Category: Credit Crisis Bailouts
The analysis published under this category are as follows.
Tuesday, April 28, 2009
Manipulated Bank Stress Test Reveals Only One Bank in Trouble? / Politics / Credit Crisis Bailouts
By: Money_Morning
William Patalon III writes: Only one of the 19 financial institutions that received a bank stress test would require additional capital, the controversial government initiative has reportedly concluded. The identity of the bank that is alleged to have failed the bank stress test was not revealed.
The bank-stress-test findings were reported yesterday (Sunday) by CNBC.com, which said it obtained the information from a source that it did not identify. The source did not identify the company, CNBC.com reported.
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Tuesday, April 28, 2009
U.S. Treasury Smoke and Mirrors Turning Bankrupt Banks Solvent / Politics / Credit Crisis Bailouts
By: Paul_L_Kasriel
Preferred Equity into Common Equity – Accounting Alchemy? - Congress currently is in no mood to authorize more funds to help recapitalize the financial system. The Treasury says this will not be a problem. If financial institutions need additional capital from the taxpayers to remain solvent, the Treasury will simply shift the preferred shares it already owns in financial institutions to common equity shares. Voila - capital adequate financial institutions! Really?
Tuesday, April 28, 2009
Falsifying Bank Balance Sheets / Interest-Rates / Credit Crisis Bailouts
By: Professor_Emeritus
Our title is borrowed from a caption of the Chicago economist and monetary scientist Melchior Palyi (1892-1970) writing on the fiscal and monetary legerdemain of the U.S. government in his Bulletin #401, dated February 27, 1960, as follows.
Faking balance sheets legalized
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Saturday, April 25, 2009
An Inside Look at One of the Biggest Scams in America / Companies / Credit Crisis Bailouts
By: DailyWealth
Doug Casey writes: I don't feel I've said enough about the class of professional American corporate executives in the past, partly because it's impossible to say enough about this generally despicable class of empty suits.
Friday, April 24, 2009
Paulson and Bernanke Forced Bank of America Takeover of Merrill Lynch / Politics / Credit Crisis Bailouts
By: Money_Morning
Jason Simpkins writes: Bank of America Corp. (BAC) Chairman and Chief Executive Kenneth Lewis said in testimony before New York's attorney general that Federal Reserve Chairman Ben S. Bernanke and former Treasury Secretary Henry M. Paulson pressured him not only to move ahead with a merger with Merrill Lynch despite reservations, but also to stay quiet about the mounting losses at the crumbling investment bank, The Wall Street Journal reported. Read full article... Read full article...
Thursday, April 23, 2009
Germany to Create Bad Banks to Boost Banking Sector Profits / Politics / Credit Crisis Bailouts
By: Global_Research
Leaders of the German government and the president of the central bank agreed on plans Tuesday for the creation of a series of so-called “bad banks” to bail out the country’s ailing banking system.
Wednesday, April 22, 2009
Bailed Out Banks Too Big to Survive / Politics / Credit Crisis Bailouts
By: John_Browne
On April 20th, Bank of America announced a first quarter surge in earnings to $4.2 billion. At first blush, it looked like the kind of news that would ignite a stock market rally. Instead, the Dow closed down 289 points. Could it be that, despite the apparent good news, investors don't trust the banks or the economy?
Wednesday, April 22, 2009
Bankrupt Banks and Corporations Bribing Washington Officials for More Tax Payer Cash / Politics / Credit Crisis Bailouts
By: Mike_Stathis
When Does It All End? The Abuse Continues. - Trillions of dollars for the bailouts haven’t satisfied the banks and automakers. They want more, and they’re spending your dollars to make sure they get it. According to the Associated Press, the top 10 recipients of the TARP spent about $9.5 million on lobbying during the first quarter of 2009.Read full article... Read full article...
Monday, April 20, 2009
(Un)Intended Consequences: Uncertainty, Inflation & Inflexibility / Politics / Credit Crisis Bailouts
By: Axel_Merk
Present policies may be sowing the seeds for the next financial crisis. Despite recent market optimism, we believe present interventions could produce significant future adverse and unintended consequences. Rather than curing the patient, the present initiatives may be overprescribing the patient with medication that cause significant side effects (and leave a bad taste in the mouth).
Saturday, April 18, 2009
Obama Heads the Largest Criminal Enterprise in History / Politics / Credit Crisis Bailouts
By: Stephen_Lendman
Since taking office, Obama, wittingly or otherwise, has headed the largest criminal enterprise in history - the mass looting of national wealth to enrich his Wall Street benefactors. He assembled a rogue economic team of Clinton/Robert Rubin retreads - to fix the current crisis they engineered.In a March 13 article, (author and former Republican strategist) Kevin Phillips called them "recycled senior (Clinton administration) Democrats (responsible for the) tech mania, deregulation binge and (1997 - 2000) stock market bubble and crash. (Obama) extend(ed) the (disastrous) mismanagement and pro-Wall Street bias of the 2008 Bush regime bailout."
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Friday, April 17, 2009
American's Tea Party Protests Against Fraudulent Bank Bailouts and Stimulus Spending / Politics / Credit Crisis Bailouts
By: Andy_Sutton
“Elephants and Tea Parties” - It is really no wonder that thousands of people across the nation showed up Wednesday to protest everything from the $787 stimulus package to big bank bailouts done under the cover of darkness. A failing economy, a government determined to insert itself fully in the specter of control, state sovereignty movements, and a good old fashioned tax day frown all combined to whip up enough ire to get folks to take to the streets. Still, many in the media don’t understand why this wave of protest is occurring.Read full article... Read full article...
Wednesday, April 15, 2009
Bailouts and Manipulations: Save Wall Street, at the Expense of Main Street / Politics / Credit Crisis Bailouts
By: Global_Research
Larry Chin writes: Wall Street is in the midst of a huge rally, primarily sparked by two recent occurrences. The first was the “surprising” announcement that Citigroup, JP Morgan Chase and Bank of America -- major “zombie” banks laden with “toxic assets,” on the verge of collapse, and the recipients of billions in government (US taxpayer) bailout money -- mysteriously posted profits this year. Wells Fargo, regarded as one of the healthier big banks, and a recipient of $25 billion, also reported a profit last week, rallying the stock markets again before the Easter holiday.Read full article... Read full article...
Saturday, April 11, 2009
Washington Subsiding Failure, Handing out Taxpayer Money to Bankrupt Banks / Politics / Credit Crisis Bailouts
By: Money_and_Markets
Mike Larson writes: Imagine you went to get your driver's license. You studied up on your state's requirements. You learned the rules of the road. You practiced driving in your neighborhood under the watchful eyes of your mom or dad. And then when you went to the DMV, you passed the written and driving tests with flying colors. Read full article... Read full article...
Saturday, April 11, 2009
Liquidate the Bankrupt Banks, Fire the Executives! / Politics / Credit Crisis Bailouts
By: Mike_Whitney
On Tuesday, a congressional panel headed by ex-Harvard law professor Elizabeth Warren released a report on Treasury Secretary Timothy Geithner's handling of the Troubled Assets Relief Program (TARP). Warren was appointed to lead the five-member Congressional Oversight Panel (COP) in November by Senate majority leader Harry Reid. From the opening paragraph on, the Warren report makes clear that Congress is frustrated with Geithner's so-called "Financial Rescue Plan" and doesn't have the foggiest idea of what he is trying to do. Here are the first few lines of "Assessing Treasury's Strategy: Six Months of TARP": Read full article... Read full article...
Friday, April 10, 2009
PPIP Financial Crisis Solution Exposed by Game Theory as Fraudulent / Politics / Credit Crisis Bailouts
By: Global_Research
James Keller writes: Game theory tells us that a risk neutral gambler would pay $50 dollars for a coin flip that paid $0 for Heads and $100 for Tails. Game theorists would call $50 the value of the bet. Read full article... Read full article...
Wednesday, April 08, 2009
Bernanke's Financial Rescue Plan: America's Glide-path to Destitution / Politics / Credit Crisis Bailouts
By: Mike_Whitney
Fed chief Ben Bernanke has embarked on the most radical and ruinous financial rescue plan in history. According to Bloomberg News, the Fed has already lent or committed $12.8 trillion trying to stabilize the financial system after the the bursting of Wall Street's speculative mega-bubble. Now Bernanke wants to dig an even bigger hole, by creating programs that will provide up to $2 trillion of credit to financial institutions that purchase toxic assets from banks or securities backed by consumer loans. The Fed's generous terms are expected to generate a flurry of speculation which will help strengthen the banking system while leaving the taxpayer to bear the losses. It is impossible to know what the long-term effects of Bernanke's excessive spending will be, but his plan has the potential to trigger hyperinflation or spark a run on the dollar.
Tuesday, April 07, 2009
Fighting Recklessness Bank Lending with Bailout Recklessness / Politics / Credit Crisis Bailouts
By: John_Mauldin
This week we visit some very thoughtful analysis by an old friend of Outside the Box, Dr. John Hussman of the Hussman Funds ( http://www.hussmanfunds.com/index.html ). Is the new PPIP program and related activities likely to help or hurt the situation? Will this help keep banks for bankruptcy or will it push the FDIC into insolvency requiring massive tax payer cash. This week's Outside the Box is brief, but poignant. Read full article... Read full article...
Monday, April 06, 2009
Obama's Auto Industry Bailout as an Implementation of Fascism / Politics / Credit Crisis Bailouts
By: LewRockwell
Vin Suprynowicz writes: The typical American automobile in the early 1920s was easy to describe. It was boxy and black, offered a manual transmission only, and sported a straight-up four-cylinder engine. Creature comforts were few. On the bright side, if your car tipped over on a sharp turn – as the top-heavy contraptions were wont to do – two strong men could usually set the thing upright, little the worse for wear. Read full article... Read full article...
Monday, April 06, 2009
Government Fuels Mass Hysteria Against AIG Employees on Bonuses / Politics / Credit Crisis Bailouts
By: Ayn_Rand
Peter Schwartz writes: In dealing with AIG, why are people pussyfooting around? They believe that the bonus money was stolen from the public and must be retrieved by any means possible. So why not bypass the niceties and just send in some well-armed “enforcers” to confiscate the bonus recipients’ cars and houses and bank accounts? Read full article... Read full article...
Sunday, April 05, 2009
PPIP is RIP - What a dead cat can't see a dead cat don't know / Politics / Credit Crisis Bailouts
By: Andrew_Butter
Here is a tip if you are thinking of buying bank stocks, (1) get hold of a photo of the CEO (2) show it to your dog (3) if the dog wags his tail then you can be sure the guy has a "trusting face", and (4) that's as a good a reason as any to buy a bank stock. Read full article... Read full article...