2009 from CHHS
Michael Greenberger, JD, founder and director of the University of Maryland Center for Health and Homeland Security, appears on C-SPAN’s “Washington Journal” to explain financial derivatives and discuss regulatory measures needed in derivatives markets. Many experts believe unregulated derivative instruments are largely to blame for the economic meltdown. Michael Greenberger was Brooksley Born’s chief of staff. Born’s warning was that there wasn’t any regulation of them. Born’s chief of staff, Michael Greenberger summed up Greenspan’s position this way: “Greenspan didn’t believe that fraud was something that needed to be enforced, and he assumed she probably did. And of course, she did.” Under heavy pressure from the financial lobby, legislation prohibiting regulation of derivatives by Born’s agency was passed by the Congress. Born resigned on June 1, 1999.
We bailed out AIG so they could pay the bets of JP Morgan and other Wall St banks. I’d rather everyone had gotten universal healthcare or their mortgages paid off. “We are supporting a casino, not the real economy. Gov is pulling the wool over American’s eyes.”
Greenberger speaks about the Pecora Commission, here is an explanation of the Pecora Commission