Mainstream Media Spins Dimon

By Greg Hunter’s 

Monday, we started out the week with a front page story on USA Today that was more like a public relations stunt than real journalism.  The headline read “Dimon sees good times in 2011.”   The story was mostly an interview with JP Morgan CEO Jamie Dimon by CNBC news reader Maria Bartiromo.  I could not find any objectivity or tough questions put to the Chairman and CEO of one of the nation’s top financial institutions.  Please keep in mind J P Morgan was bailed out by taxpayers to the tune of $260 billion during the financial crisis.  When asked, “How do you characterize the economy right now?  Dimon replied, “The economy is getting stronger every day, and I would say it’s rather broad-based, and hopefully this will continue. That’s true globally. It’s good for America when the rest of the world grows, because you can sell more to the rest of the world. Large corporations are in very good shape, have plenty of capital and are starting to expand. . . .”  (Click here to read the complete story from USA Today.)

If Mr. Dimon thinks the economy is really getting that much “stronger” and there is “plenty of capital,” why not go back to “mark to market” accounting?  I would have loved it if Ms. Bartiromo could have found the guts to ask that question.  The rules were changed nearly 2 years ago to let banks hold mortgage-backed securities, real estate and other assets at whatever bankers think they will be worth in the future.  Some call this “mark to fantasy” accounting.  I call it government sanctioned accounting fraud.  No matter what it’s called, it simply makes the banks look like they’re in better financial shape than honest accounting would reveal.  Some big banks would be insolvent, or at the very least much less profitable, were it not for the accounting rule change.  Why does the MSM feel compelled to routinely paint a rosy economic picture?

When asked about foreclosures and how Dimon saw that “playing out,” the CEO said, “The mortgage pain is just a terrible story. Too many mortgages were badly done. I’m not talking about us.”   Let’s stop right there.  “Too many mortgages were badly done. I’m not talking about us.”  Does Mr. Dimon really want the public to believe JP Morgan did nothing to help cause this enormous mess?  I did a simple Google search, and several headlines would call into question Dimon’s squeaky clean claim: “JP Morgan Chase Freezes Foreclosures and Faces Criminal Investigation,” “Ohio official calls for DOJ probe of Chase mortgages,” “J.P. Morgan Faces Suits Alleging Foreclosure Fraud,” and “Chase and Wells Fargo anger federal judges due to fraud and incompetence in mortgage cases.” We have a record of more than one million foreclosures in 2010, and experts say we are on track for another one million more and a new record this year.  I find it hard to believe JP Morgan did all of its mortgages correctly and did not have a hand in this national tragedy.  Why not ask about these and other allegations?

I wonder if Mr. Dimon sees good times for the Bernie Madoff fraud victims.  If Ms. Bartiromo would have done her job as a “journalist” then she would have surely known about the recently unsealed documents from the U.S. Bankruptcy Court handling the Madoff case.  The Daily Beast reported a little more than two weeks ago, “The bank’s own executives, the complaint said, recognized a “well-known cloud” over Madoff’s activities, perhaps in 2006 and certainly by June, 2007—18 months before Bernie confessed. (Madoff bankruptcy trustee is Irving Picard.) Picard’s complaint damns the bank by saying: “By October, 2008, JPMC’s London office reported to the United Kingdom’s Serious Organised Crime Agency (SOCA) that it knew Madoff was ‘too good to be true,’ and a likely fraud….Incredibly…JPMC still did nothing to stop the fraud.”   Madoff, his family, and his securities firm were loyal JPMorgan Chase customers for more than two decades as the bank processed billions of dollars through his accounts.”  This story didn’t rate even a single question?  You have to be kidding me.  Madoff was the single biggest fraud in history, and JP Morgan allegedly knew about the fraud and didn’t stop it?   Ms. Bartiromo was standing in front of the top decision maker of JP Morgan and she does not ask him, “What did you know and when did you know it?”

While we are on the subject of fraud, during the aftermath of the savings and loan crisis in the early 90’s, more than 1,000 financial elites were successfully prosecuted.  According to Economist William Black, this current financial calamity is at least 40 times bigger than the S and L crisis.  How many have been indicted with the financial meltdown of 2008?  None.

Matt Taibbi of Rolling Stone asked the right question in a piece last week titled “Why Isn’t Wall Street in Jail?”  Taibbi writes, “Nobody goes to jail.This is the mantra of the financial-crisis era, one that saw virtually every major bank and financial company on Wall Street embroiled in obscene criminal scandals that impoverished millions and collectively destroyed hundreds of billions, in fact, trillions of dollars of the world’s wealth — and nobody went to jail. Nobody, that is, except Bernie Madoff . . . The rest of them, all of them, got off. Not a single executive who ran the companies that cooked up and cashed in on the phony financial boom — an industrywide scam that involved the mass sale of mismarked, fraudulent mortgage-backed securities — has ever been convicted.”  (Click here to read the complete Rolling Stone story.)

Is it asking too much to put Dimon on the spot as to why he thinks nobody has gone to jail over this ongoing mammoth mess?  I am not going to even comment on the rest of the interview, because to me, this is just a media spin job.  The interview was not designed to enlighten the public or ask tough questions.  It was done to make Mr. Dimon, JP Morgan and the economy look good.   I don’t blame Mr. Dimon for the poor interview.  I blame Maria Bartiromo and USA Today for reducing themselves to a public relations tool.

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  1. Steve

    Greg, since when were USA Today and CNBC anything other than shills for JP Morgan and Co? Why would you expect Maria to report anything that would tell viewers what a ponzi scheme JPM and Co are running?

    The bigger question is why CNBC and USA Today are relevant. Your point is well taken. Maria didn’t fulfull her function as a journalist. Why would she fulfull her function when she would find the same door Olberman found over at MSNBC?

    WHY DOES ANYONE WATCH THE IMBICILE BOX ANYMORE? That box as a source of news I do not comprehend.

    • Greg

      Thank you Steve, Kareem and Glenn.

      • sky

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    • Alessandro Machi

      Steve, I agree with your assessment about MSNBC and CNN. I believe they are wall street news shills. Add in Fox on the other side of the spectrum and it becomes easy to see why Hillary Clinton could not win in 2008.

      There was no cable news base with a true centrism base. This is a really big deal because it is centrism that can usually find solutions through intelligent compromise and communication.

  2. Glenn

    Certainly frustrating isn’t it Greg? Dimon, along with his fellow big bank crooks should be taken behind the barn and shot. CNBS, along with the MSM are a disgrace to the field of journalism in its pure and true form. Kudlow is the worst with that smug look on his face which will soon be erased when the dollar is debased to ZERO by the end of 2012. It’s all written in the Elitist’s cards. Those who hold US debt by the way of Treasuries, will be duped and more importantly, pissed! Things are just amping up. Oil IS going above $150, on its way to $200 before the oil reserves are FINALLY utilized in Alaska. That PLAN is also written in the Elitist’s cards.

    • sky sound money now

  3. Mike on the Motor Bike

    Greg – this is exactly why I have completely boycotted all mainstream media. They are a bunch of worthless, Marxist liars.

    And lest we forget – they (the media)are owned by the same elitist billionaires who own the banks.

  4. jared

    He is a suicide financial terrorist! He deserves to be hanged from the tallest tree in Crawford, Texas along with Blankfein.

  5. Art Barnes

    “Public relations fools” is too kind, in my mind it denotes a non- intentional, unconscious type behavior – clearly, not case here. CNBC and the rest of their propaganda stooges continue to throw snow ball questions, and underhand snow balls at that. They are linked with the larger MSM who continue to be afraid to tell the King that all might not be well in the Kingdom.

    Frankly Greg, CNBC is a joke, designed for Wall Street and the white shoe boys, and they have no credibility. Nothing can be done to fix any problem as long as MSM pretends there arent any problems to fix.

    How long can MSM continue their charade of the economy I can’t answer but they can’t keep it up forever. Every person who loses or can’t find a job, loses their home and or small business, etc. is destined to finally hear the truth.

    • Greg

      This is a great line “Nothing can be done to fix any problem as long as MSM pretends there arent any problems to fix.” Thank you.

      • Bob

        fake system + fake fix = honest inflationnnnnnnnnnn.

      • sky

        Counter Protest To Choudary sharia rally 3-3-2011 12:00-11:30Pm in front of whitehouse [email protected] patriot action network

  6. slingshot

    They need the Banking Cartel to keep it running. Simular to the government recieving help from the Mafia during WW2 to fight the Germans in Sicily and Italy. Only difference is this war is to enslave by debt. Kruschev said, they would take America without firing a shot. Pretty much spot on with all the entitlement programs.
    So the prosecution of the banks is a mute cause. They need those people to keep running the scam!

  7. markm

    Hey Greg,

    The MSM is populated with tools! Why do you think Obama is going after talk radio, Fox News, and net nuetrality.

    Our present recovery is being fueled by inflation. Unit sales are flat, but revenue is up by the same percentage as the inflation rate.

    John Lott has a graph that shows unemployment shooting up again.

    Nobody gets called on the carpet and nobody goes to jail; as long as you are a freind of the Democratic Party–which is the largest organized crime ring in the World.

    We have a corrupt party and an inept party.


    • Greg

      I think you can say the same thing when the Republicans are in charge. Thank you for the comment.

    • sky

      I agree with you Mark,We have been having dems in the senate and congress the longest 40 years till 1994.Look President Wilson said he ruined the USA.Federal Reserve,Its not even a bank. theprovocateurnetwork americandream video

  8. Sam

    Dear Greg,

    All I can say is, Dimon et. al. are too big to JAIL.

    • Greg

      Sam and Bob,
      Talk about a one, two punch in comments. You both scored knock-outs.

  9. George

    As long as the people choose to stay normalcy biased, we have no chance of stopping the elitists plan to destroy America.

    The Federal Reserve Note, a single piece of paper with nice pretty murdered presidents on them worth nothing, brought down a nation.

    And, we the people yelled on the internet and screamed at the TV, yet we sat as our nation was destroyed by the bankers and corporations, as Thomas Jefferson, Andrew Jackson and all the forefathers warned us would happen.

    Sitting behind a computer typing complaints will never defeat such powers as the banks and corporations.

    R.I.P. America

    • Greg

      I guess Egypt was a fluke.

      • Kevin