{"id":192484,"date":"2009-03-26T17:30:00","date_gmt":"2009-03-26T22:30:00","guid":{"rendered":"https:\/\/www.panix.com\/~msaroff\/40years\/2009\/03\/26\/tell-me-how-this-is-not-fraud-and-theft-of-services\/"},"modified":"2009-03-26T17:30:00","modified_gmt":"2009-03-26T22:30:00","slug":"tell-me-how-this-is-not-fraud-and-theft-of-services","status":"publish","type":"post","link":"https:\/\/www.panix.com\/~msaroff\/40years\/2009\/03\/26\/tell-me-how-this-is-not-fraud-and-theft-of-services\/","title":{"rendered":"Tell Me How This is Not Fraud and Theft of Services"},"content":{"rendered":"

It appears that the senior managers at AIG’s Paris division of AIG’s Financial Products, Banque AIG, wrote $234 billion in derivatives contracts so that they would likely be technically be in default if they left the firm<\/a>:<\/p>\n

The executives at Paris-based Banque AIG, Mauro Gabriele and James Shephard, have resigned in recent days but have agreed to stay on for a transition, according to people familiar with the matter. In the wake of their resignations, AIG must replace them to the satisfaction of French banking regulators.<\/p>\n

If they don’t, French regulators may appoint their own designee to manage the bank — an outcome that could trigger defaults under the bank’s derivative contracts. The private contracts say that a regulator’s appointment of a manager constitutes a change in control, according to a person familiar with the matter; the provision is often included in derivative contracts where parties want to preserve a way out if something about their counterparties changes.<\/p><\/blockquote>\n

Seriously, this is fraud. They essentially cooked to books to maximize<\/span> the possibility that, if they left, there was a real risk of the a technical default.<\/p>\n

We need to start throwing these folks in jail by the hundreds, and not a “white-collar resort prison,” they should be going to a, “POUND ME IN THE ASS prison,” to quote Office Space<\/span>.<\/p>\n","protected":false},"excerpt":{"rendered":"

It appears that the senior managers at AIG’s Paris division of AIG’s Financial Products, Banque AIG, wrote $234 billion in derivatives contracts so that they would likely be technically be in default if they left the firm: The executives at Paris-based Banque AIG, Mauro Gabriele and James Shephard, have resigned in recent days but have …<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[970,1004],"tags":[],"class_list":["post-192484","post","type-post","status-publish","format-standard","hentry","category-corruption","category-finance"],"_links":{"self":[{"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/posts\/192484"}],"collection":[{"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/comments?post=192484"}],"version-history":[{"count":0,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/posts\/192484\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/media?parent=192484"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/categories?post=192484"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/tags?post=192484"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}