brian burrow in the film calls the last of the wall street buccaneers you know he was really an old school guy and i think that's one of the issues that that kind of came back to bite the firm at the end was that jimmy wasn't really down and dirty with the business when. these hedge funds collapsed in the summer of zero seven he was reported to be in a page one article in the wall street journal on november first of that year it was reported that he was actually playing in a bridge tournaments and nashville tennessee just as the for and as these funds were collapsing you know and there were rumors that he was a big pot smoker and you know he was out playing golf you know first day through sunday all summer long while the fires were kind of burning around the firm and these hedge funds so you know he it really became apparent by the fall of zero seven you know about five months before the firm collapsed that you know he really wasn't down and dirty with the business and beyond that the subprime mortgage business he he really didn't have a good clue about what was happening in that business and it later came out that

really nobody did you know the management style of bear stearns was very siloed so different parts of the company really didn't have a clue what other parts of the company were doing and you know at the end you know everybody kind of thought the guys at the top had some sort of bird's eye view. and in fact they didn't but beyond that the firm was it was effectively mortgaging itself and refinancing that mortgage every day for many years in the commercial paper market and the reason they did that was because it was it was a lot cheaper to do than taking on long term debt so you know there were a lot of things that were done to maximize profits you know for the executives at the firm and certainly john mccain read that and at the end it ultimately doomed them how much did that j.p. morgan take out bear stearns for what was a deal ultimately consummated that well it was ultimately consummated at about ten bucks a share and whatever originally had come out in the number everybody remembers is that on that monday march seventeenth st patrick's day. the public learned that the

company was going to be sold for two dollars per share and what happened after that was that. which effectively meant that j.p. morgan was going to buy this firm for barely more money than when the firm's headquarters building on madison avenue was worth what happened was that there was a shareholder revolt and at one point to me cain was exploring the possibility of actually blowing up the firm and taking it into bankruptcy and and just effectively said you know i'm going to take everybody down with me so after that referral it was clear to jamie dimon and everybody of j.p. morgan if there was something that was going to have to there's some computer contractual problems as well that left j.p. morgan exposed so at the end of the day the firm was picked up for ten dollars a share and they got that deal gone in may a couple of months later you know so. by any stretch comparison it is one of the great steals of buy on wall street probably in history right and then of course j.p. morgan after acquiring those assets for less than pennies on the dollar they turned

around and got a multi hundred billion dollars bailout fund that american taxpayer so fantastic for jamie diamond again another legendary scam star clarify some of the points there going back to ninety nine and the long term capital management scandal that has fun collapsed and wall street came together that ballot out. multibillion dollar bail out one firm did not participate and there was a stigma attached to that firm was that bear stearns or lehman it was actually both bear lehman only kids every firm on the street was told by the president of the new york fed that they all had to kick in three hundred million dollars per to bail out long-term capital management what ultimately happened was that lehman only kicked in one hundred million and bear pretty much told the fed to take a hike to mccain basically saw bear stearns as really a vendor to long term capital he cleared all of long term capital trades and you know he didn't see why he needed to kick in money to save this firm and in fact of course he didn't you know and. it's really when when long term capital collapsed in

ninety eight that was really want to turn too big to fail was coined and it certainly set off a huge moral hazard problem for wall street that we saw it reared its head again in zero eight on a massive scale and so you know there are certainly a lot of parallels between what happened in two thousand and eight and what happened on a much smaller scale in one thousand nine hundred eight with long term capital management all right so let's talk about what's happening now the criminal proceedings the lawsuits that have been launched against bear stearns j.p. morgan since the collapse terry bull believe following this shows is that a guest on ties a record even worked on details that are leading to a lawsuit can you give us some details and updates on that i worked with after terry who's just been a huge fan of the film for us since they want to go on a lot of really great reporting on this subject surrounding bear stearns and these other banks after she wrote an initial article in the atlantic i was contacted by a law firm who is bringing an action on behalf of some of them on

a line insurers the biggest thing that's just come out is the f.h.a. phase lawsuit civil suit which was released this past friday which details actually individual defendants at bear stearns all of whom were running their mortgage operations that are now in very high paying jobs at other firms. allied bank jeffrey fertilizer at goldman sachs these guys have have landed and big jobs at other places so and although this is a civil suit not a criminal procedure proceeding the word i hear is that based on the outcome of these proceedings you know some indictments are being bandied about and talked about so you know i think that after you know certainly the justice department lost the case against ralph and his co-manager of the head phones at bear stearns where they were acquitted on nine counts i think they've they've really been going to school on how exactly to prosecute these people for the malfeasance that they participated in and you know i'm hopeful that some of these people you know pay for what they did because a certain. a lot of e-mail documentation as well as i witness information

apparently more than thirty whistleblowers have come out and some of the suits to describe the incredible level of fraud and malfeasance that was going on both on the factory floor mortgage operation really went all the way to the top all right we're going to leave it there nick verbinski thanks so much for being on the kaiser report thanks for having me all right that's going to do it for this edition of the kaiser a four with name max geyser and stacey arbor thank my guests it want to send me an e-mail please do so i tried to report on our t.v. that are you in the next time this is nice guys are saying. to. get some closure see the story and the scene so you think you understand it and then you glimpse something else and you hear or see some other part of it and realize that everything is. welcome is

a big. mission . couldn't take three. three. three. three. three. videos for your media project a free media. he .

it's. hello i'm going to washington d.c. and here's what's coming up tonight on the big picture being hasn't dried on president obama's america's american jobs act republican leaders spared no time attacking anything in the bill that may offend their close with patrons so is the president's job creation plan already dead and the republican presidential primary candidates played for keeps last night's debate rhetorical punches were fast and furious but did the tea party crowd steal the show us a couple real experts in just a few minutes. you

need to know this make the aligarh all of us start that over again make the oligarchy favorite job creation in america corporate jet owners were really a little easier after the debt limit debate last month when their tax loophole remained intact now that president obama has released his blueprint on how to pay for the american jobs act he's corporate millionaires are again being asked to pay their fair share. clothes in a corporate jet tax loophole is just one of the ways president obama has suggested pain for the american jobs act a move that could raise an additional three billion dollars revenue president also called for the capital gains tax loophole to be closed forcing america's billionaires to pay their fair share in taxes or raise an additional eighteen billion most. wall street hedge fund folks and the president wants the taxpayer

subsidies to big oil polluters to be cut off a move that will raise forty billion dollars in extra revenue to pay for job creation of course despite his recommendations exactly how the american jobs act american jobs act will be paid for will be left up to the gang of twelve super congress to decide still republicans run nothing to do with tax increases and run on the attack against the president speaker of the house john boehner criticized the president saying the tax hike proposal doesn't appear to have been offered in that bipartisan spirit and eric cantor put his two cents in saying i sure hope that the president is not suggesting that we pay for his proposals with a massive tax increase at the end of two thousand and twelve on job creators there's that phrase again thanks frank luntz president obama responded to these criticisms today at a rally in ohio the home state by the way speaker john boehner. we've got to make

sure that everybody pays their fair share through to the wealthiest americans the biggest corporate thank you for always we we've got to we've got to decide what our are priorities. do you want to keep tax loopholes for all confidence god or you want to read a bit more schools like more days of the construction was just off the yahoo. do you want to keep tax breaks for both sides millionaires and billionaires i do you want to put teachers back to work and head back taxes for middle class families or more on the politics behind the american jobs act i'm joined by richard fellow at the campaign for america's future and contributor to the book rough guide to the future richard welcome good to be here it's a great to have you here with us. by the way i'll see you next month at the take back the american dream conference where i'll be broadcasting my radio show in the

afternoon live from there and it will also be a free speech t.v. which we're also on right now. is this the populist tone of the clip that we just saw and the rhetoric that we've been hearing from the president basically over the last month. does this represent a change for president obama well it does it represents a change in rhetoric absolutely i think i annoyed someone last week because they had heard from the president himself that you're going to like my tone over the next couple weeks and i said something about a solid presidential pledge to upgrade the rhetoric but we're certainly seeing much stronger rhetoric and frankly pleasant surprises in the proposal today i think it's understood or i suspect it's understood that these tax increases won't pass by even a we had we fight a two fold battle one is to have somebody out there making the commonsense points that need to be made about what a fair share of taxes is at least the president's doing that even if he plans to

sacrifice that in the first move on the transport it's good to have the rhetoric it would be great to have a follow through that is probably not so realistic and next week we're going to hear about our share of the cuts so it's a mixed bittersweet experience but at least this is the right rhetoric from our phone interview next week is when the base goes oh absolutely but there's. it seems that there's a dynamic that's been set up by this where if the republicans say yes no problem will pass your program they lose in two thousand and twelve and if they say no absolutely no way then obama gets to play the harry truman forty eight curd and republicans didn't take the house back again for over forty years after that i mean you know they they lose big time also so they're trying to go down the middle and we've already heard this a both cantor and boehner oh yeah there's some good things there but those things that are we're going to we can change and if the president caves in or compromises even on the things that frankly i'd like to have him to compromise on i don't think that the free trade agreements for example should progress even if he if he makes

any any any kind of middle ground isn't the. and he put himself in his own canvas it was well i think he is absolutely you know the other thing that harry truman sad to offset that was and this is this paraphrase gets used a lot and it isn't a precise but the gist was in a race between a republican and a republican the republican wins every time meaning if you don't draw a sharp enough distinction you just seem like a washout republican and what we're seeing more and more is that a little sprinkling of rhetoric like pepper in this new is nice but if it's not called up with solid policies in a firm stance on some issues people care about like medicare and social security if you start echoing that rhetoric of your opponents then they're not going to be able to kind of how to distinguish it from the other guy and they're going to look around at their wages in their unemployment i'm not very happy right and that's and that's a really important thing in in forty six an election of forty six the republicans took the house and senate for the first time basically since the great oppression

and and harry truman thought them for two years like crazy i mean it passed half partly in forty seven which you know took a bite out of the wagon right which would sort of which created the so-called were two were right to work for less states they passed that evie toed it they over overruled his veto i mean it's like they were really he was playing hardball they were playing hardball and he lost almost everything every single time he in forty seven tried to propose a national health care program basically medicare part d. everybody they shot that down it would even bring it out of committee i mean over and over and over again harry truman what tried to get things done but he kept trying he kept fighting and he never compromised and he defined himself in the public eye that's why we saw that headline dewey defeats truman where even though he was expected to lose he was able to pull out a victory by being a clear person that people may not agree with him on the specifics of every policy but they said there's

a guy who knows what he stands for i trust that guy i'm going to stand behind that guy so here's my concern in. in the in the middle with with obama it seems to me not so much that obama is like some wishy washy neville chamberlain although i know there are many on the left who are portraying him that way i think what happened was that they that that he and his campaign over learned the lesson of hillary care you know and when bill and hillary clinton or hillary clinton basically superman put together this thousand piece piece of page page piece of legislation without any input from progress and then dropped it on the speaker's desk and it passes it just blew up in their face and it was the disaster of the clinton presidency and so every single thing that president obama has done he's tried to get congress to do it and this is the first time that he's flip that around well you know it's interesting i get it because one of the things that's really been striking to me about this administration and this leadership of the democratic party is you know they they disparage the left sometimes what they call the left who is used by the

way are held by a majority of republicans in many cases but they call them the left and they say you people are still living in the sixty's but this is in many ways it is a new administration still living in the ninety's which is an even more anachronistic age where you could win democratic elections by tapping into the middle there is no movement now so if that tacking effort is could leave you hanging over a cliff with no place to grab say president needs to hold firm on this even as mediocre and imperfect as this bill may be and particularly as will discover next week. if he doesn't hold firm on this thing he's screwed if the president absolutely if the president comes out next week and says let's raise the medicare retirement age to sixty seven or the eligibility age to sixty seven which would be a financial catastrophe for this country if he does that if he proposes reductions in social security and that's going to be as i walk balancing of his jobs act these

tax cuts completely destroyed any clear differentiation between the i think the harry truman quote was one. voters are going for between a choice between a republican democrat who behaves like a republican or a coke and right they'll choose the republican every time why wouldn't they because they're you know people people are not policy wonks like you and me they're looking for clarity they're looking for a sense of humanity in a guy that knows what he's doing and if they have a sense that one guy is just tentative and the other person is this is what i'm doing i'm going to get you out of this match they're more likely psychologically to go for the second person i mean there's there's even a widely held theory and and i've heard people serve as fact i'm skeptical that the reason that reagan fired the controllers right out of the box was to say it was soviet style mess with me i'm willing to kill my own people and and you know at some point obama has to say that to the republicans those me well. don't mess with me it's like the old mafia movie where you know you kill your top lieutenant to

show your enemy you mean business he's been killing people who appear to be progressive in terms of that but yes and he's been more than have we to go after things that liberals prize or even if they're popular to prove his independence he needs to do the opposite now he needs a simple story he needs to say these people these oligarchs ruined the economy you paid enough it's time for them to pay off i like the phrase fair share but he should use it more often they broke it you've suffered they need to to own up to what they've done and make it right and i'm going to help you do that and i'm not going to stop until it's done let's hope he's watching thank you for dropping by and speaking to jobs according to a new report from the house natural resources committee giant oil corporations that are obsessed with drilling are actually killing american jobs exxon mobil chevron shell and b.p. the same corporations that receive the taxpayer subsidies that president obama is pushing to eliminate a five hundred forty six billion dollars in profits over the last five years yet

they laid off more than eleven thousand american workers so if these so-called job creators won't create jobs on their own and it's time they give up some of their corporate welfare so that the actual job creators working people who's spending creates demand can do their thing. coming up it was round two of perry versus romney of the republican seed party debate last night so which presidential hopeful got the better swing and which next candidate will likely drop out of the race to pennsylvania avenue. we just put a picture of me when i was like nine years old until the truth. is

that since i am an old get it and that i like crap and hip hop is a manuscript. that is kind of yesterday. i'm very proud of a little bit i'll just see it as simply. another republican debate last night and this time the crowd stole the show c.n.n. host of a tea party debate on example florida which took place in prover walker's crowd of tea partiers unafraid to cheer on radical claims made by the candidates it made

itself featured some heated exchanges between front runners rick perry and mitt romney or rick perry's description of social security as a ponzi scheme. the term ponzi scheme i think is over the top and unnecessary and frightful to many of you there but the question is do you still believe that social security should be ended as a federal program as you did six months ago when your book came out every term of the states or do you want to treat for that i think we'll have a conversation we're having that right now governor this is your actual live you're running for president. but the attacks against kerry weren't just coming from mitt romney he was also under a full assault led by michele bachmann and rick santorum who's decision of force young girls in texas to receive the h.p.v. vaccine. to have innocent little twelve year old girls a forced to have a government injection through an executive order is just flat out wrong there is no government purpose served for having little girls and not accumulated force and

composing of the government this is a government run i'm not it is policy and it should not have been done that's clearly not a nation of millions of americans have lost their jobs care much about yet an issue that piques the interest of republican culture wars and the most shocking moment to be came when moderator wolf blitzer asked libertarian republican ron paul what he would do if a thirty year old who didn't have health insurance was in dire need of medical care this is not how the audience reacts to blitzer's question about whether or not we as a society should just let the young man die. my advice to him would have a major medical policy but not the reason how that he doesn't know the county's very needs a needs intensive care for six months who pays that's what freedom is on the bottom taking your own risks this whole idea that you have to. think you.

are you saying society should just let him die. trying currently there are fifty three million people without health insurance in america the party seems to have no problem with letting them all die if they get sick so besides the inhumanity of the tea party what else can we take away from last night's debate here to offer their takes are cliff schecter national progressive p.r. strategist l.l.c. a nationally syndicated columnist for others during which he's also the author of the book the real mccain and anthony home attorney and republican strategist and former staffer for governor rick perry it's an interesting. place for it to be. on this issue the crowd cheering death you know they also cheered ben bernanke he being called a traitor which is punishable by death and last week they cheered the death penalty and former congressman alan grayson said this about speculators that this is sadism pure and simple it's the same impulse that led people to the coliseum in the

coliseum to cheer when the lions eat the christians and that seems to be where we're heading bread and circuses without the bread the world the world that hobbes wrote about the war of all against all is a tea party really a force for good in america and should our potential leaders be paying attention to these people. i mean to me it seems that you know i mean these are basis you know human instincts gone wrong and i don't i mean i watched those two debates and you're talking about and you know when rick perry is like you've actually cued more people than any other governor and everyone cheered as if this is i mean whether you're for the death penalty or not i mean you know. there's something that just is so uncomfortable and then seeing that last of these people yelling out let them die it's like somehow the party of keeping terri scheibel alive has become the party of pull the tubes out i don't i don't know i you know i'll let you comment a minute ago city but if there's anything going on here if. you take it my friend

that there's two things going on here the first is is very interesting in that the fear invoked by the tea party among liberals the people have stopped to ask what the tea party is easy and beneficial perhaps to try to characterize the extreme right wing i mean actually for all david ten percent of the people who identify as tea party activists are democratic primary history in the last ninety percent of republicans you know actually the volcker independents but a big a disproportionate number of the republican primary i mean i've done it i've done to the tune of about six hundred thousand these are my numbers of twelve percent the primary in the last six years thirty four percent are a number of independents but regardless is a reasonable swath of america so i call it a low information voters i used to call them stupid people but i don't think they're stupid i think they're watching sports or the listening to music or working three jobs but the republican primary voters are evil the democratic independents are stupid and they're are and the democratic primary voters are acceptable the

independents are the we are the majority of the voters in america. basically just said no no no i sort of used called stupid enough. to mean that they're not stupid they're they're busy they're watching sports right that's why i call them low information voters i think many of them very high i.q. they just don't pay attention to politics but i mean there are times in my life when i wasn't paying attention to politics i was raising three kids running a business you know it's but here's the thing i mean and this is this is i mean i'm going to talk about all tea party voters but i mean clearly the people that are at these debates the people that cheer more executions people they're cheering you know death of a thirty year old is a letter and i then i'm just saying that these are people you know this takes me back to like the paranoid style. one politics that richard hofstetter wrote the sixty's people to take politics to something and they're working out their hatred to politics and their anger through it is a longer projection but wait is that politics actually and i actually agree strongly with you you know life is sacred even if there is someone on death row is a convicted murderer unequivocally and put to death it is

a travesty in society all the way around three or six degrees but were we here during times of economic prosperity a we america and then b. were citing these examples throughout human history of marching to the coliseums it tends to align itself with a very poor economic situation actually it has a lot of so with wealth inequality what you find is the countries you know costa rica has about a fifth of the of the average annual income of the united states and yet their wealth inequality is far lower than ours and if you look at the world ever lived through reason you disagree with that quite strongly but if you look at the wilkinson and pickett of where they charge you know the thirty four o.e.c.d. nations in the chart they looked at fifty nations it would all fifty states those those states in those countries where you have high levels of wealth inequality and they just compared the top quintile to the bottom the top is the bottom. when the spread is the greatest you have the highest rates of mental illness the highest

rates of homicide the highest rates of teenage pregnancies the highest rates of drug use but if you were to look right across the board all these social ills come with an equality and that's what we've been seeing explode the united states we have heard here is what is going to get out that we haven't and we do have inequality and we all have median income we are not housing although we're already two thousand u.s. dollars when the top ten percent wealthiest per capita households we have globally are now so we have a situation now where we did three nine world we did not see this type of outrage and this lack. the lack of aiding all human. and you know our system in our society when we had one have percent unemployment we did not see this type of outrage and we believe you are taking from me illegal immigrant but for nine and a half percent but you have to want that impression i mean that's been fed a good.