Subscribe: RSS Feed | Twitter | Facebook | Email
Home | Contact Us

Richard Bowen: The Corruption Extends to the Highest Levels of Government

Posted by Larry Doyle on September 23, 2013 10:02 AM |

I thank the many devoted readers of Sense on Cents who made sure I was aware of a riveting, must-read article in yesterday’s New York Times written by Bill Cohan, a Wall Street-Washington critic without peer.

Cohan writes of the travails of Richard Bowen, former whistleblower at Citigroup, who ran headlong into the fortress manned by Robert Rubin and friends. Bowen was a Citi employee who blew the whistle regarding the preponderance of defective mortgages running through the Citi pipeline.

He brought the knowledge of this activity to the highest perch within the bank including the attention of Robert Rubin. How was he treated? With what most would define as ‘the silent treatment.’ Once silenced, he was then subsequently shown the door.

While Bowen was pushed out of Citigroup back in 2009, he has not been silenced since then. 

Cohan asks — then answers — whether Bowen was muzzled in the process of his providing insights to the Financial Crisis Inquiry Commission as to what was really going on inside Citigroup prior to and during the crisis. (I address in my upcoming book that Bowen very much believes he was strong armed and censored.)

What does Bowen believe now? He has come to the same conclusion that I have and upon which I based the title of my book (In Bed with Wall Street). Both Cohan and Bowen have little company in heroically writing and stating:

. . . he (Bowen) continues to believe he was censored and bullied into changing his testimony. The experience has shaken his faith in the country’s institutions.

“It was devastating,” he said. “It truly was. From my standpoint, the corruption extends to the highest levels of government. I feel absolutely, completely violated. Every principle that I grew up with, and even when I did a brief stint in the R.O.T.C. and the Air Force, it’s just completely violated.”

And those in Washington and on Wall Street still wonder why trust and confidence levels throughout our nation have not yet rebounded significantly?

Corruption that is widely believed to have occurred and still occurs yet remains buried under a Wall Street-Washington blanket will do that.

I strongly encourage readers who care to see just how the heavy hands of the Wall Street banking lobby work in stifling the truth from coming out to read all of Cohan’s fabulous expose.

In fact, I welcome characterizing Was This Whistle-Blower Muzzled? as a Sense on Cents instant classic. In doing so, I also welcome further elevating both Cohan and Bowen into the highest echelon of the Sense on Cents Hall of Fame.

I would ask readers to please share this commentary liberally so that the corruption might be aerated and our nation might be helped.

Navigate accordingly.

Larry Doyle

Please pre-order a copy of my book, In Bed with Wall Street: The Conspiracy Crippling Our Global Economy, that will be published by Palgrave Macmillan on January 7, 2014.

For those reading this via a syndicated outlet or receiving it via e-mail or another delivery, please visit the blog and comment on this piece of ‘sense on cents’.

Please subscribe to all my work via e-mail, an RSS feed, on Twitter, or Facebook.

I have no business interest with any entity referenced in this commentary. The opinions expressed are my own. I am a proponent of real transparency within our markets so that investor confidence and investor protection can be achieved.

  • http://kahudes.net Karen Hudes

    I have contacted Mr. Doyle repeatedly and asked him to disclose my story, thus far without any success. I did not sign a non disclosure or confidentiality agreement with the World Bank when I, too, reported internal control lapses. Instead, I bought a World Bank bond, sued the pants off the World Bank and KPMG, who gave an unqualified audit opinion on the World Bank’s internal controls (while violating Audit Standard No. 5 of the Public Company Accounting Oversight Board. Together with Elaine Colville, a World Bank whistleblower from Scotland, we have published three statements that are now up on the UK Parliament’s website. The Legal Department of the European Parliament gave my testimony to the World Bank. I just requested UN Missions to the UN to have the General Assembly request a legal opinion from the International Court of Justice on the failure of oversight by World Bank’s Board of Executive Directors. I have been disclosing to all and sundry the game theory model I ran on rule of law at the World Bank with the Department of Defense, and sent along a transcript of my conversation with then-Senator Hagel in 2008. In short, us World Bank and national security whistleblowers are having a field day. Do not expect that I will remain silent while you give yourself kudos on transparency. This is going up on my facebook page today.

    • LD

      Karen,

      Knock yourself out in terms of writing all the sordid details of the situation in a comment here.

      To be perfectly frank I have not further highlighted your story because I have found it to be rambling and hard to follow (much like your comment above).

      There’s your feedback and now on that note, feel free to write away.

      • Julian Crabb

        Mr. Doyle,
        Karen Hudes writes in a clear open way.
        Please do likewise and focus on the subject at hand instead of going off
        on a personal tangent.
        This concerns us all.
        Thank you
        Sincerely
        Julian

      • Julian Crabb

        Dear Mr Doyle

        Karens story is very clear.
        This week she explained it in an interview, you can google the below
        to find the tube interview:

        ” Karen Hudes interview with Greg Hunter 18 Seo 2013 ”

        Please share her story in the name of transparency.

        Thank you

        Julian Crabb

      • Julian Crabb
    • Julian Crabb

      Thanks for your wonderful work along with all your collegues Karen.
      I have asked Mr Doyle to share your story as clearly discussed in an interview you gave 18 Sep 2013 with USWATCHDOG.

      http://usawatchdog.com/gold-backwardation-the-meltdown-of-all-meltdowns-karen-hudes/

      Thank you for your Transparency.
      Hoping Mr Doyle does likewise.

      Thanks again Karen for us all

      Julian

  • steve

    If you would post Karen Hudes’s story I would gladly repost it far and wide as I’m sure others would also.

  • GMA

    I read this article prior to seeing it posted here. (Thank you, Mr. Doyle, for doing so). Mr. Doyle often recommends thought provoking articles and I have been surprised / dismayed that there often seems to be little follow up discussion.

    This NY Times piece is so heart wrenching and disappointing (not to mention infuriating) . It clearly reveals how the odds are stacked in favor of the banking cartel and their powerful political allies. Yet, it also offers a point of hope. As long as there are men of character, such as Mr. Bowen, perhaps there can also be some glimmer of possibility that others will get behind him to pull back the curtains that hide all the reprehensible (but, not illegal?) behaviors he describes.

  • Russ

    Larry,

    Personally, I feel very much the same as Bowen. My belief system in our government was shaken to the core and remains unrepaired after the Madoff debacle.

    It is unconscionable that Congress is going to let Wall Street get away with suing Madoff victims for their remaining funds and denying those with accounts at Madoff, their $500,000 SIPC insurance.

    The influence of Wall Street is SO obvious, that there is no rule of law any longer. Even the judicial branch of our government is infected.

    “Griftopia” by Matt Taibbi hits the nail on the head.

  • G. Martin

    Larry, When a Country allows its Financial System to be built on lies, deceit, fraud,thievery, lawlessness,and corruption, also a Government built and operating under the same mantra.

    I ask you how could anyone with a ounce of brains in their head would ever trust either again?

    This will not happen until the massive undertaking starts to moving forward with the reestablishment of the “FREE REPUBLIC”, and followed by Biblical Law being reintroduced in our Monetary and investment Systems and operated under the “RULE of LAW”.

    In my opinion no trust and faith will be reestablished until this comes to past. I believe Ms. Karen Hudes and other Whistleblowers are trying to reestablish confidence and trust in the Systems but they need all the help they can get from anyone with fight, so I hope you do you part expose this industry and government for what it really is, and give her the benefit of the doubt and interview her and help get her issue put forth in the public sector so maybe they can be resolved in a positive manner.

  • LD

    . . . I hope you do your part to expose this industry and government for what it really is. . .

    You must not visit my blog very often. I write on these points all the time with plenty of specifics. I watched the attached video and maintain my prior point in regarding to “rambling and being hard to follow.”

    And in regard to exposing the crony corrupt system, please feel free to purchase my book which will be released on January 7th.

    • XL

      Yo! Doyle, don’t be such a hater…check your ego plz, the more people working TOGETHER to expose this the better! Don’t be mad that she’s got ball’s bigger than melon’s tho.

  • Ferdinand1

    It would be great if you would interview Ms Hudes. Granted it may sound rambling, but is that because it is or that most of us do not understand the inner workings of the world bank and gov’t.
    It would seem if someone actually did a detailed review of her claims then the matter could be settled once and for all. Either nothing is there or there is massive corruptions that permeates our world financial system and gov’t.
    Your readers would like to know

  • Mark J. Novitsky

    I concur Larry. In 2007 and again in 2009 I blew the Whistle on the CONFIRMED (congress / Matt Taibbi) SEC / CEO HOTLINE TO STOP OR STALL INVESTIGATIONS in association to an ILLEGAL Malicious lawsuit filed by my former employer / govt. IT / TelCom contractor Tele Tech Holdings (TTEC). At least Mr. Bowen got on 60 Minutes, they cancelled my segment as being too complicated. So did NYT, WAPO, AP, Bloomberg, BBC…took a pass. – FYI…For more go see the Yahoo Financial Message Boards for TTEC. FPVSFF) I think Karen would make for a lively and informative interview. What have you got to lose? PEACE. Mark

  • lizzy s

    Great article, thanks for posting it.






Recent Posts


ECONOMIC ALL-STARS


Archives