Incentivizing Injustice: The 2008 Financial Crisis and Prosecutorial Indiscretion

The book explores why major bank executives faced no meaningful consequences for the 2008 financial crisis, focusing on the powerful prosecutors deciding who faces charges and who goes home with a fine. The Justice Department experienced embarrassing losses and moved resources away from other areas to fund post-9/11 counter-terrorism, leading to an overly cautious and under-funded institution. Prosecutors had every incentive to improve their image by obtaining big fines with banks through settlements, but at what cost to American justice and trust in the rule of law?

Format: Hardback
Length: 144 pages
Publication date: 15 April 2023
Publisher: Lexington Books

In the midst of a distressing era characterized by profound economic and legal disparities, a lingering query persists: why did no prominent bank executive endure significant repercussions for the 2008 financial crisis? Meanwhile, the average American endured the loss of 8.8 million jobs and a staggering $19.2 trillion in household wealth, the consequences of which continue to echo throughout society. Beyond the oft-repeated notion that the affluent operate by distinct rules, this book diverges from the usual narrative by shifting its focus away from potential perpetrators and towards the influential decision-makers responsible for determining who faces charges and who receives lenient fines.

Prior to the financial crisis, the Justice Department faced embarrassing defeats and redirected a substantial portion of its resources towards counter-terrorism efforts following the 9/11 attacks. Federal prosecutors working in the realm of white-collar crime found themselves operating within an institution that was excessively cautious and underfunded. Simultaneously, the allure of defense firms had intensified, offering lucrative million-dollar partnerships. Prosecutors, driven by the desire to enhance their reputation and secure substantial fines through settlements with banks, found themselves under considerable pressure to pursue this course of action. However, this pursuit came at a significant cost to American justice and the public's trust in the rule of law.

Weight: 372g
Dimension: 237 x 157 x 14 (mm)
ISBN-13: 9781793654496