MAY 12, 2012 10:58PM

Dimon's debacle

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A rather bizarre development here, as it appears that Peter D. Kiernan is now following GlobalRevOrg on Twitter. And who is Peter D. Kiernan? A quick check revealed that Mr. Kiernan is a former partner of Goldman Sachs. OK, so what do you make of that, mole, troll, or provocateur?

Well, there are some other possibilities as it turns out that Mr. Kiernan is also the author of a book titled Becoming China's Bitch, and may have a few things to say beyond his experiences at GS. Can't pan it or recommend it as of yet, but we'll have to give it the nod as far as further review.

The biography on Mr. Kiernan is interesting enough, viewable at PeterDKiernan.com, and it is entirely possible that the book is a winner along with his successful record of venture capital and hedge fund management.

Did I really just say that? My first thought was that it was perhaps a response to the Tea Party Challenge that was posted on May 1. Maybe the guy was doing some tracking to get some insight in case it ever happened, but after a basic search engine exercise, it seemed just as likely he might want to join the globalrev.org debate squad and engage in a little good-natured bashing of his former company.

The blogs that were critical of occupy may also have something to do with it. After all, someone with the audacity to criticize the occupy phenomenon might be perceived as friendly to the corporate abominations like GS, but that would mean that Mr. Kiernan didn't do his research which seems unlikely based on his track record.

He might be flooding the alternative media outlets with social media vehicles to promote his book. He might like the Asshole of the Week feature. Maybe everyone else has a new follower as well. But whatever the reason, consider this an official welcome along with an invitation to contribute via press releases or tweets.

Jamie Dimon

Correction via Matt Taibbi at Rolling Stone. In the previous blog post, I used the term “roughly $20 million” to describe Dimon's salary based on an article that pointed out that his salary was tops in the sector using that figure. Turns out that wasn't such a “rough” estimate. Taibbi is using the figure $100 million which sounds more accurate and comes from a better source. Taibbi has been on this beat for a long time and probably has these things memorized by now. I stand corrected.

Dimon of course is been catching a lot of heat for blowing $2 billion on stock trades, an accomplishment that most small traders will never experience. They have to be pulling their hair out thinking about what they could have done with $2 billion to throw around in the market. You certainly couldn't do any worse.

I once saw a gag-experiment with a chimpanzee making predictions with a special keyboard, the picks tracked by the trainers. The chimp didn't do so bad, actually made some pretty good trades, and finished up with solid numbers that were better than a lot of knowledgeable investors. That was the punchline, of course, and the whole thing may have been staged (much like the act I endure on a daily basis courtesy of America's law enforcement community).

But at least Dimon proved that the thing that galls most of the "underclass" is that his screw-up also caused massive losses in markets around the world and will continue to hang over the rest of the economy for the near future at least. This is a typical analysis via Reuters.

More volatility could be in store for stocks next week as investors grapple with less certainty about the economic outlook and a new blow to the financial sector after JPMorgan Chase's trading loss.”  Reuters

The 2008 meltdown hasn't ended, nor has the recession after repeated attempts to stimulate with borrowed money. On the other hand, austerity measures that are intended to compensate for the various bank scams and debacles, are essentially imposing a Rich Asshole Tax on the rest of the population.

The same thing is well underway in the United States, the most basic services including teachers and health care workers the first to get the ax when Rich Assholes collide with the reality of their incompetence like they did on Friday.

Maybe just once one of the Rich Assholes will be called out, forced to live with the consequences of their failures, unlike those that are being terminated or evicted from their homes through no fault of their own. But again the point that is driven home is that these people are nowhere near as brilliant as they'd like people to believe, and worse, they aren't accountable to anyone, so they'll keep pulling this shit unless and until something is done. 

In fact, based on the evidence, the 2008 meltdown to date, we are left with only two options. Were the bankers as ignorant as they appeared in congressional hearings, or are they just common criminals using their positions to gamble and lose other people's money with wild abandon because their losses are under-written by the “muppets” as they refer to their investors, shareholders and depositors?

Either way, there is some serious purging that needs to happen soon, and since it doesn't appear that the government is inclined to take the initiative, that the “dramatic law enforcement action” that Timothy Geithner promised is just more bullshit spewing from predictable sources, the stockholders are the only hope. (Of course, he could get squashed by an asteroid while cruising in his limousine, but we can't count on it).

There are lots of JPMorgan shareholders that have to be good and pissed off right now. They lost money, but not nearly as much as the rest of the world has and will because of Dimon's mismanagement and ineptitude (or thievery depending on what actually occurred. Those things don't usually make the headlines).

If JPMorgan shareholders don't take action against Dimon, it is unlikely there is anything to stop this overpaid clown from causing even more damage than he already has. There's at least one chimpanzee that can prove that Dimon and the current crop of idiots taking up space on Wall Street should be shown the door, perhaps the door to a prison cell if there was any justice in this free-capitalist society that rewards hard work and punishes failure and criminality. (Just kidding).

After all, when most employees rip off their employer aren't they expected to make restitution? And if Dimon never pays a dime in restitution we are left with the unavoidable conclusion that the rest of the population will be forced to do it for him. Isn't that the real issue here?

And if Mr. Kiernan would like to jump in here, let us know what a former partner of Goldman Sachs thinks about all of this.

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