Guess What Happened When JPMorgan's CEO Visited Elizabeth Warren's Office

[n2doc]

WASHINGTON -- A meeting between Sen. Elizabeth Warren (D-Mass.) and Jamie Dimon deteriorated almost immediately after the JPMorgan Chase & Co. CEO visited the recently elected senator and consumer advocate at her Capitol Hill office in 2013.

In a new afterword for the release of the paperback version of her book A Fighting Chance, Warren recalls that the tenor of the conversation between the two policy adversaries soured when Dimon complained about financial regulations that she has supported:

When the conversation turned to financial regulation and Dimon began complaining about all the burdensome rules his bank had to follow, I finally interrupted. I was polite, but definite. No, I didn’t think the biggest banks were overregulated. In fact, I couldn’t believe he was complaining about regulatory constraints less than a year after his bank had lost billions in the infamous London Whale high-risk trading episode. I said I thought the banks were still taking on too much risk and that they seemed to believe the taxpayers would bail them out -- again -- if something went wrong.
Our exchange heated up quickly. By the time we got to the Consumer Financial Protection Bureau, we weren’t quite shouting, but we were definitely raising our voices. At this point -- early in 2013 -- Rich Cordray was still serving as director of the consumer agency under a recess appointment; he hadn’t yet been confirmed by the Senate, which meant that the agency was vulnerable to legal challenges over its work. Dimon told me what he thought it would take to get Congress to confirm a director, terms that included gutting the agency’s power to regulate banks like his. By this point I was furious. Dodd-Frank had created default provisions that would automatically go into effect if there was no confirmed director, and his bank was almost certainly not in compliance with the those rules. I told him that if that happened, “I think you guys are breaking the law.”
Suddenly Dimon got quiet. He leaned back and slowly smiled. “So hit me with a fine. We can afford it.”

As Warren noted in a 2014 Senate Banking Committee hearing, Dimon was proved correct: Though his bank was forced to pay $20 billion in fines, he still received a significant raise at the end of 2013.

more

http://www.huffingtonpost.com/2015/03/31/elizabeth-warren-jamie-dimon_n_6972182.html?ncid=txtlnkusaolp00000592

[Erich Bloodaxe BSN]

1. TBTF is an obscenity.

There needs to be a corporate 'death penalty', as well as the option to force out executives WITHOUT severance packages or golden parachutes. Not just fines that get swallowed and passed on to consumers.

[peacebird]

3. Agreed

[calimary]

16. So is jamie dimon.

He belongs in PRISON.

[merrily]

51. We need to jail the officers and directors and place more limits on indemnification.

[peacebird]

2. Dimon doesn't care about breaking the law, his bank pays the fine. Jail time is what he needs.

Suddenly Dimon got quiet. He leaned back and slowly smiled. “So hit me with a fine. We can afford it.”

Throw a few top dogs and their minions in jail, things might begin to change.

[Lochloosa]

5. And it can be done..."Iceland jails former Kaupthing bank bosses"

http://www.bbc.com/news/business-25349240

Hreidar Mar Sigurdsson, the former chief executive, received five and a half years, while Sigurdur Einarsson, former chairman of the board, was sentenced to five years in jail.

These are the heaviest sentences for financial fraud in Iceland's history.

The court gave Olafur Olafsson, one of the majority owners three years and Magnus Gudmundsson the former chief executive of the Luxembourg branch, three and a half years.

[Saviolo]

9. Aww!

You beat me to the same point

[peacebird]

12. Excellent! Good to see, now to start doing that over here in America

[Saviolo]

7. That's what they did in Iceland

And it worked. They jailed the bankers and bailed out the citizens and it worked.

http://rt.com/op-edge/iceland-bank-sentence-model-246/

Until the punishment becomes actually punitive, until it becomes more than a line item on their budget that is just the cost of doing business, those fines will do nothing. Of course they've got maximum fines in order to prevent truly onerous fines being levied against citizens, but when corporations can just say, "Yeah, sue me, we can afford it," then it will not work.

Jail time for high executives might make them hesitate just a little.

[Lochloosa]

11. It can't be posted enough

[Saviolo]

33. True enough.

Go ahead and start an OP as peacebird suggested. It does need to be seen more prominently and now is a good time to be talking about it. Well... always is a good time to be talking about it.

[peacebird]

13. Please make an OP in general discussion with this, more people need to see it.

[appalachiablue]

43. Please post this in GD for more visibility, thanks. 'So sue me'-

In 1943 during WWII Sewell Avery, Chairman of Montgomery Ward said, 'to Hell with the government!'. In 1944, FDR ordered the company's property seized and Avery removed for not abiding union labor agreements in wartime. Earlier during the Depression in the 1930s, Avery had been asked by *JP Morgan to take over the retail company.

http://www.politico.com/news/stories/1207/7557.html

[F4lconF16]

41. You mean actually prosecuting people works??

I'm shocked! Shocked, I tell you!

[lark]

58. Jail time and actual restitution

Fines are like a tax on wrong doing, nothing more. So they paid $20 billion, you can bet they made a ton more than that, so it didn't hurt. Make them pay back every dollar spent on these illegalities and give them some jail time and the shenanigans would stop. They would be too costly to continue. But changing behavior isn't really what we're doing or really even trying to do.

[joshdawg]

54. By all means, throw them in jail, but,

in order to hurt them even more is to take away their money. Freeze their accounts wherever they are: Caymans, etc. to the point where they nor their family can have access to that money.

[peacebird]

56. I like the way you think, joshdawg!

[L0oniX]

4. “So hit me with a fine. We can afford it.” ---> He's saying "FUCK YOU AMERICA"

[progressoid]

15. yup...

He's an asshole.

[GeorgeGist]

6. Socialism for perps.

“So hit me with a fine. We can afford it.”

[MannyGoldstein]

8. See! Warren's meeting with bankers already!!!

That should make some purity heads explode around here!!!



Regards,

TWM

[Ichingcarpenter]

10. did Elizabeth get a $250 thousand speaking bonus

for talking with the chief of JP morgan?

[Scuba]

34. Bwahaaaaaaaaaaaaaaaa!

[pa28]

14. The big banks need to be broken up.

Even the few remaining rational conservatives out there agree. The American Enterprise Institute and David Stockman among others.

This guy knows he is running the place and he acts like it, telling Warren what she can or can't do or what can be passed by congress. No wonder she was furious.

When banks get powerful enough to undermine democracy and their risk so large they can tank the economy they MUST be broken up.

He seems to feel he runs this place too.



In Washington, One Bank Chief Still Holds Sway

http://www.nytimes.com/2009/07/19/business/19dimon.html?pagewanted=all&_r=0

[Wounded Bear]

17. This made me think of a simpler solution...

through the tax code. For any company/coporation that receives a fine or judgement of some sort for malfeasance, all pay and commissions, equity awards, etc over, say, $100,000 be taxed at 90%.

Work out the details, maybe, but we need to hit the individuals in the pocketbook.

[SoLeftIAmRight]

19. Something like this is needed

I like the Idea of charging business a unemployment tax. They would pay an extra tax that would be one-half of the past years unemployment rate.

[Volaris]

49. That's what the fines were supposed to do. These sociopaths won't respond to anything that's not pri

[Hekate]

18. That arrogant SOB

[lemondropkid]

20. that is why

she should be the next minority leader, not schumer.

[Wounded Bear]

21. I'd rather she was the majority leader...

[bvar22]

35. Schumer is just another Wall Street Puppy begging to have his belly scratched.

He even pees a little when a Wall Street Banker does it.
It is sooooo cute.

[flobee1]

22. what they do

Is steal enough so that, even with the fines, they still make a profit

[Vincardog]

26. Their pet politicians make the fines tax deductible.

[fasttense]

23. It seems that organized crime has moved into banking.

Jamie Dimon sounds like a gangster's name. And he acts like a gangster too.

[Vincardog]

24. The BCF is a criminal conspiracy as well.

[mountain grammy]

25. saw her on a show this morning

I'm not running for president she said. Well we'll see. We need you Senator.

[tclambert]

27. Break them up.

"Them" being the big banks.

[project_bluebook]

28. Wall street is pure evil

Yet the average American keeps feeding this evil.

[gregcrawford]

57. But, but, but...

... His Infinitely Beloved Eminence, Lloyd Blankfein of Goldman Sachs, told a Senate subcommittee that they were "... doing God's work!"

Though I think the god was Mammon.

Carve 'em a new one, Liz!

[Spitfire of ATJ]

29. "So hit me with a fine."

How about jail time, you arrogant ass?

[Angel Martin]

30. a regulatory change that has a chance of actually being enacted

Prof Perry Mehrling at Columbia has proposed a regulatory structure where, during a financial crisis, the Federal Reserve would maintain continuity of markets (he calls it 'dealer of last resort&quot , rather than bailing out individual financial institutions.

http://www.creditwritedowns.com/2010/04/the-central-bank-as-deal-of-the-last-resort.html

a major benefit of this is: if the Fed guarantees continuity of markets, there is no TBTF institution whose collapse will cause markets to lock up and cease to function.

which means, there is no such thing as TBTF any more, and you can let JPM et al. go bankrupt

also, this potentially has support across the political spectrum, so it could actually be passed

note: the Fed actually ended up being the "dealer of last resort" in 2008, but several months into the crisis, when a lot of economic damage had already been done.

[Scuba]

36. Very interesting. Please consider making this an original post.

[Angel Martin]

47. are you sure about a separate thread? the article is from 2010...

also, i only have 4 posts and i haven't figured out all the functions of this site
i'm not a liberal or progressive so i will only be commenting on the very occasional "non-political" topic
so please go ahead and post the article if you think folks here would find it worthwhile

[SleeplessinSoCal]

31. The comments at HuffPost for the article need supporters

Of Warren. Amazing how many knives are out.

[druidity33]

40. Just one reason i don't go to HuffPo anymore. nt.

[SleeplessinSoCal]

52. I've never seen so many people on a somewhat "liberal" site go after her

. . . which I consider a healthy sign. Trying to slime Warren means she has power and is feared by the "right" people.

[Ichingcarpenter]

32. Did JPMorgan Try to Bribe Dem Power-Brokers? (Depends What Your Definition of 'Bribe' Is)

Did JPMorgan Try to Bribe Dem Power-Brokers? (Depends What Your Definition of 'Bribe' Is)

They've got a problem with Elizabeth Warren. And they want party leaders to do something about it.



A widely published Reuters story reported that four major U.S. banks have threatened to withhold expected campaign contributions from the Democratic Senatorial Campaign Committee unless “Democrats, including Warren and Ohio Senator Sherrod Brown ... soften their party's tone toward Wall Street.”

But the article specifically notes: “JPMorgan representatives have met Democratic Party officials to emphasize the connection between its annual contribution and the need for a friendlier attitude toward the banks, a source familiar with JPMorgan's donations said. In past years, the bank has given its donation in one lump sum but this year has so far donated only a third of the amount, the source said.”

A person familiar with JPMorgan's donations—who may or may not be a JPMorgan representative—told a Reuters reporter that JPM told party officials: Be more friendly to banks if you want us to give you the remaining two-thirds of the contributions you were expecting from us.

Even shorter: We are offering you a specific sum of money for specific action—which may simply amount to mouth-shutting and smiling—from members of the Senate.

18 U.S.C. § 201 is extremely clear on the legal definition of bribery:

(b Whoever—

(1) directly or indirectly, corruptly gives, offers or promises anything of value to any public official or person who has been selected to be a public official, or offers or promises any public official or any person who has been selected to be a public official to give anything of value to any other person or entity, with intent—

(A) to influence any official act;

Specifically an official act includes:

(3) the term “official act” means any decision or action on any question, matter, cause, suit, proceeding or controversy, which may at any time be pending, or which may by law be brought before any public official, in such official’s official capacity, or in such official’s place of trust or profit.

Will JPMorgan face any investigation, let alone penalty, for their attempted bribe?


http://prospect.org/article/did-jpmorgan-try-bribe-dem-power-brokers-depends-what-your-definition-bribe



http://www.democraticunderground.com/10026441274

[Enthusiast]

39. +1 a whole bunch!

[JDPriestly]

46. Compare to the Siegelman case in Alabama.

Citizens' United legalized bribery.

We need publicly funded elections, but I have no idea how we would enforce such a system.

[bvar22]

37. We need another Teddy (Trust Buster) Roosevelt...

...before another FDR will be effective.

[JDPriestly]

44. I am reading the Bully Pulpit, Doris Kearns Goodwin.

http://www.amazon.com/The-Bully-Pulpit-Roosevelt-Journalism/dp/141654786X

It is taking me quite a while to finish it. But what a great book. I highly recommend it to those who want to understand how Roosevelt accomplished what he did.

The amazing thing is that he was raised in great wealth and, as a young man, was, according to the Bully Pulpit, quite a snob. Yet he came to have great compassion for working people.

He certainly had his faults, but he did fight to enforce reform.

[Ikonoklast]

59. I highly recommend this book, totally agree.

TR was a bit of a conundrum, but the positives he espoused outweighed any faults he had.

[appalachiablue]

45. +1. Break up the Banks, open up the Media & bring back the Fairness Doctrine, for starters.

During the 2008 Financial Crash Sweden nationalized the banks- smart people! Monopolies are dangerous and undemocratic, TR knew-

[Enthusiast]

38. Kicked and recommended a whole bunch!

Jail time, Jamie. You deserve jail time.

Elizabeth Warren for President!

[JDPriestly]

42. Why Elizabeth Warren needs to rethink running for the presidency.

She needs to be president. She and Bernie Sanders are the only politicians who have the courage to speak truth to power -- the only ones. But Warren would be most likely to win because of her temperament and her ability to communicate in an exciting way. Bernie has the most experience and that is his advantage. Bernie also knows all the issues across the board.

Let the people decide.

But Elizabeth Warren owes it to the American people to run. She needs to be front and center in the debates and in the campaign.

[pansypoo53219]

48. i am A-OK with banishment from wall street + confiscation of 90% of wealth.

eat ramen dude.

[zentrum]

50. Read Vanity Fair's

…..article about him and the rest of The Wrecking Crew in April's issue. Dimon smugly asserts that his work is the best way he can help people and he believes that by "saving the system" he did a great thing. He feels misunderstood, is all.

He's revolting and dangerous and Warren should run for President.

[Badass Liberal]

53. This isn't new.

The cult of a Warren-worship is getting old. She's a freshman senator who's very vocal. That's a nice start, but now she needs to being some substance.

[DeSwiss]

55. K&R!

- What Jamie needs some old time religion on his ass.




Did you ever notice how Jesus loved everybody, but he whipped bankers???

[demwing]

60. Monkey on a Stick

In India, the monkeys raid the temples, stealing food from the altars, and generally just being little poop throwing monkeys. They keep the monkeys out by killing one, and impaling the body on as stick outside the temple door. Once the other monkeys see their ravaged friend, they stay the hell out of the temple.

Cruel, but effective.

[turbinetree]

61. Amazing

How a complete ass who is so arrogant thinks that to do business is to rip off people so that he can get a raise, knowing that the very money he gets is from the people that own the central bank called the U.S. Treasury, and he and others on the Wall Street Ponzi scheme get our money almost free to operate under just maybe its time "we the people" of this country quit financing banks like his and others and nationalized the system---I mean really.
Since the U.S. Supreme Court thinks that banks and other oligarchies are people we can then kill two birds with one stone---regulate the money and over turn Citizens United, both and most of all of these organizations and the court would be besides themselves and they then can take a big

[father founding]

62. Play the card

The Takers are all victims.

[WillyT]

63. K & R !!!