The most effective way to raid a bank own. Gangsters, criminals and white collar workers learned all kinds in 1980 when the Savings & Loan industry was largely deregulated federal insurance against loss of deposits.
After adoption of the law deregulating the S & L is gone, the criminals immediately left to take advantage of a regulation: Federal Deposit Insurance up to $ 100,000 per account. The money began to flow from investments in New YorkFirms in local savings banks to be able to pay high interest rates.
With hundreds of millions of dollars in savings deposits and loan crisis has made of institutions, savings banks padded their record with the reserves that can be borrowed. No loan was too large, not overvalued housing project, not an excuse for their own gain at the expense of society scandalous.
But, as with the mortgage industry at risk, we had no interest in the success or failure of a particularLoans. The banks have given loans, personal loans and credit lines to friends who have never be able to pay them, and stole the money in a savings of threatening the entire industry.
Relatively little has been done by gangsters and criminals who had looted the savings more than half a decade back, because most of the state and the beneficiaries of these loans have the money transferred abroad. Even when government agencies try to go after the stolen goods, the thieves usually only filed for bankruptcyand left with their illicit gains.
After the inauguration of President George HW Bush in 1989, the S & L crisis addressed. Hundreds of thousands of others had savings at risk of failure is not, and politicians, businessmen and regulators have been implicated in the scandal of concealment.
The bill was approved and promulgated the reform of financial institutions, Recovery and Enforcement Act, which regulated contributions, most of the S & L industry. But mostimportant, most of which sell the subprime crisis, the law creates a huge new bureaucracy, the activities of savings banks into bankruptcy.
Part of the bureaucracy of the Resolution Trust Corporation (RTC), similar in many respects the Troubled Assets Relief Program (TARP) to invest taxpayers' money in mortgage-backed securities insolvent. The RTC was expected that nearly 300,000 properties contain (many of whom have been overestimated in advance) and $ 400 billion in the failed S & LAssets (including loans that have been removed from the will never be repaid).
While the RTC took over nearly half a trillion dollars of bad loans, bad mortgages, junk bonds, and development projects of housing and accommodation places unfinished, the program has become another excuse for the same people who looted the industry to start recycling their money again devalued assets of the company.
Criminals have the huge debt of S & L on overvalued real estate, put theDifference, usually with foreign accounts that have never been confiscated by the government. When the RTC took over the assets of S & L failed, wanted the government to provide activities for all that could be liquidated.
Savings banks Looters were able to dirty money that had used the default S & L loan to buy the insolvent S & L activities. In fact, the Resolution Trust Corporation did not even asked if the money that the buyer has been offered.
LikeStephen Pizzo, Mary Fricker and Paul Muolo include in their 1991 book Inside Job: The Rape of America's Saving & Loan: "Of course, the RTC is a means not only the return of the money offshore, but to win again in Parlay offer, as have bought state assets at bargain prices.
The RTC uses taxpayers' money to clean up the savings do not, and instead of prosecuting those responsible for the failure of the sector, to reward criminalsBack to the use of their stolen money to buy goods that had contributed to swell at low prices. RTC also throw in the hundreds of thousands of properties on the market at a time, housing prices could not help but fall, and also handles better.
And now, with the canvas is the beginning of its field activities, the government is basically the same: with taxpayers 'money' to buy additional shares at inflated prices and then later. Government officialsMoney can actually program, but it is difficult to see how it will be helpful for those in need without future value as an asset, if the economy deteriorates further.
The parallels between the current crisis in the housing market bust and the Savings & Loan in the late 1980's, are almost too numerous to be counted credit and smaller government insured money Wall Street flooded, looting spreading and exaggeration, a Bush White House and the government finallyThe acquisition of the activities of a non-failure.
