I guess the DOJ and the Fed people don't talk or speak to each other about creating potential financial disasters. Don't know why that should be surprising, but why would the DOJ demand DB to pay $14B knowing they don't have it? That's obviously part of what started the BK ball rolling. I guess DB came back to the DOJ and said they can pay them $5.4B without bringing whole banking system down and they'll agree to take it.
Amazing the penalties the Fed Government want to hand out to banks for something the Fed's created. The Government (Bill Clintons administration) created the housing bubble when they passed the "everyone had a right to own a house" bill. Forcing banks to give out mortgages without income verification or work history.