Congress to Grill TARP-Fattened Bankers Today
This morning the CEOs of eight major banks will go before the House Financial Services Committee to explain what, "exactly," they did with the billions of dollars they've received under the troubled asset relief program.
At last, a serious investigation that goes beyond vague promises and symbolic gestures…
Like auto industry executives before them, most bankers will shun corporate aircraft for the trip to the nation’s capital. Bank of America Corp. CEO Kenneth Lewis was set to take an eight-hour train ride from his bank’s headquarters in Charlotte, North Carolina, a spokesman said.
Eight hours on a train? Very impressive, Mr. Lewis-Biden. Way to set the stage for in-depth analysis of complex financial issues, not meaningless political theater…
"This is going to be political theater where the congressmen get to express the populist outrage over executives that are highly compensated and companies that are used to a lavish business style," said John Douglas, a partner who focuses on bank regulation at the law firm Paul, Hastings, Janofsky & Walker LLP in Atlanta.
Oh well.
Complex financial issues are boring, anyway.
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It has now been alleged that the Reason the Banks won't say what they did with the first $300 Billion in Bailout money is because they used the bulk of the money to fund Corporations taking jobs out of the USA and expanding foreign manufacturing and financial operations outside the USA
America is talking, but Washington isn't listening! The Banks and Wall Street's manipulation of Oil Company futures and Adjustable rate mortgages, created this mess in the Firts Place, and now Washington plans to throw even More money at them??? The Fed tells Banks to loan money and free up credit, but banks know most Americans no longer qualify for loans, or just don't want to borrow! If the Fed used the "Bailout/Stimulus" money to refinance individual consumer, personal debit and primary mortgage, the Banks would get paid back and now have money to loan, consumers now have manageable debit payments and feel confident spending again! A 4% fixed, Gov loan for 30 – 40 years should make payments manageable for most. If Washington continues to throw money at everything other than the source of the problem, 1,000s more loose their American Dream! We need a moratorium on Foreclosures NOW, until Washington can put this plan into effect!!!
I love the potential excuses that were being offered up by pundants last night and this morning. The best potential excuse I heard was, “You made us take the money.”