Geithner AIG Testimony: Treasury Secretary Says AIG Bailout Saved Economy, Not Individual Banks

Bloomberg:

Click here to read Geithner's testimony about the New York Fed's aid to AIG.

Treasury Secretary Timothy F. Geithner said the government rescued American International Group Inc. to prevent a "catastrophic" blow to the U.S. economy, not to save any of AIG's counterparties.

Read the whole story: Bloomberg

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Comments

[yourmomscalling]

BS IT WAS A SNAKE FILLED WAY OF COVERING PAULSONS INTEREST IN GOLDMAN SACHS GIETHNER IS HIS BUDDY IN THE CAPER AND NOT ONE THING IS BEING DONE ABOUT IT
THE GOVERNMENT JUST TURNS THERE BLINDERS ON >

THAT'S WHY I AM VOTING ALL THESE CROOKS OUT OF OFFICE
ITS ASTOUNDING THAT NOT ONE OF THEM GOES TO JAIL !!!!!

[tobiasaurusrex]

Just execute him for high treason.

[munki]

Economy has not been saved... saved AIG and its counterparts...

We really need someone with more savvy financial sense in the position...

go and watch Jon Stewart's interview of Dr. Elizabeth Warren -

HP - put that one on HEADLINER!

NOW is time to call your elected officials..

[aflevine]

I've tried. Nothing seems to get through. The best you can get is a form letter stating the elected official's position. Sometimes, that position actually reflects the subject. Unless you are willing to come forward with a substantial election contribution, you can get no time and your voice is not heard. And yes, I care deeply and am completely frustrated!

[munki]

How about if all HP bloggers join forces

[shivasquest]

He belongs in jail along with Bernake and Summers..Rubins too.

[carl99e]

GEITHNER YOU LIE !!!!

[munki]

No, he did not... that is his believes...

this mean... we need a REFORM... a NEW person to replace him...

Why? What is he talking?

[blueken]

Ok, I will give you the benifit of a doubt. The four largest banks took 40% of the deposits of the American people and went to the casino. The placed some bets and came up snake eyes. All those agencies in Washington were asleep at the wheel. You had to bail them out because they lost our rent money. Ok, that's the past. What are you going to do now? Are you going to support regulations that do not allow banks to go the casino with our rent money? Are you going to suggest regulations that don't allow Wall Street to conjure up worthless paper to sell to our pension funds? Do you still believe that the "invisible hand of the market place" will keep bankers and Wall Street honest? That's the trillion dollar question. What are you going to do now?

[Mavsreader]

I too am willing to suspend judgement and believe this is true.
What I read it to mean is the system has the appearance of being better but it's the illusion of soluvency that is keeping the system going.

[Mavsreader]

judgment solvency

[whitegayrepublican]

Does Timmy The Rat come to mind?

[glockman]

I was unaware the economy had been saved.

Silly me.

[BraveWarrior]

From the penthouse view it's a new day!

[walt1944]

Geithner claims that by saving AIG at taxpayer expense, he saved the economy and not Wall Street.

And if, conveniently, it also meant that the highly-paid, highly-perked, ultimately-GREEDY corporate executves could continue in their jobs and continue to collect their huge paychecks, well so much the better!!!

What more could you expect from a Wall Street STOOGE!!!!

[Mavsreader]

You took majority ownership of a failing company and got NO SAY because you have "no authority" to do so.
Main Street isn't stupid.

[AnnfromCA]

I don't doubt Geithner is quite correct about this.

[kent4620]

The master of spin.

[bflaska]

So, Tim. A few banks got all the US Treasury tossed to them and now are paying their upper crust employees mega bonuses while the shareholders don't get very much and most Americans have been caused great harm directly by this obscene pilferage. What have you done to punish these thieving plutocrats and to prevent this sort of financial crime from reoccurring again in the near future?

[pointyheadprodigy]

Who's economy, the one where my job no longer exists? And if these worthless bums are "too big to fail" how come our national economy isn't? Grab the bums by their ears and toss them uinceremoniously to the curb!

[amaycatbaker]

The economy did fail, not for the richest, but for everybody else. I see my groceries going up in price. I see and hear people on the internet, tv, and when I am out, talking about their own financial depression.

But as long as those wealth have theirs, and are out to protect what they have, they won't see or hear any of us on the bottom of the economy. The ones who really drive it with our sweat and tears.

[PenGoddess]

I agree. But isn't it our job to make them hear us? I know the middle class spoke in 2008 and I thought we were heard - maybe not. Obviously, they aren't really listening. We need to demand more than the lesser of two evils as our political choices. Maybe we need to add some blood (as in taking an oath not as in extracting from others violently) to our sweat and tears.

[pros54]

The economy is equivalent to Goldman Sacks as we all know and result was achieved. Stop complaining children, we will take care of you.