Mr Cooper Group Inc (COOP)

[DPincus]

fsshn: Here's what I think. Jamie Dimon is one of the true, rare breed of bad-asses that you find peppered across the American Experience. He is brilliant in his own perverse way. He will prove to be protected by multiple layers of deniability -- I doubt anyone will find anything that directly ties him to any career-ending illegality. He is Machiavellian; a pirate; a political player; a builder of empires. Madoff was not a bad-ass. He was a self-serving, delusional, sociopathological opportunist. Trump is a bad-ass. Steinbrenner was a bad-ass. Yet despite the scandals (remember Howard Spira being hired to dig up dirt on Darryl Strawberry, which got Steinbrenner thrown out of baseball, only to see him return and, I am sure, eventually secure himself in the pantheon of baseball's Hall of Fame? And how many bodies and dirty deals would you think could be attributable to Donald Trump's ambition? Yet he survives humiliation, adversity, bankruptcy, and the threat of having his empire crumble and slip from between his fingertips -- yet it never happens).

Dimon will NOT bail out. It is more likely the FDIC will be held accountable long before Dimon ever is, and he will surely have a CYA scenario that exonerates him from any direct evidentiary personal knowledge/liability.

Why should he open the checkbook now? He got EVERYTHING he wanted; West Coast presence, increasing JPM's profits by the billions on purchased WM assets he maneuvered himself into position for by playing Bair; and if you're going to try to stick him with planting moles and orchestrating a "bank run" based on short selling the stock to death, you'd have to go after GS and all the others as well. These guys -- much as I'd like to see it happen -- won't fall, like Greek or Shakespearean tragic figures. JD/JPM WILL settle, when he/they goddamn feel like it, and not before. They're not really on the hook for too much $ anyway that isn't actually money from their having capitalized on their whole-bank purchase of WM/fsb.

Bair, IMO, will fall long before Dimon does. She is nowhere near as primitive cut-throat smart or bad-ass as JD. In fact, as so often happens, any culpability that manages to stick to him will likely only enhance his mythology as an Alexander or Atilla of financial empire-building.

Sad to say; but look at the models of such behaviors, enacted at the scope of what JD orchestrated. The vast majority of them get a revisionist historical treatment and even become romanticized. The American culture loves a bad-ass.

Dion

Do you roll the dice and continue to make $$$$ off the assets, knowing full well that the price you will eventually have to pay is going to increase with disclosure of findings? Your company could be destroyed by your arrogance and unwillingness to accept defeat attitude. Your life could quickly be cast aside by the players on Wall Street. [Sanford] [Madoff] etc..

Or

Do you open the checkbook, bail out the FDIC and get the DS to the Judge with a settled equity on board; knowing full well that payback from FDIC and other parties is well over the amount of $$$$$ you need to pay out now? Saving your company the embarrassment of a Public Trial that will aire out not only your dirty laundry, but your "secrets."