Monetary System

On Friday, the German daily Süddeutsche Zeitung (SZ) leaked a bombshell - a confidential report by Bafin, the Federal Financial Supervisory Authority, found that German banks were sitting on over 800 billion euros in toxic assets. Just…

I don't much like Ken Lewis. It should be fairly obvious to everyone that he is a man who has only his own interests at heart. But, his revelation that BofA bought Merrill Lynch for the agreed-upon September price, despite Merrill's having…

It looks pretty clear that the U.S. regulators are going to clean house this year -- at least with small banks.  Hundreds of small banks and credit union will go into receivership in 2009.  However, big banks are getting a free ride. First…

The National Credit Union Administration (NCUA) has put Eastern Financial Florida Credit Union into conservatorship, an institution with $1.6 billion in assets. This looks to be the busiest day for regulators since the crisis began.  4…

There is another bust in Idaho, the fourth today, at a cost of nearly $200 million on assets of only $488.9 million.  Ouch.  This is the 29th FDIC seizure in 2009. The FDIC issued the following press release about First Bank of Idaho:…

This makes three today.  Here is the California Press Release.  Note the enormous relative cost as a percentage of assets to the FDIC, which I have bolded.  No bank is taking the deposits or assets here: The Federal Deposit Insurance…

I have highlighted the area that shows the estimated cost to taxpayers below. See the FDIC website for more details: American Southern Bank, Kennesaw, Georgia, was closed today by the Georgia Department of Banking and Finance, which…

Ken Lewis, the embattled CEO of Bank of America, has recently admitted to being coerced by U.S. Government officials to consummate the Merrill Lynch acquisition. The problem for Lewis is he may have neglected his fiduciary responsibility…

Press reports coming out of Germany are suggesting that the Germans are looking to hook up Opel with Fiat in order to prevent a lot of job losses when General Motors goes under.  In my view, this means curtains for both Chrysler and GM and…

Bank of America CEO Ken Lewis is fighting to keep his job because earnings at his company have plummeted. BofA's acquisition of Merrill Lynch has been a large part of the problem.  Now, understanding that he is being made out to be the fall…