.. to an extent, that he resorted to expletives and obscenities out of frustration. What happened? The Obama Administration tries to install new, tougher banking regulation and finds itself in a turf war with the existing regulatory agencies.
WASHINGTON (Reuters) – Top U.S. bank regulators will speak out on Tuesday against some key elements of the Obama administration’s plan to reshape financial regulation, saying parts of it were unneeded or could be disruptive.
The officials’ defiance, in prepared congressional testimony obtained by Reuters, came despite a warning given to them on Friday by Treasury Secretary Timothy Geithner. (read story)
We have all seen the prowess of the regulators during the last crisis and even today now that investment banks have reopened the global casino. If anybody needs a reminder why banks need to be regulated, there is always Andrew Cuomo’s report on compensation in banking.
Thus, when the banks did well, their employees were paid well. When the banks did poorly, their employees were paid well. And when the banks did very poorly, they were bailed out by taxpayers and their employees were still paid well. Bonuses and overall compensation did not vary significantly as profits diminished. (read report)
This is not limited to the US banking sytem, it is the same over here and that really gets my goat.