TheCenterLane.com

© 2008 – 2020 John T. Burke, Jr.

Occupy Wall Street – For Some Reason

Comments Off on Occupy Wall Street – For Some Reason

Back in July, the Canadian-based, activist network known as Adbusters, announced plans to organize an occupation of Wall Street on September 17, 2011.  Their July 13 announcement revealed that the ultimate goal of the occupation was deliberately left open:

On September 17, we want to see 20,000 people flood into lower Manhattan, set up tents, kitchens, peaceful barricades and occupy Wall Street for a few months.  Once there, we shall incessantly repeat one simple demand in a plurality of voices.

Tahrir succeeded in large part because the people of Egypt made a straightforward ultimatum – that Mubarak must go – over and over again until they won.  Following this model, what is our equally uncomplicated demand?

The most exciting candidate that we’ve heard so far is one that gets at the core of why the American political establishment is currently unworthy of being called a democracy:  we demand that Barack Obama ordain a Presidential Commission tasked with ending the influence money has over our representatives in Washington.  It’s time for DEMOCRACY NOT CORPORATOCRACY, we’re doomed without it.

This demand seems to capture the current national mood because cleaning up corruption in Washington is something all Americans, right and left, yearn for and can stand behind.

A website specifically dedicated to this event was created:  OccupyWallSt.org.  The site has a Mission Statement, proclaiming that on September 17, a tent city will be established in lower Manhattan:

Once there, we shall incessantly repeat one simple demand in a plurality of voices and we will not leave until that demand has been met.

As for that mysterious demand, the website provides a hint as to how it will be determined:

What we demand from our government is for the people to decide through democratic consensus, not this website.  A Facebook poll started by Adbusters suggests the demand might be an end to corporate personhood.

So, will the Facebook poll serve as the vehicle for reaching that “democratic consensus”?

On August 23, Adbusters announced that the Internet hacktivist group, Anonymous had joined #OCCUPYWALLSTREET.  Anonymous prepared this one-minute, promotional video for the cause.  Once Anonymous got on board, the Department of Homeland Security became interested in the event (if it had not done so already).  Computerworld magazine reported that on September 2, a bulletin was issued by the DHS National Cybersecurity and Communications Integration Center (NCCIC):

The DHS alert also warns of three cyber attacks and civil protests it says are planned by Anonymous and affiliated groups.

The first attack, dubbed Occupy Wall Street (OWS) is scheduled for Sept. 17.

The so-called ‘Day of Rage’ protest was first announced by a group called Adbusters in July and is being actively supported by Anonymous.  The organizers of OWS hope to get about 20,000 individuals to gather on Wall Street on that day to protest various U.S. government policies.

It sounds to me as though the Department of Homeland Security is getting revved-up for a mass-rendition to Guantanamo and a busy schedule of “Full Roto-Rooter” cavity searches.  It could get scary.  The camoflauge-attired attendees probably won’t be interested in hearing my explanation that “I’m just here to demand the dismissal of Kathryn Wylde from her post as a Class C Director of the New York Federal Reserve Bank.”

My favorite commentator for MarketWatch, Paul Farrell, predicted that the turnout could be a bit larger than anticipated:

Given today’s intense anger against America’s totally dysfunctional government, no one should be surprised if 90,000 arrive for Occupy Wall Street and its solidarity allies at other financial centers across the world, armed with their rallying cry to stop “the corruption of our governments by Wall Street money.”

After discussing the potential for historic change Occupy Wall Street seems to offer, Farrell posed the simple question:  Will it work?

In the final analysis, this may be a bad case of “too little, too late:”  Back in 1776 our original 57 revolutionaries also “had enough” when they signed the Declaration of Independence. They also risked everything, family, fortunes and lives.  They actually had “one simple demand,” to be free of a tyrannical ruler, George III.

Today, the new ruler is greedy, corrupting democracy.  But it’s locked deep in the American soul.  Maybe they’re asking the wrong question:  Not “Is America Ready for a Tahrir Moment?” Rather ask:  “Is America Past That Moment, Buried Too Deep in a Culture of Greed to Change?”

If so, Wall Street wins, again.  And America loses, again.

The promoters of the Tea Party movement were able to channel the outrage experienced by taxpayers, who watched the Federal Reserve hand trillions over to a small handful of ineptly-managed megabanks.  The Tea Party promoters redirected and exploited that anger as a motivating force, which provoked those citizens to vote against their own interests.  The attempt to tame the beast with regulation (as had been done after the Great Depression) was sabotaged.  Could the Occupy Wall Street effort bring justice back to defeat financial anarchy?  It would be nice if it worked, although I gave up on “hope” in early 2009.


 

wordpress stats

No Justice For The Wicked

Comments Off on No Justice For The Wicked

Although the drumbeat continues, I remain skeptical as to whether any of the criminals responsible for causing the financial crisis will ever be brought to justice.  In the weeks before President Obama’s Inauguration, the foremost question on my mind was whether the new administration would take the necessary steps to change the culture of corruption on Wall Street:

As we approach the eve of the Obama Administration’s first day, across America the new President’s supporters have visions of “change we can believe in” dancing in their heads.  For some, this change means the long overdue realization of health care reform.  For those active in the Democratic campaigns of 2006, “change” means an end to the Iraq war.  Many Americans are hoping that the new administration will crack down on the unregulated activities on Wall Street that helped bring about the current economic crisis.

On December 15, Stephen Labaton wrote an article for the New York Times, examining the recent failures of the Securities and Exchange Commission as well as the environment at the SEC that facilitates such breakdowns.

At that time, I also focused on the point made in a commentary by Michael Lewis and David Einhorn, which appeared in the January 3 New York Times:

It’s not hard to see why the S.E.C. behaves as it does.  If you work for the enforcement division of the S.E.C. you probably know in the back of your mind, and in the front too, that if you maintain good relations with Wall Street you might soon be paid huge sums of money to be employed by it.

I concluded that piece with a rhetorical question:

Let’s hope our new President, the Congress and others pay serious attention to what Lewis and Einhorn have said.  Cleaning up Wall Street is going to be a dirty job.  Will those responsible for accomplishing this task be up to doing it?

By March 23, 2009, it had become obvious that our new President was more concerned about the “welfare” (pun intended) of the Wall Street banks than the well-being of the American economy.  I began my posting of that date with this statement:

We the people, who voted for Barack Obama, are about to get ripped off by our favorite Hope dealer.

On August 27 of that year, I wrote another piece expressing my disappointment with how things had (not) progressed.  My October 1, 2009 posting focused on the fact that H. David Kotz, Inspector General of the Securities and Exchange Commission, issued two reports, recommending 58 changes to improve the way the agency investigates and enforces violations of securities laws, as a result of the SEC’s failure to investigate the Bernie Madoff Ponzi scheme.  The reports exposed a shocking degree of ineptitude at the SEC.

After the release of the report by bankruptcy examiner Anton Valukas, pinpointing the causes of the collapse of Lehman Brothers, I lamented the fact that the mainstream media hadn’t shown much concern about the matter, despite the terrible fraud exposed in the report.  Nevertheless, by the next day, I was able to highlight some great commentaries on the Valukas Report and I felt optimistic enough to conclude the piece with this thought:

We can only hope that a continued investigation into the Lehman scandal will result in a very bright light directed on those privileged plutocrats who consider themselves above the law.

If only  . . .

By the eve of the mid-term elections, I had an answer to the question I had posed on January 5, 2009 as to whether our new President and Congress would be up to the task of cleaning up Wall Street:

One common theme voiced by many critics of the Obama administration has been its lack of interest in prosecuting those responsible for causing the financial crisis.  Don’t hold your breath waiting for Attorney General Eric Hold-harmless to initiate any criminal proceedings against such noteworthy individuals as Countrywide’s Angelo Mozilo or Dick Fuld of Lehman Brothers.  On October 23, Frank Rich of The New York Times mentioned both of those individuals while lamenting the administration’s failure to prosecute the “financial crimes that devastated the nation”:

The Obama administration seems not to have a prosecutorial gene.   It’s shy about calling a fraud a fraud when it occurs in high finance.
*   *   *
Since Obama has neither aggressively pursued the crash’s con men nor compellingly explained how they gamed the system, he sometimes looks as if he’s fronting for the industry even if he’s not.

The special treatment afforded to the perpetrators of the frauds that helped create the financial crisis wasn’t the only gift to Wall Street from the Democratically-controlled White House, Senate and Congress.  The financial “reform” bill was so badly compromised (by the Administration and Senate Democrats, themselves) as it worked its way through the legislative process, that it is now commonly regarded as nothing more than a hoax.

By the close of 2010, I noted that an expanding number of commentators shared my outrage over the likelihood that we would never see any prosecutions result from the crimes that brought about the financial crisis:

A recent article written by former New York Mayor Ed Koch began with the grim observation that no criminal charges have been brought against any of the malefactors responsible for causing the financial crisis:

Looking back on 2010 and the Great Recession, I continue to be enraged by the lack of accountability for those who wrecked our economy and brought the U.S. to its knees.  The shocking truth is that those who did the damage are still in charge.  Many who ran Wall Street before and during the debacle are either still there making millions, if not billions, of dollars, or are in charge of our country’s economic policies which led to the debacle.

Most recently, Matt Taibbi has written another great article for Rolling Stone entitled, “Why Isn’t Wall Street in Jail?”.  It’s nice to know that the drumbeat for justice continues.  Taibbi’s essay provided a great history of the crisis, with a particular emphasis on how whistleblowers were ignored, just as Harry Markopolos was ignored when (in May of 2000) he tried to alert the SEC to the fact that Bernie Madoff’s hedge fund was a multi-billion-dollar Ponzi scheme.  Here is a great passage from Matt Taibbi’s essay:

In the past few years, the administration has allocated massive amounts of federal resources to catching wrongdoers — of a certain type.  Last year, the government deported 393,000 people, at a cost of $5 billion.  Since 2007, felony immigration prosecutions along the Mexican border have surged 77 percent; nonfelony prosecutions by 259 percent.  In Ohio last month, a single mother was caught lying about where she lived to put her kids into a better school district; the judge in the case tried to sentence her to 10 days in jail for fraud, declaring that letting her go free would “demean the seriousness” of the offenses.

So there you have it.  Illegal immigrants:  393,000.  Lying moms:  one.  Bankers:  zero.  The math makes sense only because the politics are so obvious.  You want to win elections, you bang on the jailable class. You build prisons and fill them with people for selling dime bags and stealing CD players.  But for stealing a billion dollars?  For fraud that puts a million people into foreclosure?  Pass.  It’s not a crime.  Prison is too harsh.  Get them to say they’re sorry, and move on.  Oh, wait — let’s not even make them say they’re sorry.  That’s too mean; let’s just give them a piece of paper with a government stamp on it, officially clearing them of the need to apologize, and make them pay a fine instead.  But don’t make them pay it out of their own pockets, and don’t ask them to give back the money they stole. In fact, let them profit from their collective crimes, to the tune of a record $135 billion in pay and benefits last year.  What’s next?  Taxpayer-funded massages for every Wall Street executive guilty of fraud?

Wouldn’t it be nice if public opinion meant more to the Obama administration than campaign contributions from Wall Street banksters?