What will be Wall Street’s punishment for fraudulently manipulating the LIBOR?
An analysis by Morgan Stanley finds that Wall Street stands to be hit with at least $22 billion in penalties over its involvement in rigging key interest rates that underlie trillions of dollars of investments around the world. But that’s a low number – as hundreds of thousands of litigants – from individuals, to cities, to businesses – might have cases against the banks as this investigation continues – and it’s learned just how much money the banks stole from everyone else over the last few decades.
If the claims against the banks get too high, then Wall Street may need another bailout just to cover for their crimes. This will be a make-or-break moment for our nation – an opportunity for “we the people” to once and for all end Wall Street’s domination of our economy – and turn banking back into a safe, useful, and boring industry once again. Keep an eye on this because, as this scandal grows, so does our opportunity to clamp down on Wall Street.