And every CDO sold is legally rolled back to the seller if the credit for the mortgages was obtained fraudulently. Which an astonishing proportion of them were. So the America Government which backstopped AIG is legally required to repay the buyers every penny.
America, America, America all the way. But oh no, AIG sold through an office in Britain. So its a British problem?
I didn't say it was a British problem. But you can bet if AIG were a success we'd be hearding about what a British success story it was, and how The Yanks couldn't do such a thing in the States.
I guess the point is that America rules the world, and all other countries have no accountability for the financial institutions allowed to operate on their shores, they're just robots who have no say in that, and just nod and say "We hear and obey" to the US.
I just wish they'd admit it, not just when it's conventient for their poor little egos.