he New York Times has revealed new details on how the Securities and Exchange Commission has repeatedly allowed Wall Street firms to skirt punishment for fraud. An analysis shows the SEC has granted nearly 350 waivers to financial companies, allowing them to maintain privileges even after admitting fraudulent practices. JPMorganChase received at least 22 waivers over the past 13 years while settling six fraud cases, while Bank of America and Merrill Lynch received 39 waivers and settled 15 times. In a speech on Thursday, Treasury Secretary Timothy Geithner said deceptive practices by Wall Street firms are now under control.
Timothy Geithner: "The financial system, itself, is getting strong and safer. Much of the excess risk-taking and careless and damaging financial practices that caused so much damage to the American economy have been forced out of the financial system. These gains, though, will erode over time if we are not able to put these full reforms in place."