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And these of us, even today, are claiming that the failure to achieve the grand betrayal and to cut the security internet is their nice disappointment. And these frauds were rising at an annual fee of over 50 %. JUAN GONZÁLEZ: William Black, I’d like to ask you about one other aspect of Lew’s portfolio: his stance on austerity. JUAN GONZALEZ: I’d prefer to ask you to return to this subject of the foreclosures and delinquencies, which you make the point that the delinquencies are a lot higher. JUAN GONZALEZ: But William Black, it’s been amply documented the extent - the in depth degree of the fraud that occurred on this present disaster. In other phrases, we’re going to stand in there and bail out the shareholders, no matter how badly management screws up the place, even when management screws it up through fraud.

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The identical factor. We've another epidemic of accounting fraud. And the reason they’re not foreclosing is, once you foreclose, you have got to recognize losses under the accounting guidelines. In other phrases, banks have tons of folks who usually are not paying their mortgages on time, and they’re not foreclosing. The reform efforts on derivatives, for example, are a scandal. For instance, they found a listing of distinguished Americans that were able to purchase stock at half worth. The investment banks would allow them to buy stock at half of the market price. And the banks gimmicked the accounting guidelines. But, of course, we’re not allowing the large banks to fail. Even though they’re not all that large in number, they can be decisive in whether or not something will get by means of the Senate, particularly, however they can be actual obstructionists within the House. The Democrats would have misplaced management of the Senate, and such. But you can’t understand why the Bush administration refused the FBI request to allow them to change the lost agents.

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And, you recognize, you'll be able to perceive why they did that. There were 9 witnesses; eight of them had been from the trade and, in fact, testified that they have been very important to the world. And, by the way, the opposite thing they’re doing is speculating like crazy and different buying and selling actions that add absolutely nothing to financial value. And again, remember, monetary sector exists supposedly for one purpose - to help the true economy - and it’s taking billions out of the real economy in buying and selling earnings. And so, there’s going to be different dangerous news outdoors the financial sector. So the combination of this stuff, both within the monetary sector and in the real economic system, means very unhealthy issues down the street, when it comes to elevated business failures, increased banking failures. He uncovered to the American folks simply how unhealthy the elites have been. Second thing you do is deliberately make actually unhealthy loans, because they have the next interest and better expenses associated with them, so you report extra profits.

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