In The Warning, veteran FRONTLINE producer Michael Kirk unearths the hidden history of the nation’s worst financial crisis since the Great Depression. At the center of it all he finds Brooksley Born, who speaks for the first time about her failed campaign to regulate the secretive, multitrillion-dollar derivatives market whose crash helped trigger the financial collapse in the fall of 2008.
“I didn’t know Brooksley Born,” says former SEC Chairman Arthur Levitt. “I was told that she was irascible, difficult, stubborn, unreasonable.” Levitt explains how the other principals of the Working Group on Financial Markets- former Fed Chairman Alan Greenspan and former Treasury Secretary Robert Rubin — convinced him that Born’s attempt to regulate the risky derivatives market could lead to financial turmoil, a conclusion he now believes was “clearly a mistake.”
Born’s battle behind closed doors was epic, Kirk finds. The members of the President’s Working Group vehemently opposed regulation — especially when proposed by a Washington outsider like Born.
MUST WATCH documentary of the last CFTC Chairperson who truly represented the public and took on the elite banksters over derivatives regulation.
“I walk into Brooksley’s office one day” says Michael Greenberger, a former top official at the CFTC . “She’s hanging up the telephone; she says to me: ‘That was Larry Summers. He says, “You’re going to cause the worst financial crisis since the end of World War II.”…He says he has 13 bankers in his office who informed him of this. Stop, right away. No more.‘”