The Warning
The story of Brooksley Born, chairperson of the Commodities Futures Trading Commission from 8/26/1996 to 6/1/1999. Ms. Born opposed self-regulation of Credit Default Swaps and other Over The Counter (i.e. not listed on any exchange) derivative contracts. Her warnings were ignored and opposed by Alan Greenspan (chairman of the Board of the US Federal Reserve), Robert Rubin and Lawrence Summers (Treasury Secretaries during the Clinton Administration) and the banks. The market Ms. Born wanted to regulate in the 90's would become instrumental in, among other things, fueling the sub-prime bubble and causing the demise of AIG, Lehman Brothers and, had the US government not intervened, the entire American (and perhaps European) financial system.
How Citigroup Unraveled Under Geithner’s Watch
The story of Obama's current Treasury Secretary and his failure to supervise one of the largest financial conglomerates.
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