Chase CEO: ‘Big, Dumb Banks’ Should Be Allowed to Fail

first_img The Week Ahead: Nearing the Forbearance Exit 2 days ago The Best Markets For Residential Property Investors 2 days ago Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Related Articles  Print This Post November 5, 2015 1,289 Views Scott Morgan is a multi-award-winning journalist and editor based out of Texas. During his 11 years as a newspaper journalist, he wrote more than 4,000 published pieces. He’s been recognized for his work since 2001, and his creative writing continues to win acclaim from readers and fellow writers alike. He is also a creative writing teacher and the author of several books, from short fiction to written works about writing. Tagged with: Bailouts Banks Jaime Dimon JPMorgan Chase Too Big to Fail Should banks actually be allowed to fail? Well, the “big, dumb” ones should, according to JPMorgan Chase chairman and CEO Jamie Dimon, who on Wednesday blasted the institutionalized belief that mega-dollar bailouts for badly run banks is good for the economy.Dimon’s comments that banks should be allowed to fail is the latest in a growing movement among top-tier banking execs who believe that financial institutions earn their own success or failure. In June, Wells Fargo’s former CEO, Dick Kovacevich, called the Troubled Asset Relief Program, or TARP, “an unmitigated disaster” for several reasons, including institutionalizing the concept that there are some banks that can’t be allowed to go under. For Dimon, if a bank can’t keep its house in order, it does not deserve help getting out of the trouble it caused itself.The call to end bailouts has even become a political campaign issue. In October,presidential candidate Hillary Clinton stressed to TV host Stephen Colbert the importance of investors knowing that their banks could fail, and that the price of mismanagement should be suitably harsh.Dimon’s comments also coincide with a series of bills passed Wednesday by the House Financial Services Committee that aim to boost economic growth by increasing the accountability of financial regulators. At the sessions, Committee Chairman Jeb Hensarling (R-Texas) said that the Dodd-Frank Act of 2010, rather than eliminating the “too big to fail” concept, has simply made more bureaucrats more untouchable and left more taxpayers to pick up an increasingly hefty bill for the economy in the wake of TARP assistance.”Banks should be allowed to fail,” said Dimon, speaking to 300 CEOs and senior executives at the Fortune Global Forum in San Francisco. “For the American public, [bailouts] should be called ‘bankruptcy for big, dumb banks.'”Noteworthy is that JPMorgan Chase accepted $25 billion in TARP assistance in 2008, which Dimon at the time said the bank accepted “because we were asked to.” The bank has since paid the money back, plus more than $1 billion in fines related to the company’s acquisitions of Bear Stearns and Washington Mutual. About Author: Scott Morgan Chase CEO: ‘Big, Dumb Banks’ Should Be Allowed to Fail Servicers Navigate the Post-Pandemic World 2 days ago Previous: House Passes Amendment to Transportation Bill, Eliminating Delay to GSE G-Fee Cuts Next: Wells Fargo Promotes New Head of Home Lending Servicingcenter_img The Best Markets For Residential Property Investors 2 days ago Demand Propels Home Prices Upward 2 days ago Subscribe Share Save Sign up for DS News Daily Demand Propels Home Prices Upward 2 days ago Data Provider Black Knight to Acquire Top of Mind 2 days ago Servicers Navigate the Post-Pandemic World 2 days ago Home / Daily Dose / Chase CEO: ‘Big, Dumb Banks’ Should Be Allowed to Fail Bailouts Banks Jaime Dimon JPMorgan Chase Too Big to Fail 2015-11-05 Scott Morgan in Daily Dose, Featured, Government, News Data Provider Black Knight to Acquire Top of Mind 2 days agolast_img read more

3 steps for your annual financial checkup

first_imgBudgeting, insurance and investments are all key elements that benefit from regular review. by: Mel BondarSometimes in life to stay on track, you have to do things that aren’t fun. Whether it’s an annual trip to the dentist or spring cleaning, certain activities have long term benefits that are reaped by sucking it up and doing what you have to do for a few hours once or twice a year.If you hate personal finance and avoid all things money (other than just making and spending it), it’s time to put your foot down and get your mid-year financial checkup on.You should really keep an eye on your finances at least monthly, but even if you are vigilant about budgeting and using every frugal trick up your sleeve, there are still certain items you should review at least once a year. Even regular brushers and flossers can still get cavities – those regular dental visits minimize how often they appear and make it easy to take care of them when they are there before they turn into root canals.Step One: BudgetThis is the first step in your personal finance journey. Review your existing budget and make sure it still makes sense. When you’re new to sorting out your finances, it’s easy to set your budget and, once you’re actually staying within its confines, forget about it. continue reading » 1SHARESShareShareSharePrintMailGooglePinterestDiggRedditStumbleuponDeliciousBufferTumblrlast_img read more

Vatican bank chief and deputy resign

first_img Tweet Share Share 106 Views   no discussions BusinessFaithLifestyle Vatican bank chief and deputy resign by: – July 1, 2013center_img Sharing is caring! Share The Vatican bank has been plagued by financial scandals for decadesThe director and deputy director of the Vatican bank have resigned following the arrest of a senior Italian cleric over corruption and fraud allegations.Paolo Cipriani and Massimo Tulli offered to step down on Monday “in the best interest of the institute and the Holy See”, the Vatican says.It comes three days after the arrest of Monsignor Nunzio Scarano.The 61-year-old and two others are suspected of trying to move 20m euros ($26m; £17m) illegally.Monsignor Scarano, a priest from southern Italy, worked for years as a senior accountant for a Vatican department known as Apsa (the Administration of the Patrimony of the Apostolic See).He has been under investigation by Italian police for a series of suspicious transactions involving the recycling through the Vatican bank of a series of cheques described as church donations.The two other men arrested on 28 July have been named as Giovanni Maria Zito, who is described as an Italian secret service agent, and Giovanni Carenzio, a financial broker. Ernst von Freyberg, the current president of the bank, will serve as its interim director, taking over from Mr Cipriani, a Vatican statement said.A new position of chief risk officer would also be created to improve compliance with financial regulations.BBC Newslast_img read more

Muntari vows to walk off again if racially abused

first_imgShare on: WhatsApp Muntari called on FIFA president Gianni Infantino to do more to clampdown on the evil of racism in football.“I think he is capable of doing something in a good way to fight racism. I want him to fight racism,” he said.“I never heard anything like that in England because I think they don’t tolerate it.“England is the example for the world. If a country doesn’t tolerate it then it means you get rid of it.” London, United Kingdom | AFP |  Pescara’s Ghanaian midfielder Sulley Muntari has promised to walk off the pitch again if he has to endure any more racial abuse during a match.Muntari was sent off last week for leaving the field after claiming he was racially abused during a Serie A game against Cagliari.The 32-year-old, who was initially booked for dissent, had his suspension overturned, but the former Inter Milan star believes racism is “everywhere and getting worse” and he is determined to take a stand.“I went through hell and was treated like a criminal,” he told BBC Sport on Monday.“I went off the field because it wasn’t right for me to be on the field while I have been racially abused.“If I had this problem today, tomorrow or the next game I would go off again.”last_img read more

NCAA must act: Gut Penn State football

first_imgJoe Paterno is dead and so is what was left of his good name, shredded to pieces by investigators who didn’t seem terribly impressed by anything the coach once did on Saturday afternoons.Jerry Sandusky will spend what is left of the rest of his life in prison, paying for crimes so despicable they are hard to even comprehend. Some former Penn State administrators could be heading there, too. After Louis Freeh’s damning report, they might want to think twice about taking their chances before a jury of their peers.The cult allowed to fester at State College has been exposed, with a once-proud university looking like a backwater institution where worshipping at the statue of Joe was more important than protecting young boys exposed to horrors that will haunt them the rest of their lives.Paterno’s family can protest all it wants, but there is no way to spin this: He hurt a place where his word was gospel, and it may be decades before anyone outside Pennsylvania hears the words “Penn State” and doesn’t immediately think of naked boys being abused in the same showers used by the young men who brought the university glory on the football field.His name has already come off a Nike child care center in Oregon. His statue outside Beaver Stadium should come down next.Unfortunately, it’s not enough. Nothing may ever be enough to make up for what is arguably the worst scandal to hit college athletics. There is no way to turn back the clock, no way to give back to the victims, now grown men, who testified against Sandusky the childhood innocence they lost forever.There are, however, ways to make sure the culture that enabled Sandusky never takes root on any college campus again; ways to help re-establish some moral authority in college sports; ways to make sure no university janitor is ever afraid again to report a terrible crime because he fears losing his job.Yes, Penn State has already paid dearly, its pristine reputation damaged beyond repair. “Winning with honor,” a motto made famous by Paterno, is worth a wince and a cringe. The school will also surely pay from the pocketbook, with untold millions going to victims in civil suits.The almighty football program at the center of all this must pay, too. It must or else we have learned nothing from this sordid mess.Don’t wait for the school to impose some voluntary sanctions on itself. It won’t happen. No one at Penn State has the guts to do it.That leaves you, NCAA. You must act. Now.No more excuses. No more using semantics to try to dance around the responsibility of policing the seamy side of college athletics.The independent investigation is complete, and it’s a safe bet it’s far more thorough than anything the NCAA could have produced. Freeh, the former FBI director, laid it all out in a 267-page report that concluded Paterno and three former administrators conspired to conceal Sandusky’s sexual attacks on children to avoid damage to the reputation of the university and its vaunted football program.Penn State football deserves to survive, though barely. The NCAA can’t give it the so-called “death penalty” anyway, because it applies only to schools that commit a major violation while on probation. Aside from that, there’s no punishment too severe for the Cowardly Lions.If Ohio State gets a one-year bowl ban for players selling jerseys, what should Penn State get for selling out a whole community? If Reggie Bush cost Southern California a four-year probation for accepting cash and cars, what should Penn State get for letting a child molester use its locker rooms for his perverse fantasies?The NCAA rulebook never contemplated this kind of thing, but that’s of no real importance. NCAA President Mark Emmert told the university in November that a failure to exhibit moral values or a pattern of “deceitful and dishonest behavior” could be cause for action by itself.Moral values went out the window when Paterno and campus officials made no move to keep Sandusky off campus in 1998 after a woman complained her child had showered with the then-assistant coach. The pattern of deceit and dishonesty followed when no one turned Sandusky over to the police after he was seen sexually abusing a boy in the showers in the football locker room.An NCAA official gave the usual bureaucratic response after the report was released, saying it needs to hear Penn State’s response to some questions before the agency can proceed. Given the devastating conclusions drawn by the Freeh report, the university might as well leave its response blank. There’s no defense.NCAA—here’s a suggestion for punishment: Give Penn State a year’s probation and bowl ban for every year Sandusky ran amok at State College since 1998, until he was arrested last year. That’s a staggering 13 years, a penalty that would gut the football program much as Sandusky gutted the lives of those young boys.They never got a second chance, but the NCAA can still take the high road and give Penn State one. Shave a year off the penalty for every year the university demonstrates it is moving forward and has control of the program. Throw in a bonus year if everything symbolic of the cult of Joe is removed from campus once and for all.Six years from now, declare it a new day and let Penn State football emerge for a new era.No, it’s not fair to the players currently enrolled. It’s not terribly fair, either, to new coach Bill O’Brien, though he had to know when signing his deal that a day of reckoning would come. And it’s certainly not fair to Penn State fans, whose only crime was believing all that was St. Joe.Remember this NCAA: There was nothing fair at all about what was done to those young boys, either.This one is so simple. There is no other choice. Gut the program. Doing anything less will strip the organization of the last bit of credibility it has as the watchdog of college athletics.(Tim Dahlberg is a national sports columnist for The Associated Press. Write to him at tdahlberg(at)ap.org or http://twitter.com/timdahlberg.)last_img read more

Arsenal boss Unai Emery claims his team don’t ever want to play against Liverpool

first_imgUnai Emery Is Eyeing To Finish In The Top Four In This Season.Advertisement 87iNBA Finals | Brooklyn Vs60v8Wingsuit rodeo📽Sindre Eiez( IG: @_aubreyfisher @imraino ) 5122fWould you ever consider trying this?😱3bCan your students do this? 🌚bdzRoller skating! Powered by Firework The manager of the Gunners, Unai Emery has claimed that his team would not wish to play against Liverpool at any time in the season. The Gunners were beaten by Liverpool with a margin of 5-1 in the previous season at Anfield. However, the match against Liverpool at the Emirates ended with a 1-1 scoreline.Advertisement .Arsenal won the last match against Liverpool in 2014-15 season. After that, the Gunners failed to win a single match against the mighty Reds in the Premier League. The Gunners finished at the fifth position in the League Table in the previous season. They were just one point away from the qualification to the Champions League in this season. However, the point gap between them and Liverpool was 27.Jurgen Klopp has created his own legacy at Liverpool in the last few seasons and now they are one of the strongest teams in Europe to beat. However, the Gunners were not that much bad against the other top six sides in the Premier League in the previous season. The manager of the Gunners, Unai Emery has been able to salvage few points against the top six sides and they will hope to fight with all their potential against Liverpool in this weekend also.Advertisement Watch : Bayern Munich DESTROYS Rottach- Egern 23-0 in preseason friendlyAdvertisement Advertisementlast_img read more