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View Full Version : Fortune (via CNN.com): The AIG fiasco keeps getting worse



PeterMP
January-9th-2010, 08:45 PM
http://money.cnn.com/2010/01/07/news/geithner.disclosure.fortune/index.htm?cnn=yes

"The $180 billion fiasco was back in the news Thursday, after Bloomberg reported that the Federal Reserve Bank of New York prodded the troubled insurer at the end of 2008 to withhold some gory details of its bailout deal from the public.

The instructions came at a time when Geithner, who is now the Treasury secretary, led the New York Fed. Along with Fed chief Ben Bernanke and former Treasury Secretary Henry Paulson, Geithner was one of the key architects of the federal response to the economic meltdown of 2008."

"Just a few months later, the Washington Post revealed that regulators at the Federal Housing Finance Authority had pressured executives at troubled mortgage financing company Freddie Mac (FRE (http://money.cnn.com/quote/quote.html?symb=FRE&source=story_quote_link), Fortune 500 (http://money.cnn.com/magazines/fortune/fortune500/2009/snapshots/3018.html?source=story_f500_link)) not to disclose the cost of carrying out its expanded federal housing-market support duties.

In that case, Freddie Mac made the disclosure, though only after negotiating with regulators over its wording."

Hubbs
January-10th-2010, 12:07 AM
Somewhere, an Enron executive is smiling.

Thiebear
January-10th-2010, 09:23 AM
isnt this what a few were saying:

YOU CANNOT let the people that cause such a mess attempt to clean it up.
because, they start by covering their collective asses and then come the payoffs..
and years later you realize the mistake and start fixing the original

We never allowed the people at fault to be Destroyed (see Enron as mentioned above).
And at this point will the White House have the guts to do it?