Criminal Charges Expected Against BofA, Citi, JP Morgan Chase

NEW NAME FOR LIBOR: LIE-BORE

NEW BUSINESS MODEL: LIE MORE

Editor’s Note: I was sort of expecting this from the Obama administration. Like others I long suspected the Libor was rigged but it seemed like they were covering their tracks too well to be sued or prosecuted. What I was expecting was that some MAJOR action would be brought against the banks in a way that wouldn’t look political. The prosecutions directly in the mortgage scandal were a bit long in the tooth for it not to look like political timing. But Libor, closely tied to all the loans and Loan resets and all the derivatives brings us back to first base with England leading the case.

As I have stated before, it does not seem likely that the voting public will look kindly on any politician in bed with the banks. About the only thing our divided electorate can agree upon is that the Banks screwed everything up and pretty much did it intentionally. Running against the banks is the smartest political move regardless of where you are on the political spectrum. Obama, probably knowing all about this investigation but not able to comment about it until the story broke, now has a clear path to run against the Banks while Romney practically is a bank.

As the economy worsens, and it will, the blame for it is going to be laid squarely at the doorstep of the banks where it belongs. The strategy of blaming Obama for past administration errors and failure of leadership in the economy is blowing up in the face of Republicans who actually do have platforms that are electable. Their problem is like the Democrats who didn’t really talk about their core issues in past elections.