Re:We will not pursue the potential acquisition of FTX
by SantalBlush on Wednesday November 09, 2022 @07:20PM
(#33540325)
That banks extended bad loans under pressure from the government suggests they did so at a loss; otherwise, they would have done it anyway in search of profit. Moreover, Sowell makes bold claims and offers little evidence beyond references to redlining, while the evidence that banks were engaged in unethical and fraudulent practices are backed up by cold-hard data and an abundance of testimony from people within the industry. Sowell's essay is revisionism.
[ Parent
| on HN ]
Re:We will not pursue the potential acquisition of FTX
by PathOfEclipse on Wednesday November 09, 2022 @08:41PM
(#33541048)
They didn't have to do it at a loss because the government federally insured these loans: https://fee.org/articles/how-the-federal-government-created-...
Re:We will not pursue the potential acquisition of FTX
by JackFr on Wednesday November 09, 2022 @11:03PM
(#33542047)
You understand the borrowers weren’t the victims of the fraud —- in fact they were engaged in it. The banks settled on charges of selling securities backed by loans that they had not sufficiently vetted, of which many turned out bad.