that receivership on independent authority will control day-to- day operations of the city. so really we'll see what happens. this is just one. latest chapters in this ongoing saga. >> incredible. >> corruption on steroids. seriously. all right. thank you, kirk hawkins live for in us downtown los angeles this morning. time now 6:40. >>> the stock market tries to continue its upward climb. and the price of gold hits a new high. we'll have the latest financial news when we return. >> plus, the egg recall showdown. the owners of two egg farms appear before a congressional committee today. what the farmers believe is the cause of the salmonella outbreak. having the right real estate agent on your side is more important than ever. at remax.com, you can find the experts you need, whether you're trying to sell of hoping to buy. nobody sells more real estate than re/max. >>> good morning. lights are on at the bay bridge toll plaza. we are going to show you a live look. the backup substantial. it's a parking lot pretty much all the way to grant. it will take 20 minutes from the carqu

we continue to oversee the receivership activities. we continue to work with the justice department, the office of international affairs, and regulators throughout the world, quite frankly, to make sure that the assets we have had frozen in these different jurisdictions are remaining there until they are repatriated here to the u.s. for investor benefits. >> one of the complaints of the victims has been the time that it has taken from even assets that were owned by the victims and not owned by the company were frozen for so long and people could not get access. let me ask you two things. how much longer will it be before frozen assets will be able to be distributed that have not already been? i know some have. i realize that there are different types of investments and you cannot make a blanket estimate, but in the area that you can, how much can victims count on or have some expectation of being returned, not the assets that lonnie to the victims, but the assets under management that will be distributed? what will be the timetable? wh

an important step by creating a resolution under which large financial firms can be placed into receivership. it also gives the government the flexibility to take the actions needed to safeguard the stability of the financial system. this new rime should help restore market discipline by putting a greater burden on creditors and counterparties to monitor the risk of large financial firms. the insights of the economists prove valuable to policy makers in other contexts as well. capital standards and the decision to provide the market with information during the stress tests in 2009, in the design of liquidity facilities for non depository institutions, the announcement of the collapse of the securitization market, and in the measures taken to protect consumers just to name a few areas. many of the key ideas were quite old, but some reflected recent research. recent work on monetary policy helped the federal reserve provide accommodation despite the constraints imposed by the interest rates. economic principles and research have been special to understanding and reacting to the crisis. with th

the subsequent place of washington mutual under fdic s receivership for possibly $1.9 billion. on september 25, a tentative agreement in the u.s. congress regarding the economic establishes a proposal collapse. the combination of these events from earlier in september, the seizure of washington mutual on thursday, the 25th, and the collapse of the congressional agreement precipitated a sharp downward turn in the financial markets. the cost to ensure wachovia is dead as evident by credit default swap for s -- credit default spreads. on friday the 26 there was significant downward pressure on the common stock and deposit base, and as the day progressed, pressures intensified as financial institutions began declining normal transactions. in light of these deteriorating market conditions during the week of september 22, it appears as though f. wachovia was blogger in a position to engage in the public offering a pipe replacement transaction necessary to risk capital, if which was considered to be the best method short of selling the company for sustaining wachovia in this tumultuou

remember the treasury can provide the loan as long as it's repaid, either from the company in receivership or if necessary from an assessment of the financial industry. so if money is needed to prevent the disorderly failure or to facilitate the bridging process, et cetera, then the government can provide that. and the fed meanwhile is of course limited in our ability to go beyond just our normal lending to a sound company. but that was a change we were comfortable with as long as these alternative authorities were provided. systemic risk. i hear a lot of people talk about it. i haven't heard a precise definition other than people usually say it means risk to the system, which doesn't -- [laughter] and i understand there's always going to be discretion involved in than it's been much more of an art than a science. are there efforts underway or is anyone dead in the good work in trying to turn this from an art to science to eventually some sort of engineering where you can measure this and analyze systemic risk? >> yes, there is right now and academic research literature looking at some of

the subsequent place of washington mutual under fdic s receivership for possibly $1.9 billion. on september 25, a tentative agreement in the u.s. congress regarding the economic establishes a proposal collapse. the combination of these events from earlier in september, the seizure of washington mutual on thursday, the 25th, and the collapse of the congressional agreement precipitated a sharp downward turn in the financial markets. the cost to ensure wachovia is dead as evident by credit default swap for s -- credit default spreads. on friday the 26 there was significant downward pressure on the common stock and deposit base, and as the day progressed, pressures intensified as financial institutions began declining normal transactions. in light of these deteriorating market conditions during the week of september 22, it appears as though f. wachovia was blogger in a position to engage in the public offering a pipe replacement transaction necessary to risk capital, if which was considered to be the best method short of selling the company for sustaining wachovia in this tumultuou

county board of supervisors wants to bring a receivership situation in. it is pretty much a mess.o business is being done in bell. if these guys do get out today on bail, they technically are still in charge. >> all right, ted rowlands following the procedures in court. good to see you. >>> making the case for african-americans to embrace liberia just as jewish americans embrace israel. billionaire investor robert johnson joining me live right here. bob, good to see you in the cnn newsroom. ♪ for a chain of supply, that's logistics ♪ ♪ when the parts for the line ♪ ♪ come precisely on time ♪ that's logistics ♪ ♪ a continuous link, that is always in sync ♪ ♪ that's logistics ♪ ♪ carbon footprint reduced, bottom line gets a boost ♪ ♪ that's logistics ♪ ♪ with new ways to compete ♪ there'll be cheers on wall street, that's logistics ♪ ♪ when technology knows ♪ right where everything goes, that's logistics ♪ ♪ bells will ring, ring a ding ♪ ♪ ring a ding, ring a ding, that's logistics ♪ ♪ there will be no more stress ♪ ♪ cause you've called ups, that's logistics ♪ >>> a delta airlines

there ought to be an orderly winddown and ought to be in receivership and would solve the uncertainty. the mortgage bankers have urged the administration to do that and the housing market needs it. we in the dodd-frank bill pushed for something very reasonable and that was for down payments for loans. that's not a very outrageous proposal. fannie and freddie quit approving mortgages without a down payment and without good credit history. not only did the majority party reject our attempts to simply say in dodd-frank that you have to have a down payment and have to have a good credit history. they went beyond that and the administration and fannie and freddie have actually now started this affordable advantage program, mortgage program that actually doesn't require down payment and you don't have to have good credit history. we are laying the seeds for the next bubble, the next failure. assistant secretary, in all respect, you all have really done nothing but plan to do things. there's no proposals on the table. you've done nothing. you seem to be content, the administration, with doin

to continue to exist, rather, what it does is provide a system for trying to take a firm into receivership in a way that does minimal damage to the system. it's not going to be easy. let me just be clear. this is not going to be easy to implement, because these are large, complex firms, with multinational presence. >> and significant power. >> and significant power. but is -- a very important step to take away the discretion. if i might have just cite the examples of the law passed in the early 1990's, which created a set of well specified triggers under which the fdic has to come in and close a bank, except under extreme circumstances, systemic risk exception. there is no systemic risk exception for the resolution regime in the dodd-frank bill. that has worked very well, and the analogy to using that, applying that to large firms, i think it's very important, so i can -- i could hardly agree with you more, mr. chairman, that this was a catastrophe, and it's bad in the long rupp, as well as in the crisis, and we must address it. >> all right. let me talk for a moment about failed instituti

and receivership, the person that took over my property, the owner of the company worked for that specific bank. that specific bank gives him all the business when they foreclose on all of these commercial businesses. it is unfair what they are doing to people's lives. the commercial end of it should be investigated. guest: unfortunately, most of the laws we are talking of barricada and most of the amendments and ends of occasions are related to the mortgage lending process. although there are certain laws the require disclosures, really, it is much more limited. the idea is that in a commercial transaction, the businesses or parties are more sophisticated and they do not need the connection that consumers need with residential loans. that being said, that could be why in new jersey -- if that is where you are located and the property is located -- but that could be why this is on those related loans. host: i do not know if you want to tackle this, but here is a tweet . guest: i do not know the a guest: i do not think investors are on to the contrary. if you can qualify for a loan, i do no

and receivership, the person that took over my property, the owner of the company worked for that specific bank. that specific bank gives him all the business when they foreclose on all of these commercial businesses. it is unfair what they are doing to people's lives. the commercial end of it should be investigated. guest: unfortunately, most of the laws we are talking of barricada and most of the amendments and ends of occasions are related to the mortgage lending process. although there are certain laws the require disclosures, really, it is much more limited. the idea is that in a commercial transaction, the businesses or parties are more sophisticated and they do not need the connection that consumers need with residential loans. that being said, that could be why in new jersey -- if that is where you are located and the property is located -- but that could be why this is on those related loans. host: i do not know if you want to tackle this, but here is a tweet . guest: i do not know the answer to that. certainly, we want to encourage people to invest in real estate. we want to prov

remember the treasury can provide the loan as long as it's repaid, either from the company in receivership or if necessary from an assessment of the financial industry. so if money is needed to prevent the disorderly failure or to facilitate the bridging process, et cetera, then the government can provide that. and the fed meanwhile is of course limited in our ability to go beyond just our normal lending to a sound company. but that was a change we were comfortable with as long as these alternative authorities were provided. systemic risk. i hear a lot of people talk about it. i haven't heard a precise definition other than people usually say it means risk to the system, which doesn't -- [laughter] and i understand there's always going to be discretion involved in than it's been much more of an art than a science. are there efforts underway or is anyone dead in the good work in trying to turn this from an art to science to eventually some sort of engineering where you can measure this and analyze systemic risk? >> yes, there is right now and academic research literature looking at some of

to continue to exist, rather, what it does is provide a system for trying to take a firm into receivership in a way that does minimal damage to the system. it's not going to be easy. let me just be clear. this is not going to be easy to implement, because these are large, complex firms, with multinational presence. >> and significant power. >> and significant power. but is -- a very important step to take away the discretion. if i might have just cite the examples of the law passed in the early 1990's, which created a set of well specified triggers under which the fdic has to come in and close a bank, except under extreme circumstances, systemic risk exception. there is no systemic risk exception for the resolution regime in the dodd-frank bill. that has worked very well, and the analogy to using that, applying that to large firms, i think it's very important, so i can -- i could hardly agree with you more, mr. chairman, that this was a catastrophe, and it's bad in the long rupp, as well as in the crisis, and we must address it. >> all right. let me talk for a moment about failed instituti

an important step by creating a resolution under which large financial firms can be placed into receivership. it also gives the government the flexibility to take the actions needed to safeguard the stability of the financial system. this new regime should help restore market discipline by putting a greater burden on creditors and counterparties to monitor the risk of large financial firms. the insights of the economists prove valuable to policy makers in other contexts as well. capital standards and the decision to provide the market with information during the stress tests in 2009, in the design of liquidity facilities for non depository institutions, the announcement of the collapse of the securitization market, and in the measures taken to protect consumers just to name a few areas. many of the key ideas were quite old, but some reflected recent research. recent work on monetary policy helped the federal reserve provide accommodation despite the constraints imposed by the interest rates. economic principles and research have been special to understanding and reacting to the crisis. with

an important step by creating a resolution under which large financial firms can be placed into receivership. it also gives the government the flexibility to take the actions needed to safeguard the stability of the financial system. this new regime should help restore market discipline by putting a greater burden on creditors and counterparties to monitor the risk of large financial firms. the insights of the economists prove valuable to policy makers in other contexts as well. capital standards and the decision to provide the market with information during the stress tests in 2009, in the design of liquidity facilities for non depository institutions, the announcement of the collapse of the securitization market, and in the measures taken to protect consumers just to name a few areas. many of the key ideas were quite old, but some reflected recent research. recent work on monetary policy helped the federal reserve provide accommodation despite the constraints imposed by the interest rates. economic principles and research have been special to understanding and reacting to the crisis. with