Wednesday, 21 April 2010

Is Goldman Obamas Enron - No it's Worse

Campaign contributions from Goldman Sachs employees to President Obama are nearly seven times as much as President Bush received from Enron workers, according to numbers on

President Bush's connections to Enron were well-hyped during the company's accounting debacle that rippled through the economy. Time magazine even had an article called, "Bush's Enron Problem." The Associated Press ran with the headline, "Bush-backing Enron makes big money off crisis." David Callaway wrote that Enron for Bush was worse than Whitewater for Clinton.

This is why I doubt the sincerity about getting tough on the Goldman Sachs in recent days. I would bet anything that there is more going on here than meets the eye. This is a theatre show for the population.

I think the possibilities are:

1.) a fine for Goldman but no criminal charges (SEC action),

2.) a short term acceptance of regulations,

3.) a Republican party filibuster of any regulatory legislation that happens to make the Democrats and Obama look good,

4.) a massive Government attack on Goldman Sachs whereafter the company is deliberately imploded (along with the stock markets). Goldman Sachs "assets" and leading personnel would be moved to another shell where the games continue.

The reason for this last ploy is to scare people about big institutions failing. In the chaos Government "interference" here will be portrayed as the cause of the economic drama (hence a reason to keep a deregulated banking system).

All these outcomes will help Obama's Administration look good for the mid-term elections. After all, according to the article above, Obama and his crew are in the pockets of the bankers. If the Administration does nothing they risk losing whatever credibility they have left. The banking cartel cannot allow the economic debate to switch to those voices that want real wholesale reform.

[Posted at the SpookyWeather blog, April 21st, 2010.]

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