Bank Of America Had Early White House Support On Merrill Lynch Deal

washingtonpost.com:

Top economic advisers to President Obama signed off on a deal to protect Bank of America from losses incurred by its purchase of failed Wall Street firm Merrill Lynch a month before the new administration took office, according to Bank of America documents.

Read the whole story: washingtonpost.com

Comments

[jpm005]

Timothy Geithner and Lawrence Summers have been working for Wall Street and their supporters in the Finance industry for decades. It is unconscionable that they should still be employed by the Obama Administration.

Timothy Geithner and Lawrence Summers (along with Alan Greenspan) were instrumental during the Clinton administration in eliminating the power of the Commodity Futures Trading Commission, the federal agency which oversees the futures and commodity options markets. They were also champions of the repeal of the Glass Segal act.

Their success in moving these issues forward provided the foundation for the Wall Street 'melt down' and the subsequent socialization of Wall Street losses to all Americans in the form of the Wall Street bail out.

Through their actions investment banks have been allowed to gamble on derivative investments without reserve commitments. Banks have been allowed to fund sub-prime mortgages guaranteed by AIG, Fanny Mae and Freddie Mac.

The resulting astronomical losses have been foisted onto all Americans when these same entities were able to become or fall back on their commercial banking departments and take advantage of government loan guarantees and TARP monies.

The real question is: Why are they still there?

[jane8877]

What's to say, after 30 years of the crooks that take from the poor to give to the rich being in charge, nothing's changed. As soon as I heard Obama was going to pick Geithner I knew the Reagan - W years were still in place. Only the middle class and especially the poor aren't too big to fail.

[martiniandabotoxchaser]

This Administration is starting to look just as dirty as all others...both Republican and Democrat. The President was given too much of our trust too quickly...remember absolute power corrupts absolutely.

[dems08]

the article writer is a right-wing shill and/or a lousy reporter

[Jayk4444]

Since it doesn't support your ideology?