- The Big Picture - http://www.ritholtz.com/blog -

Bank Fines + Prosecutions = Enforcement

Posted By Barry Ritholtz On June 6, 2014 @ 8:45 am In Bailouts,Legal,Really, really bad calls | Comments Disabled

Since 2008, the U.S. authorities have meted out $87.53 billion in fines to global banks. That number comes from data complied [1]by the Financial Times. Some people believe that bankers are finally getting their due, being hit with billion-dollar penalties for their recklessness.

I don’t see it that way; rather, it looks like little more than a belated attempt to walk back the too-big-to jail trial balloon floated by U.S. Attorney General Eric Holder.

To me, this represents a colossal failure on the part of our political leaders, regulators, law-enforcement officials and bankers. I don’t buy the concept that a lack of prosecution [2] or conviction means no crimes were committed any more than I buy that O.J. Simpson’s acquittal means he didn’t murder his estranged wife. Rather, what this lack of criminal prosecution reflects is timidity by prosecutors who seem to have forgotten [3]how to do their jobs.

Continues here [4]


Article printed from The Big Picture: http://www.ritholtz.com/blog

URL to article: http://www.ritholtz.com/blog/2014/06/bank-fines-prosecutions-enforcement/

URLs in this post:

[1] complied : http://www.ft.com/intl/cms/s/0/ab35e672-ed0c-11e3-8963-00144feabdc0.html

[2] prosecution: http://www.bloomberg.com/news/2011-05-12/no-jail-for-economic-crisis-may-mean-no-crime-roger-lowenstein.html

[3] forgotten : http://www.bloombergview.com/articles/2014-03-14/why-prosecutors-whiffed-on-subprime-crime

[4] Continues here: http://www.ritholtz.com/blog http://www.bloombergview.com/articles/2014-06-06/fining-banks-is-only-half-the-job

Copyright © 2008 The Big Picture. All rights reserved.