Flash: So It Was Simple Extortion? in [Market-Ticker]

Posted 2012-08-14 13:58
by Karl Denninger
in Flash

Flash: So It Was Simple Extortion?

Hot off the wires; NY State has "settled" with Standard Chartered for $340 million.

So much for revoking their operating license.

And so much for a bankster ever having to face the music for conduct that would land you, I, or any other ordinary person in prison.

NY State has just documented that they were simply holding the bank up, and the bank will now pay the "fine" by assessing fees on its customers.

In other words, you (if you're one of their customers) are going to pay the fine.

Isn't that special?

Discussion below (registration required to post)

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User Info	Flash: So It Was Simple Extortion? in forum [Market-Ticker]
Mannfm11 Posts: 3530 Incept: 2009-02-28 DFW, Tx	How much pressure do you think they got from Bennie and the Jets in the executive branch? Then again, were they just after the money and not after justice? ---------- The only function of economic forecasting is to make astrology look respectable.---John Kenneth Galbraith 2012-08-14 14:00:56 Permalink
Mayorquimby Posts: 13907 Incept: 2008-09-18 The Archaic Past	I worked for a tort lawyer for a year in college. Most basic lawsuits take at least a year to resolve if not many. This mega-million dollar case took a few weeks. ---------- They who wish to hurt you, work within the law. - Morrissey Gold is theft. 2012-08-14 14:05:47 Permalink
Lowbeyond Posts: 16864 Incept: 2008-02-11 CO aka West NJ/East CA	Why are you surprised? Everything the government does is extortion. Pay the fine, continue to do business, get some more $. Then in a few years, the State will come knocking again - unless you manage to buy some politicians that is. Then you are the Golden Boy If you keep looking for so-called justice in the Just-Us system or the State in general, you will continually be disappointed. Recognize it for what it is. A deadly gang that is after your property for the enrichment of themselves. How else do you think they are able to build monuments to themselves? It aint charity ya know ---------- Maybe it was a birdy bread-bomber from the future?! 2012-08-14 14:07:49 Permalink
Bagbalm Posts: 4247 Incept: 2009-03-19 Just North of Detroit	"Baron Standard I understand you have been pillaging your peasants and digging their cottage floors up for coins. You've been treating with my enemy across the water too." "Yes my Lord, but don't worry I took him for everything I could. If I didn't someone else would, but I thought he was my other neighbor. He fooled me!" The King sighs..." So how much did all this nick them?" "Oh, a couple chests of gold. We have trouble counting that high, damn Roman numerals. But about - mumble, mumble, cough, 250 million." King knows Standard - multiplies by ten. "Well I'm fining you 340 million," he says holding back a smile. "And I better not catch you doing it again!" "Believe me, I'll try not to let you," Standard agrees. Last modified: 2012-08-14 14:33:08 by bagbalm Reason: add " 2012-08-14 14:31:42 Permalink
Mrbill Posts: 7840 Incept: 2008-10-19 North Carolina	$340M fine on $250B in transactions. They probably made more money charging Iran fees than they paid in the fines. 2012-08-14 14:32:23 Permalink
Ktrosper Posts: 1497 Incept: 2010-04-06 ft collins co	Hang on, lemme put my "shocked" face on... You gotta admit, That's one awesome return on investment though. ---------- The unexamined life is not worth living.-Socrates The only stable state is the one in which all men are equal before the law.-Aristotle Liberty exists now in the spaces government has not yet chosen to occupy.-Doc Zero I anticipate that 10 Dallas Cowboys Cheerleaders will blow me this evening.-K.D 2012-08-14 14:37:14 Permalink
Kylafoon Posts: 2455 Incept: 2009-02-05 Zombie Portal Lookout	Isn't that special... ---------- "...But whenever we see things done wildly, but taken tamely, then the State is growing insane..." - Gilbert Keith Chesterton 1910 "I found a flaw in the model that I perceived is the critical functioning structure that defines how the world works." - Alan Greenspan, October 2008 2012-08-14 14:42:25 Permalink
Avianphlu Posts: 3903 Incept: 2008-12-03 Ulster NY	I no longer feel bad cheating on my taxes ;) 2012-08-14 14:51:14 Permalink
Flaps10 Posts: 5141 Incept: 2008-10-17 seattle	So crime really does pay, and very well. Where does the $340M go? ---------- "Better to die on your feet than live on your knees" 2012-08-14 14:57:06 Permalink
Steelhead23 Posts: 2036 Incept: 2008-09-09 Portland OR	This smell like hush money to me. A big splash was made when StanChart was nicked, now the state collects a quarter billion with "no comment." Allow me to make an unsubstantiated bald-faced assertion. The U.S. Government is so eager to maintain bucky's role in oil transactions that it is willing to look away when banksters launder Iranian oil dollars. Lawsky was likely drawn into the inner circle and now knows the score and StanChart was told to settle - quietly. Who knows, maybe the Fed accepted some of StanChart's junk assets at its repo window to make this all happen. And, I will repeat my earlier charge as regards Iraq. The U.S. attacked Iraq precisely because Saddam was aiming to unhinge the oil market by accepting an array of currencies for oil. The reserve currency status of the U.S. dollar adds to this nation's economic strength, thus maintaining that status is central to U.S. national interest. We wouldn't want Iran to start selling oil in yuan, now would we? ---------- "Give me control of a nation's money and I care not who makes it's laws" ~~Mayer Amschel Bauer Rothschild~~ Benjamin Bernanke For-profit commercial banks are a menace and should be eradicated 2012-08-14 14:58:39 Permalink
Mayorquimby Posts: 13907 Incept: 2008-09-18 The Archaic Past	Not hush money - TAX money. Which means that .gov is perfectly happy with these guys ripping off anyone as long as they get a cut. Cash-starved entities such as our state and local governments will happily turn a blind eye to malfeasance so long as pensions get paid and voters vote. ---------- They who wish to hurt you, work within the law. - Morrissey Gold is theft. 2012-08-14 15:00:22 Permalink
Otiswild Posts: 5613 Incept: 2009-03-09 Inside you, the force is!	So crime does, in fact, pay. And quite well it seems! At this point, IMO, if you're not looking to mooch and loot the system to the greatest legal (or undiscoverable) extent that you can, for the benefit of you and yours, then you're a sucker. What are you gonna do, vote for Jack Johnson or John Jackson? I'm sick of being the sucker. 2012-08-14 15:23:22 Permalink
Eli Posts: 7166 Incept: 2007-09-10	USA! USA! We are the number one Kleptocracy in the world. ---------- If you want a vision of the future, imagine a boot stamping on a human face - forever. George Orwell 2012-08-14 15:29:29 Permalink
Architect Posts: 830 Incept: 2007-07-11 london UK	Was there much of a case? New York City looks like Dillinger rather than Denninger to me. Wait for the next tranche of extortion 2012-08-14 15:38:34 Permalink
Jackl Posts: 2228 Incept: 2008-01-17	What, did you think they were going to enforce "law"? They were only outraged they weren't given their cut. Go back to work peasant, you've got taxes to pay. 2012-08-14 15:40:24 Permalink
Dazedncornfused Posts: 310 Incept: 2010-10-13	Well, I said a donation to the Democrat National Convention would settle it. I wasn't too far off. A Democrat accepted a fine for his agency. ---------- Stand up and be counted or line up and be numbered. 2012-08-14 15:53:21 Permalink
Flaps10 Posts: 5141 Incept: 2008-10-17 seattle	I ask the question honestly: what happens to the money? Does it go to the agency? Does it go in a general fund, and if so does it actually show on a balance sheet for .gov "income"? Is there a line that says "~~money extorted~~ Fines paid"? ---------- "Better to die on your feet than live on your knees" 2012-08-14 15:56:56 Permalink
Penguinzee Posts: 221 Incept: 2010-06-13 Tampa Bay, FL	Well, I guess they had to pay their porn bill... ---------- Crime is far too lucrative a game to let the little people play.-popofthebright 2012-08-14 15:57:02 Permalink
Ktrosper Posts: 1497 Incept: 2010-04-06 ft collins co	Flaps, pretty good question. New York department of financial services negotiated the fine. I scoured their web site and couldn't get an answer to what happens to the money... One way or another it ends up back in their hands... Best case (from the agencies point of view), they collect it and it's theirs to operate with... Worst case, it hits the states general fund and eventually they are given a budget to work with, right? KT ---------- The unexamined life is not worth living.-Socrates The only stable state is the one in which all men are equal before the law.-Aristotle Liberty exists now in the spaces government has not yet chosen to occupy.-Doc Zero I anticipate that 10 Dallas Cowboys Cheerleaders will blow me this evening.-K.D 2012-08-14 16:06:40 Permalink
Killben Posts: 205 Incept: 2009-12-07	On expected lines. Again you do not get the kind of changes needed now without A REVOLT. An uprising of such a magnitude that would throw the elites under the bus (literally) is what will do the trick. Some lives will always be lost as in any revolution. I expect it will start in Europe first.. may be in 2013 or 2014. I also fully expect it spread across the Atlantic! 2012-08-14 16:27:01 Permalink
Randy123 Posts: 5767 Incept: 2008-09-24 Earth Online	WHo gets this money exactly? NY state, Feds? ---------- China is the Enemy. Wake Up. New Normal. Same As The Old Awful. 2012-08-14 16:29:23 Permalink
Genesis Posts: 130658 Incept: 2007-06-26	NY State on this one. ---------- I don't care* if it makes sense -- only if it makes money. -- Me* Bank (n): See scam, fraud and theft. *Eat a bankster -- they're low-carb.* *What part of "shall not be infringed" was unclear?* 2012-08-14 16:38:30 Permalink
Bertdilbert Posts: 2649 Incept: 2008-12-22 CA	Quote: WHo gets this money exactly? NY state, Feds? Serious? It is going to support over paid unionized employees who work for the government. Get in back of the line slave! The extortion happens on a daily basis, this just happens to be visible extortion. Every time a law is written it will cause harm to certain groups and they then have to pay up to keep from getting slaughtered. This is how the government operates today. And the political class is VERY HAPPY with the system because it serves them well. ---------- Dear Euroland: Relax, Germany has a plan for your money! Political Capital Defined: We are out of money but will tax our citizens for whatever it takes to "SAVE" the Euro. 2012-08-14 16:43:34 Permalink
Ghopper Posts: 2297 Incept: 2011-06-11 Staten Island, NY	I was expecting at least a couple of billion. I knew this was trash from the beginning. 2012-08-14 16:49:10 Permalink

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