Gotta love the many ways 'Slick Willie' tries to re-write history, and were it not for the internet he might succeed.
Sunday, April 18. 2010
Posted by Karl Denninger in at 13:16
Source The Market Ticker market-ticker.org
"Clinton Once Again Redefining The Word "IS"
April 18 (Bloomberg) -- Former President Bill Clinton said he should have pushed for regulation of financial derivatives when he was president, rejecting the advice of top economic advisers Robert (I am Citibank) Rubin and Larry (I nearly bankrupted Harvard) Summers.
The argument was that derivatives didn’t need transparency because they were “expensive and sophisticated and only a handful of people would buy them,” Clinton said on ABC’s “This Week” program. “The flaw in this argument was that first of all, sometimes people with a lot of money make stupid decisions and make it without transparency.”
Clinton also said that Republicans who controlled Congress would have stopped him from trying to regulate derivatives. “I wish I had been caught trying,” Clinton said. “I mean, that was a mistake I made.”
Mr. Bill. You do remember this little law PL 106-102, 113 Stat 1338, right?
Do you remember it's title and the date it was enacted?
Yes, you did sign it Mr. Clinton on November 12th, 1999, and in doing so you retroactively made legal an unlawful merger of two companies that your fabulous former Fed Chairman, Alan Greenspan, intentionally allowed to occur (and granted a waiver for which he had no lawful authority to give), remember?
The law in question is otherwise known as Gramm-Leach-Bliley.
Without it the disastrous derivatives mess could not have happened, because regulated banks with access to The Fed window, not to mention FDIC depositor protection, could not have engaged in derivative trades.
Let us also remember that your Treasury Secretary, Robert Rubin (who you claim gave you "wrong" advice) resigned as Treasury Secretary and brokered the deal to pass GLBA. While doing so he was allegedly in secret negotiations to become the head of Citigroup, the direct and proximate beneficiary of making their merger retroactively legal.
IF you want to try to repair your legacy on this account what you need to do is press for the repeal of Gramm-Leach-Bliley, making it your singular political focus until it is both achieved and every institution that operates in this nation in violation of Glass-Steagall (which would be effectively re-imposed) is broken up.
GLBA was nothing more or less than a license to loot this nation and Mr. Rubin was personally and deeply involved in its passage for both his own and Citi's corporate benefit. It was and is a shining monument to the colossal corruption and outrageous kleptocracy that became the mantra of The United States under your Presidency and has continued since to this day.
You are 100% responsible for this mess Mr. Clinton, and I, along with many others, have absolutely zero intention of ever letting anyone forget that."