Saturday, December 26, 2009

Being Goldman Sachs XII

The Financial Times, has named Goldman Sachs' CEO, Lloyd Blankfein, "Person of the Year." Here is noted bank analyst Christopher Whalen's response in a letter to the paper upon canceling his subscription:

Mr. Blankfein and his colleagues at Goldman Sachs, in my view, have done more to damage the reputations of global financial professionals than any other organization in 2009, yet you applaud them. Not only is your suggestion ridiculous and repugnant, but it illustrates to me the fact that the FT is part of the problem in global finance, not as one would hope and expect, part of the solution.
I could not agree more. It is indeed "ridiculous and repugnant." I shall discontinue my subscription also in complete agreement that the Financial Times "is a part of the problem in global finance, not as one would hope and expect, part of the solution." Goldman Sachs is currently being investigated by the federal government for dubious trading practices.

This choice says a lot about the malaise in global finance. It also seems to say a lot about the "collusion" of media and big business and their desire to pull the wool over the eyes of sane people everywhere--sort of like Blankfein's words that this investment bank is "doing God's work."

The Financial Times writes that Goldman Sachs -- though recently becoming a "commerical" bank as if there are deposits in order to be federally protected by the FDIC with billions in backing -- "not only navigated the 2008 global financial crisis better than others on Wall Street but is set to make record profits, and pay up to $23BN in bonuses to its 31,700 staff."

With this kind of choice and assessment, the Financial Times could not go out of business fast enough and the results of the investment practices of Goldman Sachs could not come sooner. Let's insist that Congress do an investigation worthy of itself.

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