Tuesday, August 04, 2009

Geithner continues proving he needs to be fired

Front-page, above-the-fold of the WSJ today:

Geithner vents as overhaul stumbles

Treasury Secretary Tim Geithner wants to railroad through President Obama's financial regulatory reform. Unfortunately for America, the President's proposed "reform" will only doom America to repeating history.

But back to the WSJ...

Geithner (and Bernanke) are at loggerheads with the other regulators, including the heads of the SEC, OTS, OCC and FDIC. (And those regulators are theoretically independent of the Administration. So Geithner has absolutely no right to use expletives and berate these people. Yet he did.) Taxman Tim wants the Federal Reserve to be a "systemic regulator" over firms that are "too big to fail."


The Federal Reserve enabled this whole mess and now President Transparency, Taxman Tim and Helicopter Ben want the American People to trust them to fix it?!

I say no way. It's bad enough that the Federal Reserve runs monetary policy. We don't need their failed regulatory function to be given more power. Chairman Bernanke, Vice Chairman Kohn and their Krohnies are guaranteed to screw up again.

And btw, as the President of the Federal Reserve Bank of New York (one of twelve regional banks under Bernanke's umbrella called the FOMC) Geithner cut a deal with Goldman Sachs last fall. And yes, the Federal Reserve Bank of New York has its own Board of Governors. And on that Board of Governors sat a man who was also on the Board of Directors of Goldman Sachs.

So Geithner was simultaneously negotiating a deal with Goldman Sachs, he was also reporting to Goldman Sachs.

Conflict of interest?

Apparently, President Transparency doesn't think so.

When will Obama wake up and smell the coffee? He ran against Bush's "failed economic policies." Yet Obama has exactly the same team - Bernanke and Geithner.

Why should anyone expect things to improve while the same con artists are running the show?

Tim White

No comments: