PRESIDENT OBAMA thinks he can FINESS the __LOOTING__ of BILLIONS of Taxpayer dollars during the BAILOUTS and ECONOMIC DESTRUCTION leading to the 2008 bailouts as,
"No crime here, nothing to see, move along, move along."
http://scoop.co.nz/stories/HL0903/S00010.htm
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TIM GEITHNER - Obama's THREE-TRILLION DOLLAR BACKDOOR, mostly secretive Wall Street BANK BAILOUTS MAN !!
OK, first of all, of course, a good portion of the BAILOUTS of the past 6 months have not been "BACK-DOOR" or all that secretive:
#1. the FIRST portion of the AIG bailout(s) was $35 BILLION...
#2. The Fannie-Mae/Freddie-Mac bailouts started around $200 BILLION - (a number roughly seconded here) on, according to this Bloomberg report,
roughly Fannie & Freddie's owning or guaranting nearly SIX TRILLION dollars of mortgages...
#3. Bear Stearns: According to wiki, the government - or at least its proxy, the Fed Reserve Banks - agreed to "the Federal Reserve agreed to issue a non-recourse loan of $29 billion to JP Morgan Chase" a "non-recourse loan" which wiki continues to explain: "This non-recourse loan means that the loan is collateralized by mortgage debt[20] and that the government can not seize J.P. Morgan Chase's assets if the mortgage debt collateral becomes insufficient to repay the loan."
What is ASTOUNDING about this particular BAILOUT - $29 BILLION guarantees of TAXPYER-DOLLARS - is that the company was SOLD to JPMorgan-Chase.... for just $1.2 billion, which amount (at $10 per share) was FIVE TIMES as much as the original JPM-Chase offer for Bear-Stearns had been (at $2/share)!!!!!!
COULD ANY non-connected Joe Working-stiff in America, get 29-dollars in guarantees, plus an additional 10-dollars in cash, for something that was SO IN DEBT that it was essentially worthless? (much less putting huge strings of zeros behind those cash amounts, going from $10 and $29 to ONE BILLION and $29 BILLION, respectively.)
Let us repeat, "THE GOVERNMENT (Fed), on BEHALF OF TAXPAYERS, put itself ON THE HOOK, for TWENTY-NINE BILLION DOLLARS... for a company that sold for just $1.2 billion, and then, only after lawsuits threatened to expose an even larger can or worms!
NOTE that in RESEARCHING THESE BAILOUT FIGURES, they are HARD TO COME BY...
...you have to do a LOT of DIGGING, read through a LOT of web-pages, read through ALL KINDS of factoids, numbers, opinions (masking as "reporting"), and commentary, just to get at a number "HOW MUCH DID THE BAILOUTS cost?" !!
So anways, the above SUMMER of 2008 BAILOUT numbers (which are far, far from complete) are just a PRELUDE to TREASURY SECRETARY HANK PAULSON's EMERGENCY request/demand/begging of Speaker Pelosi's 110th Congress, for... $700 BILLION in BAILOUTS. (Which we covered here at DemNationUSA back in September.)
So, that right there is nearly ONE TRILLION DOLLARS in SOCIALIZED, taxpayer BAILOUTS DOLLARS - - - that we know about!
BUT!! Those Bush-Pelosi-PAULSON bailouts ARE JUST THE TIP OF THE ICEBERG - even before President Obama was inaugurated in January 2009!
For, at the same time that Treasury Secretary Paulson was DEMANDING $700 BILLION in BAILOUTS at the FRONT DOOR of Congress, Fed Reserve Chairman Ben Bernanke was issuing a $630 BILLION ____BACK DOOR____ bailout to the big banksters,
http://macrobuddies.blogspot.com/2008_09_01_archive.html
THIS is where TIM GEITHNER comes in. For when Ben Bernanke, as Chairman of the Fed, quietly "INJECTS" $630 BILLION into circulation, it must pass through the member banks of the Fed... on its way to commercial and investment bank vaults, which banks put that MONEY IN TO CIRCULATION. That is where Geithner comes in - the CHAIRMAN of the NY Fed Reserve Bank, the BIGGEST, MOST IMPORTANT Fed Reserve Bank of them all.
IT WAS GEITHNER's JOB, to DISBURSE a huge portion of that fed newly created gravy payola "money" to the Big Banks on Wall Street - "money" CREATED OUT OF THIN AIR to PROP UP BANK BANK BALANCES, "money" created out of thin air but with the MANDATORY BACKING of US taxpayers, "MONEY" used to ARTIFICIALLY INFLATE the Stock Market.... and SUCK MORE UNWARY INVESTORS IN, people who thought those BIG NUMBERS and BIG PROFITS were REAL, when in fact they were INFLATED NUMBERS, and especially INFLATED STOCK PRICES, ARTIFICIALLY INFLATED by Fed Reserve "LIQUIDITY INJECTIONS" that found their way into Chase, Citi, Goldman-Sachs, and other big bank vaults!
TIM GEITHNER was helping Ben Bernanke and Hank Paulson RIDE HERD on ARTIFICIALLY INFLATED STOCK PRICES! And while Geithner may never have been a private banker, HANK PAULSON and ROBERT RUBIN most certainly were... and LAWRENCE SUMMERS was a protege of Rubin, as is Geithner!
Now here is our Ace-in-the-hole: the FED had been quietly, but not so secretly, PUMPING ONE TRILLION DOLLARS into the banks, and banking system - INFLATING the money supply, DEFLATING the dollar - for at least a year LEADING UP TO the DISMAL SUMMER of 2008 and its three-quarters of a TRILLION dollars of BAILIOUTS - BEFORE Hank Paulson's "sky is falling" $700 billion request of September 2008, BEFORE Bernanke's "LIQUIDITY INJECTION" of 2008, BEFORE the spring BAILOUTS of Fannie-Mae, Freddie-Mac, AIG, Bear-Stearns, (and god only knows what other BAILOUT BILLIONS we DON'T even know about)
THE FED had ALREADY "INJECTED" ONE TRILLION DOLLARS to PROP UP the BIG BANKS, and (thereby) to PROP UP the OVERLY INFLATED STOCK MARKET - by March of 2008!
ALMOST CERTAINLY, the STOCK MARKET HIGHS of November 2007, were ARTIFICIALLY INFLATED - SUCKING UNWARY INVESTORS IN, by using BACK-DOOR "money" "INJECTIONS" to CREATE THE ILLUSION of GROWTH and PROFITS.
THIS is the DEFINITION of a PONZI SCHEME - using money that APPEARS to be PROFITS, but are NOT profits - and TIM GEITHNER, BEN BERNANKE, HANK PAULSON, LAWRENCE SUMMERS, ROBERT RUBIN, CNBC, the ENTIRE CITI, GOLDMAN-SACHS, and CHASE crew were ALONG FOR THE RIDE - a PREMEDITATED ___"PUMP & DUMP" to SUCK UNWARY INVESTORS IN (the "pump" using ARTIFICIAL "liquidity injections" and the DUMP - CASHING OUT on the day of the Congressional Vote on Bailouts, in order to, #1. TAKE THAT SUCKER INVESTORS CASH _OFF THE TABLE_, and #2. to SPOOK Congress in to HANDING OVER MORE BILLIONS, nay TRILLIONS of TAXPAYER DOLLARS - ABJECT BAILOUT SOCIALISM - because not only were the markets NOT making a PROFIT, but they had become ADDICTED to BACK DOOR BAILOUTS, aka "LIQUIDITY INJECTIONS."
(our tying "inflated stock prices" with "PUMP & DUMP" in part due to this Karl Denninger "the Ticker-Guy.com" pointing out that the markets WERE ALREADY DROPPING, "CNBC news anchors running around the stock floor WANTING A CIRCUIT-BREAKER TRIP DAY' in other words THEY WANTED TO SEE A CRASH, in other words, they WANTED TO SEE THE MARKET THROW A TEMPER-TANTRUM" (in order to EXTORT the Congress into pouring the above TRILLIONS of taxpayer dollars into the market.)
http://www.youtube.com/watch?v=FGpS2qsh_5A
http://scoop.co.nz/stories/HL0903/S00010.htm
