Tag: law

Apparently, Yes We Can.

Cross posted from The Stars Hollow Gazette

Like his predecessor, George W. Bush, President Barack Obama went to his Office of Legal Council on how to circumvent an executive order banning assassinations, a federal law against murder, protections in the Bill of Rights and various strictures of the international laws of war to “legally” order and successfully carry out the assassination of American citizen Anwar al-Awlaki last month in Yemen. According to an article by reporter Charles Savage in the New York Times, the 50 page memorandum was completed in June of last year. It was written specifically in regard to only al-Awlaki and did not examine the evidence against him:

The legal analysis, in essence, concluded that Mr. Awlaki could be legally killed, if it was not feasible to capture him, because intelligence agencies said he was taking part in the war between the United States and Al Qaeda and posed a significant threat to Americans, as well as because Yemeni authorities were unable or unwilling to stop him.

The memorandum, which was written more than a year before Mr. Awlaki was killed, does not independently analyze the quality of the evidence against him.

[]

It was principally drafted by David Barron and Martin Lederman, who were both lawyers in the Office of Legal Counsel at the time, and was signed by Mr. Barron. The office may have given oral approval for an attack on Mr. Awlaki before completing its detailed memorandum. Several news reports before June 2010 quoted anonymous counterterrorism officials as saying that Mr. Awlaki had been placed on a kill-or-capture list around the time of the attempted bombing of a Detroit-bound airliner on Dec. 25, 2009. Mr. Awlaki was accused of helping to recruit the attacker for that operation.

[]

Other assertions about Mr. Awlaki included that he was a leader of the group, which had become a “cobelligerent” with Al Qaeda, and he was pushing it to focus on trying to attack the United States again. The lawyers were also told that capturing him alive among hostile armed allies might not be feasible if and when he were located.

Based on those premises, the Justice Department concluded that Mr. Awlaki was covered by the authorization to use military force against Al Qaeda that Congress enacted shortly after the terrorist attacks of Sept. 11, 2001 – meaning that he was a lawful target in the armed conflict unless some other legal prohibition trumped that authority.

Mr. Savage goes on to detail how each legal obstacle was  considered and rejected:

The executive order the lawyers concluded only pertained to the assassination of political leaders outside of war;

The statute that makes it illegal to murder of US nationals on foreign soil did apply “because it is not “murder” to kill a wartime enemy in compliance with the laws of war.”;

It concluded that if the operator of the drone was a civilian of the CIA it wold not be a war crime and although it would violate the laws of Yemen, ti would be unlikely that Yemen would seek to prosecute;

Last to be considered and dispensed with were those pesky amendments in the Bill of Rights that guarantee “the right of the people to be secure in their persons, houses, papers, and effects, against unreasonable searches and seizures” and the right to due process:

The memo concluded that what was reasonable, and the process that was due, was different for Mr. Awlaki than for an ordinary criminal. It cited court cases allowing American citizens who had joined an enemy’s forces to be detained or prosecuted in a military court just like noncitizen enemies.

It also cited several other Supreme Court precedents, like a 2007 case involving a high-speed chase and a 1985 case involving the shooting of a fleeing suspect, finding that it was constitutional for the police to take actions that put a suspect in serious risk of death in order to curtail an imminent risk to innocent people.

The document’s authors argued that “imminent” risks could include those by an enemy leader who is in the business of attacking the United States whenever possible, even if he is not in the midst of launching an attack at the precise moment he is located.

Despite the argument that will be made by the right wing Obama supporters that the memorandum is specific to al-Awlaki, all the arguments that were made to justify his assassination could easily be made against any US citizen anywhwere and may already have been:

   American militants like Anwar al-Awlaki are placed on a kill or capture list by a secretive panel of senior government officials, which then informs the president of its decisions . . . . There is no public record of the operations or decisions of the panel, which is a subset of the White House’s National Security Council . . . . Neither is there any law establishing its existence or setting out the rules by which it is supposed to operate. . . . The role of the president in ordering or ratifying a decision to target a citizen is fuzzy. White House spokesman Tommy Vietor declined to discuss anything about the process. . . .

Glenn Greenwald at Salon in his excellent article considers that al-Awlaki won’t be the last victim:

Officials in the Obama White House and then the President decreed in secret that Awlaki should die.  So the U.S. Government killed him.  Republicans who always cheer acts of violence against Muslims are joined by Democrats who reflexively cheer what this Democratic President does, and now this death panel for U.S. citizens – operating with no known rules, transparency, or oversight – is entrenched as bipartisan consensus and a permanent fixture of American political life.  I’m sure this will never be abused: unrestrained power exercised in secret has a very noble history in the U.S. (Reuters says that the only American they could confirm on the hit list is Awlaki, though Dana Priest reported last year that either three or four Americans were on a  hit list).

Anyway, look over there: wasn’t it outrageous how George Bush imprisoned people without any due process and tried to seize unrestrained power, and isn’t it horrifying what a barbaric death cult Republicans are for favoring executions even when there’s doubt about guilt?  Even for those deeply cynical about American political culture: wouldn’t you have thought a few years ago that having the President create a White House panel to place Americans on a CIA hit list – in secret, without a shred of due process – would be a bridge too far?

The tales of through the looking glass continue.

Another Attorney General Exits Multi-State Mortgage Fraud Talks

Cross posted from The Stars Hollow Gazette

Last Friday California Attorney General, Kamala Harris, notified Iowa Attorney General Tom Miller and U.S. Associate Attorney General Thomas Perrelli that she would no longer be participating in the multi-state talks to settle the mortgage and foreclosure fraud by the nation’s largest banks.

“Last week, I went to Washington, D.C., in hopes of moving our discussions forward,” Harris wrote. “But it became clear to me that California was being asked for a broader release of claims than we can accept and to excuse conduct that has not been adequately investigated.”

“[T]his not the deal California homeowners have been waiting for,” Harris adds one line later.

AG Harris joins the list of state attorney generals who have balked at letting the banks pay a mere $20 billion to settle their liability in the housing crisis they created without any real criminal investigations. In her letter (pdf), she states her plans:

   I intend to continue to investigate the mortgage practices that I believe have contributed to the growing housing crisis in my state. Months ago, I began California’s independent work in this respect by establishing a Mortgage Fraud Strike Force, and I have given the Strike Force attorneys a broad mandate to investigate all stages of the mortgage lending process, from origination to servicing and foreclosures to securitization of loans into investments in the secondary market. I am committed to doing as thorough an investigation as is needed – and to taking the time that is necessary – to set the stage for achieving appropriate accountability for misconduct.

   I will also push for additional legislation and regulations that enhance transparency and eliminate incentives to disregard borrower’s rights in foreclosure. Many of these reforms have been identified in the multistate talks, and I hope that in good faith the banks will adopt these reforms immediately.

While David Dayen doesn’t think that the legislation have a chance. he does say that public pressure has had a huge impact in pushing Harris to make this decision. It could also impact on her career, since she was rumored to be a possible replacement for US AG Eric Holder. Pushing hard against the Obama administration’s support of this agreement could take her out of consideration.

Dayen concludes, and I agree, that:

As for Tom Miller, his dream of getting the banks off the hook for their crimes is dead and buried. Without California and New York, you’re not going to be able to have a settlement that means anything. He’s probably looking for a way out right now.

The investigations have to be followed through. But this is a victory so far for accountability and against the whitewashes that have characterized the nation’s response to systemic fraud in an increasing and troubling fashion over the past several years.

Considering the success that Nevada Attorney General Catherine Cortez Masto had in a settlement with Morgan Stanley over mortgage practices that essentially garnered about $57,000 for some 600 to 700 Nevada homeowners, AG Harris’ withdrawal from the negotiations is a wise choice for Californians.

“Are We Even Allowed To Do This?”

Cross posted from The Stars Hollow Gazette

Apparently, “Yes. We Can”

If you told me at the beginning of the Obama presidency that his clearest legacy would involve not closing Gitmo or green jobs or manufacturing jobs – or any kind of jobs, really – but would in fact be his ability to rain targeted death from the sky … I mean, are we even allowed to do that?

Now that President Barack Obama supporters, and many of his non-supporters, are righteously praising the the due process free assassination of Anwar al-Awlaki as justified because the Obama said so, why hasn’t the evidence that al-Awlaki was a threat been released? So far the only evidence we have that al-Awlaki was a “Very Bad Terrorist” is his rhetoric which is protected under the 1st Amendment. When confronted by ABC News‘ reporter, Jake Tapper, White House spokesperson Jay Carney declared that the evidence was still classified and not to be seen. Very nice that Tapper pushed back on this, but where was he when this order was revealed over a year ago? Are we now “Alice in the Wonderland” standing before the “Red Queen” demanding sentence first, verdict later>

Why are so few of us questioning this rational that we so adamantly opposed in the voting booth just a mere 3 years ago? Are those who are cheering this even aware of the precedent and consequences of such a authoritarian action?

Glenn Greenwald, who has been a vocal critic of the Bush and Obama administrations’ abuse of power and disregard for the rule of law, has this observation:

That mentality – he’s a Terrorist because my Government said he’s one and I therefore don’t need evidence or trials to subject that evidence to scrutiny – also happens to be the purest definition of an authoritarian mentality, the exact opposite of the dynamic that was supposed to drive how the country functioned (Thomas Jefferson: “In questions of power, let no more be heard of confidence in men, but bind him down from mischief with the chains of the Constitution”).  I trust My President and don’t need to see evidence or have due process is the slavish mentality against which Jefferson warned; it’s also one of the most pervasive ones in much of the American citizenry, which explains a lot.

Like the Bush administration’s justification for the use of torture and indefinite detention without due process, the Obama administration claims that they carefully consulted lawyers within the Justice Department who unanimously supported the president’s order.

“The Justice Department wrote a secret memorandum authorizing the lethal targeting of Anwar al-Aulaqi, the American-born radical cleric who was killed by a U.S. drone strike Friday, according to administration officials,” the newspaper reported. “The document was produced following a review of the legal issues raised by striking a U.S. citizen and involved senior lawyers from across the administration. There was no dissent about the legality of killing Aulaqi, the officials said.”

But we will never see that memo, it’s classified. So much for that transparency that was promised by Obama. I only hope that Eric Holder has as much success in finding a job after he leaves DOJ as Alberto Gonzales. I digress.

Greenwald makes some important points that debunk other ignorant claims:

(1) the most ignorant claim justifying the Awlaki killing is that he committed “treason” and thus gave up citizenship; there’s this document called the “Constitution” that lays out the steps the Government is required to take before punishing a citizen for “treason” (“No Person shall be convicted of Treason unless on the Testimony of two Witnesses to the same overt Act, or on Confession in open Court“); suffice to say, it’s not met by the President secretly declaring someone guilty backed up by leaked, anonymous accusations to the press;

(2) a new U.S. military study today finds that Awlaki’s killing won’t impede Al Qaeda’s operational capabilities, so for those of you worried that this killing might impede Endless War, don’t worry: like the bin Laden killing, Endless War will march on unimpeded; that’s why it’s called Endless War.

Some argue that al-Awlaki’s assassination will make us less safe and strengthen Al Qaeda’s resolve:

Evidence shows that killing terrorist leaders – or “decapitating” terrorist organizations, in military parlance – rarely ends violence on its own and can actually have adverse consequences. Indeed, killing prominent leaders can motivate their followers to retaliate and increase sympathy for the militants’ cause among civilians.

Simply focusing on the leadership of a terrorist organization rarely brings about the group’s demise. My study of approximately 300 cases of singling out the leadership of 96 terrorist organizations globally – including Al Qaeda and Hamas – between 1945 and 2004, shows that the likelihood of collapse actually declines for groups whose leaders have been arrested or killed.

George Washington University law professor, Jonathan Turley, wrote is a column:

While few people mourn the passing of figures such as al-Awlaki, who was accused of being a leader in al-Qaeda, they should mourn the passing of basic constitutional protections afforded to all citizens. So a president can now kill a citizen without publicly naming him as a target, stating the basis for his killing, or even acknowledging his own responsibility for the killing once it has been carried out. Even if one assumes citizens would be killed only outside the country, it would mean that a mere suspect’s life could become dispensable the minute he steps a foot over one of our borders.

At the same time, the government has expanded the definition of terrorism and material support for terrorism, which in turn further expands the scope of possible targets. When confronted on the lack of knowledge of who is on this list and the basis for the killing, the Obama administration simply says citizens must trust their president. It is the very definition of authoritarian power – and Americans appear to have developed a taste for it.

snip

Notably, in the face of these extrajudicial killings, Democrats who claim to be civil libertarians, such as Sen. Dianne Feinstein of California, have cheered the president – creating a record for the next president to expand on these acquiesced powers.

No republic can long stand if a president retains the unilateral authority to kill citizens whom he deems a danger to the country. What is left is a magnificent edifice of laws and values that, to quote Shakespeare’s Macbeth, is “full of sound and fury, signifying nothing.”

Koch Bros. Fund Iran for Prosperity

Cross posted from The Stars Hollow Gazette

The billionaire Koch bothers, major GOP donors who founded Americans for Prosperity to fund the tea party movement, have apparently been ignoring US laws (pdf) and making even more money trading with Iran. In an article that appeared in Bloomberg Markets Magazine, the possibly criminal activity of the brothers is exposed:

– Koch Industries used the European offices of their subsidiary Koch-Glitsch to sell millions of dollars of petrochemical equipment to Iran in an apparent violation of the US-Iran trade embargo, as recently as 2007

– Internal documents of Koch Industries prove that the company took elaborate steps to ensure that their US-employees weren’t involved in the sales to Iran

– While is not 100% certain at this point that Koch Industries did in fact violate US law, according to Bloomberg Markets Magazine, internal memos show for example that the details of the sales with Iran were meticulously checked by US lawyers of Koch Industries and coordinated with the lawyers in order to fully ensure that no visible involvement of US-citizens took place

– Koch Industries paid bribes in six countries from 2002 to 2008 to win business in Africa, India and the Middle East, comparable to similar behaviour of German technology giant Siemens (Siemens subsequently had to pay a $ 1.6 billion fine!)

Koch Industries sacked a compliance officer in France in June 2009 who discovered the illegal bribes at Koch Industries subsidiary Koch-Glitsch

These revelations were made possible through newly discovered documents from two labour court cases in France

– Bloomberg Markets reveals that former employees of Koch Industries harshly criticize the company for their internal practises and ethics

– The story also covers in great detail over several pages earlier violations of Koch Industries: The company in the past “rigged prices with competitors, lied to regulators and repeatedly run afoul of environmental regulations, resulting in five criminal convictions since 1999 in the U.S. and Canada”

Koch Brothers Flout Law Getting Richer With Secret Iran Sales

In May 2008, a unit of Koch Industries Inc., one of the world’s largest privately held companies, sent Ludmila Egorova-Farines, its newly hired compliance officer and ethics manager, to investigate the management of a subsidiary in Arles in southern France. In less than a week, she discovered that the company had paid bribes to win contracts.

“I uncovered the practices within a few days,” Egorova- Farines says. “They were not hidden at all.”

She immediately notified her supervisors in the U.S. A week later, Wichita, Kansas-based Koch Industries dispatched an investigative team to look into her findings, Bloomberg Markets magazine reports in its November issue.

By September of that year, the researchers had found evidence of improper payments to secure contracts in six countries dating back to 2002, authorized by the business director of the company’s Koch-Glitsch affiliate in France.

“Those activities constitute violations of criminal law,” Koch Industries wrote in a Dec. 8, 2008, letter giving details of its findings. The letter was made public in a civil court ruling in France in September 2010; the document has never before been reported by the media.

Egorova-Farines wasn’t rewarded for bringing the illicit payments to the company’s attention. Her superiors removed her from the inquiry in August 2008 and fired her in June 2009, calling her incompetent, even after Koch’s investigators substantiated her findings. She sued Koch-Glitsch in France for wrongful termination.

Hello? Eric Holder?

h/t to David Waldman from a Tweet at Twitter which led down the rabbit hole.

On Protecting The Innocent, Or, Is There A Death Penalty Compromise?

I don’t feel very good about this country this morning, and as so many of us are I’m thinking of how Troy Davis was hustled off this mortal coil by the State of Georgia without a lot of thought of what it means to execute the innocent.

And given the choice, I’d rather see us abandon the death penalty altogether, for reasons that must, at this moment, seem self-evident; that said, it’s my suspicion that a lot of states are not going to be in any hurry to abandon their death penalties anytime soon now that they know the Supreme Court will allow the innocent to be murdered.

So what if there was a way to create a compromise that balanced the absolute need to protect the innocent with the feeling among many Americans that, for some crimes, we absolutely have to impose the death penalty?

Considering the circumstances, it’s not going to be an easy subject, but let’s give it a try, and see what we can do.

Another Attorney General Joins Foreclosure Fraud Investigation

Cross posted from The Stars Hollow Gazette

There have been a couple of new developments in the foreclosure fraud investigation that was initiated by New York State Attorney General Eric Schneiderman. The coalition of state AG’s who want a real criminal investigation and oppose the 50 state settlement proposal of Iowa AG Tom Miller has grown by one with Kentucky’s AG Jack Conway adding name. From David Dayen at FireDogLake:

The latest AG to stand with Schneiderman and against the attempts to whitewash the fraud of the big banks is Kentucky AG Jack Conway. He is up for re-election this year, and is known nationally by virtue of his unsuccessful challenge to Rand Paul for Senate in 2010. Conway, in conjunction with the Progressive Change Campaign Committee, sent an email to supporters aligning himself with Schneiderman.

   The same Wall Street banks whose irresponsible actions led to our nation’s economic collapse are now pressuring all 50 states to give them legal immunity. The banks want to block any criminal or civil accountability for actions that have yet to be investigated.

   Attorneys General from Delaware, Minnesota, Nevada and New York have been fighting back. Today, I want to make a clear statement in support of Wall Street accountability and against immunity for banks – and I ask you to join me on this statement:

   “Today’s economic crisis was caused by Wall Street acting improperly. Every American has paid the price – with families losing their homes, investors losing their money, and many Americans losing their jobs. There should be absolutely no criminal or civil immunity given to banks for activity that has not yet been investigated.”

Several things are important here. Kentucky didn’t really have a big housing bubble – Conway is supporting this on principle, rather than in service to a wide swath of dispossessed and struggling borrowers who are victims of fraud. Second, he writes this in the context of an election which has tightened up minimally. So he obviously finds this to be a winning issue on the campaign trail. Third, it would be tempting to just ignore a proposed settlement that isn’t going to happen. Conway sees political advantage in stamping on this process, which is already flailing.

In another development in Nevada, an attorney has filed criminal charges against Wells Fargo accusing the bank of forging loan documents:

In court papers filed this month in Clark County District Court, attorney Dave Crosby alleged bank employees committed forgery and fraud in making a $350,000 loan to a father of four who was unemployed at the time.

“They forged signatures, they backdated documents,” Crosby said. “We’ve got them cold.”

Crosby said the bank has presented two deeds of trust for the same property. One bears the signature of Olivia A. Todd, who on Jan. 27, 2010, was identified as an assistant secretary with MERS, Inc., a mortgage servicer from the Phoenix area and a co-defendant in the lawsuit.

But on Feb. 16, 2010, Todd’s signature appears on a second deed of trust, where she is identified as the firm’s president. Both assignments were notarized as authentic, Crosby said in court papers.

Crosby made his allegations in a request to have a judge review three failed mediations between him and his clients, Ryan and Mical Henderson of Las Vegas, and lawyers with Wells Fargo, formerly Wells Fargo Home Mortgage.

Buried deep in the story was this interesting note:

Nevada Attorney General Catherine Cortez Masto is expected to file criminal charges against bank and title company employees, as well as notary publics, over allegations of robo signing.

The paltry deal of $20 billion by AG Miller that would let the banks off the hook for most civil and criminal liability seems hardly adequate when you really examine the scope of the fraud nation wide.  

Live Stream from Georgia Prison

Watch live streaming video from democracynow at livestream.com

Fasting With Troy Davis on 9/21

   

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The Georgia Board of Pardons and Paroles denied Troy Davis’s request for clemency. It appears that Georgia will kill him by lethal injection at 7 pm ET on September 21, 2011. And it appears that execution cannot be stopped.

From Ben Jeanlous at the NAACP an eloquent, moving request that we fast tomorrow evening and mark the time of Troy Davis’s execution:

No Liability For Banks

Cross posted from The Stars Hollow Gazette

It is becoming quite apparent the New York State Attorney General Eric Scheiderman was right about the 50 state AG negotiations to settle the mortgage backed securities fraud. It will shield the banks from liability despite denial by Iowa Ag Tom Miller and others that it would not:

“The negotiation committee, working on behalf of all 50 states, does not have any intention of constraining the office of the New York attorney general in any way, has not tried to do so and could not do so,” Miller said. “Schneiderman was removed from the executive committee because he has, over the last several months, undermined our efforts to reach an agreement.”

In a Financial Times article on Labor Day by Shahien Nasiripour puts an end to that myth:

The talks aim to settle allegations that banks including Bank of America, JPMorgan Chase, Wells Fargo, Citigroup and Ally Financial seized the homes of delinquent borrowers and broke state laws by employing so-called “robosigners”, workers who signed off on foreclosure documents en masse without reviewing the paperwork.

State prosecutors have proposed effectively releasing the companies from legal liability for allegedly wrongful securitisation practices, according to five people with direct knowledge of the discussions.

Some state officials have expressed concern that they have offered the banks far too broad a release from liability. . . . . .

The worry over the states’ counterproposal stems from its treatment of loan documents. The term sheet proposes to release the banks from legal liability over how mortgage documents were maintained, prepared and transferred, people familiar with the matter said.

Though the counteroffer attempts to release the banks from liability with respect to home repossessions, and explicitly states that the release does not include securitisation claims, the language is broad enough in that it could prevent state officials from bringing securitisation claims in the future should they sign up to the agreement.

At the heart of securitisation claims, which involve missteps in how home mortgages were bundled into bonds, are allegations that the banks did not properly maintain and transfer documents from one step in the complicated chain to the next.

If banks are released from liability regarding documentation practices, some industry officials believe they would be able to evade state lawsuits directed at how they bundled the loans into securities.

Robert Sheer observed This proposed a settlement for a pittance of $20 billion is chump change compared what the banks reaped in “direct cash subsidies, virtually zero-interest loans, and the Fed took $2 trillion in bad paper off their hands while the banks exacerbated the banking crisis they had created through additional shady practices.

Matt Taibbi noted, too, that the banks are getting off the hook for really odious offenses:

   The idea behind this federally-guided “settlement” is to concentrate and centralize all the legal exposure accrued by this generation of grotesque banker corruption in one place, put one single price tag on it that everyone can live with, and then stuff the details into a titanium canister before shooting it into deep space.

   This is all about protecting the banks from future enforcement actions on both the civil and criminal sides. The plan is to provide year-after-year, repeat-offending banks like Bank of America with cost certainty… and will also get to know for sure that there are no more criminal investigations in the pipeline.

ship

To give you an indication of how absurdly small a number even $20 billion is relative to the sums of money the banks made unloading worthless crap subprime assets on foreigners, pension funds and other unsuspecting suckers around the world, consider this: in 2008 alone, the state pension fund of Florida, all by itself, lost more than three times that amount ($62 billion) thanks in significant part to investments in these deadly MBS.

The White House and AG Miller are doing everything in their power to discredit Schneiderman and block further investigations that could lead to recovering more than 20 pieces of silver.

Holding The Banks Acountable

Cross posted from The Stars Hollow Gazette

President Obama’s jettisoning the EPA regulations dominated the Friday news dump. What was buried in the usual media hullabaloo was this:

FHFA Sues 17 Firms to Recover Losses toFannie Mae and Freddie Mac

Apparently the FHFA has found something that this White House hasn’t, the courage to hold the banks accountable for the losses from the sale of mortgage backed securities (MBS) to Fannie Mae and Freddie Mac. The suit surpasses the $20 billion settlement that the 50 state AG settlement is reportedly attempting to extract from the banks for a liability release over ALL issues in foreclosure fraud.

The lawsuits cover $105 billion worth of securities, and FHFA wants returns on some portion of the losses taken on the securities, which they attribute to illegal actions by the banks when they sold the MBS (specifically, misrepresentations about the underlying loans). Earlier reports said that the losses for Fannie and Freddie on private-label MBS came to around $30 billion, so that’s probably around what they will ask for. The LA Times story puts it at $41 billion in losses. Whatever the number, this is more than the 50 state AG settlement is reportedly attempting to extract from the banks for a liability release over ALL issues in foreclosure fraud. And this is just a representations and warrants case.

This may derail the 50 state AG attempts at an agreement that absolves banks from any liability:

The biggest banks are already negotiating with the attorneys general of all 50 states to address mortgage abuses. They are looking for a comprehensive settlement that will protect them from future litigation and limit their potential mortgage litigation losses.

“This new litigation could disrupt the AG settlement,” said Anthony Sanders, finance professor at George Mason University and a former mortgage bond strategist.

Banks may be more reluctant to agree to a settlement if they know litigation from other government players could still wallop their capital, he said.

As David Dayen so astutely observes:

. . . . FHFA is just a canary in the coalmine for the losses and the liability that these banks are holding because of their actions in mortgage origination, securitization, and servicing. You cannot have a banking sector with this many liabilities and expect a robust, well-functioning economy. This action is necessary for the rule of law as well as for the health of the nation.

(emphasis mine)

Even better would be some of the people involved being held responsible and sent to prison.

Confessions of a War Criminal

Cross posted from The Stars Hollow Gazette

Former Vice President Dick Cheney is back in the news with the release of his tell all autobiography, “In My Time“, a revealing “memoir” of his eight years as vice president, at the same time a self indictment that chronicles his abuse of power and total disregard for the Constitution and laws of the United States. It is also an indictment of President Barack Obama who has refused to prosecute him and President George W. Bush, instead choosing cover up the evidence by declaring it “state secrets” and to block any attempts to bring these war criminals to justice.

As Greenwald noted in his Salon article:

As he embarks on his massive publicity-generating media tour of interviews, Cheney faces no indictments or criminal juries, but rather reverent, rehabilitative tributes, illustrated by this, from Politico today:

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That’s what happens when the Government — marching under the deceitful Orwellian banner of Look Forward, Not Backward — demands that its citizens avert their eyes from the crimes of their leaders so that all can be forgotten: the crimes become non-crimes, legitimate acts of political choice, and the criminals become instantly rehabilitated by the message that nothing they did warrants punishment.  That’s the same reason people like John Yoo and Alberto Gonzales are defending their torture and illegal spying actions not in a courtroom but in a lush conference of elites in Aspen.

Libya: Not Quite Mission Accomplished Or Legal

Cross posted from The Stars Hollow Gazette

While the world will not miss Mommar Gadaffi, there are some very serious questions about how this was achieved, particularly for Americans who were opposed to Pres. George W. Bush military intervention policies while excusing Obama’s violation of the law.

Glenn Greenwald makes two salient points in his critique of an article by Michael Tomasky in the Daily Beast that argues “the war in Libya highlights how “one can see how he (Obama) might become not just a good but a great foreign-policy president” and how some intellectual progressives conceive of the Obama presidency”.

First, this is not “mission accomplished” by any means:

No matter how moved you are by joyous Libyans (just as one was presumably moved by joyous Iraqis); no matter how heinous you believe Gadaffi was (he certainly wasn’t worse than Saddam); no matter how vast you believe the differences are between Libya and Iraq (and there are significant differences), this specific Iraq lesson cannot be evaded.  When foreign powers use military force to help remove a tyrannical regime that has ruled for decades, all sorts of chaos, violence, instability, and suffering — along with a slew of unpredictable outcomes — are inevitable.

Greenwald’s second point is the illegality:

The Atlantic‘s Conor Freidersdorf argues that no matter how great the outcome proves to be, Libya must be considered a “Phyrrhic victory for America” because:

   Obama has violated the Constitution; he willfully broke a law that he believes to be constitutional; he undermined his own professed beliefs about executive power, and made it more likely that future presidents will undermine convictions that he purports to hold; in all this, he undermined the rule of law and the balance of powers as set forth by the framers.

snip

The New Yorker‘s Amy Davidson warns of the serious precedential dangers not only from Obama’s law-breaking but from our collective willingness to overlook it.  Honestly: can anyone claim that if George Bush had waged an optional war without Congressional approval — and continued to wage it even after a Democratic Congress voted against its authorization — that progressives would be lightly and parenthetically calling it “ridiculous” on their way to praising the war?  No, they’d be screaming — rightfully so — about lawlessness and the shredding of the Constitution; that this identical contempt for the law by Obama has become nothing more than a cursory progressive caveat (at most) on the way to hailing the glorious war is astounding.

(emphasis mine)

The Nation’s Jeremy Scahill appeared on MSNBC’s Morning Joe discussing Libya setting Gov. Howard Dean and Newsweek‘s Tina Brown straight. He says what’s happening in the country is essentially “a NATO enforced regime change” and that President Obama is “implementing the Bush domino agenda in the Middle East”. Scahill also expresses concern that the US is making future enemies across the Middle East.

This article was a tough call for me to write because like so many I would rejoice to see Gadaffi in shackles at The Hague and that this revolution was initiated by the Libyan people. That said and as Glenn also points out in his article:

Does anyone know how many civilians have died in the NATO bombing of Tripoli and the ensuing battle?  Does anyone know who will dominate the subsequent regime? Does it matter?

 

But my, how soon some have forgotten the Bush regime’s policies.

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