Diane Sawyer and ABC News report as Hurricane Sandy hits the eastern coast of the United States.

For the last 30 years New York officials were warned of a storm of historic proportions that could flood the subways, create widespread power outages, and hit the Rockaways peninsula especially hard. A 2006 report read: “It’s not a question of whether a strong hurricane will hit New York City. It’s just a question of when.” But tight budgets meant the warnings went unheeded—and when Hurricane Sandy hit, many of the problems were dealt with on the fly. “I don’t know that anyone believed it,” New York Gov. Andrew Cuomo told the Associated Press. “We had never seen a storm like this. So it is very hard to anticipate something that you have never experienced.”

Associated Press:

"It wasn't as if the legislative actions over the years were subtle. They all had a common, emphatic theme: Act immediately before it's too late.

The 1978 executive law required a standing state Disaster Preparedness Commission to meet at least twice a year to create and update disaster plans. It mandated the state to address temporary housing needs after a disaster, create a detailed plan to restore services, maintain sewage treatment, prevent fires, assure generators "sufficient to supply" nursing homes and other health facilities, and "protect and assure uninterrupted delivery of services, medicines, water, food, energy and fuel."

Reports in 2005, 2006 and 2010 added urgency. "It's not a question of whether a strong hurricane will hit New York City," the 2006 Assembly report warned. "It's just a question of when."

A 2010 task force report to the Legislature concluded: "The combination of rising sea level, continuing climate change, and more development in high-risk areas has raised the level of New York's vulnerability to coast storms. ... The challenge is real, and sea level rise will progress regardless of New York's response."'

New York City had taken some concrete steps, such as requiring some new developments in flood zones to be elevated, eliminating roadblocks to putting boilers and electrical equipment above the ground and restoring wetlands as natural storm-surge barriers.

Mayor Michael Bloomberg said in a recent speech that the city wasn't expecting Sandy, and that FEMA (The Federal Emergency Management Agency) had estimated only a one percent chance that NYC would see the water levels that came in with the storm. NYC is now reassessing safety measures, including an engineering analysis to determine if levees or other structures are needed to prevent flooding in the future.

HSBC's Money Laundering Lapses, By the Numbers

by Cora Currier ProPublica, July 20, 2012

This week a Senate investigation detailed that HSBC had lax controls against money-laundering and often ignored warnings about clients with ties to drug cartels and terrorists.

The bank is also reportedly nearing a settlement with the Justice Department, which has two criminal investigations into whether HSBC was complicit in money-laundering and tax evasion.The federal regulator that should have been keeping tabs on all this, the Office of the Comptroller of the Currency, also came under fire for "systemic weaknesses" in its oversight of banks' anti-money laundering procedures.

The report reaches back more than a decade, and in testimony in front of the Senate this week, the bank apologized and vowed it has recently overhauled its anti-money-laundering efforts. The bank's head of compliance stepped down this week. But the Senate report notes that HBSC made similar promises of reform back in 2003 when it was cited by regulators for poor oversight of suspicious transactions. HSBC declined to comment further on the report or on the DOJ's ongoing investigation.

There are lot of blunders and blind spots detailed in the Senate's 335-page takedown. Here's a rundown2014in each instance, we've linked to the relevant page in the report.

17,000: The backlog of unreviewed, potentially suspicious activity alerts at HSBC's U.S. arm as uncovered by government regulators in 2010.

200: Number of compliance staff in bank's U.S. branch between 2006 and 2009, of which a smaller group was charged with making sure the bank was following anti-money-laundering rules. HBUS had millions of accounts, and more than 16,000 employees overall, and according to the report, kept compliance staff small as a cost-cutting measure.Members of the anti-money-laundering group told investigators that understaffing was a key problem.

85: Number of problems with the anti-money-laundering efforts at bank's U.S. arm red-flagged by the OCC between 2005 and 2010. That was a third more than the next-closest major bank.

0: number of enforcement actions the OCC took in that time period.

3: number of years, from 2006 to 2009, for which HSBC's U.S. branch didn't do any money-laundering monitoring for transactions with HSBC banks in other countries.

15 billion: Total value of U.S. dollar bills (as in paper money) the bank accepted as part of bulk-cash transactions from foreign HSBC banks during that period, with no anti money-laundering controls.

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