The Real Reason the SEC Has Been Shredding Documents For Decades
August 19, 2011
SEC Attorney Reveals that Agency Has Shredded Documents for Decades to Cover Up Wall Street Fraud
What should we make of the new revelations by Securities and Exchange Commission attorney Darcy Flynn (background here, here and here) that the SEC has been shredding documents for decades?
As many commentators have noted, the SEC did this to cover up fraud on Wall Street.
The Entire Government Strategy Is To Cover Up Fraud
William K. Black – professor of economics and law, and the senior regulator during the S & L crisis – says that that the government’s entire strategy now – as during the S&L crisis – is to cover up how bad things are:
The entire strategy is to keep people from getting the facts.
Top Government Officials Created the Conditions In Which Fraud Would Flourish
I noted last year:
It is not only a matter of covering up fraud that has already happened. The government also created an environment which greatly encouraged fraud.
Here are just a few of many potential examples:
The government-sponsored rating agencies committed massive fraud (and see this)
The Treasury department allowed banks to “cook their books”
Business Week wrote on May 23, 2006:
“President George W. Bush has bestowed on his intelligence czar, John Negroponte, broad authority, in the name of national security, to excuse publicly traded companies from their usual accounting and securities-disclosure obligations.”