Another fabulous exchange with Elizabeth Warren and our puppet regulators. Warren wastes no time in shredding the HSBC settlement for vast money laundering activity at the bank, and the evasive stance from Fed and Treasury officials is utterly comical. The responses by our top officials overseeing America’s financial system are both infuriating and shameful. They corroborate what many people already understand; there is indeed a two-tiered justice system in the United States. The crooks running our largest financial institutions are looting the Treasury and the Federal Reserve is doing virtually nothing to stop it. The regulators know an indicted bank is a dead bank, and their failure to stop the systemic fraud only undermines the system they supposedly stand for.
Warren asks a simple question. How many billions of dollars do you have to launder for drug lords and other criminals before somebody says we’re going to shut you down? Addressing Treasury Secretary David S. Cohen, who happens to share the same circles as HSBC’s Stuart Levey, Warren gets down to the heart of the matter. Namely, that the circle-jerk, revolving-door, two-tiered justice system in America is out of control.
“The US government takes money laundering very seriously for a good reason. And it puts strong penalties in place… It’s possible to shut down a bank… Individuals can be banned from ever participating in financial services again. And people can be sent to prison. In December, HSBC admitted to… laundering $881 million that we know of… They didn’t do it just one time… They did it over and over and over again… They were caught doing it, warned not to do it, and kept right on doing it. And evidently made profits doing it. Now, HSBC paid a fine, but no individual went to trial. No individual was banned from banking and there was no hearing to consider shutting down HSBC’s actives in the US… You’re the experts on money laundering. I’d like your opinion. What does it take? How many billions of dollars do you have to launder for drug lords and how many sanctions do you have to violate before someone will consider shutting down a financial institution like this?”