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Regulators Criticize Banks For Lending Uber $1.15 Billion (venturebeat.com)
Federal regulators criticized several Wall Street banks over the handling of a $1.15 billion loan they helped arrange for Uber this past summer, reports Reuters, citing people with knowledge of the matter. From the report: Led by Morgan Stanley, the banks helped the ride-sharing network tap the leveraged loan market in July for the first time, persuading institutional investors to focus on its lofty valuation and established markets rather than its losses in countries such as China and India. The Federal Reserve and the Office of the Comptroller of the Currency (OCC), which are trying to reign in risky lending across Wall Street, took issue with the way in which the banks carved out Uber's more mature operations from the rest of the business, the people said.
The whole point of corporations in the US is so that nobody's liable for what corporations do. Corporations can't/don't go to jail, and a member of a corporations going to jail for something done under the auspices of the company is rarer than lightning strikes or lottery winners.
I don't respond to AC's.
and THAT is the problem
Ride sharing has a specific meaning, and Uber is not it.
Yup. That's one of the only ones I can think of off the top of my head. Oh, maybe that kid who tried to run a pharmaceutical company. But, that's my point. It happens much more rarely than it should. Who from GM was sent to jail for killing over 100 people by knowingly using bad ignition switches? Every industrial accident that was the result of negligence? Or even companies that willingly and knowingly sell things to people that give them cancer?
I don't respond to AC's.
Where were these "regulators" when the banks were lending trillions on junk mortgages then reselling them to people as bonds?
No sig today...
Most are happy until they go to sell their cars and learn there is no equity left after a few years. The more you drive, the more you loose.
In theory, the people up the chain of command get a huge salary because they are responsible when something breaks.
in practice, they get to blame you.
Some of us just expect them to follow the same laws that cabbies are required to. You know like the same insurance that's required for a commercial operator. Vehicle inspections, CPR training and so on. You know, exactly the same things that were put into law because cabbies had such a terrible track record that it was killing people.
Yes, how dare people demand they actually follow the law.
Om, nomnomnom...
The whole point of corporations in the US is so that nobody's liable for what corporations do. Corporations can't/don't go to jail, and a member of a corporations going to jail for something done under the auspices of the company is rarer than lightning strikes or lottery winners.
This is the result of corporate lobbying over the last 20 years, and the growing view (among the wealthy elite) that white-collar crime isn't really a thing. After the savings-and-loan collapse in the 1990s, over 900 bankers were convicted of criminal offenses; after the most recent (and much worse) financial crash, nobody in the banking industry has spent even a night in jail.
...long long ago, an out-of-town visitor to New York was admiring the elegant vessels harboured off the Financial District; "Those are the bankers' and brokers' yachts!" exclaimed the guide. "But where are the customers' yachts?" questioned the naÃve visitor in response...
Sanity is the trademark of a weak mind. -- Mark Harrold
Funny how it only happens to foreign corporations while wall street bankers and ratings agencies walk free after the sub-prime crisis.
There was no regulation.
Congress "deregulated" that piece of the banking industry when it repealed sections 20 and 32 of the Glass–Steagall Act in 1999.
It only took the corporations 9 years to create a national disaster.
It turns out some regulations are very, very good ideas.
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According to the latest ruleset, this post should be modded as Vorpal Flamebait +5.