Wall Street Banks Propping Up Putin
Robert Reich points out that Wall Street banks are helping to prop up Vladimir Putin and asks the question: “Is there anything Wall Street banks won’t do to make more money?”
[su_center_ad]Hidden behind economic sanctions against Russia is the role of Wall Street banks in propping up Putin. Morgan Stanley, for example, earned an estimated $360 million in investment banking fees in Russia from 2002 through 2013. The bank lead the $10 billion initial public offering for Rosneft, Russia’s giant state-controlled oil company, and has helped transform it into the world’s largest publicly-traded oil producer. Putin even put Morgan’s CEO on Rosneft’s board, according to Bloomberg News. As Rosneft has expanded (partly by buying assets Putin forced an imprisoned political opponent’s company to sell), it has become one of Putin’s favorite tools for extending Russian influence abroad. And the relationship between Morgan Stanley and Rosneft continues. Rosneft has agreed to buy Morgan Stanley’s oil trading, storage and transportation businesses for an undisclosed sum. The sale is still pending. Is there anything Wall Street banks won’t do to make more money?