U.S. to Require Bankruptcy Plans From ‘Too Big to Fail’ Firms

[Hissyspit]

Source: AFP

U.S. to require bankruptcy plans from ‘too big to fail’ firms

By Agence France-Presse
Tuesday, September 13th, 2011 -- 3:12 pm

WASHINGTON — US regulators approved Tuesday a rule requiring 37 large US and foreign financial institutions to submit plans to allow for their orderly dismantlement in case of bankruptcy.

In the wake of the 2008-2009 financial crisis, the Federal Deposit Insurance Corporation rule, which regulates banks, has adopted the rule in order to better wind up and limit the spillover damage of complex, systemically important financial institutions that fail.

Set to take effect on January 1, the rule requires insured banks and other financial institutions with total assets of $50 billion or more to submit their wind-up plans in 2012 and 2013.

The FDIC did not identify the 37 financial institutions covered by the rule, but said they held about $3.6 trillion in insured deposits or nearly 60 percent of all insured deposits as of December 31, 2010.

Read more: http://www.rawstory.com/rs/2011/09/13/u-s-to-require-bankruptcy-plans-from-too-big-to-fail-firms

[Demeter]

1. The US should draw up the plans

and then execute them. Pun fully intended.

[mike_c]

4. shot to the head....

+1

[dixiegrrrrl]

2. The FDIC, a "captured" regulator...hmmm...why do I suspect there is a pickle in there somewhere?

and what could it be?

[russspeakeasy]

3. Did I read this right ? They submit their own plans ?

:wtf: Nice work if you can get it..."wind up plans" I guess that's like "passed on"...

[BR_Parkway]

5. They better tell Bank of America to hurry the fuck up

[lindysalsagal]

6. I want to require bankruptcy plans from the Tea Baggers. Scorched earth campaign.

If they can't have it all, they'll burn it all.

[jwirr]

7. Could this be the first step toward using the monopoly laws to break

them up - I wish.

[bemildred]

8. Right, that'll work.

:sarcasm:

[Javaman]

10. My first thought as well...

nothing like demanding accountability AFTER the damage is done.

yeah, they all will really pay attention to this ruling.

I expect more of the old "fuck you, US citizens, just give us money and shut up".

[durablend]

12. Yup, likely how it'll be

"Proles will need to pay up to make us solvent again (no matter how many times we fuck up)"

[MannyGoldstein]

9. Here's a relevant video worth watching:

http://vodpod.com/watch/1611324-saturday-night-live-geithner-cold-open-video-nbc-com

[Freddie Stubbs]

11. Why has it taken them three years to do this?

[Javaman]

13. To allow the banks can bilk us for all we are worth.

Only now they will play nice.

They really think we are that stupid.

We aren't stupid, just powerless...for the moment.

When people have had enough, they will be pulling the gold fillings out of these fucking assholes mouths.

[Hotler]

14. Hahahahahah! That's funny. eom.