9/11 as a Deep Political Event

[Tony Szamboti]

Acknowledgement of something specifically done, like the controlled demolition of the Twin Towers and WTC 7, would lead to investigations and identifications of perpetrators.

Probably not. We have evidence in writing of the demolition of the banking sector and nothing has happened but the bankers have received bonuses for their trouble.

In that case those involved can say they did not actually commit a crime, as in 1981 and 2000 they got the politicians to remove banking laws, like the two Glass-Steagall Acts from 1933, prior to pulling any shenanigans.

The Savings and Loan crisis in the late 1980s and the 2008 banking crisis were both a result of eliminating these two major banking laws.

From 1933 to 1981 Savings and Loans had their investment risk limited. The law change allowed them to buy high yield junk bonds (the proceeds of which were used for hostile takeovers and gutting of large company's reserves by the likes of Mitt Romney and T. Boone Pickens) and when the Junk Bond market went down we all know what happened to the Savings and Loans. Interestingly, they were allowed to take the high risk while still having FDIC insurance. Paul Volker's proposed rule would now prevent that, but I am not even sure if that was passed.

From 1933 to 2000 Investment banks were not allowed to handle mortgages and the 2008 crisis was a result of them being allowed to get their greedy hands on them. The adjustable rate mortgage, with its clause allowing an increase in interest rates if sold, was the lever they used to bundle mortgages and sell them to buyers who could then raise the rates to get a return on their investment. The Investment banks provided no value to the mortgage. It was essentially a skimming operation, but legal because they removed the law prohibiting it. Of course, they called the law removing it a nice name "The Financial Services Modernization Act". See http://en.wikipedia.org/wiki/GrammLeachBliley_Act. The crisis occurred just eight years later when large numbers of home owners with adjustable rate mortgages were unable to pay the new higher interest rates demanded by the bundle buyers.