This is what happens when you over regulate. In the trivia of officialdom, everyone loses sight of the important stuff. So arrogant in its self belief had finance become by the end that it actually thought regulators approved of the deceit it was visiting on the public.
No amount of regulation will ever completely get rid of bad, irresponsible and dishonest behaviour in finance. But if the right incentives and penalties are put in place, it can be made to work much more effectively than it has been. Fraud is a serious criminal offence in any other business. Why is it that there seems to be some doubt about this in banking? What’s happened to the zero tolerance of abusive behaviour you see in other industries?