Small Town News

Executives are clearly out of touch

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Summary: The nation's "too-big-to-fail" banks are being run by "too-ignorant-to-lead" executives.

Much of the nation's attention lately seems to be centered on a very divided debate - Leno or O'Brien.

Frankly, neither of the late night talk show hosts are more interesting than what popped up on C-Span last week. Unfortunately, the channel which features Congressional hearings and proceedings probably doesn't get the ratings of even the worst that TV has to offer.

Last Wednesday, C-Span offered up the first official hearing of the Financial Crisis Inquiry Commission. This group is meeting to further investigate the economic meltdown that continues to impact the country.

First up for the commission were the leaders of the four major financial institutions which aided and abetted the current crisis. Instead of thought-provoking answers, however, viewers were left with the sense that they were watching an old Abbot and Costello routine.

The testimony of the four financial executives was stunningly inept as each one failed in his own miserable way to acknowledge their institutions' failures as well as how deep the crisis still runs through America's middle class.

The common man had to be wondering whether the bankers suffered from ignorance or arrogance. Let's hope the members of Congress saw the testimony for what it was - a stern warning not to seek guidance from any of these men in the future.

What the bankers and others on Wall Street seem to forget is the damage done. The stock market is back over 10,000 but what's gone are jobs, savings accounts and health care coverage for millions of people.

In essence, however, the bankers called the crisis an "accident." That's just not true. Financiers rode the wave of deregulation into a foreseeable tsunami.

Judging from the pure stupidity of last week's testimony, large financial firms should not even have a seat at the table when discussing the fundamental changes needed to prevent this disaster from happening again.

In addition, a very good start to this concept would be a wholesale endorsement of a proposed tax or fee on large banks to recover the $ 120 billion in taxpayer money spent to bail out the financial system.

Not only that, Congress should impose a windfall tax on the huge bonuses that bailed-out bankers plan to pay themselves as the earning season starts.

This would not only help build up the U.S. Treasury but it would be a great way to let the "too-big-to-fail" banks know that it's time to



Copyright 2010 Turtle Mountain Star, Rolla, North Dakota. All Rights Reserved. This content, including derivations, may not be stored or distributed in any manner, disseminated, published, broadcast, rewritten or reproduced without express, written consent from SmallTownPapers, Inc.

© 2010 Turtle Mountain Star Rolla, North Dakota. All Rights Reserved. This content, including derivations, may not be stored or distributed in any manner, disseminated, published, broadcast, rewritten or reproduced without express, written consent from DAS.

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