Tag Archives: goldman

The Dead Pool – 19 May 2017

Mother Jones

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Today we learned that Jim Donovan, a 25-year Goldman Sachs banking and investment management executive, is pulling out as Trump’s nominee to serve as Deputy Treasury Secretary. Why? “Family concerns.” That may be true, but it’s also likely that he’s rich and doesn’t want to divest everything he owns just to be a deputy in a dysfunctional administration where he could get fired at any moment if the president gets annoyed with him.

In other news, I’ve removed Sebastian Gorka from the dead pool since he still seems to be around. I’ll put him back if and when he takes a position elsewhere in the administration that’s allegedly more important than being on the president’s staff.

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The Dead Pool – 19 May 2017

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Donald Trump, Champion of the Working Class, Is Filling His Cabinet With Billionaires

Mother Jones

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On Tuesday, Donald Trump and his possible choice for secretary of state Mitt Romney were photographed dining at Jean-Georges, a three-star Michelin restaurant located inside the president-elect’s Manhattan hotel property. The two men, accompanied by Reince Priebus, reportedly feasted on frog legs, lamb chops, and chocolate cake:

During the campaign, such images of the two would have seemed inconceivable. In March, Romney dedicated an entire press conference to blasting the real estate magnate as a fraud. Much of Trump’s campaign also decried Hillary Clinton’s ties to Wall Street and billionaire donors.

But three weeks after Trump won the general election, both the Jean-Georges dinner and Romney’s potential role in a Trump administration are only in the latest incidents in what is increasingly shaping up to be a presidential cabinet dominated by millionaire—even billionaire—appointees. Just take a look at the reported estimated net worths of Trump’s picks so far:

Betsy DeVos: $5.1 billion, married to Richard DeVos Jr., co-founder of AmWay and member of the DeVos political dynasty
Wilbur Ross: $2.9 billion, “vulture investments”
Elaine Chao: $37 million (together with husband Sen. Mitch McConnell), from family inheritance and sits on several corporate boards
Steve Mnuchin: $40 million, former Goldman Sachs banker with Hollywood ties
Tom Price: $13.6 million, former orthopedic surgeon

And they share more in common than just millions of dollars and a taste for expensive restaurants. They’re all outspoken opponents of LGBTQ rights.

In his cabinet picks, Trump appears to be flagrantly abandoning his campaign promises to “drain the swamp” and eliminate big money interests once he takes office. The question is: When will Trump supporters realize they’ve been conned?

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Donald Trump, Champion of the Working Class, Is Filling His Cabinet With Billionaires

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Cyclists and walkers are building their own bike lanes and crosswalks.

This weekend, Máxima Acuña, winner of the 2016 Goldman Environmental Prize, was assaulted on her property in Peru. Since 2011, Acuña has resisted the development of the Conga gold mine by U.S.-based Newmont Mining by refusing to vacate her home — and, for that, has faced both legal prosecution and physical intimidation.

As a result of the attack, allegedly perpetrated by agents of Minera Yanacocha (Newmont’s Peruvian subsidiary), Acuña is now in the hospital and her family’s crops are destroyed, according to Amnesty International.

Nor, tragically, is this attack an isolated instance of violence against indigenous women protecting their land. Earlier this year, Berta Cáceres — winner of the 2015 Goldman Environmental Prize for her efforts in blocking hydroelectric developments on Lenca land in Honduras — was murdered at home, allegedly by employees of DESA, the developer behind the proposed dams.

When we spoke to Acuña in April, she told us, with eerie foresight: “Because these businesses are very powerful, I don’t know what awaits me when I get back [home]. But this isn’t a cause of fear for me – it’s not a motive for us to stop fighting, to stop defending.”

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Cyclists and walkers are building their own bike lanes and crosswalks.

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Wave power has finally come to the United States.

This weekend, Máxima Acuña, winner of the 2016 Goldman Environmental Prize, was assaulted on her property in Peru. Since 2011, Acuña has resisted the development of the Conga gold mine by U.S.-based Newmont Mining by refusing to vacate her home — and, for that, has faced both legal prosecution and physical intimidation.

As a result of the attack, allegedly perpetrated by agents of Minera Yanacocha (Newmont’s Peruvian subsidiary), Acuña is now in the hospital and her family’s crops are destroyed, according to Amnesty International.

Nor, tragically, is this attack an isolated instance of violence against indigenous women protecting their land. Earlier this year, Berta Cáceres — winner of the 2015 Goldman Environmental Prize for her efforts in blocking hydroelectric developments on Lenca land in Honduras — was murdered at home, allegedly by employees of DESA, the developer behind the proposed dams.

When we spoke to Acuña in April, she told us, with eerie foresight: “Because these businesses are very powerful, I don’t know what awaits me when I get back [home]. But this isn’t a cause of fear for me – it’s not a motive for us to stop fighting, to stop defending.”

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Wave power has finally come to the United States.

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The federal government is investigating ExxonMobil’s accounting related to climate change.

This weekend, Máxima Acuña, winner of the 2016 Goldman Environmental Prize, was assaulted on her property in Peru. Since 2011, Acuña has resisted the development of the Conga gold mine by U.S.-based Newmont Mining by refusing to vacate her home — and, for that, has faced both legal prosecution and physical intimidation.

As a result of the attack, allegedly perpetrated by agents of Minera Yanacocha (Newmont’s Peruvian subsidiary), Acuña is now in the hospital and her family’s crops are destroyed, according to Amnesty International.

Nor, tragically, is this attack an isolated instance of violence against indigenous women protecting their land. Earlier this year, Berta Cáceres — winner of the 2015 Goldman Environmental Prize for her efforts in blocking hydroelectric developments on Lenca land in Honduras — was murdered at home, allegedly by employees of DESA, the developer behind the proposed dams.

When we spoke to Acuña in April, she told us, with eerie foresight: “Because these businesses are very powerful, I don’t know what awaits me when I get back [home]. But this isn’t a cause of fear for me – it’s not a motive for us to stop fighting, to stop defending.”

Link – 

The federal government is investigating ExxonMobil’s accounting related to climate change.

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Trump’s New Finance Chair Led a Bank That Made Millions Off Taxpayer Bailouts

Mother Jones

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Donald Trump has slammed Washington insiders, lobbyists, and Wall Street as he has tapped populist anger to snag the Republican presidential nomination. Yet when it came time to pick the top money man for his campaign, he turned to a hedge-funder best known for running a bank that made billions off taxpayer bailouts and, by one account, cost the federal government $13 billion.

On Thursday, Trump named Steven Mnuchin, a former Goldman Sachs partner and a hedge-fund boss from Los Angeles, as his national campaign finance chairman. Mnuchin has worked with many of Wall Street’s biggest firms, but he is perhaps best known for his leadership in organizing the takeover of IndyMac’s failed subprime mortgage business in 2009. Mnuchin organized a team of billionaires to buy the California-based bank’s assets from the FDIC after the government insurance fund had taken over the bank. Mnuchin’s group paid roughly $1.55 billion and received a promise from the FDIC to cover a portion of the losses on bad loans within the IndyMac pool. The FDIC’s losses on these assets have since ballooned to an estimated $13 billion.

The FDIC took on most of the risk, but Mnuchin and his partners, who named their new bank OneWest, ended up doing spectacularly well. They parlayed their $1.55 billion investment into a $3.4 billion payday last year, when Mnuchin engineered the sale of OneWest to another California bank, CIT. Along the way, OneWest issued more than $2 billion worth of dividends to shareholders. The tremendous profits the bank made, with taxpayers on the hook for IndyMac’s bad bets, raised eyebrows across the industry.

OneWest’s owners got a great deal when they bought IndyMac’s failed business from the FDIC (with a hefty dose of risk protection, care of US taxpayers), but the bank has not been lenient with homeowners who have found themselves in financial trouble. In fact, OneWest was targeted by regulators, who found the bank was unrepentant in the face of questioning. In one investigation of predatory loan practices, OneWest was the only bank that refused to settle. The bank also was the target of angry homeowners who filed lawsuits around the country that accused the bank of being overly aggressive in foreclosing. In one notable 2009 case that turned into a cause celebre for opponents of predatory loan practices, a Minnesota woman found herself locked out of her mother’s house in the middle of a blizzard after OneWest took the house and changed the locks while still in negotiations to refinance the home.

Mnuchin’s record seems at odds with Trump’s purported populism. When it comes to fundraising, it appears Trump is hardly an unconventional candidate: It’s the money that matters.

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Trump’s New Finance Chair Led a Bank That Made Millions Off Taxpayer Bailouts

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Everyone Knows Why Hillary Clinton Won’t Release Her Goldman Sachs Speeches

Mother Jones

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John Judis says he’s worried about Hillary Clinton again:

I don’t understand why she can’t put the Goldman, Sachs question behind her. I initially assumed that she either didn’t have transcripts or that what she said was the usual milquetoast stuff politicians offer up. But her continued refusal to provide transcripts (which I now assume must exist) suggests that there must be something damning in them.

If she gets the nomination, she’ll face these questions again in the fall, and if Trump or Cruz is her opponent, these questions will detract from the attention that their past utterances about Mexican rapists or masturbation or whathaveyou.

For what it’s worth, I think we all know what’s in those transcripts: a bit of routine praise for the yeoman work that investment bankers do to keep the gears of the economy well oiled. Maybe something like this:

These are tough times for investment bankers. I think Goldman Sachs is the only organization with a lower approval rating than Congress audience laughs politely between bites of prime rib. But seriously, folks, Main Street and Wall Street need each other. Bankers aren’t villains. I support higher leverage requirements and regulation of derivatives audience stares moodily at their forks, but I’ve always said that we need to do it in a practical way. Some of the financial engineering that’s come under such attack from the Bernie Sanders of the world audience brightens is just what our country needs. It helps states build roads and cities build schools. You’re the villains when things go bad—and maybe sometimes you deserve to be. But other times you’re the heroes America can’t do without.

This is the kind of thing that people say when they give a speech. But in the hands of a political opponent, it will come out like this:

Bankers aren’t villains….The financial engineering that’s come under such attack from the Bernie Sanders of the world is just what our country needs. It helps states build roads and cities build schools….You’re the heroes America can’t do without.

Something like that, anyway. My own guess is that it’s vanishingly unlikely Hillary said anything in these speeches that’s truly a bombshell. Her entire life suggests the kind of caution and experience with leaks that almost certainly made these speeches dull and predictable. But the Goldman folks knew all that up front. They just wanted the cachet of having a Clinton address their dinner.

Still, when you give speeches to any industry group, you offer up some praise for the vital work they do. It’s just part of the spiel. And Hillary knows perfectly well without even looking that some of that stuff is in these speeches—and it can be taken out of context and made into yet another endless and idiotic Republican meme. Remember “You didn’t build that”? Sure you do.

On another note, if Hillary does release the transcripts, she’s sure not going to do it now. She’ll wait until she has the nomination wrapped up and then release them during the dog days of May or June. If possible, she’ll do it the same day Donald Trump blows up the news cycle again. By that time, Democrats will all be circling the wagons to defend her and the entire foofarah will be dead by the time the real campaign starts in September.

As for the odds of a genuine bombshell, I’d put it at about 1 percent. I guess you never know about these things, but literally everything in Hillary’s 40-year political career suggests a woman who simply doesn’t traffic in bombshells. It’s not in her personality, and in any case, long experience has taught her better. It’s only barely conceivable that something genuinely damning is anywhere in any of those speeches.

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Everyone Knows Why Hillary Clinton Won’t Release Her Goldman Sachs Speeches

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The 6 Best Moments of the Democratic Debate

Mother Jones

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With Hillary Clinton and Bernie Sanders neck and neck in the polls, the Democratic candidates met, along with former Maryland Gov. Martin O’Malley, for the final debate before Iowa’s caucuses on February 1. Like the two prior debates, this one was held on a weekend night—likely diminishing the number of primary voters who tuned in.

Clinton and Sanders, who have traded attacks over the last several weeks on gun control, health care, and Wall Street reform, had a chance to spar in person. While the debate never turned nasty, it was certainly heated.

Hillary rips into Bernie over gun control.

Right off the bat, the moderators asked Sanders about one of the most contentious issues of the Democratic primary: gun control. Sanders defended himself against Clinton’s attacks over his record on gun control. “I have a D-minus voting record from the NRA,” Sanders said in response to accusations that his votes align with the National Rifle Association. “It was in 1988, there were three candidates running for Congress in the state of Vermont, I stood up to the gun lobby and came out and maintained the position that in this country we should not be selling military style assault weapons.”

Clinton responded by repeating her campaign’s attacks against his gun record, saying that Sanders “has voted with the NRA, with the gun lobby numerous times. He voted against the Brady Bill five times. He voted for what we call, the Charleston Loophole. He voted for immunity from gun makers and sellers which the NRA said, ‘was the most important piece of gun legislation in 20 years.'”

Hillary and Bernie battle over health care.

After a week of exchanging fire over health care, Clinton and Sanders finally faced off over the issue in person. Sanders, who released a health care plan hours before Sunday night’s debate, called for a “Medicare-for-all” system while Clinton argued that Democrats should focus on improving the Affordable Care Act instead of embarking on another major debate over health care.

“That is nonsense,” Sanders said at one point, growing noticeably irked after Clinton suggested that his push for single-payer health insurance is the same as a rollback of Obamacare.

Sanders attacks Clinton over Goldman Sachs speaking fees.

Sanders didn’t flinch when the moderators asked about the main difference between how he and Clinton would approach Wall Street. “The first difference is I don’t take money from big banks,” he said. “I don’t get personal speaking fees from Goldman Sachs.” From there, he dove into policy details, citing his enthusiasm for busting up the largest financial institutions and “21st century Glass-Steagall legislation” to separate commercial and investment banking.

Sanders returned to the topic later in the evening. “Secretary Clinton—and you’re not the only one, so I don’t mean to just point the finger at you, you’ve received over $600,000 in speaking fees from Goldman Sachs in one year,” he said.

Sanders calls for Justice Department investigations when anyone dies “in police custody.”

Sanders extended his criminal justice agenda Sunday evening with an ambitious new proposal, calling for the federal government to get involved whenever someone dies in police custody—an occurrence that has been highlighted by the recent deaths of Sandra Bland in Texas and Freddie Gray in Baltimore. “Whenever anybody in this country is killed while in police custody, it should automatically trigger a U.S. attorney general’s investigation,” Sanders said.

Clinton describes her relationship with Vladimir Putin.

During her time as Secretary of State, Hillary Clinton famously spearheaded the Obama administration’s efforts to “reset” relations with Russia. But, since these overtures, Russian President Vladimir Putin has become increasingly bellicose and aggressive on the international stage. How would Clinton now describe her relationship with the Russian leader? “It’s, um, interesting,” Clinton said after a long pause, clearly choosing her words carefully.

Clinton calls attention to the crisis in Flint, Michigan.

In her closing remarks, Clinton raised the plight of the people of Flint, Michigan—where toxic levels of lead in the city’s drinking water has created a state of emergency—as an example of the kind of problem she wants to solve as president.

“Every single American should be outraged,” she declared. “We’ve had a city in the United States of America, which the population is poor in many ways and majority African American, has been bathing and drinking lead-contaminated water. And the governor of that state acted as if he didn’t really care.” Clinton speculated that if children in a rich suburb of Detroit were exposed to contaminated water, the reaction would have been different. Clinton went on to discuss how she dispatched one of her campaign operatives to Flint “to see what I could to help.”

Sanders, who spoke last, also addressed the crisis in Flint. “I demanded the resignation of the governor,” he said, calling Republican Gov. Rick Snyder a man who “should not stay in power.”

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The 6 Best Moments of the Democratic Debate

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Goldman Sachs to Summer Interns: Don’t Stay in the Office Overnight

Mother Jones

By Olivia Oran

NEW YORK (Reuters) – Goldman Sachs Group Inc has told its summer investment banking interns not to stay in the office overnight in a bid to improve working conditions for its junior staff.

The move, according to company sources and confirmed by a Goldman spokesman, illustrates how Wall Street banks are seeking to curb excessive hours worked by young employees who see internships and entry-level jobs as a chance for a lucrative investment banking career.

Goldman has told its new crop of summer banking interns they should be out of the office between the hours of midnight and 7 a.m. during the week.

Goldman and other banks have taken steps over the last several years to encourage junior employees, known as analysts and associates, to take time off in a profession notorious for all-nighters and 100-hour work weeks.

The moves came after the death of a Bank of America Corp intern in London in 2013 fueled concerns over working excessive hours. It was later revealed the intern died of natural causes.

Soon after, Goldman told its junior bankers to take Saturdays off and also formed a task force to address quality of life issues.

Bank of America said at the time it would recommend junior employees take off a minimum of four weekend days per month.

Wall Street summer interns are typically college juniors who work as analysts and business school students who serve as associates.

Goldman has more than 2,900 summer interns this year.

Goldman ranked as the top worldwide M&A adviser last year, according to Thomson Reuters data. The bank advised on 449 deals with a total value of $983.9 billion.

(Editing by Jeffrey Benkoe)

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Goldman Sachs to Summer Interns: Don’t Stay in the Office Overnight

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