News breaking that Justice Department accepting 17 billion from Bank of America in exchange for not prosecuting anyone in connection with the sale of those mortgage backed securities before the national financial crisis.
“…. accusations that it duped investors into buying troubled mortgage securities….” [NYT]
So…the culprits get off the hook – no charges, not even have to pay a dime.
So who pays the 17 billion? the INNOCENT SHAREHOLDERS! DOJ is supposed to PROTECT the American people, not rob them!!! The shareholders had zero to do with any decisions about the sale of mortgage backed securities.
And worse? you can bet the prosecutors over at the DOJ are high fiving each other like they have done a great thing for getting 17 billion for the US Treasury.
This is so messed up….the culprits walk, and the innocents pay. Go figure.
PS: Do not tell me ‘that’s how it is always done.’ You are right ….that is how it is always done and it is disgraceful… time to change. There are thousands of good Americans putting their dollars in the stock market hoping to earn money for their children’s college or even retirement. They deserve better. It may turn out that BOA stock goes up today because of the uncertainty removed from it with a settlement — but 17Billion will or does come out of someone’s hide….and you can be sure, it is not the DOJ and it is not the executives who are deeply involved in this.