Posted tagged ‘banksters’

Banksters Part III: TARP Fraud

April 26, 2009

godfather21Neil Barofsky, special inspector general for the TARP bailout program has already launched twenty investigations into possible securities fraud, tax violations, insider trading and other crimes related to the bailout funds.

In the 250-page report Barofsky submitted to Congress last week, he also expressed serious concerns about Treasury’s latest bailout propgram, the PPIP. As Reuter’s blogger Felix Salmon observed, “not only is Barofsky worried about PPIP participants gaming the system, he’s also worried that the whole thing could easily become a front for money launderers”.

Banksters Part II: An Offer BofA Could Not Refuse

April 26, 2009

gf-brandoNew York Attorney General Andrew Cuomo has sent an angry letter to regulators … regarding the behavior of Hank Paulson and Ben Bernanke over the allegation that they forced Bank of America (BAC) to complete its acquisition of Merrill Lynch.

Bank of America CEO Ken Lewis may become subject to an SEC investigation and will certainly have to answer to angry shareholders. But what of Bernanke and Paulson?

Former Treasury Secretary Henry Paulson “admitted to Andrew Cuomo that he threatened to oust Ken Lewis and the Bank of America board if Bank of America invoked a Material Adverse Change (MAC) clause to block the deal, Cuomo says.  Paulson also added, however, that he made this threat at the request of Ben Bernanke”, a statement he later recanted

Mike (Mish) Shedlock wrote in his blog, “It’s crystal clear from the letter that a strong case can be made that Paulson and Bernanke coerced Lewis to carry out a merger agreement that was not in Bank of America’s shareholders best interest. Lewis arguably did so only to save his own job and the board.”

I’m with Mish – let the criminal indictments begin: Paulson, Bernanke, Lewis.