The great interest rate rip off part 1

[interestrateripoff]

FSA hits Scottish Equitable with £63m bill for failing customers

 

 

James Moore: Scottish Equitable, the UK arm of Dutch insurer Aegon, was yesterday handed a Christmas to forget by the FSA.

 

 

• Firm extends life of two nuclear power stations
  
• Posen calls for calm as inflation fears rise
  
• Geronimo founders net £8m in sale to Young's
  
• Bank warns of eurozone risks to UK as EU leaders meet
  
• BP investors count the cost of US legal action
  
• Early white Christmas is bad dream for retailers
  
• Huhne sets out 'seismic' plans for electricity market reform
  

 

David Prosser: Are they playing politics at the Office of Fair Trading?

 

 

Outlook To close observers of the supermarket sector, the plea made yesterday by the Association of Convenience Stores will have a familiar ring. Noting that Tesco is buying up another bunch of local shops via its One Stopsubsidiary, it called for the Office of Fair Trading to investigate the deal on competition grounds.

 

 

• David Prosser: How best to measure house prices
  
• David Prosser: Banks to seek billions of euros
  
• David Prosser: What we need to know now about Lord Turner's embarrassing U-turn
  
• David Prosser: Where are all the jobs going to come from?
  
• David Prosser: Paying more for temples in the sky
  

 

Is Twitter really worth $3.7bn?

 

Nick Clark: The microblogging site may have soared since it started four years ago, but it still doesn't make any money.

 

• Bob Stuart: Britain's best-kept engineering secret
  
• Heavy going before Tote sale clears final fence
  
• Energy costs squeeze ups pressure on consumers
  
• The Business On: Baroness Vadera, Former minister
  
• A new golden age for theatre? 'Oh Yes It Is' says Panto Panter
  

[interestrateripoff]

FTSE dips as Ireland worries pressure banks

 

LONDON (Reuters) - Banks pulled top share index to a lower close Friday as worries over the impact of the Irish debt crisis weighed on the sector, although the wider market had some support from a number of broker upgrades.

Continue Reading

 

 

 

News Corp set to win EU okay for BSkyB bid - source

 

BRUSSELS (Reuters) - Rupert Murdoch's News Corp is set to clear a hurdle in its bid to acquire BSkyB by winning unconditional EU regulatory approval for the deal, a source familiar with the case said on Friday.

6:08pm GMT

 

Irish debt downgraded as EU eschews crisis action

 

DUBLIN/BRUSSELS (Reuters) - Ratings agency Moody's gave an emphatic thumbs-down on Friday to Europe's efforts to resolve a debt crisis, slashing Ireland's credit rating as EU leaders took no new action to prevent market turmoil spreading. | Video

David Cameron 6:25pm GMT

 

Lloyds warns of fresh Irish assets hit

 

LONDON (Reuters) - Part-nationalised bank Lloyds warned it would take a further hit from its troublesome Irish portfolio as a result of Ireland's economic problems.

7:28pm GMT

 

Simon Property told to make firm CSC offer by January 12

 

LONDON (Reuters) - The takeover watchdog ruled on Friday that American real-estate group Simon Property must announce a firm intention to make an offer or otherwise for rival Capital Shopping Centres by January 12, 2011.

6:43pm GMT

 

U.S. growth prospects look firmer as year end nears

 

WASHINGTON (Reuters) - The U.S. economy is gathering steam as the year draws to a close, boosting optimism about prospects in 2011, according to measures published by two separate economic research firms on Friday.

4:38pm GMT

 

Gartmore enters takeover talks with Henderson

 

LONDON (Reuters) - Gartmore Group Plc , a struggling fund manager hit by staff resignations and an outflow of assets, has begun talks on a possible takeover by rival Henderson Group Plc .

8:04pm GMT

 

Banks told must restrain bonus payments

 

LONDON (Reuters) - Britain fell in line with the rest of the European Union in introducing the world's toughest bank bonus curbs on Friday as politicians and the Bank of England stepped up pressure on lenders to rein in payouts.

UK, Nick Clegg, David Cameron 3:49pm GMT

 

Court denies full hearing for ex-media mogul Black

 

CHICAGO (Reuters) - The federal appeals court in Chicago on Friday denied a request from convicted former media mogul Conrad Black to have his case reheard by the full court, prompting Black's lawyer to say he would appeal to the Supreme Court.

7:59pm GMT

 

Bank of Ireland raises €700 million via debt swap

 

DUBLIN (Reuters) - Bank of Ireland said on Friday it expected to raise 700 million euros (601 million pounds) in a bond exchange, a move that will help it to plug a 2.2 billion euro capital hole.

[interestrateripoff]

17 December 2010 Last updated at 19:05

 

UK banks 'at risk from eurozone'

 

The continuing financial problems in the eurozone pose a threat to UK banks, the Bank of England warns.

 

• Peston: Banks living dangerously
  

 

Bank bonus rules 'to miss many'

 

Most UK financial firms look set to be able to escape strict European rules aimed at curbing bankers' bonuses.

 

 

Madoff beneficiary returns $7bn

 

The widow of a businessman who was the single-largest beneficiary of Bernard Madoff's Ponzi fraud agrees to return $7.2bn (£4.5bn).

 

• Madoff trustee sues HSBC for $9bn
  

 

 

 

• Watchdog in loan sharks warning
   
  The Office of Fair Trading is warning people not to go to loan sharks to raise cash for presents and festivities.
  
• EU agrees on eurozone rescue fund
   
  EU leaders agree to set up a permanent mechanism to bail out any member state whose debt problems threaten the 16-nation eurozone.
  
• Eurozone plans integration move
   
  EU leaders say they are looking at ways to narrow the economic performance gaps that undermine the eurozone's stability.
  
• UBS hands out 44-page dress code
  
• Cameron in EU budget freeze pact
  
• Stamp costs to rise by record 5p
  
• Congress passes Obama tax deal
  
• Osborne to hold bank bonus talks
  
• Drug delay hits AstraZeneca stock
  
• German business confidence rises
  
• Mugabe threatens US and UK firms
  
• Moody's in sharp Irish downgrade
  
• Software boosts Oracle profits
  
• How to curb bonuses
   
  UK banks need reminding that they get a £100bn subsidy
  
• War of words
   
  Two MPC members clash over whether to raise interest rates
  

[interestrateripoff]

EU shocked by Irish debt downgrade

 

European leaders received a nasty shock as the credit agency Moody's downgraded Ireland's debt, even as the politicians closed a summit intended to prop up confidence in the eurozone.

Irish downgrade hits world markets

 

 

US confidence rises as 2010 ends

 

American businesses are growing more confident about the outlook for the economy next year, according to a widely watched survey, despite the stubbornly high level of unemployment.

America unveils first ATM for gold

 

 

 

OFT 'made mistakes' in collapsed BA price-fixing trial

 

An official review found that 'management oversight' and 'weakness in investigation processes' were factors in the collapse of the trial of four British Airways executives on price-fixing charges.

 

Madoff victims get Christmas cheer with $7.2bn

 

The victims of Bernard Madoff are expected to enjoy their biggest cheer in two years after the estate of Jeffry Picower, one of the fraudster's biggest investors, agreed to return $7.2bn.

 

US setback for AstraZeneca heart drug Brilinta

 

AstraZeneca's shares tumbled as over 5pc on Friday as its potential blockbuster, Brilinta, failed to win approval from American drug regulators.

 

RBS sells assets to Bank of Tokyo-Mitsubishi

 

 

 

 

Banks face an extra £80bn of bad debts

 

 

 

 

Inflation expectations hit two-year high

 

 

 

 

Diamond takes over as Barclays chief early

 

 

 

 

Magnitsky death: Europe calls for sanctions

 

 

These mixed messages only hurt our economy

 

Telegraph View: What is needed now is for Mr Cameron and his colleagues to talk it up.

Irish downgrade hits world markets

 

 

 

 

Portugal and Spain seen as riskier after Irish downgrade

 

 

 

 

UK consumer confidence drops ahead of spending cuts

[interestrateripoff]

Wall Street Cautious After Irish Downgrade

 

By REUTERS 12:50 PM ET

 

Investors remained uneasy even as European officials seek a solution that would bring stability to the markets.

 

China Leader Says Anti-Inflation Measures Needed

 

By EDWARD WONG 6:50 AM ET

 

The comments from Li Keqiang, vice premier of China, seemed to highlight that China is increasingly concerned about resentment over rising living costs.

 

Off the Charts

 

The Euro’s Uneven Benefit in Europe

 

By FLOYD NORRIS 1:36 PM ET

 

Europe’s common currency was meant to stimulate trade within the euro zone, but in the last decade, some members have lost export market share while others gained.

 

DealBook

 

BMO to Acquire Marshall & Ilsley for $4.1 Billion

 

By CHRIS V. NICHOLSON 10:00 AM ET

 

The parent of Bank of Montreal makes a move south -- the latest deal by a Canadian bank to take over a weakened financial firm in the United States.

 

E.U. Deepens Investigation Into Google

 

By JAMES KANTER 2:27 PM ET

 

European authorities have accepted two additional complaints from Germany, one involving newspaper and magazine publishers and the other, a mapping company.

[interestrateripoff]

http://www.mydigitallife.info/2009/04/26/netbook-market-dropped-due-to-economy-downturn/

 

Despite netbook segment that has gained much traction and appeared as a new driving factor to sustain PC hardware revenue during current economic crisis, the recently released third party report discloses that the none of the major netbook vendors is able to hit the first quarter sales target, as tally with what being observed by the shipment slowing down of Intel Atom processor that monopolizes most of the netbook designs in the market.

 

Most of the netbook sales are mainly powered by Intel Inc, using its tiny but yet powerful Atom processor and with collaboration effort from some of the major OEMs (Original Equipment Manufacturer) that occupy the sales distribution include Taiwanese companies such as Acer, Asustek and MSI. Out of the total sales volume, Acer topped up with 40 percent followed by Asustek at 30 percent and other manufacturers sharing the rest of the pie chart distribution. For Acer that leads the market with its Aspire during first quarter, it was not able to meet its sales of two million units as forecasted earlier. Whereas for Asustek, its Eee PC volumes stay close to 900,000 units, slightly lower than one million units goal projected previously while MSI’s Wind series only managed to achieve 200,000 units.

 

Anyone would think we are in a recession and not a recovery...

 

So are the sales targets overly optimistic to try and get the sales force working harder or is demand simply down?

[interestrateripoff]

Breaking news

 

• Argentina's YPF to resume Patagonia oil operations - Reuters
  
• Bahrain releases UK bankers in Saad/AHAB case - Reuters
  
• Nigeria militants claim attacks on oil facilities - Reuters
  
• Iraq oil revenue plan prompts Kurd parl't walkout - Reuters
  
• Shahristani, architect of Iraq's oil future - Reuters
  
• Shahristani to stay as Iraq oil minister-sources - Reuters
  
• Irish divided on bailout, say sovereignty lost -poll - Reuters
  
• Iraq's Shahristani to stay oil minister-sources - Reuters
  
• U.S. closes six banks; 2010 failures now 157 - Reuters
  

 

 

 

• Lloyds Banking Group admits £4.3bn of losses on Irish loans
   
  Lloyds Banking Group's surprise trading update is further evidence that the eurozone crisis will hit UK banks
  52 comments
  
  • Ireland's credit rating slashed five notches
    
  • Ireland downgrade reignites debate on credit ratings
    
  • Martin Kettle: Curb the rating agencies
    
  • AIB staff plan court action to reclaim bonuses
    
  • Freeze EU budget, says Cameron
    
  • The euro fights for its life
    
  • Show of unity, but euro wrangling continues
    
  • Greece 'can only recover by defaulting'
    

  [*] Madoff friend's estate agrees to repay $7.2bn in Ponzi fraud settlement

   

  Jeffry Picower's widow reaches deal to return Madoff fraud money, marking largest settlement secured by Irving Picard

  35 comments

  [*] Bob Diamond to step up at Barclays three months early

   

  Bob Diamond is to become chief executive of Barclays three months earlier than planned on 1 January

   

  • FSA banking code will not cover many City bonuses
    
  • Bank of England warns bankers on bonuses
    
  • Nils Pratley: Deep potholes on road to recovery
    

  [*] Rental boom drives demand for 'build to let' investments

   

  With rents rising and house prices falling, big institutional investors and some developers are entering the market to build mass rental homes

  37 comments

 

 

• Business quiz 2010: part five, in pictures
   
  In the fifth and final instalment of our quiz, let's see if these pictures help you remember the year's events
   
  
  • Business quiz 2010: part four, economics
    
  • Business quiz 2010: part three, the City
    
  • Business quiz 2010: part two, disasters
    
  • Business quiz 2010: part one, the people
    
  • Kipper Williams: Christmas cards 2010
    
  • Print or tweet your Xmas cards
    

  [*] Majestic success from best vintages

   

  Friday interview: Britain's biggest independent wine retailer uses top quality to beat cut-price offers in the supermarkets

  [*] Madagascar Oil suspends share trading

   

  Madagascar Oil contract to develop oil sands gave it 99% of revenues for ten years

  6 comments

  [*] Uncut targets Vodafone and Topshop

   

  Tax protesters plan biggest day of action yet in more than 50 towns and cities

  [*] More business news

  [*] AstraZeneca blockbuster Brilinta fails to win FDA approval

  Post your comment

  [*] City bankers 'driving up price of turkeys'

[interestrateripoff]

Cameron warns banks to show restraint or face new tax rise

 

 

David Cameron yesterday issued his toughest warning yet that Britain's banks will face a further tax hike if they keep paying out huge bonuses, as regulators unveiled new rules aimed at curbing risk-taking and excess.

 

 

• Madoff victims win $7.2bn from fraud insider
  
• Lloyds reveals new hit from failing Ireland
  
• Astra slumps as heart drug hit by new setback
  
• Madagascar Oil shares suspended on licence bid
  
• Abel & Cole serves up another loss
  
• Simon told to bid for CSC or walk
  
• Second bidder moves for Tribal
  

 

James Moore: How the banks took revenge on the politician once known as St Vince

 

 

Outlook: Should I be watching my back if I were a banking executive?

 

 

• James Moore: Bankers aren't the only ones on big pay packets
  
• James Moore: What the world is trying to tell us
  
• David Prosser: Are they playing politics at the Office of Fair Trading?
  
• David Prosser: How best to measure house prices
  
• David Prosser: Banks to s Coffee takes over the high street
   
  Forget austerity: Britain's coffee shop boom continues, says James Thompson
   
   
  
  • The business on...Ian Dyson, Chief executive, Punch Taverns
    
  • Is Twitter really worth $3.7bn?
    
  • Bob Stuart: Britain's best-kept engineering secret
    
  • Heavy going before Tote sale clears final fence
    
  • Energy costs squeeze ups pressure on consumers
    

   

   

  eek billions of euros

[interestrateripoff]

States' budget freeze bid risks more EU wrangling

 

PARIS (Reuters) - Five countries said on Saturday the EU's budget should be frozen until 2020, highlighting a new source of policy divisions that could spark a funding battle between the region's western states and their poorer peers in the east.

Continue Reading

 

 

 

Irish debt downgraded as EU eschews crisis action

 

DUBLIN/BRUSSELS (Reuters) - Ratings agency Moody's gave an emphatic thumbs-down on Friday to Europe's efforts to resolve a debt crisis, slashing Ireland's credit rating as EU leaders took no new action to prevent market turmoil spreading. | Video

David Cameron 17 Dec 2010

 

News Corp set to win EU okay for BSkyB bid - source

 

BRUSSELS (Reuters) - Rupert Murdoch's News Corp is set to clear a hurdle in its bid to acquire BSkyB by winning unconditional EU regulatory approval for the deal, a source familiar with the case said on Friday.

17 Dec 2010

 

France's Lagarde: EU rescues "violated" rules - report

 

PARIS (Reuters) - Euro zone policymakers deliberately chose to "violate" the bloc's rules in rescuing Greece and Ireland, closing ranks to protect the single currency area's future, French Economy Minister Christine Lagarde was quoted as saying.

3:14pm GMT

 

Irish divided on bailout, say sovereignty lost - poll

 

DUBLIN (Reuters) - Just over half of Irish people support a multi-billion euro EU/IMF rescue package but 56 percent believe the country has surrendered its sovereignty by accepting the assistance, a poll published on Saturday said.

6:15pm GMT

 

UK banks told must restrain bonus payments

 

LONDON (Reuters) - Britain fell in line with the rest of the European Union in introducing the world's toughest bank bonus curbs on Friday as politicians and the Bank of England stepped up pressure on lenders to rein in payouts.

UK, Nick Clegg, David Cameron 17 Dec 2010

 

German tax crackdown may net 1.8 billion euros - report

 

BERLIN (Reuters) - Germany's crackdown on tax evaders through its acquisition of stolen data on bank accounts in Liechtenstein and Switzerland could rake in some 1.8 billion (1 billion pounds) euros for public coffers, a German magazine wrote on Saturday.

4:43pm GMT

 

Markets sanguine on Moody's big Ireland downgrade

 

NEW YORK/LONDON (Reuters) - Moody's Investors Service cut Ireland's credit rating by five notches on Friday, raising some eyebrows for its magnitude and timing, but investors said the move was not unexpected.

2:12am GMT

 

Lloyds warns of fresh Irish assets hit

 

LONDON (Reuters) - Part-nationalised bank Lloyds warned it would take a further hit from its troublesome Irish portfolio as a result of Ireland's economic problems.

17 Dec 2010

 

Simon Property told to make firm CSC offer by January 12

 

LONDON (Reuters) - The takeover watchdog ruled on Friday that American real-estate group Simon Property must announce a firm intention to make an offer or otherwise for rival Capital Shopping Centres by January 12, 2011.

[interestrateripoff]

18 December 2010 Last updated at 17:53

 

Cold weather hits Christmas shops

 

Retailers were hoping the severe cold weather would not deter shoppers on the last weekend before Christmas.

 

• Will bad weather hamper Christmas?
  
• Retail sales up 0.3% in November
  

 

Sudan president 'stole fortune'

 

The ICC's chief prosecutor Luis Moreno Ocampo accuses Sudanese President Omar al-Bashir of stealing as much as $9bn of his country's funds.

 

• At a glance: Wikileaks cables
  

 

 

UK banks 'at risk from eurozone'

 

The continuing financial problems in the eurozone pose a threat to UK banks, the Bank of England warns.

 

• Peston: Banks living dangerously
  

 

 

 

• Madoff beneficiary returns $7bn
   
  The widow of a businessman who was the single-largest beneficiary of Bernard Madoff's Ponzi fraud agrees to return $7.2bn (£4.5bn).
  
• Brown airs youth joblessness fear
   
  Government cuts will leave Britain with worse youth unemployment problems than the 1980s, former Prime Minister Gordon Brown warns.
  
• Bank bonus rules 'to miss many'
   
  Most UK financial firms look set to be able to escape strict European rules aimed at curbing bankers' bonuses.
  
• Watchdog in loan sharks warning
  
• EU agrees on eurozone rescue fund
  
• Eurozone plans integration move
  
• UBS hands out 44-page dress code
  
• Cameron in EU budget freeze pact
  
• Stamp costs to rise by record 5p
  
• Congress passes Obama tax deal
  
• Osborne to hold bank bonus talks
  
• German business confidence rises
  
• Mugabe threatens US and UK firms
  
• Moody's in sharp Irish downgrade
  

[interestrateripoff]

[/url]

 

 

Bank bosses summoned as FSA waters down bonus rules

 

George Osborne and Vince Cable are planning next week to unite for another assault on Britain's bank bosses in a bid to secure an agreement to limit bonus payouts and boost lending levels.

What investment bankers earn

 

 

Anger or acceptance? Bankers' bonus row in quotes

 

 

Bob Diamond to become Barclays chief early

 

 

 

 

'Super Saturday' as online woes continue

 

The latest on online orders, delivery estimates from the big retailers, and consumer rights should items not arrive on time.

Christmas shoppers face tax protest disruption

 

 

 

EU leaders shocked by Irish debt downgrade

 

European leaders received a nasty shock as the credit agency Moody's downgraded Ireland's debt, even as the politicians closed a summit intended to prop up confidence in the eurozone.

Lloyds writes off half of Irish loans

 

 

 

OFT 'made mistakes' in collapsed BA trial

 

An official review found that 'management oversight' and 'weakness in investigation processes' were factors in the collapse of the trial of four British Airways executives on price-fixing charges.

 

Madoff victims get Christmas cheer with $7.2bn

 

The victims of Bernard Madoff are expected to enjoy their biggest cheer in two years after the estate of Jeffry Picower, one of the fraudster's biggest investors, agreed to return $7.2bn.

 

Alan Greenspan: 'US economy could grow 3.5pc next year'

 

 

 

 

Nouriel Roubini buys $5.5m home in New York

 

 

 

 

UK gas prices hit fresh two-year high

 

 

 

 

Buyers for London 2012 Olympic Village shortlisted

 

 

 

 

7m home owners as risk from interest rates

 

 

What investment bankers earn

 

From back office clerk to accountant to head of investment, we list the average salaries – and bonuses – of investment bank employees in the City of London.

 

Inflation beating investments

 

Inflation has hit a new high, but there are options for income seekers.

[interestrateripoff]

What’s a Quiet Guy Doing on Real Estate’s A-List?

 

By JANET MORRISSEY 28 minutes ago

 

 

A recent deal by Brookfield Asset Management has placed it and its Canadian chief executive, Bruce Flatt, among America’s top investors.

 

 

 

Michael Falco for The New York Times

 

Bruce Flatt, of Brookfield Asset Management, at the World Financial Center. He is known for a smart negotiating style.

 

 

 

 

 

 

Oprah’s Highest Hurdle

 

By BRIAN STELTER 31 minutes ago

 

Oprah Winfrey’s new network is starting Jan. 1, but for the first few months her attention will be divided. Her talk show will end in September.

 

Santa via Cellphone: Shopping Online Without a Computer

 

By CLAIRE CAIN MILLER and VERNE G. KOPYTOFF

 

This holiday season, consumers are beginning to shop and make purchases on their mobile phones and tablet computers.

 

Ping

 

So Much for Reinventing Ourselves Online

 

By JENNA WORTHAM 8 minutes ago

 

When profiles were anonymous, users could better separate their online and offline lives. Now a presence on a dating site may lead to Foursquare, Twitter and Facebook.

 

Novelties

 

What’s Just Around the Bend? Soon, a Camera May Show You

 

By ANNE EISENBERG 6 minutes ago

 

In future generations of cameras, computational photography may help us see around obstacles.

 

Best Buy Feels the Pressure of Rivals on the Web

 

By CHRISTINE HAUSER

 

Best Buy is emphasizing the personal touch and service to buyers of consumer products, but its earnings and sales are declining.

[interestrateripoff]

System Was Insolvent In 2008 (And Still Is)

From The Guardian, one of the Wikileaks cables....

Dateline 17 March 2008.

SUBJECT: BANKING CRISIS NOW ONE OF SOLVENCY NOT LIQUIDITY

SAYS BANK OF ENGLAND GOVERNOR

This is not news if you read The Ticker. But it is absolute validation that what I said at the time, and what I've said since, is absolutely true.

The bigger problem is that we didn't fix it.

More than a year later Bank of America put up $185 billion in alleged "collateral" to secure a $15 billion loan, well into the TARP process and beyond the "recapitalization."

Bank of America was not alone. Indeed, they were representative. Look at the data again if you don't believe me.

The question remains: WHERE ARE THOSE LOSSES NOW?

Again, The Fed's program of lending requires you post collateral to secure your borrowing. TAF had a schedule of "haircuts" off their valuation. Those haircuts were ridiculously small, as I opined at the time, as it was my view that the alleged collateral was in fact trash.

Well, we have now discovered that in fact the collateral was trash, and The Fed simply valued it at a tiny fraction (like $1 for every $10 claimed!) and then haircut it according to their table.

This leaves us with the original question unanswered: Since the collateral was trash and it was not written off in earnings reports, and this collateral was in fact both what left the system insolvent and is radically beyond the "recapitalization" that the banking system received, one still has to ask where is that collateral now, at what value is it being carried, and how is it being valued for that mark?

These are NOT minor or "technical" considerations. They go directly to the question of whether these institutions are solvent today! If these "assets" are being held at values that do not represent reality then at some point they will mature and either have to be rolled or paid.

The premise that many have run in the media and elsewhere is that these "toxic" assets will become less toxic over time - primarily because house prices will go back up - to 2005 levels. It ought to be clear by now that this is extraordinarily unlikely, and that in point of fact the only clearing mechanism we're seeing on housing is foreclosures!

We deserve answers - and accountability for the lies that were spread by those in government and out. While I like being vindicated that is small consolation if the deception is continuing and, in point of fact, the banks are still insolvent.

You cannot believe anything a proved liar tells you until strict proof of that person's continued assertions are provided and vetted. More to the point given these facts it appears that every one of these major banking institutions lied in both their quarterly reports and public statements.

For this reason absolutely nothing that Geithner, Bernanke or the executives of any these firms say can be taken as having any sort of value or veracity.

 

Still nothing that a bit of free money can't fix.....

[interestrateripoff]

Rescission Under Fire By The Fed

Fraud, you know, is a business practice. And protecting fraud is the primary function of The Fed:

Consumer groups and industry lawyers say a rule under consideration by the central bank would make it harder for borrowers to exercise their right of “rescission,” which forces a lender to relinquish a lien on a mortgaged property. They said the number of rescissions has grown in recent years as a result of the

foreclosure crisis

and allegations that mortgage documents were fabricated or processed improperly.

Ken Markison, regulatory counsel at the Mortgage Bankers Association, said the change would save lenders money. “Greater clarity will help avoid unnecessary litigation and reduce costs,” Markison said.

Note the spin: "Save money" and "Reduce costs."

Nowhere is the point made that the reason these "costs" show up is that the lender screwed the borrower in the first instance.

Rescission is powerful tool to address fraudulent lending practices; it gives the borrower the right (granted by the Truth In Lending Act of 1968) to shove a bad loan back on the lender. That is, a loan that was made where there was material misstatement or fraud on the borrower can have its security interest voided and all interest and costs removed. The borrower then can refinance with a legitimate lender who is willing to sell them legitimate money under legitimate terms, and pay off the now-unsecured debt.

The key to this is the lien release. Without it the refinance can't happen, as there's no collateral available to pledge for the honestly-refinanced loan.

What The Fed proposes to do is to force the principal repayment to happen before the lien is released. This effectively destroys the remedy, since without the ability to pledge the collateral for the new loan it will be impossible to obtain the new loan.

TILA and RESPA violations are one of the most-potent tools available when a consumer has been legitimately screwed. The risk of having the loan's security interest voided and then paid at principal value only is a tremendously powerful tool to force lenders who have screwed a borrower to come to the table with a realistic and reasonable modification that cures the original breach of good faith.

As has been the practice over the last 20 years, The Fed's position on this makes clear exactly who The Fed represents - and who it doesn't. It also makes a mockery of the claim that The Fed "protects consumers" and "polices lenders" - if it had there would have been no housing bubble and the predatory lending practices that were rampant during the 2000s would have led to enforcement actions and criminal referrals.

Now that the bad debts are floating to the surface and stinking up the joint The Fed proposes to remove one of the tools available to those who got screwed in finding justice - in the name of "lower costs" for lenders (read: yet another attempt to keep illicitly-gained money.)

Where's CONgress on this issue?

Under the table giving knobjobs to the banksters.

Again.

Ps: This is a refresh of a Ticker I posted on November 30th.... this issue deserves far more attention than it is receiving!

[interestrateripoff]

Breaking news

 

• 'Tron' leads weak pack of newcomers at box office - Reuters
  
• UN rejects Gbagbo demand to quit Ivory Coast - Reuters
  
• Chile mine seeks alternative to ship copper-official - Reuters
  
• Ex ECB member, Italy minister Padoa-Schioppa dies - Reuters
  
• Ex ECB member, Italy minister Padoa-Schioppa dies - Reuters
  
• Chile mine seeks alternative to ship copper-company - Reuters
  
• Chile copper port could close for a month-official - Reuters
  
• John Lewis weekly sales up 7 pct despite freeze - Reuters
  
• Wall St Week Ahead-Investors placing bets on 2011 - Reuters
  

 

 

 

• RBS seeks to pay cash bonuses as bankers meet Cable
   
  Vince Cable is taking a tougher public line on banks than the chancellor, although he is adamant about 'unacceptable bonuses'
  
• Pontin's future in doubt as bidders look to bulldoze sites
   
  Holiday camp chain may be consigned to the UK's seaside past as commercial and residential redevelopment of its sites looms
  6 comments
  
• Rock of wages: online gaming keeps Gibraltar's residents at work
   
  Unemployment is high over the Spanish border but the UK tax haven is a virtual Las Vegas. Now Gibraltar is raising the levy on gaming firms tenfold
   
  
  • Ladbrokes in talks to buy 888 internet casino
    

  [*] Flybe sets its sights on Europe

   

  Jim French, boss of the regional airline, says passenger convenience is secret of beating rivals

  1 comment

  [*] Lloyds Banking Group admits £4.3bn of losses on Irish loans

   

  Surprise trading update is further evidence that the eurozone crisis will hit UK banks

  56 comments

  • Ireland's credit rating slashed five notches
    
  • Ireland downgrade reignites debate on credit ratings
    
  • Martin Kettle: Curb the rating agencies
    
  • AIB staff plan court action to reclaim bonuses
    
  • Freeze EU budget, says Cameron
    
  • Greece 'can only recover by defaulting'
    

  [*] Tributes paid to Tommaso Padoa-Schioppa, a founding father of the euro

   

  Italian economist, 70, dies suddenly after suffering heart attack at a Rome party

 

 

• Business quiz 2010: part five, in pictures
   
  In the fifth and final instalment of our quiz, let's see if these pictures help you remember the year's events
   
  
  • Business quiz 2010: part four, economics
    
  • Business quiz 2010: part three, the City
    
  • Business quiz 2010: part two, disasters
    
  • Business quiz 2010: part one, the people
    
  • Kipper Williams: Christmas cards 2010
    
  • Print or tweet your Xmas cards
    

  [*] Ministers block rescue of Powerfuel

   

  Ministers drawing up plans to subsidise three more clean coal plants, will only support smaller projects

  [*] Big business gets defensive on tax

   

  Philip Green has no comment and CBI is mute as campaigns such as UK Uncut make the running. By Terry Macalister and Andrew Clark

  122 comments

  [*] Weather chaos: last-minute shoppers may face empty shelves

   

  Fears mount over deliveries as snow closes stores and shoppers shun out-of-town malls in favour of high street

  [*] More business news

  [*] Diamond to step up at Barclays early

   

  • FSA banking code will not cover many City bonuses
    
  • Bank of England warns bankers on bonuses
    
  • Nils Pratley: Deep potholes on road to recovery
    

  [*] Starbucks' staff to get free shares

  7 comments

  [*] McDonald's not-so Happy Meals

  120 comments

  [*] Inflated expenses claims on rise in UK, says YouGov

  [*] Cash-rich IMF plans to refurbish its HQ

[interestrateripoff]

Auditors to be sent to the front line of financial system defence

 

 

The UK's accountancy firms face a radical shake-up of the way they audit banks when the Bank of England takes over banking supervision from the Financial Services Authority.

 

 

• BT squares up to Hollywood over broadcast rights
  
• Eurostar narrows losses ahead of Deutsche Bahn competition
  
• Sex and the city: Roddick to take her adult shops online
  
• Simon told to put up or shut up over Capital Shopping Centres
  
• Boots to open second 'drive through' chemist
  
• Intandem wins 'Catweazle' film
  
• The City Diary: Santa Ocado
  

 

James Moore: How the banks took revenge on the politician once known as St Vince

 

 

Outlook: Should I be watching my back if I were a banking executive?

 

 

• James Moore: Bankers aren't the only ones on big pay packets
  
• James Moore: What the world is trying to tell us
  
• David Prosser: Are they playing politics at the Office of Fair Trading?
  
• David Prosser: How best to measure house prices
  
• David Prosser: Banks to seek billions of euros
  

 

'Ah, the language of handbags says it all'

 

Even in a recession, women can spend big money on luxury accessories. And, at Christie's, they're knocking-out vintage bags for the price of a quality car

 

 

• Merger Monday sees rainmakers return to form
  
• Coffee takes over the high street
  
• The business on...Ian Dyson, Chief executive, Punch Taverns
  
• Is Twitter really worth $3.7bn?
  
• Bob Stuart: Britain's best-kept engineering secret
  

[interestrateripoff]

Coalition won't be bullied on bankers' pay and bonus - Cable

 

LONDON (Reuters) - Business Secretary Vince Cable warned banks on Sunday they should not underestimate the government's determination to act on unacceptable pay and bonuses, adding the coalition was united on the issue.

Continue Reading

 

 

 

CVC preparing takeover bid for Spain's Abertis - report

 

LONDON (Reuters) - Private equity group CVC is putting together a 12 billion euros (£10.3 billion) takeover bid for Spanish infrastructure company Abertis , The Sunday Times reported without citing sources.

4:54pm GMT

 

Anglo American may buy Oppenheimers' De Beers stake - report

 

LONDON (Reuters) - Mining company Anglo American is considering buying the Oppenheimer family's stake in diamond firm De Beers, the Sunday Times said without citing sources.

3:43pm GMT

 

Algeria says mulling all options on BP sale - report

 

ALGIERS (Reuters) - Algeria is considering all the options on the assets which oil major BP wants to sell, including acquiring them for itself or letting another firm buy them, official media quoted the energy minister as saying on Sunday.

5:58pm GMT

 

John Lewis weekly sales up 7 percent despite freeze

 

LONDON (Reuters) - Retailer John Lewis said sales at its department stores in the week to Saturday were 7 percent up on a year ago, although they dipped slightly from the previous week's record as snow kept some shoppers at home.

4:48pm GMT

 

Ex ECB member, Italy minister Padoa-Schioppa dies

 

ROME (Reuters) - Former European Central Bank Executive Board member and Italian Economy Minister Tommaso Padoa-Schioppa, an architect of the euro and one of Italy's most respected figures, died on Saturday evening of a heart attack.

6:26pm GMT

 

Hermes shareholder does not see delisting - paper

 

MILAN (Reuters) - A bid to delist French leather bag maker Hermes shares from the stock exchange has its charm but would be very costly, a family shareholder and top manager said in a newspaper on Sunday.

12:14pm GMT

 

Dubai silent on report it is in talks to sell LSE stake

 

DUBAI (Reuters) - Abu Dhabi is in talks to buy a 20 percent stake in the London Stock Exchange held by indebted neighbour Dubai, the Sunday Times said in an unattributed report.

2:35pm GMT

 

Henderson makes 95 pence-a-share bid for Gartmore - report

 

LONDON (Reuters) - Fund manager Gartmore Group wants to agree a rescue package from rival Henderson before the end of the year, after the latter tabled a 344 million pounds bid, according to weekend media reports.

2:40pm GMT

 

Ladbrokes says in 888 offer talks

 

LONDON (Reuters) - Bookmaker Ladbrokes said on Sunday it was in early-stage talks about an offer for Internet casino and poker group 888 , four years after previous discussions stalled on worries of U.S. litigation.

[interestrateripoff]

19 December 2010 Last updated at 17:46

 

No split on bank bonuses - Cable

 

Vince Cable tells the BBC both coalition parties are united in their commitment to curb bonuses, ahead of a meeting with bank bosses.

 

• Osborne to hold bank bonus talks
  
• Peston: No agreement yet
  

 

Christmas sales 'hit by weather'

 

New figures reveal a sharp drop in the number of High Street shoppers due to the heavy snowfall, with the West Midlands and South East worst hit.

 

 

Major US bank cuts off Wikileaks

 

Bank of America stops handling payments for whistle-blowing website Wikileaks, joining several other major financial institutions.

 

• Wikileaks' struggle to stay online
  
• Assange 'fears extradition to US'
  

 

 

 

• Euro 'architect' dies at 70
   
  Tommaso Padoa-Schioppa, Italian politician and one of the architects of the single European currency, dies aged 70.
  
• Iran cuts fuel and food subsidies
   
  Iran cuts energy and food subsidies, risking a repeat of angry protests which followed fuel rationing in 2007.
  
• Cold weather hits Christmas shops
   
  Retailers were hoping the severe cold weather would not deter shoppers on the last weekend before Christmas.
  
• Sudan president 'stole fortune'
  
• Madoff beneficiary returns $7bn
  
• Brown airs youth joblessness fear
  
• Bank bonus rules 'to miss many'
  
• Watchdog in loan sharks warning
  
• EU agrees on eurozone rescue fund
  
• Eurozone plans integration move
  
• UBS hands out 44-page dress code
  
• Cameron in EU budget freeze pact
  
• Stamp costs to rise by record 5p
  
• Congress passes Obama tax deal
  

[interestrateripoff]

[/url]

 

 

Sir Martin Sorrell: UK austerity is 'the envy of Washington'

 

WPP’s Sir Martin Sorrell believes austerity cuts are doing the UK a power of good, but what most excites him is the growing importance of data to advertising.

WPP: all the key facts and figures

 

 

WPP sees big improvement in UK advertising sales

 

 

 

 

Irish UK property empire unwinds

 

With the collapse of its economy, the Celtic Tiger's property empire is unravelling, writes Graham Ruddick.

Famous UK properties owned by the Irish

 

 

 

Google antitrust investigation widens

 

The European Commission has widened its investigation into Google's domination of the internet search market.

 

Savers see £5bn wiped off their investments

 

Savers have seen more than £5 billion - the equivalent of £131 each - wiped off the value of their investments this year due to the rising cost of living, figures have disclosed.

 

ONS wrong on UK growth as estimates weaken

 

The UK's recovery in 2010 has been weaker than thought, official data is expected to show this week, striking a cautious note at the end of a more buoyant year than many expected.

 

Lloyds chief promises 'greater transparency'

 

 

 

 

Dubai's 20pc LSE stake up for grabs

 

 

 

 

Bahrain releases British bankers

 

 

 

 

Snow is threat to retail revival

 

 

 

 

Hedge funds rush bonus payments to dodge new rules

 

 

Pay gap 'down to women's lifestyle', says academic

 

Gender pay gap 'a result of women choosing family over career'.

'Super Saturday' as online woes continue

[interestrateripoff]

Online Detectives Can Unmask Mr. or Ms. Wrong

 

By STEPHANIE ROSENBLOOM

 

Never mind whether your date is smart or good-looking. How do you know you aren’t flirting with a felon?

 

South Korea to Try to Slow Flow of Foreign Money

 

By THE ASSOCIATED PRESS 16 minutes ago

 

South Korea plans to impose a levy on non-deposit foreign currency debt held by domestic and foreign banks, financial authorities said.

 

Bank of America Suspends Payments to WikiLeaks

 

By NELSON D. SCHWARTZ

 

WikiLeaks responded to the announcement by advocating a boycott of the bank.

 

What’s a Quiet Guy Doing on Real Estate’s A-List?

 

By JANET MORRISSEY

 

A recent deal by Brookfield Asset Management has placed it and its Canadian chief executive, Bruce Flatt, among America’s top investors.

 

Ping

 

So Much for Reinventing Ourselves Online

 

By JENNA WORTHAM

 

When profiles were anonymous, users could better separate their online and offline lives. Now a presence on a dating site may lead to Foursquare, Twitter and Facebook.

 

Novelties

 

What’s Just Around the Bend? Soon, a Camera May Show You

 

By ANNE EISENBERG

 

In future generations of cameras, computational photography may help us see around obstacles.

 

Career Couch

 

Learning to Tame Your Office Anxiety

 

By EILENE ZIMMERMAN

 

Sometimes, all of those workplace fears can be channeled into better performance.

 

Off the Shelf

 

When Companies Were Conquerors

 

By BRYAN BURROUGH

 

In “Merchant Kings,” Stephen R. Bown offers six biographical vignettes of swashbuckling capitalists.

 

Mortgages

 

Hiring a Lawyer for Loan-Modification Help

 

By LYNNLEY BROWNING

 

Lawyers typically know the ins and outs of the welter of government homeowner-assistance programs.

[interestrateripoff]

http://www.guardian.co.uk/business/2010/dec/19/imf-refurbish-us-headquarters

 

Fresh from imposing tough conditions on Ireland as the price of its bailout, the International Monetary Fund's bureaucrats plan to concentrate on a matter closer to home in the new year – sprucing up their offices in downtown Washington DC.

 

Dominique Strauss-Kahn, the fund's managing director, quietly announced last week that he would be asking permission from the organisation's cash-strapped member states to refurbish its main headquarters building.

 

An IMF spokesman said the work was an essential overhaul of the 40-year-old premises and compared it to the need to put a new engine in a 20-year-old car. "This is about the heating, the ventilation, the air-conditioning," he said. "This is work that can't be postponed."

 

Pressure groups greeted the news with scepticism, pointing out that eight years ago the fund spent $150m on a second building, complete with external waterfall, after saying its original site – known as HQ1 – was no longer big enough for its staff of highly-paid international officials.

 

They said the fund was now flush with cash after selling some of its stock of gold and extracting fees and interest payments from troubled countries such as Ireland and Greece.

 

Melinda St Louis, deputy director of Jubilee USA Network said: "At this precarious time for the world's poor, the IMF has just earned at least $2bn [£1.2bn] in extra cash from gold sales and now proposes upgrading its already opulent office building in Washington DC.

 

"Should the IMF get another stunning fountain at its headquarters or should countries in sub-Saharan Africa receive debt relief to invest in clean water for the most vulnerable? Rather than building more marble staircases in DC, the IMF should share its wealth with poor countries that desperately need those funds to build rural health clinics, schools and basic infrastructure."

 

Anyone familiar with this building? Is it in need of refurbishing or rebuilding?

 

Or does it really need a nice fountain adding to it to help the IMF do it's fantastic job?

[interestrateripoff]

http://www.telegraph.co.uk/finance/economics/8212889/Let-savers-take-the-hit-if-banks-fail-urges-Policy-Exchange.html

 

By restructuring savings accounts, regulators would be free to let bondholders bear a share of losses in any future banking failure – removing the obstacles that "threaten the ethical foundations of capitalism", said Andrew Lilico, Policy Exchange's chief economist.

 

The biggest mistake of bank rescues across the world in the latest crisis was that bondholders were largely unaffected, he said.

 

"State guarantees of bank creditors threaten the ethical foundations of capitalism, making it a system in which the poor pay taxes so that the system can keep the rich rich, regardless of how foolish, lazy, or unlucky the loans they have made might be."

 

He added "such guarantees mean that remuneration schemes will involve more risk-taking" as bankers target larger bonuses. The Bank of England has revealed that the guarantees were worth £100bn to the big UK banks in 2009.

 

Regulators are devising new resolution regimes that would see bondholders take losses to strengthen a struggling bank.

 

However, Mr Lilico said: "Bondholders are too entangled with depositors for losses to be imposed upon bondholders without also imposing losses on depositors."

 

By disentangling depositors and bondholders, regulators would be able to trigger a resolution regime if a bank was at "risk of becoming insolvent".

 

So does this mean depositors will be offered equal footing with bondholders with interest earned?

 

Also if the bank gets to take huge risks with your money then you should also be entitled to similar rewards to the guy taking all the risk with your money. Bonuses all round.

[interestrateripoff]

http://www.telegraph.co.uk/finance/comment/ambroseevans_pritchard/8212936/Self-righteous-Germany-must-accept-a-euro-debt-union-or-leave-EMU.html

 

One can sympathise with the German people. Their leaders in the 1990s told them "famine in Bavaria" was more likely than the preposterous suggestion that Germany might have to bail out countries as a result of EMU.

 

But events have moved on and, rather than striking tones of Calvinist righteousness, the Teutonic bloc might do well to acknowledge equal responsibility for the capital flows, trade imbalances, and cumulative errors that caused the EMU debacle, and therefore accept that the honourable course is to meet the struggling south halfway.

 

 

More at the link.

 

The Euro stresses are building, currency union as it was unfortunately was a massive mistake, no all the problems are coming out at once.

[interestrateripoff]

http://www.nytimes.com/2010/12/20/business/economy/20temp.html?_r=1&ref=business

 

Temporary workers are starting to look, well, not so temporary.

 

Despite a surge this year in short-term hiring, many American businesses are still skittish about making those jobs permanent, raising concerns among workers and some labor experts that temporary employees will become a larger, more entrenched part of the work force.

 

This is bad news for the nation’s workers, who are already facing one of the bleakest labor markets in recent history. Temporary employees generally receive fewer benefits or none at all, and have virtually no job security. It is harder for them to save. And it is much more difficult for them to develop a career arc while hopping from boss to boss.

 

“We’re in a period where uncertainty seems to be going on forever,” said David Autor, an economist at the Massachusetts Institute of Technology. “So this period of temporary employment seems to be going on forever.”

 

This year, companies have hired temporary workers in significant numbers. In November, they accounted for 80 percent of the 50,000 jobs added by private sector employers, according to the Labor Department. Since the beginning of the year, employers have added a net 307,000 temporary workers, more than a quarter of the 1.17 million private sector jobs added in total.

 

One worker who has been forced to accept temporary jobs is Jeffrey Rodeo, 43, who was laid off 14 months ago from his job as an accounting manager at a produce company in Sacramento. He has applied for nearly 700 full-time positions since then, but has yet to receive an offer. Meanwhile, to stay afloat and keep his skills fresh, he has worked on short-term stints at four different employers.

 

Mr. Rodeo figures his peripatetic work life will last at least another year. “Companies are being more careful,” he said. “It just may take longer to secure a permanent position.”

 

More at the link.

 

Or perhaps companies now fancy having lots of temporary workers because cutting costs is much easier and quicker?

 

But then again if you are permanently temporary will performance suffer and then you might end up with staff retention problems?

[interestrateripoff]

http://www.telegraph.co.uk/finance/newsbysector/banksandfinance/8212987/ECB-raises-concerns-about-rights-to-Irish-bank-collateral.html

 

It suggested in a position paper posted on its website that Ireland's bank rescue package could affect its ability to provide funds in support of the eurozone financial system.

 

It said: "The ECB has serious concerns that the draft law is insufficiently legally certain on a number of critical issues for the Eurosystem".

 

The ECB said in the paper that the problems of legal uncertainty include "the scope of collateral rights of central banks given as security against emergency liquidity assistance".

 

It is the ECB's role to ensure it holds enough collateral to reduce its exposure in the event of some of the funds it provides not being paid back.

 

The paper serves to highlight the ECB's uncertainty about providing further liquidity to the Irish banks. The banks already have €136bn (£115bn) in loans from the ECB, a quarter of all Eurozone loans, and €45bn in emergency liquidity assistance from the Irish central bank.

 

http://www.ecb.int/ecb/legal/pdf/en_con_2010_92_f.pdf

I'm guessing it's this paper that's being referred too?

 

http://www.ecb.int/home/html/index.en.html

List of most recently released papers from the ECB.

 

So it would appear the ECB is getting worried it might have accepted turds as collateral for loans. Genius have doubts about the quality of paper after you accept it.