Charlie Rose Science Series
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12/28/2006
Sandy Weill
A conversation with Sandy Weill, former CEO of Citigroup
Keywords:
A conversation with the former Chairman and CEO of Citigroup Sandy Weill about his serial successes in business, including his work in building the financial colossus Citigroup, and his relationship with former protege Jamie Dimon.
DVD
Charlie Rose DVDs on Amazon.
Charlie Rose DVDs on Amazon.
Audio
Audio available through Audible.com.
Audio available through Audible.com.
Transcripts
Transcripts available through Voxant.
Transcripts available through Voxant.
Agree fccm. From Title II: The broad exemptions banks have from broker-dealer regulation would be replaced by more limited exemptions designed to permit banks to continue their current activities and to develop new products. Provides for limited exemptions from broker-dealer registration for transactions in the following areas: trust, safekeeping, custodian, shareholder and employee benefit plans, sweep accounts, private placements (under certain conditions), and third party networking arrangements to offer brokerage services to bank customers, among others. Allows banks to continue to be active participants in the derivatives business for all credit and equity swaps (other than equity swaps to retail customers). Provides for a "jump ball" rulemaking and resolution process between the SEC and the Federal Reserve regarding new hybrid products. All dangerous provisions for the obvious lack of adults in charge.
Don't forget the Gramm-Leach-Bliley Act.
Well said Sergio. Along with Glass-Stegall throw in the Marquette Decision that essentially overrode States usury laws. The wise guys all decry regulation unless it's allows them to exploit and plunder. Then after they've ravaged all the human frailty available they then lobby more stringent requirements for bankruptcy. Get em down and hold em down. Then too many of them trumpet their charitable donations. For what? Expunging something? Out-damn-spot? Where's the biblical the-least-of-these? Alms from the heart, not the grandstand. Greed makes capitalism work. Egregious greed makes for its demise. Ask Lenin or Marx. A form of wisdom knows the difference!
Your interview with Mr. Weill, televised on May 21,'08, was a bit disappointing when you briefly touched on the issue of regulation, it could have used more, in-depth discussion. Mr. Weill remarked how the Fed regulated only banks, which comprise about 30% of the market. Surprisingly, he supported more transfer of info from banks to federal regulatory agencies and alluded that more was needed in order to shed more light on potential problems. May I suggest you devote a program to the gutting of the Glass-Steagall Act of 1933. If you haven't already done so, a good place to start would be to view Frontline's report,The Wall Street Fix: Mr. Weill goes to Washington: The long demise of the Glass-Steagell Act. An extremely informative program on how The Glass-Steagall Act was effectively repealed in a piecemeal manner beginning in the 1960s. In 1987 the Fed, overrode then Chairman Paul Volcker's opposition, and eased regulations under the Act to again allow banks to handle underwriting businesses. To his credit, Volcker objected strongly, fearing lenders would lower loan standards in pursuit of lucrative securities offerings and market bad loans.
Citigroup is a puppy-kicking, scumbag predatory exploiter of humankind. Personally mismanaged my CASH balance account to a costly amount trying to loan me my own money. Blood suckers! Further their financial wise-guys engaged heavily in the egregious greed of entrapping victims in the subprime loan debacle. Made NINJA loans (no income, no job, no assets) solely for the fees, then sold them in the secondary mkt. Arabs bailed them out at 11% on multi-billions. They and their counterparts of venal whores have done near irreparable damage. These wise-guys combined with the M-I complex types and big oil hegemony victimizers have come close to scuttling our system indefinitely. Charity will not offset the predatory thievery these types indulge in all their professional lives. These wise-guys loudly become philanthropical with OPM they mercilessly extracted for decades. Give the extorted money back to their exploited customers - not to Africans.
Sandy put a brave face on the disaster Citigroup has become under the hapless Chuck Prince, Bob Rubin, the mediocre board, and, now, Vikram Pandit. Sandy says he is down 25-30%, really?, however, the stock is down over 50% from last year's high to say nothing of the dividend that was cut 41% last quarter. Adjusted for inflation the stock is now selling for less than it was ten years ago-to say nothing of the recent massive dilution. Memo to Sandy: You'd better push for a break-up of your baby because that is the only way you're ever going to be able to attempt to regain your paper losses and fund your charities.
What a delightful man and wonderful interview. He is obviously bright and capable, but what clearly came across in his conversation was the powerful and warm human component in his life, his style, his goals. How gratifying to find such a blend in today's corporate world. I am not surprised that it comes from an older American. I am impressed.