Last week, we learned that Timothy Geithner, while the head of the New York Fed, let Goldman Sachs and several other large investment banks fleece the Fed in connection with the AIG bailout.
Then, over the weekend, we learn that the Geithner-orchestrated $2.3 billion federal government investment in C.I.T. Group last fall without requiring debtor-in-possession financing protections under chapter 11 of the Bankruptcy Code is going to result in a total loss of that investment. Why? Because C.I.T. has decided to file bankruptcy now.
Now, in the big scheme of things, $2.3 billion is not all that much money when placed in the context of the federal budget and the American economy.
Heck, it’s not even close to as much as Geithner left on the table for the investment banks in regard to the AIG bailout.
But Geithner has proven beyond a reasonable doubt that he is in over his head. This bailout stuff is not rocket science.
Why is Geithner still Treasury Secretary?
Well, as someone recently said about Geitner’s boss “As an American I am not so shocked that Obama was given the Nobel Peace Prize without any accomplishments to his name, but that America gave him the White House based on the same credentials.” – – Newt Gingrich
Incredulity abounds all around this administration.
“Why is Geithner still Treasury Secretary?”
This is a very easy question to answer. Barack Obama could care less about saving the capitalist system. On the contrary, he is eagerly seeking any way to impose a Progressive utopia on the often-gullible American public. Tim Geithner is greatly helping him to achieve this goal. The loss of a few billions of dollars is chump change when looking at the big picture.
The ìelitesî associated with Goldman Sachs are deeply embedded within the Obama administration—as they were with the previous big government Republican one. In the back of their minds, they have every intention of enslaving the rest of us ostensibly for our own good. It is very fair to describe Goldman Sachs as the enemy of America. We must put a stop to their nonsense. This can only be done by embracing the economic doctrines of Ludwig Von Mises, Friedrich Hayek, and other libertarian thinkers. Goldman Sachs loses its influence when it can no longer manipulate a strong central government.
Common sense says that the reason a weak and ineffective leader was installed at Treasury is simple – because those making such decisions want a weak and ineffective leader heading up Treasury.
The argument that no one but Tim Geithner posessed the skills necessary to be Treasury Secretary has been insane since day 1. The guy lacks the ethical compass, decision making skills and leadership skills fo rthe job. That being said, he will be allowed to remain in his current post, making gigantic mistakes at the expense of the people, simply because it suits the interests of those making such decisions.
When he finally does leave, where to you think he is going to end up working? One answer – Goldman Sachs.