Comments on: Backdoor Bailouts for Goldman Sachs?

By: PIMCO: “Stay under the umbrella” - Credit Writedowns

PIMCO: “Stay under the umbrella” - Credit Writedowns — Sat, 09 May 2009 01:41:58 +0000

[...] Don Kohn that the Fed has secretly been aiding the banking sector via AIG (here, here and here), when it was pointed out to me that a number of smart investors have been following the [...]

By: Goldman Sachs - Public Enemy #1 - must read « Behind-the-Matrix

Goldman Sachs - Public Enemy #1 - must read « Behind-the-Matrix — Tue, 05 May 2009 14:47:51 +0000

[...] the AIG bailout. Barry Ritholtz of the Big Picture points out that some estimates are over $25B. http://www.ritholtz.com/blog/2009/03/backdoor-bailouts-for-goldman-sachs/ Ritholtz is one of the very few high-profile writers with the courage to question Goldman’s [...]

By: Goldman Sachs - Public Enemy #1 « Across the Street

Goldman Sachs - Public Enemy #1 « Across the Street — Sat, 25 Apr 2009 19:55:38 +0000

By: Castro Is Cool Again

Castro Is Cool Again — Mon, 09 Mar 2009 04:45:05 +0000

Great post Barry. Nice job pulling together several different pieces. I’ve been writing about this as well for the past month:

Some snips:

“I believe Henry Paulson is a criminal. Both for his role in creating this crisis in 2004 with the SEC rule change that allowed leverage to expand, as well as his decision to bailout AIG so that Goldman Sachs (his former firm from whom he received a $600 million tax-free severance in 2006) would be protected.”

“And it still galls me to this day that the person leading the argument that morning in front of the SEC is none other than former Treasury Secretary Henry ‘Hank’ Paulson. I will ask again: when will a journalist with a large audience make it a goal to expose this man and what he has done to imperil your children’s future? He personally helped to pass the rule change that led to this crisis, then he led the effort to solve it by giving $700 billion of borrowed money from your kids to failed banks including his former employer Goldman Sachs, from whom he received $600 million in severance when he headed to Washington.”

http://dailybail.com/home/2009/2/23/the-bank-bailout-verdict-we-are-a-nation-led-by-idiots.html

http://dailybail.com/home/2009/2/5/rule-bending-banking-bastards-the-taxpayer-shithole-that-is.html

By: farmera1

farmera1 — Sun, 08 Mar 2009 13:51:42 +0000

Barry,

The January 19, 2009 issue of FORTUNE had a very interesting article on AIG.

AIG: THE COMPANY THAT CAME TO DINNER

http://www.insurancenewsnet.com/article.asp?a=top_news&id=102152

It is a good read and well worth your time. Would be interested in seeing your comments on the article. My take away was that the government had no choice but to start shoveling money to AIG. Right or wrong that is the decision that was made. It is a good read.

By: rrgg

rrgg — Sat, 07 Mar 2009 17:39:12 +0000

Last fall Paulson ducked a question about whether money could be used to pay hedge funds and European banks. It should have been obvious to everyone that day that this would happen.

I’m still waiting for AIG execs to be arrested for fraud. Sigh.

By: Greg0658

Greg0658 — Sat, 07 Mar 2009 09:29:26 +0000

a> time to make Corporations borrow from us on our terms … no more cash for them on their terms

b> draw out cash to bonds = corporations buyback to private

a+b=heads they win .. tails you lose

By: philipat

philipat — Sat, 07 Mar 2009 07:23:38 +0000

And the reason they don’t want disclosure is that pitch forks on Wall St. get in way of business and don’t look good. Second revolution anyone?

By: philipat

philipat — Sat, 07 Mar 2009 07:21:27 +0000

@Blurtman.

Agreed all. What I could never understand is why all the dumb as*hats at the other large Banks kept all thst cr*p on their OWN Balance sheets, or “Off Balance sheet” as the case may be. The guys at GS at least had the brains to make the money, take the bonuses and move on. And as many folks on this board will attest, there’s nothing wrong with being short or hedging anything.

By: philipat

philipat — Sat, 07 Mar 2009 07:03:25 +0000

The reason they won’t disclose is self-evidently they are afraid of the second revolution, pitch forks on Wall st anyone? Not only the Santelli rant but now also the (Well managed) regional Banks are complaining about subsidising Wall St. And this is a democratic Administration?

BTW, you already have a progressive taxation system. The top 5% of US taxpayers contribute 40% of all taxes collected, the top 10%, 60%. But hey, the US is going socialist anyway so why not tax the rich more.