He writes in last Sunday’s NJ:
Angry? You bet I am. Even more angry than I was back in 2009 when, as a U.S. senator, I saw shocking paper trails that I believed would have convinced juries to convict some crooked CEOs if there were aggressive efforts to prosecute them. That’s why I worked hard for and co-sponsored the Fraud Enforcement and Recovery Act, which in May 2009, gave an extra $55 million to the Justice Department over the next two years – over and above the Department’s normal appropriation. This money was specifically granted to bring to justice top executives who had engaged in fraud leading up to the financial meltdown…..
….I draw two depressing conclusions. First, without a real threat of criminal prosecution, there is no deterrent effect on anyone who commits financial fraud in the future. Second, the lack of action on mortgage fraud takes us a perilous step closer to a two-tiered system of criminal justice – one for the poor and one for the rich. That’s something we cannot allow to happen.
Now never mind that this all started with the feds blackmailing banks with the CRA laws, which led the way to the Wall Street abuses.
Did he really expect that they would use this law for anything other than another opportunity to shake down the private sector like they use the environmental laws? Lets see, collect $Billions just by threatening to prosecute or spend $100s of Millions actually prosecuting and imprisoning them. Just catch and release so they can collect more money next time. They punish no one but the stockholders who have been repaid tenfold by the QE stimulus printing $85 Billion per month, inflating the stockmarket at the expense of the rest of us with devalued currency and higher food and gas prices.
And where do these billions go? If just one percent gets lost in the seat cushions, it is enough for lots of people to become millionaires (ten per $Billion), but I am sure that is not happening. Remember, government waste is not when they accidentally set fire to the money, someone gets every dime of it.
I really think Senator Kaufman is in earnest on this; that he really believed these were good honest people who would try to catch the bad guys. Isn’t that cute?