Instead of giving end of the year bonuses financial firms now pay their employees higher salaries. Wall Street Bonuses Drop, at Least the Cash Part of Them(NYT) * Down on Wall St. Securities industry bonuses shrank 9% in 2010 . DiNapoli said that the decline in bonuses reflected the industry's shift away from handing out boffo cash awards in favor of higher base salaries and deferred stock compensation -- and not "weakness" on Wall Street (NYP)
JPMORGAN PAYS $13 BILLION — The bank also admitted its guilt in defrauding investors and contributed to the financial meltdown — Capital's Scott Waldman: The U.S. Department of Justice has announced a $13 billion settlement with JPMorgan Chase, after an investigation into allegations that the bank misled investors over risky mortgage securities before the 2008 financial crisis. The settlement was negotiated through the Residential Mortgage-Backed Securities Working Group, a joint state and federal working group formed in 2012 and co-chaired by New York Attorney General Eric Schneiderman.QUOTE OF THE DAY: “Today’s settlement is a major victory in the fight to hold those who caused the financial crisis accountable.” – Eric Schneiderman, the state attorney general, on the $13 billion settlement with JPMorgan Chase, via The New York Times. * JPMorgan Chase’s landmark $13 billion civil settlement with the U.S. Justice Department concludes a suit brought by state Attorney General Eric Schneiderman, The New York Times reports:
Wall Street Wants Government Bail Out and Wants NYC Poor to Pay for Transit Deficits
The Banks on Wall Street who run the Citizen Budget Commission (CBC) Calls for A 21% Transit Increase The CBC says the MTA is facing a $2 billion deficit and recommends it increase transit fares by at least 21 percent by 2016
How Wall Street Runs the Citizen Budget Commission
Kenneth D. Gibbs Chairman of the Citizens Budget Commission
... Walter L. Harris Vice Chairman of Citizens Budget Commission Timothy F. Geithner, president and chief executive officer of the Federal Reserve Bank of New York, announced today the formation of a new Communications Group. The Bank’s board of directors promoted Calvin A. Mitchell III to executive vice president and named him to head the new group. He is a member of the Bank’s Management Committee. Calvin A. Mitchell III (Vice Chairman), John Rhodes (Secretary), Alair A. Townsend (Treasurer), Edward Wallace (General Counsel).
Silence #6: Wall Street Corruption
S.E.C. Case Stands Out Because It Stands Alone How just one employee of Goldman Sachs came to represent mortgage-securities fraud has raised questions about the government’s investigation of Wall Street (NYT)* Wall Street: Editors criticize Schumer for complaining about a bill they say he supported.
Back to the Future on Wall StreetBy NYTEDITORIAL BOARD
Safeguards against mixing stock research and investment banking have been weakened.
More than 60% of deadlines for Dodd-Frank post-financial crisis rules have been missed