Obama and his marxist shills demonize capitalism and corporations as the cause of the financial collapse in 2008. They must direct attention away for the democrat policies and regulations of Fannie May and Freddie Mac (and the malfeasance of Barney Frank and Chris Dodd). They don’t want any investigation into the failure of the democrat “Community Investment Act” passed during the Clinton Administration that directly lead to the housing bubble and FORCED the banks and other institutions to take billions of dollars of bad debt and risky mortgages.
The the FedGov bailed out AIG with TARP and then pushed the SEC to charge two AIG executives with fraud. Well, guess what? There was NO fraud and the government is dropping all charges. Here’s the story published by Reuters.
(Reuters) – The U.S. Justice Department has dropped a probe of American International Group Inc executives involving the credit default swaps that sent the insurer to the brink of bankruptcy and forced a huge taxpayer bailout, lawyers for the executives said on Saturday.
The investigation had centered on AIG Financial Products, which nearly brought down the giant insurer after writing tens of billions of dollars on insurance-like contracts on complex securities backed by mortgages that turned out to be toxic.
The U.S. government stepped in with a $182 billion bailout to avert a bankruptcy filing by AIG.
The criminal probe had focused on whether Joseph Cassano, who ran the financial products unit, and Andrew Forster, his deputy, knowingly misled investors about the company’s accounting losses on its credit default swaps portfolio.
“Although a 2-year, intense investigation is tough for anyone, the results are wholly appropriate in light of our client’s factual innocence,” F. Joseph Warin and Jim Walden, Cassano’s lawyers, said in a statement.
Forster’s lawyers also confirmed the probe had been dropped.
“We were very pleased but not surprised to hear from the DOJ late yesterday that they were dropping the criminal investigation of our client,” David Brodsky, one of Forster’s lawyers, said in a statement. “In the end, the facts were stronger than the emotions surrounding AIG’s problems.”
The Department of Justice declined to comment.
You can read the entire article here.
Well, well, Obama fails again. Good!