The AIG Spin

[rmptr]

This was clipped from Ilargi at Automatic Earth.

1. Who designed, and is ultimately responsible for, the AIG bail-out? That

would be the president of the New York Fed, right? And who was in that

seat at the time the bail-out was executed, back in September? That's right,

it was Tiny Tulip Tim Geithner, the same guy whose direct boss these days,

one Barack Obama, said this morning he was "choking with anger" over the

consequences of the bail-out terms his own Treasury Secretary drew up a

mere 6 months ago. If you're the president, you have something better to do

than choke, sir. You need to act.

Larry Summers, the economic behind-the-curtain sorcerer, says he is

"outraged" over the bonuses. Makes you wonder when Timmy will start

venting his anger over his own bungled broken words? (By the way, I see

many different figures for the AIG bonuses float by. I’ll stick with Rep. Elijah

Cummings for now, who puts the total at $1 billion.)

2. Talking about Larry Summers, I don't want to bore you with repetition,

but he is the guy who, along with Robert Rubin and their Citi and JPMorgan

golf cronies, deregulated US finance 10 years ago, without which none of the

disastrous leverage, risk taking, out and down-right gambling and beyond

comprehension screwed-up conflicts of banking interests that are the

number one core of the present financial mess would have been possible.

Want to know who worked closely with them then? yeah, Tiny Tim. He was

Under Secretary of the Treasury for International Affairs during Rubin and

Summers' stints as Treasury Secretaries, a true crown prince. Geithner is a

shadow hand puppet and a docile servant who either badly bungled the AIG

"rescue" or meant it to be what it is from the get-go. You choose. Either

way, we're back to the theatre of the absurd I’ve talked about many times.

3. Bennie Bernanke was the first Fed head to do a TV interview in 20 years

yesterday. Why do you think he did? Can you spell spin doctor? Here's a

quote: "Lehman proved that you cannot let a large internationally active

firm fail in the middle of a financial crisis," Bernanke said.. Who was in

charge of the Fed when Lehman was unceremoniously sunk? You're 2 for 2,

it was Bernanke.

4. The US government owns 79.9% of AIG, but it can't stop a $105 billion

hand-out to big banks, including foreign ones, nor a $1 billion bonus

extravaganza for the guys who set up the AIG division which default swaps

and stands to lose $1 trillion? How does that boost confidence? It's dirty old

town hot air, of course. If you’re the government, YOU set the terms. If you

own 80% of a firm, YOU set the terms.

 

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[Noodle]

AIG officials knew what they could get away with when they took hold of the first and second bailouts. They learned with the first one and gleaned with the second one. There were no restrictions put on them by Obama or anybody else in the gov't. It was a scam from the get-go.

Now that Obama is objecting, it's a farce. It's pathetic. The whole U.S. citizenry is their ocean and their oysters. They think we can do nothing about it. Obama is blowing smoke. Absolutely no leader doles out billions with no restrictions, only warnings. At that point, the leader is no leader, just a puppet to play into their hands, which is what he meant to do all along.

America is falling.

 

[Smee]

Been a year since I posted a link to this video . . . before the bailouts.
[video=google;1070329053600562261]http://video.google.com/videoplay?docid=1070329053600562261[/video]

 

[texan connection]

Lot going on here and now on this subject.

http://news.yahoo.com/s/politico/20090318/pl_politico/30833

http://blogs.abcnews.com/politicalpunch/2009/03/gop-senator-aig.html

Senator Chris Dodd (D-Conn.) on Monday night floated the idea of taxing American International Group (AIG: 0.9505, 0.1704, 21.84%) bonus recipients so the government could recoup the $450 million the company is paying to employees in its financial products unit. Within hours, the idea spread to both houses of Congress, with lawmakers proposing an AIG bonus tax.

While the Senate constructed the $787 billion stimulus last month, Dodd unexpectedly added an executive-compensation restriction to the bill. That amendment provides an “exception for contractually obligated bonuses agreed on before Feb. 11, 2009,” which exempts the very AIG bonuses Dodd and others are seeking to tax. The amendment is in the final version and is law.

Also, Sen. Dodd was AIG’s largest single recipient of campaign donations during the 2008 election cycle with $103,100, according to opensecrets.org.

Dodd’s office did not immediately return a request for comment.

One of AIG Financial Products’ largest offices is based in Connecticut.



Dodd Amendment Rules

Crack down on bonuses, retention awards and incentive compensation: Bonuses can only be paid in the form of long-term restricted stock, equal to no greater than 1/3 of total annual compensation, and will vest only when taxpayer funds are repaid. There is an exception for contractually obligated bonuses agreed on before Feb. 11, 2009.
For institutions that received assistance totaling less than $25 million, the bonus restriction applies to the highest compensated employee; $25 million to $250 million, applies to the top five employees; $250 million to $500 million, applies to the senior executive officers and the next top 10 employees; and more than $500 million applies to the senior executive officers and the next top 20 employees (or such higher number as the Secretary determines is in the public interest).

--------------------------------------------------------------------------------


Of course democrate Chris Dodd recieved 103,100 bucks from aig
Just over Obamas 101,332
Mcain 59,000
Hillary 35,000

The list goes on all the way down to Jack Reed with a measly 6 grand


If you look at the threads closly you will see Dodd did nothing inadvertainly, he will be the fall guy.

 

[BIG61AL]

Gee, the tax payers [me and you] get it up the rear again......so what else is new.

 

[Lowbatts]

Aw geez, I clicked on the Alex Jones video. Now they know where I'm at....

 

[AU24K]

I heard on the radio yesterday that a trillion was a million million. If you picked a million people and gave them each a million, that would equal a trillion.
My idea is to take that trillion and divide it among all the US tax payers and give it to them. What would that be? Maybe $60,000-$80,000 each? Boy, that would sure stimulate the economy!!!
Scott

 

[moonshinner]

round an round we go

 

[gamiller]

try this out a different view

http://www.slate.com/id/2213942/

 

[rmptr]

GA is correct... it's distracting from the bailout itself.

 

[Smee]

Aw geez, I clicked on the Alex Jones video. Now they know where I'm at....

He has been known to go off the deep end . . . more than once . . .

Yeah, let's just keep watchin the right hand so you can't see what the left one is doing --- it'll make them happy

 

[texan connection]

I heard on the radio yesterday that a trillion was a million million. If you picked a million people and gave them each a million, that would equal a trillion.
My idea is to take that trillion and divide it among all the US tax payers and give it to them. What would that be? Maybe $60,000-$80,000 each? Boy, that would sure stimulate the economy!!!
Scott

A Trillion, If you counted twice a second it would take 15,500 yrs to get to that #,, Its about 31000 yrs in seconds, a billion is about 31 yrs, a million is about 12 days.

 

[rmptr]

Of course it is punitive legislation.

The power to tax is the power to destroy.

This is why legitimate government may only tax privilege, and not rights.

The ability to form a corporation, which gives advantages in business, is a privilege
granted by government, and therefore, subject to government control... taxation!

A Citizen of our land has a God given right to work at an occupation of common right.
As such, NOT subject to taxation, as it is an equal exchange for labor expended.
There is no profit generated.

Somewhere along the way, government was allowed to get out of control.
All legitimate taxation is mandatory... it's executed forcefully.
Otherwise, it would not be possible to impose it upon those subject to it.

The only question is, are you subject to the tax?

It is wrong, and punishable to evade any tax you may be subject to.
It is good business to structure your affairs to avoid liability for tax.

In part, we have gone wrong by allowing the extensive system of lobbying.
It has corrupted the legislature.

Best
rmptr

 

[texan connection]

Yup Ernest T its unconstitutional, It was a away to cover thier butts, throwing a bad law after bad laws.
Might wanna stock up on those Bricks