As things had customarily been, with “smooth at all cost” behavior in the so-called financial regulatory system, the devastation of 2008 and the real estate bubble were inevitable
Morning Brew on the foreclosures and lame oversight.
Russ Imrie October 28, 2010
This just in as I read the Post: “Federal bailout oversight panel raises alarms over foreclosure crisis.” by Brady Dennis. Hearings on the ongoing foreclosure fraud problem heard from Treasury on this one.
Phyllis Caldwell of the Treasury seems to be in see-no-evil mode as she is quoted in testimony before the Congressional Oversight Panel. Her “analysis”: ” …no evidence that there is a systemic risk to the financial system.”
Finally, the taxpayer is garnering some strong representation in the oversight community – one that has for ‘way too long just served to smooth the way and to help keep some a***s covered. The heat is on. Caldwell was prodded and conceded risk – D’OH! after committee members Damon Silvers (AFL-CIO,) Sen. Ted Kaufman (D-Del.) and Richard Neiman (Sup. of Banks for New York state) expressed skepticism at the “no problem” message. It is heartening for citizens to see robust questioning on their behalf. People are watching and these guys know it. Treasury not so much.
As things had customarily been, with “smooth at all cost” behavior in the so-called financial regulatory system, the devastation of 2008 and the real estate bubble were inevitable. I wrote about that culture of denial in an article on evaporating “value” and its reality (or not.) Change is the only option. So stay “off message” and prod, poke and stir up the bureaucracy. This is the way to restore confidence in the financial system. Oh, and must I point out the AFL-CIO is a union and that the Senator is a Democrat?
Russell Imrie is a sometimes content producer, webmaster and American Indian self-styled social critic now living in the Washington DC area.