Transcript available, later Friday 25th.
Former SEC chief accountant Lynn Turner talked straight, and it’s really hard to duck the implications. Guy says 1000 prosecutions after S&L crisis, vs. just 39 after the 2008 meltdown. Says prosecutors, attorneys and funds were pulled, massively, from SEC and other regulators, and put on “terrorism”, after 9/11. Example, govt had FOUR attorneys on the big ‘Abaqus’ case, against Goldman Sachs, which had to be (IMO) most lopsided battle since the Charge of the Light Brigade.
We’ve heard most of the elements of this before, but Turner’s recitation, just a few concise paragraphs but pulling absolutely no punches, still was stunning. Essentially, we’re prosecuting none of this. (Another commentator suggested that state attorney’s general, by bringing smaller cases against specific activities, and getting the perps to ‘rollover’ on the higher-ups, may be the most effective action currently in play.)
I’ll post up the transcript, when PBS puts it up tomorrow. In the meantime, here’s Turner’s 2008 congressional testimony:
Lynn Turner, former chief accountant of the SEC, testified before Congress yesterday concerning the “systematic gutting” of the SEC’s capabilities through the cutting back of staff, including the surprising revelation that the SEC’s Office of Risk Assessment dwindled down to just one person in February 2008. The relevant portion of Mr. Turner’s testimony begins at at 2:07:30 and runs through 2:09:50 in the video below.