By Dominique de Kevelioc de Bailleul
As an example of justice for the people, Iran sentenced four banksters Monday to hang for their role in the Persian state’s largest-ever fraud scandal.
In addition to the four capital cases, thirty-five other defendants face punishments ranging from life imprisonment to “flogging and fines,” according to BBC News.
The scandal stems from charges issued in Sept. 2011 that some of the defendants forged documents on the behalf of an investment company to secure loans for the purchase of state-owned properties during a four-year period under the government’s privatization scheme. In all, three trillion Iranian rials, or equivalent to approximately $2.6 billion were fraudulently obtained by the banker cabal.
The high-profile case fueled infighting between Iranian President Mahmoud Ahmadinejad and the nation’s ruling clerics.
Moreover, the fallout of the scandal included an impeachment vote of Iranian Economy Minister Shamseddin Hosseini, an Ahmadinejad appointment. Hosseini narrowly escaped conviction in Nov. 2011 for his alleged dereliction of duty to pursue the fraud.
In contrast, financial fraud in the United States and Europe involving trillions of dollars has not been prosecuted, though calls for prosecutions to save the fading reputation, credibility and legitimacy of the Western banking system falls on deaf ears in Washington, London and Brussels.
Economists suggest that taking a blind eye to massive and pervasive financial fraud leads to capital flight and distrust of American and European institutions, not to mention the demoralizing effects upon the citizenry. It’s an age-old and rudimentary issue, according to economist and Iranian Jew Nouriel Roubini.
“Bankers are greedy; they’ve been greedy for the last hundreds of years,” Roubini told Bloomberg News earlier in the month. “It’s not a question if they are more immoral today then they were a thousand years ago, you have to make sure they behave in ways in which you minimize those risks.”
When asked specifically about the LIBOR scandal, Roubini replied that if government watchdogs don’t begin prosecuting bankers, the public may eventually take matters into their own hands. The issue is that serious.
“Well, they [jail sentences] should occur, because no one has gone in jail since the global financial crisis for any of these things,” he said. “The banks do things that are illegal, at best, a slap you know, a fine. Some people will end up in jail, maybe that will teach a lesson to somebody. Yeah, or maybe someone hanging on the streets.”
See BER article, Roubini: “Global Perfect Storm” Leads to “Hanging Bankers”
Not surprisingly, former British Prime Minister Tony Blair—who, Andrew M. Lobaczewski, author of Political Ponerology: A Science on The Nature of Evil adjusted for Political Purposes states exhibits the behavior of a psychopath—disagrees with Roubini.
Society won’t be better off “if we hang 20 bankers at the end of the street . . ,” Blair, a top adviser to JP Morgan, told the Daily Telegraph last week.
Statements such as the one from Blair naturally infuriates the victims of banker fraud and do nothing to restore credibility in Western banking and finance.
In an impassioned plea to his viewers of Dec. 2010, InfoWars host Alex Jones believes the crisis of morality at the top levels of government and Wall Street is so bad that the U.S. may slip into a period akin to the “Dark Ages” due to the last damage of blatant injustice and callousness exhibited by bad actors represented by Tony Blair. Jones concludes his message by stating that there is no room for equivocation on the issue of banker fraud, as a pass would eventually lead the U.S. degenerating into a third-world banana republic.
“It’s the bankers or us,” he said.