Chinese cronyism and American cronyism come together at JP Morgan (Cronies in DC are concerned)

China money cc

It’s all about the Maos baby.

 

The New York Times reports that JP Morgan hired the sons and daughters of high level Chinese officials in order to buy access and to generally curry favor in the land of the Red Dragon.

I just can’t believe it. There’s shadiness, outright corruption in the Chinese banking system?

Apparently the Justice Department is looking into JP’s hiring practices in China as its general investigation of the bank continues. The Obama administration is making sure the bank isn’t engaging in cronyism in violation of the Foreign Corrupt Policies Act.

Now in the United States cronyism is totally cool, but if a bank which didn’t give Obama the donations he expected during the last election is engaged in it in China, well then time to take a closer look.

That I  am spending any digital ink at all defending Jaime Dimon’s firm almost physically hurts me. But on this one narrow point I will, sort of.

This is how business is done in China, and the administration knows it. It is also how business is done here to a large extent, and the administration definitely knows that. I’ll bet there’s a good chance the Obama kids end up at investment houses after college. Chelsea did her tour.

It’s pretty funny that the Obama Administration would take issue with any firm which is engaged in cronyist practices, given that this White House has taken cronyism to the level of high art. But as we’ve reported before there is no honor among cronies. 

Click here for the article.

19 comments
Herman De
Herman De

Very true Kip. There's slavery in China, meanwhile they say their cooperating with the sanctions of the U.S. Now we got the Prime Minister of European Trade sanctioning trade with China.

Kip Martin
Kip Martin

Measurable demise of US middle class can be traced to the deals with China. GOP loves to continually kill off the middle class. The should work for the country not their list of companies.

Herman De
Herman De

Share something with me Allan. I'd like to know what regulations.

Herman De
Herman De

Allan the Chinese under bid the U.S. market and there are no labor laws to prevent it. You have people that live in the country that go into the city to make money to feed their families. That dates back to New England and Corporate America, or if you prefer Lowell Mills.

Louis C Carl
Louis C Carl

Alan, true that many companies are in China, hoping to get ahead of the curve - but - hogwash, despite the pettifogging rules (not to mention the straight up bribes) sometimes, many times, it is cheaper to do business in China than the US

Louis C Carl
Louis C Carl

Herman, the Chinese are well capable of doing their own buying of power, influence and persuasion - and - one crony respects another without respect to national borders.

Louis C Carl
Louis C Carl

Well . . . . in fact, China is a better place, for the Chinese anyway, than it was when Nixon went there. - When Nixon went there, famine, floods, mass starvation,gulags, and yes cannibalism, were the norm. - I am not happy with much that has transpired but the Chinese are better off now than under Mao

Allan Chapman
Allan Chapman

Herman, you're as ignorant as you are uneducated. No, it is not cheaper to do business with China, China burdens American businesses with a myriad of regulations. The only reason for american companies to pay the price to do business there is the hope that eventually the Chinese market place will open up to a free market and they want to be ahead of the curve when it does.

William Constande
William Constande

If you think about it, Nixon opened the door to the East. Who would we be borrowing pretend made up money from if he had not? We broke Japan doing the same thing. Economic warfare seems to net results.

Herman De
Herman De

Thank Nixon and Reagan it's cheaper to do business with China. No regulations. The Corporatiions are doing the same thing they did with the U.S. Buying power, influence, and persuasion.

Nate Marra
Nate Marra

If you think our real estate bubble was bad, just wait until the Chinese real estate bubble bursts!

Benjamin Stockton
Benjamin Stockton

We must have faith in the rich elite. After all, they EARNED their wealth. Who are we peons, who don't even belong to a single yacht club, to regulate or tell these demigods what they can or cannot do?

Donald De Motta Sr
Donald De Motta Sr

With the exception of the eyes Mao and the Arrogant one kinda resemble each other. LOL.

Benjamin Stockton
Benjamin Stockton

Should be a perfect world for the Righties here. The benevolent wealthy elite transcend borders to...make the world a better place. Smell the FREEDOM...or is it the backed-up latrine at a collective dormitory for Chinese drone laborers?

J Angeles
J Angeles

Greed will destroy us all long before nuclear weapons ever will.