Attorney General Jerry Brown announced that he was suing State Street Bank today.
California sued State Street Bank and Trust today for allegedly committing “unconscionable fraud” against the state’s two largest public pension funds, and seeks more than $200 million in overcharges and penalties.
Atty. Gen. Jerry Brown contends that the Boston investment banking firm overcharged the California Public Employees Retirement System and the California State Teachers Retirement System by about $50 million for the costs of carrying out foreign currency trades since 2001. (LA Times 10/20/09)
See, the thing is here that the Big Banks have been putting their fingers in the taxpayer pocket, and now they are getting called out on it. This case was presented to the AG’s office from a whistle blower, so it will be interesting to see the case when it becomes more clear and to see if there are any ramifications beyond just the money.
Now this CNBC interview is something to behold really. It was going smoothly, until AG Brown was asked about what whether he is pursuing the case against State Street for political reasons. The question was well, typical CNBC, cynical and meant to protect their own, the big financial companies. That being said, Brown’s response was, well, very Jerry Brown. Nobody will mistake him for Arnold Schwarzeneggers’ on-screen presence. The whole interview is worth a watch, but the fireworks start around 3:25.
Listened to Andrew Ross Sorokin talk with Charlie Rose about the economic meltdown we have all just experienced. For all the verbiage about protecting the public from such happening again, we have seen nothing from the Obama Administration or this Democratic led Congress.
Now, good times are appearing in some company’s quarterly reports and the pressures seem to be easing to do anything. You even hear the old Republican calls for less governmental regulation… which is what got us into this mess in the first place.
They ought to have someone with the guts to reintroduce Glass-Seagall, but they don’t. We should have had an SEC with the courage to regulate, but we had Cox who must have been taking orders from Grover Norquist. Hell, they couldn’t even see a Ponzi Scheme when someone served it too them on a plate.
Meg Whitman is basing her hold campaign on ending “job killing regulation”. The Bernie Maddox’s of the world are sending contributions her way.
So at least Brown is trying to do something. Hear, hear.
Gotta give him credit – he has a knack for playing the populist. That interview will play very well for him, although I thought the “eastern financial elite” line sounded like it was straight out of 1896.
As you all know, I’m far from sold on his candidacy for governor. But if he plans to go after the banks in his 2010 campaign, well, it wouldn’t be the worst thing in the world, especially after one of the most pro-Wall Street governors California has ever had.
…what a bunch of Kool-Aide Guzzlers. Anything to avoid facing the truth of the Obama Wing of the ‘Democrat’ Party.
They are in the pockets of the Banksters. Rail all you like with cut lines like ‘he has a knack for playing the populist….’ in what way does Jerry fail to be a populist here?
Just ask yerself, ‘What would Gavin do?’
Nothing pals, would not want to piss off his hyper-rich supporters you see.
Ask yourself just how you differ from MSNBC here in the comments?