BAD BOYS

The Obama/Holder thug machine just got J.P. Morgan to hand over another $5 billion or so for--ready for this--misleading and defrauding Fanny and Freddie on the purchases of mortgage backed securities.  So let's get this straight; these two corporations were found to have

1.  Falsified public records
2.  Falsified their accounting
3.  Engaged in horrific underwriting methods and fired their senior risk management team when it blew the whistle
4.  Loaded up on more sub-prime packages than any one else out there

but were misled by J.P. Morgan!!

There is nothing of course that smells of justice in any of this, merely the exercise of raw power to send the message:  "Don't cross us."  We shall see more of this give the set-backs the administration has faced in many areas over the past month or so.  It is quite unprecedented.  But I'm a pretty firm believer in the old adage "what goes around, comes around."

Whatcha gonna do when they come for you bad boys?

Back to real banking tomorrow