FDIC Investigates Bank Executives
Well, this was a long time coming. Last week it was reported that the Federal Deposit Insurance Corporation (FDIC) was going to start investigating about 50 bank executives to see what their part might have been in the financial crisis our country’s been in. They think that some of what happened might have come right from the horse’s mouth, in other words.
I think it’s about time this happened, but I also think they’re about a year too late. Wouldn’t Congress normally have already had one of their famous sessions where they pull all the players into a room and grill them on what’s going on for hours at a time? Sure, they did talk to the major banks and the car industry people, but this seems like a much bigger deal.
What could be involved is either jail time or big time fines for these guys if something is found. However, supposedly it’s a civil case rather than a federal one, which means those doing the investigations are going to have to come up with some really serious evidence of misdeeds.
I’m not really sure how they do that. Can they interpret an email as an act of intentional behavior or just the moves of someone who did something really stupid? Not saying they’re looking for it, but were there examples of collusion, or did any of these guys personally profit from some of the transactions in any way?
This is a story we should be hearing more about in a few months, probably after the new Congress has been seated, even though, so far, they have nothing to do with it.