goldman has been charged by the SEC, doesn’t mean Morgan Stanley, which lost a lot more money than GS during the crisis, also bet against its own shitty CDO deals. All the noise surely points to a conspiracy of short-sellers. And he knows who you are and he will hunt you down. Quick, back to watching Miss USA pole dancing before he catches you.
After filing suit earlier this week against Ivy Asset Management for feeding pension fund money to Bernie Madoff, NY Attorney General Andrew Cuomo is turning his attention back to the big banks, which will obviously score many more political points when he runs for governor in November.
The latest probe from Cuomo involves the banks’ efforts to mislead the ratings agencies on structured products. His office is looking into whether Moody’s, S&P and Fitch tinkered with their models so banks could get higher ratings on CDOs and other products.
Subpoenas recently went out to Goldman Sachs, Morgan Stanley, UBS, Citigroup, Credit Suisse, Deutsche Bank, Crédit Agricole and BofA/Merrill Lynch, according to the New York TImes. Continue reading »
Environmentalists thought they had found a “market solution” to controlling carbon emissions. Then energy traders have to go screw it all up.
German prosecutors raided Deutsche Bank and RWE, Germany’s second-biggest utility, today in a wide-ranging probe of tax-evasion and generally shading dealing in the European carbon emissions market.
The Securities and Exchange Commission announced that a federal district court in Nevada has entered a final judgment, by consent, against Marlin R. Brinsky of Santa Monica, California, in connection with an enforcement action filed in 2005 concerning a penny stock manipulation and accounting fraud. The final judgment against Brinsky, a certified public accountant, was entered on April 21, 2010. It permanently enjoins him from violating provisions of the federal securities laws governing accountant’s reports and orders him to pay a $20,000 civil penalty. Separately, Brinsky also consented to an administrative order suspending him from appearing or practicing before the Commission as an accountant, with a right to apply for reinstatement after two years.
EU Joins Team US Regulators In ‘We Have No Idea What High Frequency Trading Is But We’ll Just Regulate The Hell Out Of It Anyway’ Game
By DealbreakerThe EU is hopping on the let’s get after the-high-frequency-trading bandwagon and has started to investigate the practice. Bloomberg reports that the European commission met with industry representatives in Brussels on Jan. 11 and that the talks are part of an information-gathering exercise. In the US, the practice, which accounts for 50% to 60% of equity market trading volumes, has been under fire in the past months as regulators are calling for more stringent oversight.
EnTrust Capital Inc., a hedge fund firm that’s handled New York Attorney General Andrew Cuomo’s personal and campaign money, received state pension funds to invest from a company he has identified as paying possible illegal kickbacks.
The investment presents a potential conflict of interest for Cuomo, legal ethics experts said.
Cuomo’s Money Manager Received Funds Linked To Pension Scandal [Bloomberg]
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