Yesterday we covered Greenspan's testimony before the Financial Crisis Inquiry Commission, which you can read here, here, here and here. Today it's Robert Rubin and former Citigroup CEO Chuck Prince.
Prince is one of the few who has apologized directly for his role in the failure of Citi, and he repeated his apology in testimony today. But that's merely a distraction from the important revelation that Citiroup lied to shareholders about it's subprime exposure. Seriously, Mary Schapiro, wtf do you do all day at the SEC besides scheme to get Mark Cuban?!?
When you tell the Street your exposure is $13 billion, and it's really more than $50 billion, then your arse deserves to sit in prison and be dressed in inmate orange.
Are there any federal prosecutors even paying attention?!?
Commission chairman Phil Angelides grilled Rubin and Prince about Citigroup's holdings of toxic securities related to the subprime market. In the below clip, Angelides asks them why the banking behemoth gave conflicting information on the same day to the public and to its own board of directors about its exposure to subprime mortgages.
On October 13, 2008, analysts and the public were told that Citi had $13 billion in subprime exposure -- but Citi's board and audit committee were told that the bank's exposure was more than $50 billion, Angelides said.
Prince's response, if you can call it that, was essentially non-committal and evasive.
Continue reading (there's much more) at the Huffington Post