Geithner Rushes To Sabotage German Derivatives Ban

The German government is now fully committed to escalating its ongoing counterattack against international financial speculation. These moves represent an historical watershed as Germany becomes the first major economic power to roll back the tide of financial globalization, under which crackdowns on hedge funds, derivatives, and the world gambling casino were branded as taboo for national governments.

German Finance Minister Wolfgang Schäuble has announced that the Merkel government is sending a draft bill to the German parliament (the Bundestag) targeting "turbulence" and "volatility" through further regulation of "certain transactions [which] amplify the crisis." The bill reaffirms the most fundamental German measure enacted so far, the May 18 blanket ban on all naked credit default swaps issued against the treasury bonds of the eurozone nations.

This ban represents the most aggressive move anywhere in the OECD against these most toxic derivatives, which have figured prominently in the AIG bankruptcy and the recent Goldman Sachs Abacus scandal. They are also the derivatives being widely used by hedge fund hyenas and zombie banks to attack such nations as Greece , Spain , and the rest of the Southern tier of the euro.'

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Geithner Briefs Super Power Elite, Friday Afternoon

The heavyweights want a report from the Treasury Secretary, including David Rockefeller and Lynn Forester de Rothschild (Forester was introduced to soon to be husband, Sir Evelyn de Rothschild, by Henry Kissinger at the 1998 Bilderberg Group conference in Scotland. They spent their honeymoon at the White House.)

In addition to Rockefeller and Lady de Rothschild, on Friday afternoon, Treasury Secretary Geithner will also meet with the other members of the Board of Directors of the Peter G. Peterson Institute for International Economics to discuss the Administration’s agenda for economic growth and strengthening the global financial system.'

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Dylan Ratigan MSNBC Exposes Federal Reserve Con

More Toxic Paper: New Subprime Bonanza in the Housing Market

Whew. That was fast. It didn't take long for Wall Street to figure out how to game Obama's new mortgage modification program, did it? The plan was hyped as help for "struggling homeowners", but it turns out, it's just another stealth bailout for pudgy bank-execs. It's funny, the program hasn't even kicked in yet and, already, bigtime speculators are riffling through their filing cabinets looking any garbage paper they can find to dump on Uncle Sam. Take a look at this on today's Bloomberg report:

"Subprime-mortgage securities are rising at an accelerating pace as the U.S. begins to encourage reductions to homeowners’ balances, which may lead to fewer foreclosures and a quicker end to the housing slump....Senior-ranked bonds tied to borrowers with poor credit will mostly benefit after the Treasury Department said for the first time it would seek to cut the size of mortgages, reducing the likelihood that loan modifications will fail, according to JPMorgan Chase & Co., Morgan Stanley and Barclays Plc. (Bloomberg)

What does it mean? It means that Obama's mortgage modification extravaganza has touched-off a gold rush in toxic paper. Subprime securitizations, which had been worth next to nothing, are now the hottest trade on Wall Street. It's a subprime bonanza! The investment sharpies are scarfing up all the crummy MBS they can get their hands on, because they know they can trade it in for Triple A FHA-backed loans when the program get's going. It's another swindle cooked up by Treasury Secretary Timothy Geithner to keep the brokerage clan in the clover. Here's how a Wall Street veteran explained it to me.'

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Kaptur Chews Up Tiny Tim Goldman And Spits Him Out

Secret Banking Cabal Emerges From AIG Shadows

The idea of secret banking cabals that control the country and global economy are a given among conspiracy theorists who stockpile ammo, bottled water and peanut butter. After this week’s congressional hearing into the bailout of American International Group Inc., you have to wonder if those folks are crazy after all.

Wednesday’s hearing described a secretive group deploying billions of dollars to favored banks, operating with little oversight by the public or elected officials.

We’re talking about the Federal Reserve Bank of New York, whose role as the most influential part of the federal-reserve system — apart from the matter of AIG’s bailout — deserves further congressional scrutiny.'

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The Battle of the Titans: JP Morgan Versus Goldman Sachs

In 2000, the Rockefellers and the Morgans joined forces, when JPMorgan and Chase Manhattan merged to become JPMorgan Chase Co. Today the battling banking titans are JPMorgan Chase and Goldman Sachs, an investment bank that gained notoriety for its speculative practices in the 1920s. In 1928, it launched the Goldman Sachs Trading Corp., a closed-end fund similar to a Ponzi scheme.

The fund failed in the stock market crash of 1929, marring the firm's reputation for years afterwards. Former Treasury Secretaries Henry Paulson, Robert Rubin, and Larry Summers all came from Goldman, and current Treasury Secretary Timothy Geithner rose through the ranks of government as a Summers/Rubin protégé. One commentator called the U.S. Treasury “Goldman Sachs South".'

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Goldman Sachs Flunkies Neck Deep in AIG Coverup

Geithner Warns That Markets Could Dive If Bernanke Is Not Reconfirmed

Treasury Secretary Tim Geithner, in a recent interview with Mike Allen of Politico warned that the financial markets could react negatively if Fed Chairman Ben Bernanke isn't confirmed for a second term.

Geithner suggested that the market would see a failed Bernanke confirmation as "very troubling," but claimed that he was "very confident" Bernanke would receive enough Senate votes to win a second term.'

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The sky is gonna fall!!!! Notice how they keep using the same old threats

Bankergate: Emails Expose Criminal Financial Dictatorship At Work

Explosive emails released last week could see Treasury secretary Timothy Geithner become embroiled in criminal charges for his role in a cover up that exposes the monumental criminality behind the $182.3 billion bailout of American International Group Inc.

In November and December 2008, The Federal Reserve Bank of New York instructed the bailed out AIG to hide from the public details regarding payments the insurance giant made to banks, including Goldman Sachs Group Inc. and Societe Generale SA.

Using Fed secured taxpayer bailout money, AIG paid several banks 100 percent of the face value of credit-default swaps, as other financial institutions were negotiating deep discounts for the unregulated paper assets that do not have to be backed by cash.

The decision to pay the banks in full may have cost AIG, and therefore taxpayers, at least $13 billion over the odds.'

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Geithner’s New York Fed Told AIG to Limit Swaps Disclosure

The Federal Reserve Bank of New York, then led by Timothy Geithner, told American International Group Inc. to withhold details from the public about the bailed-out insurer’s payments to banks during the depths of the financial crisis, e-mails between the company and its regulator show.

AIG said in a draft of a regulatory filing that the insurer paid banks, which included Goldman Sachs Group Inc. and Societe Generale SA, 100 cents on the dollar for credit-default swaps they bought from the firm. The New York Fed crossed out the reference, according to the e-mails, and AIG excluded the language when the filing was made public on Dec. 24, 2008.'

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Geithner Savaged On Unemployment During Fiery Capitol Hill Hearing

Congressman Michael Burgess scalded Treasury Secretary Tim Geithner during a fiery hearing on Capitol Hill this morning, telling the former New York Fed chief that he should never have been hired and demanding that the TARP program come to an abrupt end, shortly after GOP Rep. Kevin Brady had called on Geithner to resign.

“The public has lost all confidence in your ability to do the job,” Brady told Geithner during a heated Joint Economic Committee meeting, adding that he had failed to oversee an economic recovery before asking Geithner, “Will you step down from your post?” '

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Government Is Trying to Make Bailouts for the Giant Banks Permanent

In my opinion, Geithner’s proposal is “TARP on steroids.” Section 1204 of the proposal [the proposal being the "Resolution Authority for Large, Interconnected Financial Companies Act of 2009"] allows the executive branch to use taxpayer money to make loans to, or invest in, the largest financial institutions to avoid a systemic risk to the economy.

Geithner’s proposal reminds me of the Troubled Asset Relief Program (TARP), the $700 billion Wall Street bailout adopted last year, but the TARP was limited to two years, and to a maximum of $700 billion. Section 1204 is unlimited in dollar amount and is a permanent grant of power to the executive branch. TARP contained some limits on executive compensation and an array of special oversight authorities. Section 1204 contains absolutely no limits on executive compensation and no special oversight.'

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Geithner Aides Made Millions on Wall Street

Obama administration officials now working on fixing and regulating the financial system were beneficiaries of several million dollars in pay from Wall Street and private equity companies, it has been revealed.

Financial disclosure forms show that prior to joining the government, Gene Sperling, a senior Treasury adviser, was paid $887,727 by Goldman Sachs and $158,000 for speeches to companies that included Stanford Group, the company run by Sir Allen Stanford, who has since been charged with fraud.

Mr Sperling’s compensation from Goldman was for work on a philanthropic project. His overall pay, including for his main job at the Council on Foreign Relations, totalled $2.2m in the 13 months to January.

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Geithner’s Appointment Book: Taking Orders from the International Bankers

Geithner is a consummate Wall Street insider. He was the president of the Federal Reserve Bank of New York. He was a Senior Fellow in the International Economics department of the Council on Foreign Relations, a member of the Group of Thirty (a Rockefeller operation), worked for Kissinger Associates, and is a member of the Trilateral Commission. Lawrence Summers was his mentor. He is a Robert Rubin protégé. Rubin, Clinton’s Treasury Secretary, was Chairman of Citigroup. Summers, also a Clinton Treasury Secretary, was Chief Economist for the World Bank and was tapped by Obama to be the director of the White House National Economic Council. Geithner also sits on the board of the Bank for International Settlements, the mega-globalist outfit that enjoys immunity from virtually all regulation, scrutiny and accountability.

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Simon Johnson: 'Barack Obama, Like Louis XIV Before Him, Knows Exactly What is Going On'

During the reign of Louis XIV, when the common people complained of some oppressive government policy, they would say, "If only the king knew . . . ." Occasionally people will make similar statements about Barack Obama, blaming the policies they don't like on his lieutenants.

But Barack Obama, like Louis XIV before him, knows exactly what is going on.

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Federal Reserve Rejects Request for Public Review

The institution which creates and oversees America's currency wants to keep a "low profile," according to a published report on Monday, and may willing to dodge the U.S. Treasury in order to do so.

According to Bloomberg News, the Federal Reserve Bank will not submit to a voluntary public study of its internal structure and methods of governance, as it was requested to do so by Treasury Secretary Timothy Geithner.

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Geithner Rejects Limits On Bailed out Bankers Pay

Timothy Geithner, US treasury secretary, said on Monday he opposes caps on executive pay in companies receiving bailouts from the federal government under the Troubled Asset Relief Program (TARP).

Geithner, speaking at a live broadcast interview hosted by Newsweek, made a number of notable remarks, including the claim that the economy has “clearly stabilized” despite the daily growth of unemployment and other indices of social distress. However, his comments on executive compensation stood out most of all.

Geithner, who said he received a “generous salary appropriate for a public servant,” was asked if “it would be a reasonable proposal that companies receiving TARP money should [have their executive pay] capped at what the secretary of the treasury makes?"

“No, I don't think so.” Geithner replied. “I don't think our government should set caps on compensation.”

Well aware of the popular hostility towards the banking executives, Geithner attempted to qualify his statement, adding, “What I think we need to do is set in place some broad constraints on the incentives compensation systems created.”

“We can bring about broader reforms... that will make it less likely that people will get paid to take large amounts of short-term risk at the expense of their firms and at the expense of the system as a whole.”

The only such “reform” mentioned by Geithner was his proposal that “companies submit to shareholders their broader compensation packages.” Such a proposal is ridiculous. Shareholder votes are, of course themselves monopolized by multimillionaires and billionaires, who are perfectly happy to let their colleagues rake in tens of millions of dollars in compensation every year, knowing full well that they will receive the same treatment.

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Max Keiser on Press TV talks about the Massive Corruption on Wall St

George Osborne Returns Home after Meeting Obama's Administration

George Osborne today returned home from a three-day visit to Washington where he held meetings with Tim Geithner, the Treasury Secretary, and Larry Summers, director of the White House economic council.

The Shadow Chancellor also had formal talks with Ben Bernanke, the Chairman of the Federal Reserve, World Bank President Robert Zoellick and IMF Managing Director Dominique Strauss-Kahn, as well as using his attendance at the White House correspondents' dinner on Saturday night to speak to Mr Obama's chief of staff, Rahm Emanuel.

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Birds of a feather.......