Monday, September 29, 2008

Paulson still too powerful under "compromise" bill

The crazy ass fox is still guarding the hen house under the Democrat-improved and soon to be bi partisan approved bank bailout bill. Treasury Secretary Henry "Hank" Paulson is already earning his golden parachute from from Goldman Sachs.

Treasury Gets Broad Power in Bailout Bill to Hire Contractors
By Rebecca Christie

Sept. 28 (Bloomberg) -- Treasury Secretary Henry Paulson will have broad authority to hire financial managers quickly to help manage a $700 billion asset-purchase plan, according to the draft legislation under consideration.

Bush's original 3 page proposal gave Paulson unlimited authority to spend the $700 Billion. The current bill still gives him plenty of wiggle room to have a free hand to enrich his buddies.

If the plan is enacted, the Treasury likely will need a lot of Wall Street expertise to manage the assets it acquires, said Tim Ryan, head of the Securities Industry and Financial Markets Association. Ryan also is former director of the Office of Thrift Supervision, which oversaw the Resolution Trust Corp., the agency that liquidated failed thrifts after the savings-and-loan crisis of the 1980s.

``What we learned through the RTC process is, if we're going to throw this type of assignment at the government -- any government, state, federal, U.S., anywhere -- they're not staffed to deal with this issue,'' Ryan said in an interview last week.

Treasury's potential hiring of contractors to run the program will help because ``they'll just do a better job and they'll get it done faster, and ultimately it'll be cheaper,'' Ryan said.

Color me skeptical. We're spending $10-12 Billion a month in Iraq because we have outsourced the Occupation. I see another boondoggle here.

Paulson has already recruited from Wall Street to help manage the current financial crisis, the worst since the Great Depression. He hired Morgan Stanley on a $95,000 contract awarded under emergency procedures to help assess options for Fannie Mae and Freddie Mac, the mortgage companies that ultimately ended up in government conservatorship.

Goldman Sachs

Paulson also last week hired former Goldman Sachs Group Inc. colleague Edward C. Forst, now executive vice president at Harvard University, on a $5,000 contract to help with the plan.

I know, I know... It's just chicken feed. The golden egg will be stolen with the help of these Wall Street pirates. Aaargh!

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