Financial Non-Reform, Untouchables Soiled, Eliot Ness is Dead……..
“Life, liberty, and the pursuit of ……… bribes?”
“Citigroup Inc., which has yet to repay $45 billion in federal assistance, has more lobbyists than any other company who registered to try to shape legislation regulating the financial industry, U.S. Senate records show. The New York-based bank, 34 percent-owned by the U.S. government, is listed as a client by 46 of the 1,537 lobbyists who filed with Congress to work on President Barack Obama’s push for rules to limit financial risks and impose stricter consumer protections. They join 44 advocates for the American Bankers Association, 41 for Prudential Financial Inc., and 29 for Goldman Sachs Group Inc. Altogether, lobbyists for companies, business organizations and financial industry groups outnumber, by 25 to 1, the 58 who registered to represent consumer groups, unions and other proponents of tougher regulations………..
“Citigroup’s lobbyists include Calio, who was President George W. Bush’s congressional liaison; Alexander Sternhell, former Senate Banking Committee deputy staff director; and Brant Imperatore, former counsel for the House financial services panel. The Washington-based U.S. Chamber of Commerce, the biggest business lobby, has 46 people who registered to work on the financial regulation debate. The New York-based Securities Industry and Financial Markets Association has 37. Prudential’s lobbyists include veteran Democratic fundraiser Heather Podesta. Daniel Meyer, who was chief of staff to former-House Speaker Newt Gingrich, is among representatives for Goldman Sachs, which set aside $16.7 billion for compensation and benefits in the first nine months of 2009 ………..” Bloomberg
Citigroup is owned 33.6% by the United States government. So the US government is essentially financing lobbying against itself, by an institution that is an arm of the said government.
Citigroup is also more than 10% owned by sovereign funds and wealthy potentates of the Persian Gulf states. Some of these sovereign funds bought Citigroup shares near the peak of $ 44, and they will not see that price in my lifetime (it is today around $ 4.5, which is better than 3.5. But the share will not bounce much higher, especially if the US government unloads its stake). I always thought the geniuses who bought at those peak prices should be demoted to tea-boy status, but I exclude Prince al-Waleed since it is his personal wealth, earned by his royal sweat.
Looking at the partial list of financial lobbyists up there, no wonder reform efforts are stuck. The very same people who were supposed to supervise the market a few years ago are now in the pay of the banks and financials fighting reform. They were all sleeper cells, moles if you will, waiting their chance to come out of the closet. They are like the sci fi aliens biding their time, maturing inside their pods.
The night watchman has joined the thieves. Nobody is untouchable anymore, Eliot Ness is dead……
Cheers
mhg
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