Bailout Overseer Says Banks Misused TARP Funds

Bailout Overseer Says Banks Misused TARP Funds

www.washingtonpost.com

Many of the banks that got federal aid to support increased lending have instead used some of the money to make investments, repay debts or buy other banks, according to a new report from the special inspector general overseeing the government's financial rescue program.

The report, which will be published Monday, surveyed 360 banks that got money through the end of January and found that 110 had invested at least some of it, that 52 had repaid debts and that 15 had used funds to buy other banks.

Roughly 80 percent of respondents, or 300 banks, also said at least some of the money had s

(visit the link for the full news article)

JEEZ!

It took this guy 'til NOW to figure that out?

I think most, or at least some Americans already knew this quite a while ago!

I like the last paragraph in the quote above, ...

Roughly 80 percent of respondents, or 300 banks, also said at least some of the money had supported new lending.

Well that was AWFUL nice of them!!

So, now this "Bailout Overseer", Neil Barofsky, now wants the Treasury Department "to require regular, more detailed information from banks about their use of federal aid provided under the Troubled Asset Relief Program."

But so far, the Treasury Dept. is ignoring his requests for this, stating, ...

the Treasury again rejected that call. Officials have taken the view that the exact use of the federal aid cannot be tracked because money given to a bank is like water poured into an ocean.

PLEASE!

This money CAN and SHOULD be bing tracked!

www.washingtonpost.com
(visit the link for the full news article)

[edit on 7/20/2009 by Keyhole]

talk about watching a train wreck, and it just goes on and on and on. we talk about it. even politicians bemoan it but they keep on approving these things. they are so busy making sure they get their personal pieces of the treasure trove they can't be bothered to read bill or look at how they are carried out. i would like the whole bunch of them thrown out of office. i no longer believe in this nonsense of electing people to represent us. how can we hold them accountable? voting them out is fine but takes too long and they have learned ways of buying votes too by promising goodies to voting blocks.

this really is discouraging. the only way to clean up government is to give them less money to spend. if there were no money available they would lose interest in a hurry.

I posted this story yesterday and got zero responses. A Lesson in News Stories on the Economy – Two positives equal a negative.

A little different twist though.


[edit on 20/7/2009 by Iamonlyhuman]

reply to post by Iamonlyhuman


frustrating. must admit my fickle attention is more apt to be captured by the explanatory headline. sometimes my outrage capacitor gets discharged and i can't respond to another frustrating and outrageous indication that our country is crumbling under our feet until the outrage supply builds up again. luckily (or not) it doesn't take long. i am tempted to add the lol smiley but unfortunately it's not all that funny any more.