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Eyal Press wrote an interesting piece this week, comparing the excessive attention that Justice Department prosecutors have directed at whistleblowers in the national security world in recent years to the absolute disinterest with which these same attorneys treat Wall Street whistleblowers. He’s right. In fact, it’s striking. But finally, the real story behind the lack of criminal prosecutions produced by the financial crisis of 2008 and the ensuing Great Recession is starting to seep out. It’s a sorry tale of edited testimony, arm twisting and rule changing. After the financial meltdown in September 2008, the Obama administration “rescued” both commercial and investment banks, as well as insurance monolith AIG. Tim Geithner, Henry Paulson, Jamie Dimon and the other Masters-of-the Universe staged a revival of the US economy in a stunning, all-star production that fall season. It was a spectacular performance. There was the mystery of the closed-door deals, the suspenseful, whipsaw swings of the Dow, the zany antics of the Republican presidential candidate, and the breathtaking confrontation with Congress. When it was over, we were all exhausted, and the Justice Department rang down the curtain. |
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