Government Corruption News Articles

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The New York Attorney General's office has been requesting information from Bank of America, Goldman Sachs and Morgan Stanley on how they created and structured mortgage bonds at the height of the credit boom. That investigation has reignited questions about why, nearly three years after the financial crisis, no Wall Streeter has yet to face criminal charges directly related to the mortgage bonds and other toxic deals that lead to the financial crisis. No one really knows the answer, but there are a number of theories out there. Here are the best ones: Theory No. 1: Prosecutors have been told to back off. In mid-April, the New York Times did a large investigative piece that found a number of instances where prosecutors were told not to pursue Wall Street. Theory No. 2: Wall Street is innocent. It may seem like the most bizarre answer, but it is getting some traction. No one is really saying that Wall Street didn't do anything wrong. It's clear that setting up risky mortgage bonds to sell to investors and then betting against them yourself is wrong. But is it illegal? It's not quite clear. Theory No. 3: The cases are still in the works. There seems to be some evidence that prosecutors are starting to be more aggressive in pursuing cases. It's not clear what part of the mortgage process, or what potential wrong doing, the NY AG Eric Schneiderman is investigating. The truth is that Wall Streeters rarely go to jail. Yes, other bubbles and financial crises have resulted in numerous convictions, but generally not of Wall Streeters.

Note: Remember that Elliot Spitzer probably got taken down for going after Wall Street. Now his successor, Eric Schneiderman, is doing the same thing. For an excellent article on this brave man, click here.

The operator of the crippled Fukushima Daiichi nuclear plant said it is studying whether the facility's reactors were damaged in the March 11 earthquake even before the massive tsunami that followed cut off power and sent the reactors into crisis. Kyodo news agency quoted an unnamed source at the utility on Sunday as saying that the No. 1 reactor might have suffered structural damage in the earthquake that caused a release of radiation separate from the tsunami. Tepco has provided a new analysis of the early hours of the Fukushima crisis. The utility said on Sunday that a review of data from March 11 suggested that the fuel rods in the No. 1 reactor were completely exposed to the air and rapidly heating five hours after the quake. By the next morning - just 16 hours later - the uranium fuel rods in the first reactor had melted down and dropped to the bottom of the pressure vessel. The No. 2 and No. 3 reactors are expected to have gone through a similar process and like No. 1 are leaking most of the water being pumped in a bid to keep their cores cool. A massive pond of radioactive water has collected in the basement of the No. 1 reactor. Experts fear that the contaminated water leaking from the plant could threaten groundwater and the Pacific.

Note: For lots more on corporate and government corruption from major media sources, click here and here.

“Unlawful Killing,” a documentary about the death of Princess Diana that began to stir up controversy even before it got [to the Cannes Film Festival, was] directed by Keith Allen [and] earned global [comment] for including a graphic image of the aftermath of the car accident that took Diana’s life in 1997, the details of which have historically been distorted in the interest of taste. The photo does appear in “Unlawful Killing,” but only for a moment, and within the legitimate context of Allen’s claim that Diana received tardy and inadequate care immediately after the wreck and that a more timely response would have saved her life. “Unlawful Killing,” which is part of the Cannes “Marche du Film,” or Film Market, and played here ... to a packed house of buyers and critics, will surely raise hackles for the additional ... accusations Allen levels in the film. These include allegations ... that Diana was murdered, most likely by a cabal involving the royal family, the political establishment and the secret services; that she was killed because she was threatening the British arms industry with her work against land mines; and that the inquest into the death ... was little more than a coverup in which the media were ... complicit.

Note: For more on Princess Diana's mysterious death, click here.

The past three years have been a disaster for most Western economies. The United States has mass long-term unemployment for the first time since the 1930s. Meanwhile, Europe’s single currency is coming apart at the seams. How did it all go so wrong? The fact is that what we’re experiencing right now is a top-down disaster. The policies that got us into this mess ... were, with few exceptions, policies championed by small groups of influential people — in many cases, the same people now lecturing the rest of us on the need to get serious. And by trying to shift the blame to the general populace, elites are ducking some much-needed reflection on their own catastrophic mistakes. What happened to the budget surplus the federal government had in 2000? First, there were the Bush tax cuts, which added roughly $2 trillion to the national debt over the last decade. Second, there were the wars in Iraq and Afghanistan, which added an additional $1.1 trillion or so. And third was the Great Recession, which led both to a collapse in revenue and to a sharp rise in spending on unemployment insurance and other safety-net programs. So who was responsible for these budget busters? It wasn’t the man in the street. We need to place the blame where it belongs, to chasten our policy elites. Otherwise, they’ll do even more damage in the years ahead.

Note: For highly revealing major articles exposing secret gatherings of the global elite and their activities, click here.

Leon Panetta, director of the CIA, revealed there was a 25 minute blackout during which the live feed from cameras mounted on the helmets of the US special forces was cut off. A photograph released by the White House appeared to show President Barack Obama and his aides in the situation room watching the action as it unfolded. In fact they had little knowledge of what was happening in the compound. In an interview with PBS, Mr Panetta said: "Once those teams went into the compound I can tell you that there was a time period of almost 20 or 25 minutes where we really didn't know just exactly what was going on. We had some observation of the approach there, but we did not have direct flow of information as to the actual conduct of the operation itself as they were going through the compound." The President only knew the mission was successful after the Navy Seals commander heard the word “Geronimo” on the radio, a code word from commandos reporting that they had killed bin Laden. The absence of footage of the raid has led to conflicting reports about what happened in the compound.

Note: The White House photo was fake and the original news was quite distorted. Hmmmm. Who do we trust here? WantToKnow team member David Ray Griffin's book establishing the likelihood that Osama bin Laden died in December 2001, Osama bin Laden: Dead or Alive?, is available here. For a brief summary of reliable information from major media sources raising serious questions about what happened on 9/11, click here.

A Texas high school cheerleader who was kicked off the squad for refusing to chant the name of a basketball player - the same athlete she said had raped her four months earlier - lost a U.S. Supreme Court appeal [on May 2]. A federal appeals court ruled in September that the cheerleader was speaking for the school, not herself, and had no right to remain silent when called on to cheer the athlete by name. The Supreme Court denied review of the case. The girl, identified by her initials H.S., was 16 when she said she was raped at a party in her southeast Texas hometown of Silsbee in October 2008. She identified the assailant as Rakheem Bolton, [who] ultimately pleaded guilty in September 2010 to a misdemeanor assault charge. At a February 2009 basketball game in Huntsville, Texas, H.S. joined in leading cheers for the Silsbee team, which included Bolton. But when Bolton went to the foul line to shoot a free throw, H.S. folded her arms and was silent. H.S. said the district superintendent, his assistant and the school principal told her she had to cheer for Bolton or go home. She refused and was dismissed from the squad. H.S., joined by her parents, sued school officials and the district. They claimed the school had punished her for exercising her right of free expression. Federal courts have also ordered H.S. and her parents to reimburse the district more than $45,000 for the costs of defending against a frivolous suit.

Files obtained by the website Wikileaks have revealed that the US believed many of those held at Guantanamo Bay were innocent or only low-level operatives. The files, published in US and European newspapers, are assessments of all 780 people ever held at the facility. They show that about 220 were classed as dangerous terrorists, but 150 were innocent Afghans and Pakistanis. The Detainee Assessment Briefs (DABs) ... give little information on the allegations of harsh treatment and interrogation techniques at the camp. But the files show that US military analysts considered only 220 of those ever detained at Guantanamo to be dangerous extremists. Another 380 detainees were deemed to be low-ranking guerrillas. At least 150 people were revealed to be innocent Afghans or Pakistanis - including drivers, farmers and chefs - rounded up during intelligence gathering operations in the aftermath of 9/11. The detainees were then held for years owing to mistaken identity or because they were in the wrong place at the wrong time, the memos say. In many cases, US commanders concluded there was "no reason recorded for transfer".

Note: For key reports from reliable sources on the prison at Guantanamo and other black sites where torture and false allegations are the norm, click here.

The growing use of unmanned aircraft in combat situations raises huge moral and legal issues, and threatens to make war more likely as armed robots take over from human beings, according to an internal study by the Ministry of Defence. The report warns of the dangers of an "incremental and involuntary journey towards a Terminator-like reality", referring to James Cameron's 1984 movie, in which humans are hunted by robotic killing machines. "It is essential that before unmanned systems become ubiquitous (if it is not already too late) … we ensure that ... we do not risk losing our controlling humanity and make war more likely," warns the report, titled The UK Approach to Unmanned Aircraft Systems. MoD officials have never before grappled so frankly with the ethics of the use of drones. The report was ordered by Britain's defence chiefs, and coincides with continuing controversy about drones' use in Afghanistan, and growing Pakistani anger at CIA drone attacks against suspected insurgents on the Afghan borders. It states that "the recent extensive use of unmanned aircraft over Pakistan and Yemen may already herald a new era". Referring to descriptions of "killer drones" in Afghanistan, it notes that "feelings are likely to run high as armed systems acquire more autonomy".

Note: For an analysis of the expansion of the sphere of killing by drones to the new Libyan theater of operations in the "endless war" triggered by the false-flag of 9/11, click here.

Japanese officials have been forced to explain why it took them a month to disclose large-scale releases of radioactive material in mid-March at a crippled nuclear-power plant. The government announced [on April 12] that it had raised its rating of the severity of the accident at the Fukushima Daiichi nuclear complex to 7, the worst on an international scale, from 5. Japan's new assessment was based largely on computer models showing heavy emissions of radioactive iodine and cesium March 14-16, soon after a magnitude-9.0 earthquake and tsunami rendered the plant's emergency cooling system inoperative. The nearly monthlong delay in acknowledging the extent of these emissions is a fresh example of confused data and analysis from the Japanese and put authorities on the defensive about whether they have delayed or blocked the release of information to avoid alarming the public. Seiji Shiroya, a commissioner of Japan's Nuclear Safety Commission, an independent panel that oversees the country's nuclear industry, ... suggested a public-policy reason for having kept quiet. "Some foreigners fled the country even when there appeared to be little risk," he said. "If we immediately decided to label the situation as Level 7, we could have triggered a panicked reaction." The peak release in emissions of radioactive particles took place after hydrogen explosions at three Fukujima reactors.

Note: For lots more on corporate and government corruption, click here and here.

Igor Gramotkin is ... the manager of the Chernobyl nuclear power plant in Ukraine, and has spent more than two decades at the site of the most devastating nuclear accident in history, trying to stop further radiation emissions and cleaning the area. Mr Gramotkin admitted that the destroyed reactor, still full of radioactive waste and nuclear fuel, remains "a threat not only to Ukraine but to the whole world" until it is encased in a vast steel structure that is being built. In the months after the accident, a makeshift "sarcophagus" had been constructed to encase the reactor, but it is now unstable and, despite work to shore it up, experts say a new shelter is desperately needed in case the old one collapses. At more than 100m tall, the shelter will be the largest moveable structure ever built. Those building it still have to be extremely careful. Standing in the area immediately around the plant subjects a person to radiation equivalent to about one old-style chest X-ray per day. The human costs of the Chernobyl accident are ... horrific by any estimate. [Some] studies put the figure in the hundreds of thousands. There are incidences of genetic mutations, children born lacking organs, and dramatically elevated thyroid cancer levels in local children, who drank milk contaminated with radioactive iodine in the years after the accident.

Note: For many reports from major media sources on the government and corporate corruption that allows the nuclear industry to continue, click here and here.

Does Libya set a precedent? If a revolt breaks out again in Iran, and the regime cracks down with brutal force, will the United States support a Libya-style response? Is there an "Obama Doctrine" emerging? It looks like it. It appears that Obama is ready to use U.S. military force anytime, anywhere, for any reason that he — without Congressional approval or UN support — deems legitimate. During the course of the "War on Terror," now a decade old, there has been a constant barrage of efforts to disparage those who called Iraq, or Afghanistan, a "war for oil." It's not bizarre at all to argue that what animates nearly the entirety of American policy toward the region from Algeria to Iran is concern about oil and natural gas. That's been the driving force behind the creation of the Rapid Deployment Force by President Carter, the establishment of Centcom by President Reagan, the invasion of Kuwait by President Bush I and America's arming of Saudi Arabia and the other members of the so-called Gulf Cooperation Council. It's why Obama muses about "maintaining the flow of commerce" by military means. Which brings us to Iran. If the anti-Ahmadinejad forces rise up again, and perhaps take control of a city like Shiraz, or if Iranian oil workers strike and take control of a southern oil city such as Ahwaz, ... the regime would crack down brutally. And then what?

Note: For many reports exposing the real reasons behind the "endless war" policy of the Bush/Cheney and Obama administrations, click here.

General Electric marketed the Mark 1 boiling water reactors that were used in Japan's Fukushima Dai-ichi plant as cheaper to build than other reactors because they used a smaller and less expensive containment structure. Yet American safety officials have long thought the smaller design more vulnerable to explosion and rupture in emergencies than competing designs. Here's the problem: Profit-making corporations have every incentive to underestimate these probabilities and lowball the likely harms. This is why it's necessary to have such things as government regulators and why regulators need enough resources to enforce the regulations. And it's why recent proposals in Congress to cut the budgets of agencies charged with protecting public safety are so wrong-headed. It's also why regulators have to be independent of the industries they regulate. When there's a revolving door between regulatory agency and industry, officials are reluctant to bite the hands that will feed them. Finally, the tendency of corporations to understate the probabilities of public harms requires that limits be placed on corporate political power. The public cannot not be adequately protected as long as big corporations ... are allowed to bribe legislators with campaign donations and boondoggles.

Note: The author of this opinion, Robert Reich, is a professor at UC Berkeley and former Secretary of Labor.

The chaos at the Fukushima Daiichi nuclear plant — explosions, fires, ruptures — has not shaken the bipartisan support in partisan Washington for the U.S.'s so-called nuclear renaissance. Republicans have dismissed Japan's crisis as a once-in-a-lifetime fluke. President Obama has defended atomic energy as a carbon-free source of power, resisting calls to halt the renaissance and freeze construction of the U.S.'s first new reactors in over three decades. But there is no renaissance. Even before the earthquake-tsunami one-two punch, the endlessly hyped U.S. nuclear revival was stumbling, pummeled by skyrocketing costs, stagnant demand and skittish investors, not to mention the defeat of restrictions on carbon that could have mitigated nuclear energy's economic insanity. Obama has offered unprecedented aid to an industry that already enjoyed cradle-to-grave subsidies, and the antispending GOP has clamored for even more largesse. But Wall Street hates nukes as much as K Street loves them, which is why there's no new reactor construction to freeze. Once hailed as "too cheap to meter," nuclear fission turns out to be an outlandishly expensive method of generating juice for our Xboxes.

Note: For many reports from major media sources on the government and corporate corruption that allows the nuclear industry to continue, click here and here.

The Federal Reserve will disclose details of emergency loans it made to banks in 2008, after the U.S. Supreme Court rejected an industry appeal that aimed to shield the records from public view. The justices ... left intact a court order that gives the Fed five days to release the records, sought by Bloomberg News' parent company, Bloomberg. The order marks the first time a court has forced the Fed to reveal the names of banks that borrowed from its oldest lending program, the 98-year-old discount window. "I can't recall that the Fed was ever sued and forced to release information" in its 98-year history, said Allan H. Meltzer, the author of three books on the U.S central bank and a professor at Carnegie Mellon University in Pittsburgh. The disclosures, together with details of six bailout programs released by the central bank in December under a congressional mandate, would give taxpayers insight into the Fed's unprecedented $3.5 trillion effort to stem the 2008 financial panic. Under the trial judge's order, the Fed must reveal 231 pages of documents related to borrowers in April and May 2008, along with loan amounts. News Corp.'s Fox News is pressing a bid for 6,186 pages of similar information on loans made from August 2007 to November 2008.

Note: For a treasure trove of reports from major media sources on the hidden activities of the Fed and the biggest Wall Street and international banks, click here.

Commanders in Afghanistan are bracing themselves for possible riots and public fury triggered by the publication of "trophy" photographs of US soldiers posing with the dead bodies of defenceless Afghan civilians they killed. Senior officials at Nato's International Security Assistance Force in Kabul have compared the pictures published by the German news weekly Der Spiegel to the images of US soldiers abusing prisoners in Abu Ghraib in Iraq which sparked waves of anti-US protests around the world. They fear that the pictures could be even more damaging as they show the aftermath of the deliberate murders of Afghan civilians by a rogue US Stryker tank unit that operated in the southern province of Kandahar last year. The case has already created shock around the world, particularly with the revelations that the men cut "trophies" from the bodies of the people they killed. An investigation by Der Spiegel has unearthed approximately 4,000 photos and videos taken by the men. The US military has strived to keep the pictures out of the public domain. The lengthy Spiegel article that accompanies the photographs contains new details about the sadistic behaviour of the men.

Note: For many reports from reliable sources on atrocities and illegal activities by US military forces in Afghanistan and Iraq, click here.

Nuclear plants in the United States last year experienced at least 14 "near misses," serious failures in which safety was jeopardized, at least in part, due to lapses in oversight and enforcement by US nuclear safety regulators, says a new report. They occurred with alarming frequency – more than once a month – which is high for a mature industry, said the study of nuclear plant safety performance in 2010 by the Union of Concerned Scientists, a Washington-based nuclear watchdog group. The report, the first in what the UCS expects will become an annual study, details both successes and failures by the US Nuclear Regulatory Commission, which it calls "the cop on the beat." Charged with overseeing America's fleet of 104 nuclear reactors, the NRC made some "outstanding catches," but was also inconsistent in its oversight, seeming at times to nod off when most needed. "The chances of a disaster at a nuclear plant are low," the report states. "But when the NRC tolerates unresolved safety problems – as it did last year at Peach Bottom, Indian Point, and Vermont Yankee – this lax oversight allows that risk to rise. The more owners sweep safety problems under the rug and the longer safety problems remain uncorrected, the higher the risk climbs."

Note: For many reports from reliable sources on government corruption, click here.

An Afghan warlord backed by US special forces faces persistent allegations that he launched a two-year spate of violence involving burglary, rape and murder of civilians, desecration of mosques and mutilation of corpses. Yet, despite repeated warnings about the atrocities Commander Azizullah is alleged to have committed, he has remained on the payroll of the US military as an "Afghan security guard", a select band of mercenaries. Interviews with religious leaders, tribal elders, villagers, contractors and Western and Afghan officials all pointed to a reign of terror in which they believe 31-year-old Azizullah, an ethnic Tajik, targeted Pashtun civilians while fighting the Taliban. The testimony also tallied with several independent reports documenting the allegations against Azizullah. The allegations of persistent abuses are embarrassing for Nato, and not just because of the closeness with an alleged war criminal. They also showcase the biggest drawbacks of militias, which US commander General David Petraeus wants to expand aggressively across Afghanistan. He wants to triple the size of "local defence initiatives" [militias] to 30,000 members nationwide.The consequences are too awful to contemplate: resurgent warlords, deepening ethnic tensions, widespread bloodletting and the erosion of what little authority the government in Kabul has left.

Note: For many reports from reliable sources on atrocities and illegal activities by US military forces in Afghanistan and Iraq, click here.

For 18 months, operators at the Diablo Canyon nuclear plant near San Luis Obispo didn't realize that a system to pump water into one of their reactors during an emergency wasn't working. It had been accidentally disabled by the plant's own engineers, according to a report ... from the Union of Concerned Scientists watchdog group, [which] lists 14 recent "near misses" - instances in which serious problems at a plant required federal regulators to respond. The report criticizes both plant operators and the Nuclear Regulatory Commission for allowing some known safety issues to fester. The problem at Diablo Canyon ... involved a series of valves that allow water to pour into one of the plant's two reactors during emergencies, keeping the reactor from overheating. A pair of remotely operated valves in the emergency cooling system was taking too long to move from completely closed to completely open. So engineers shortened the distance between those two positions, according to the report. Unfortunately, two other pairs of valves were interlocked with the first. They couldn't open at all until the first pair opened all the way. No one noticed until the valves refused to open during a test in October 2009, 18 months after the engineers made the changes.

Note: For lots more from reliable sources on government and corporate corruption, click here and here.

Police officer perjury in court to justify illegal dope searches is commonplace. One of the dirty little not-so-secret secrets of the criminal justice system is undercover narcotics officers intentionally lying under oath. It is a perversion of the American justice system that strikes directly at the rule of law. Yet it is the routine way of doing business in courtrooms everywhere in America. Why do police ... show contempt for the law by systematically perjuring themselves? The first reason is because they get away with it. They know that in a swearing match between a drug defendant and a police officer, the judge always rules in favor of the officer. Another reason is the nature of most drug cases and the likely type of person involved. The defendant is poor, uneducated, frequently a minority, with a criminal record, and he does have drugs. But the main reason is that the job of these cops is chasing drugs. Their professional advancement depends on nabbing dopers. It's reinforced by San Francisco's own sorry history of infamous undercover narcotics officers promoted to top levels in the department despite contempt for the law shown by bullying, brutality and perjury in carrying out illegal searches and arrests. So the modern narcotics officer is just following a well-worn path.

Note: For lots more on government corruption, click here.

Michigan lawmakers are on the verge of approving a bill that would enable the governor to appoint "emergency managers" -- officials with unilateral power to make sweeping changes to cities facing financial troubles. Under the legislation ... the governor could declare a "financial emergency" in towns or school districts. He could then appoint a manager to fire local elected officials, break contracts, seize and sell assets, eliminate services - and even eliminate whole cities or school districts without any public input. The measure passed in the state Senate this week; the House passed its own version earlier. Republican Gov. Rick Snyder has said he will sign the bill into law. U.S. Rep. John Conyers, a Democrat who represents Detroit, said in a statement that in a given city, the governor's new "financial czar" could "force a municipality into bankruptcy, a power that will surely be used to extract further concessions from hardworking public sector workers." He said the legislation raises "serious constitutional concerns."

Note: The bill was made law. For more, click here. For a treasure trove of reports from major media sources exposing the control exerted by financial powers on government officials, click here.

Important Note: Explore our full index to revealing excerpts of key major media news articles on several dozen engaging topics. And don't miss amazing excerpts from 20 of the most revealing news articles ever published.