Secretary Geithner explained the program to reporters while waiting for his dessert soufflé to rise. Those in attendance said that he told the group that the program would help homeowners and get the economy back on track by removing the key obstacle to the future profitability of financial institutions. He also mentioned that the soufflé was dry.
A YIELD SPREAD PREMIUM IS A FEE PAID TO A BROKER FOR CREATING A FRAUDULENT PROFIT BY LYING TO THE CUSTOMER WHO BUYS A FINANCIAL PRODUCT. This particular lie would be about the rate on the loan. One would think this was already illegal and one would be right. Not only is it specified in [...]
Taxpayer support for the financial system grew by $700 billion last year, and has now reached roughly $3.7 trillion, including TARP, Federal Reserve programs, asset guarantees and federal bank deposit insurance, among other commitments.
STICKIER THAN THEY THINK: These are not the only mortgage securities they hold and they all amount to ownership of the risk on every loan they purchased. The purchase of course was accomplished in one of many ways — direct and indirect. But when you come down to it, between the GSE’s (which are now [...]
I realize that his speech the other night was intended to be more State-of-the-Union-like than a presentation of specific solutions, but I still came away feeling a bit like a Christian Scientist with appendicitis.
America’s banks are, in large part, insolvent. But, with the TARP widely perceived as having accomplished nothing, American taxpayers have no appetite for further bailouts.
The issue that needed to be addressed, in my mind anyway, is what we’re going to do about our insolvent banks. Are we going to bail them out again? Are we going to allow them to default and be taken over by the FDIC? Or, are we going to start using the “N” word… Nationalization.
Leo II bgitt47@verizon.net 2010/04/25 at 12:26 am Editor’s Note: I believe Leo is right. These suits allege that the SPV do not own the loan portfolios. They also allege directly that the Trust Assets included insurance — payments from credit default swaps. Two revealing lawsuits filed against Goldman-Sachs that I believe further support arguments that [...]
Rolfe Winkler takes Warren Buffett to task:
Today, Buffett remains famous for investing The Right Way. He even has a television cartoon in the works, which will groom the next generation of acolytes.
But it turns out much of the story is fiction. A good chunk of his fortune is dependent on taxpayer largess. Were it not for government bailouts, for which Buffett lobbied hard, many of his company’s stock holdings would have been wiped out.
Berkshire Hathaway, in which Buffett owns 27 percent, according to a recent proxy filing, has more than $26 billion invested in eight financial companies that have received bailout money. The TARP at one point had nearly $100 billion invested in these companies and, according to new data released by Thomson Reuters, FDIC backs more than $130 billion of their debt.
I even love the name “cramdown.” This is exactly what homeowners and consumers need to do these institutions… cram it down their throats. Use the resources on this blog and elsewhere and fight. Give ‘em hell.
Earlier today we reported that Colonial Bank had been raided by the Feds. The Orlando Sentinel confirmed agents with the U.S. Treasury’s TARP unit and the FBI were “executing warrants both at the Colonial office on East Pine Street and at a location in Ocala.” Turns out that location in Ocala was none other than the headquarters of Taylor, Bean & Whitaker…
Surprise, surprise, surprise. Right. Well, more information is surfacing today that political interference and lobbyists are steering bailout money to their “favorite” banks. TARP funds were to be used to inject money into “viable” banks to get them lending again by creating stability and liquidity. I’ve already reported on the fact that banks have been [...]
Everyday, I read the headlines and half of me can’t believe what’s happening… and it keeps happening; the other half completely believes this madness. Our government officials are out of control. They’ve lost it… I mean completely lost their marbles but we’re to blame because we’ve elected these looney tunes to office and we continue to do so. The average American is being fleeced. We are going to get taxed beyond comprehension. Mark my words. It’s coming. It will come in all sorts of nasty realities. We’re on the hook for $700 Billion. $350 Billion has just been slammed through the system. Gone. And what do we have as a result? More foreclosures, more write-downs, more people losing their homes, their jobs.
The Bailout Funds (ie. TARP Funds) were to be used to help “struggling” banks get a cash infusion so that they would continue to lend money to consumers to keep the economy going. At least this is what our pal “Hank” Henry Paulson said to us American citizens and Congress to sell this craziness to us. You know, it was an emergency and in order for the US economy to survive, we gotta get these banks liquid so that they’ll continue to lend. All that…
Alright, so we’re talking about the largest appropriation of taxpayer dollars (and/or printed money) in US history here. $700 billion! And we even have to “urge” transparency and accountability? I’d like to say, “I can’t believe it” but unfortunately I can. Folks, this is what this blog is all about. We have the most irresponsible, [...]
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