Cayman Islands – hedge your bets

Hedging over the Cayman Islands

Karl Denninger today:

Senior officials of Credit Suisse, Switzerland’s second largest bank, are facing claims that they pocketed millions of dollars by dishing out loans that were impossible to repay.

Impossible to repay? What’s the judge say about this?

Credit Suisse has now been accused of loaning the money in an unorthodox and lucrative deal for the bank that federal bankruptcy judge Ralph B. Kirscher described in May this year as a case of “naked greed” that “shocks the conscience of this court.”

This was a bunch of low-level employees, or even middling staff, right? Uh, wrong:

Brady Dougan, the Chief Executive Officer of Credit Suisse First Boston, and Hans-Ulrich Doerig, Chairman of the Board of Directors, received the subpoenas along with past and current Executive Board officials and Credit Suisse’s Board.

“Bank officials have testified that Credit Suisse created a Cayman Islands ‘branch’ in 2005 to sell these loans. “In reality, there was no phone and no staff in the bank’s phony branch. “They used the Caymans to circumvent US banking laws and to issue inflated loans that Credit Suisse executives called a ‘gravy train’ in internal memos.“

What’s it all about? Yes, of course it’s about a naughty bank which did what comes naturally to them and adds fuel to the fire of opinion quite willing to accept restructuring of the financial system of the world [and why does everything always have to be global?] in the image of Them.

Why all the media attention? The MSM is controlled, it’s not even an issue, so why no D notices on this? Why are Credit Suisse left unprotected? To hit back at the Swiss releasing personal details on clients? It would be nice to know what’s going on here.