Five years after we first reported on the "Goldman whistleblower" at the NY Fed, Carmen Segarra, the former bank examiner is out with a new book based on more than 46 hours of secret recordings.
"Noncompliant: A Lone Whistleblower Exposes the Giants of Wall Street" is a 340-page exposé which vastly expands on the breadcrumbs Segarra has been dropping since word of her recordings first came to light, according to the New York Post.
Segarra was a former bank examiner who looked into Goldman Sachs for the Federal Reserve Bank of New York, and claims she got fired in 2012 after making too much noise about Goldman’s alleged conflicts.The New York Fed has often been blasted for its lackadaisical approach to overseeing banks leading up to the 2008 financial crisis. Its last president, William Dudley, was named in 2009 after spending 21 years at Goldman. But Segarra’s book claims that the problem persisted for years after the crisis, with regulators happy to act on the banks’ behalf.“We want [Goldman] to feel pain, but not too much,” her boss — who goes by the pseudonym Connor O’Sullivan in the book — told her, Segarra claims. -NY Post
The recordings were made over a seven month period while Segarra worked at the New York Fed. Neither Goldman nor the NY Fed have disputed the authenticity of the tapes.
Zero Hedge
“As a partridge that hatches eggs which it has not laid,
ReplyDeleteSo is he who makes a fortune, but unjustly;
In the midst of his days it will forsake him,
And in the end he will be a fool.” Jeremiah 17:11
“We want [Goldman] to feel pain, but not too much,”
ReplyDeleteOf course not, not when banks constitute the only payment system we have besides mere physical fiat, coins and bills, aka "cash." So if a bank should have insufficient funds, it's as if ALL OF ITS DEPOSITORS have insufficient funds too.
We could fix that* but that would impede the ability of the banks to safely create new deposits and thus impede the ability of the banks to steal purchasing power on behalf of themselves and on behalf of the more so-called credit worthy, the richer, at the expense of the less so-called credit worthy, the poorer. So we don't.
In effect, we're like the monkey with his hand stuck in a cookie jar - all he needs to do is let go of the cookie to be free. But he won't - out of greed.
Notes:
*by allowing all dollar users to have accounts at the Federal Reserve itself so they would never have to work through a bank.