Remember when I wrote: "The Sharks are moving in"? http://www.servias.org/?p=107 They are now beginning to feed. It will be a great feast. Lawyers will have record income from the fallout of the sub-prime mortgage crisis. Directors of Countrywide Financial will be sued along with the corporation.:
Judge Says Countrywide Officers Must Face Suit by Shareholders
Those who have enjoyed the bonuses and fees of this fiasco are now enjoying sleepless nights. The judges ruling opens the door for expanded worldwide litigation. Directors of large corporations are usually among the wealthy and elite and buffered from the risk associated with predatory acts against the average man. Being a director is a status symbol with perks, easy money. That easy money is going to be sent to the attorneys to defend these directors against the lawsuits. The American people will demand their "pound of flesh" after it is all said and done. Much money will be made during this multi-year frenzy. Unfortunately, the lawyers will get most of it!
I expect to see pension funds getting in on the action soon with these securities as well as some of the other creative investment vehicles that are now unwinding. The next president will have his or her hands full with the full blown economic, financial, and energy crisis.