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The Wall Street Money Machine

As investors left the housing market in the run-up to the meltdown, Wall Street sliced up and repackaged troubled assets based on those shaky mortgages, often buying those new packages themselves. That created fake demand, hid the banks’ real exposure, increased their bonuses — and ultimately made the mortgage crisis worse.

Enticed by profits and bonuses, Wall Street took advantage of complicated mortgage-based instruments to reap billions, only to exacerbate the eventual crash.

The Rise of Corporate Impunity

Meet the only Wall St. executive prosecuted as a result of the financial crisis. Has justice been served?

SEC Issues More Fines Over Magnetar Deals – and Appears to Move on

There have now been more than $435 million in SEC settlements regarding one of the most notorious groups of mortgage securities deals behind the financial crisis.

SEC Files Charges in Magnetar Deal

The Securities and Exchange Commission has charged an asset manager with fraud for its role in one of the most notorious groups of mortgage securities deals behind the financial crisis.

Yet Another Bank Fined for a Magnetar Deal, With Yet More Revealing Emails

Deutsche Bank agrees to pay $17.5 million to Massachusetts for a deal involving Magnetar, the hedge fund behind many CDOs gone sour.

Emails Give Glimpse Into Deals That Fueled Financial Meltdown

Hedge fund Magnetar and Wall Street banks created $40 billion of deals. The emails show how they did it.

The Magnetar Fallout: Who’s Been Charged, Has Settled, or is Now Being Investigated?

A rundown of the various investigations into the deals spawned by the hedge fund Magnetar that helped super charge the financial meltdown.

How Bank of America Execs Hid Losses -- In Their Own Words

A suit reveals how Bank of America knew about big losses at Merrill Lynch before the companies merged but didn't tell shareholders.

13 Reasons Goldman's Quitting Exec May Have a Point

A timeline of SEC charges against Goldman and employees over the past decade.

Financial Firm Fined for Misleading Investors on Magnetar Bets

Yet another player, Boston’s State Street, is scrutinized over Magnetar deals and fined $5 million.

Two Wall Street Players Ensnared in New Probe

Banker involved in Magnetar deals is one of two recommended for disciplinary action for "alleged misrepresentations in connection with the sale" of a complex security.

SEC Warns Top Banker of Charges Over Magnetar Deal

The SEC has warned Alexander Rekeda that it is considering civil charges against him for his role in creating risky collateralized debt obligations while working for the Japanese bank Mizuho.

Deutsche Analyst Sounded Alarm When Asked to Alter Numbers

A junior analyst at Deutsche Bank protested when a mid-level executive asked him to adjust a spreadsheet to make a mortgage-backed security look less risky. The 2007 episode raises questions about whether the SEC has looked closely enough at the bank’s practices leading up to the financial crisis.

Wall Street Is Already Occupied

A secret confederacy of Occupy Wall Street sympathizers is criticizing the financial industry for becoming a machine to enrich itself, fleecing customers and exacerbating inequality.

Margin Call: A Small Movie Unveils Big Truths About Wall Street

Margin Call’s all-star cast brings to life writer/director J.C. Chandor’s film, which is the most insightful Wall Street movie ever produced.

Making Margin Call: An Interview with Writer/Director J.C. Chandor

J.C. Chandor sits down with ProPublica to talk about how the movie Margin Call came together and the challenges of making a hard-hitting movie about Wall Street on a tight budget.

Did Citi Get a Sweet Deal? Bank Claims SEC Settlement on One CDO Clears It on All Others

A $285 million SEC settlement appears to wipe the slate clean on Citi's multi-billion-dollar CDO business.

A Rogue to the Rescue: UBS Scandal Reinforces Need for Strict Volcker Rule

As a draft of the Volcker rule has made the rounds in the last several weeks, it has alternatively caused fits of despair and cries of exultation. And that’s just among the proponents of the regulation.

SEC Proposes Ban on Magnetar-Like Deals

The SEC moves to ban the questionable Wall Street deals that, as we detailed, helped fuel the financial crisis.

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