The inadequacies of the FSA!

After all the posturing by Gordon Brown and his puppet next door over the Northern Rock fiasco, we now get a full blown admission from the FSA that they were not up to the job over vetting the antics of this bank. Hector Sants, FSA chief executive, said that it was "clear that our supervision of Northern Rock in the period leading up to the market instability of late last summer was not carried out to a standard that is acceptable". Probably because they were either mesmerised by the bald eagle named Applegarth or they just thought the prevalent policy of legalised money laundering would eventually come up trumps. I think it a bit weak that this is the official response for their lacklustre activity.

My father always said that big business "took in each other's washing". Here, Northern Rock was getting their washing cleaned up with an expensive new fabric conditioner. Trouble was it caused grave irritation to the customers, who felt they were being rubbed up the wrong way.

I find it utterly amazing that these feral financiers are allowed to keep going within the so-called banking system. Of course, for us ordinary mortals banks have ceased to exist. What we have now are financial product retailers, and we are all seen as the likely source of sales revenue. So selling a bank loan is no different from selling a fitted kitchen or a second hand car.

If the Financial Services Authority wants to do us all a favour, it will ask the government to swap its ropey dentures for a new set that have some grip! It's hopeless having a watchdog without a proper bite!

Posted in: FSA,Gordon Brown,Hector Sants,Northern Rock