In an interview last night on PBS NewsHour, Treasury Secretary Timothy Geithner used the "diplomatic language of Treasury communications" to tell JPMorgan CEO Jamie Dimon to resign from the New York Fed Board.

We agree with Geithner.  Dimon should resign. 

We have had enough of bank executives playing God with the world economy.  Enough with banks playing by a different set of rules than everyone else.  Enough with banks believing that they SHOULD play by a different set of rules than the rest of us because they are so infinitely smarter about all things financial than anyone else in the country.  Enough of bank lobbyists buying our politicians.  Enough of bank industry associations telling Hill staff people what to think.  It needs to end now.  All of it.  

And until we make sure that the people who screw everything up for the rest of us pay for their mistakes, we will never fix our problems.

According to a WSJ report this morning, “Mr. Dimon personally approved the concept behind the disastrous trades” that led to a loss which may amount to as much as $5 billion, “But he didn’t monitor how they were executed.”  In addition, “Mr. Dimon directed the bank to delay a quarterly regulatory filing . . . because he didn’t have a firm understanding of the trades impact.”

If Dimon does resign, it could prove to be a major stepping stone toward financial reform, opening the door to what Top Wonk Simon Johnson calls “a broader reevaluation” of how the Too Big to Fail banks “undermine the rest of our economy.”