From Enron In 2001 To the Paulson Bailout in 2008
|The Enron Legacy (Click box to enlarge)|
In 2008 Ben Bernanke and Henry "Hank" Paulson commanded Ken Lewis to use the taxpayers’ money, the nation's sovereign dollars, to force Bank of America to buy Merrill Lynch at a premium with Merrill Lynch paying out record executive bonuses in spite of the financial collapse and in spite of Merrill Lynch's mismanagement of Enron's accounting and financing procedures which ML endorsed.
Jerry Baty's letter to the FSAB Director articulates the fact that the FASB's endorsement of the Nobel Prize winning Black Scholes formulations are incomprehensible mumbo-jumbo. What the letter does not do is explore the effects of awarding a Nobel Prize to a bogus investment model, adding to the long list of embarrassing and demoralizing Nobel Prize blunders. This letter to the FASB from a modest American businessman, Jerry Baty, follows: