What did Michael Milken, Enron, and Goldman Sachs have in common? Not only were they at the centers of three of the biggest financial scandals of the last 30 years, but it turns out they all used the same financial instrument to help pull off their plans. A Transactional Genealogy of Scandal: from Michael Milken to Enron to Goldman Sachs [more inside]
MF Global - once mostly a Futures Broker and more recently a budding full-service Investment Bank run by ex-Governor/ex-Senator Jon Corzine has collapsed following ratings downgrades on the back of large losses on Eurozone Sovereign Debt. Trades that Corzine himself oversaw. It will be the 8th largest Bankruptcy in US History. Much of the blame is being placed on Corzine's efforts to recreate his old firm, Goldman Sachs. He was forced out as Goldman CEO post IPO by none other than Hank Paulson - the Secretary of Treasury who oversaw the creation of TARP. [more inside]
The Guardian has launched what they term "Bankers: An Anthropological Study." One of their first discoveries? People really hate bankers. Daniel Davies - Left of Center Finance Guy, Twitterer, and Crooked Timber Blogger attempts a defense. "But who's the real criminal? Its me, isn't it?"